Apart from what you mentioned, few good points:
Rebar prices are moving up recently as shown in graph (source: SunSirs).
More Importantly, PLEDGING has gone down considerably
Pledging as % of Promoter’s holding:
- June 2018 - 77.29%
- Sep 2018 - 62.63%
- Dec 2018 - 64.62%
- Mar 2019 - 52.65%
Now, Prakash will trade Ex pipe division tomorrow. Prakash pipes value unlocking is possible (opposite is equally true given the history of stocks like Omkar, sintex, etc.)
As per the steel prices and demand, good results are expected. I think people are pricing in Peak of profit cycle. This, I believe, is good thing as a bad scenario is already priced in.
I believe that it is waiting for a bull run in market, then only it’ll run. If sentiments change, it can show good runup. This makes it a good stock to look at from 2-3 years perspective. The risk that I see that can tank the stock is if numbers are fake. If anyone sees other negatives that makes stock expensive at current valuation, views are invited.