If the company management tells completion time of a project as 2-3 months, it is practically a lie. However, projects of capacity 1KW to 10 KW is possible to commission in 2-3 months. But projects of 1MW and above cannot be completed below 1 year.
Trade receivables for Ujaas are increasing day by day… If I am not wrong it is 190 crore as of now. Is it not too high ? Wanted to know the views of members who are tracking this stock for long. Is there any risk of them not collecting the payments on time ? Too much capital stuck in it.
Disclosure: no position but tracking with interest to buy
http://mnre.gov.in/file-manager/UserFiles/discont-empanelment241117.pdf
I think Ujaas is one of the channel partners. now government has decided to discontinue, am I getting this right ?
In case of Ujaas, I have seen that most of the size-able orders executed are received from State Govts. As far as my perception goes the payment method of these provincial governments are so “red-tapped” that 80% of the order value is received till completion of the work and rest 20% of each order remains locked for more than 18 months to 2 years. I think this is the reason of receivables getting accumulated higher and higher in each quarter.
After significant market cap erosion. Management has come out with a presentation.
The management is simply untrustworthy… In my experience, it is a
waste of time tracking this Co… Not to say, the industry can never make
good profits, except for global players in USA and China
What is the basis of management untrustworthiness ? This company had been list in Forbes too.
Management sold shares in open market and claimed to use that money to get
big orders in IPP mode…
Nothing happened… They knew the profits were going down and exited their
stock… No issues with that… But, why tell lies to investors… As he
was saying this on TV, the company was again selling the shares in market
same day…
Nevertheless, an industry where a small set of participants can only make
money… Definitely not epc cos…
Purely my view… People who are convinced about Ujaas can continue to hold
or buy more… Stock investing is a very personalised conviction… All the
best…
I too concur with this opinion. If one listen to conference calls, they are a typical management which always talk big hairy ambitious goals (BHAG) and try take the investors on the garden path. Then at peak valuation dumped shares in open market and pocketed 80 cr. odd Rs. How can v trust such management which itself is reducing stake for unconvincing reasons.
(Disc: sold all shares at a loss few months back : not even tracking now)
I hold a small quantity at an average price of 40 … cmp is 16+ about 60% mtm loss … Please advise if the company prospects are good and if it is worth averaging at cmp … if I invest the same amount that I had originally invested my average price would come down to 24 … I don’t mind holding it for the long haul if the stock is worth it … or can hold existing qty as the portfolio weight is just 0.23% …
If I were to exit Ujaas, what is the best company to reinvest in the same field ?
Shenbal…
Ujaas has the least possibility of even going to Rs 24, assuming you average it here. If i am you, i will book losses and move on. The cost of the loss is the valuable lesson you have learnt…
There is no Indian Co which you can gain from in solar sector… renew power, the ipo is coming, can be a decent bet… But we must be looking for multi naggers. There are cos in China and the USA which are going to become mega caps 10 yrs down the road in the solar space…
Financial Results declared and Fund Raising upto 500 crore… I am wondering how can a company with market cap of 223 crore (as of today) raise 500 crore?
Ujaas Energy entering e-scooter segment.
Entirely new source of revenue. Given how beaten down the stock is, would this be a risk worth taking?
Will they make profits… Or will competition allow them to make profits… That’s the question to which we need to guess an answer…
Let live guessing apart.
Ujaas has expertise and experience in solar and they can leverage that in making e scooters. Who knows they may come out as better than others in terms of energy efficient scooters. (Battery which lasts longer)
I am not sure with whom they have collaborated in auto ancillary or parts. It would be interesting to know that.
Moreover ujaas also mentioned in annual reports for entering into power stations segment.
I am also going to add this post to another section - My mistakes with the Stock market
Ujaas Energy
I review my portfolio investments once every year
my investment in Ujaas Energy has been reduced to 18% of its invested value (82% value destruction till date)
honestly no money to be made, even by booking loss and selling off
so i am now showcasing the company metrics to keep new investors away from this stock
- Sales have decreased from 526 Crores (2014) to 51 Crores (2020)
- The debtor days of this company have deteriorated from 88days (2011) to 716days (2020)
- Inventory turnover has deteriorated from 12.3 (2014) to 0.56 (2020)
- FII/DII investment in this company - Almost zero for last 5years - Only promoters hold 60.5% and Public holds 39.5%
- Company hasn’t paid any dividend after Mar 2017
- The EPS has slipped from 1.84 in 2014 to -0.67
Hello All,
I will post updates on this chain since this scrip is locked in upper circuits for a lot of trading sessions now. lets look at how the metric are performing now?
- Mar 2021 sales have gone down further to INR 35 crores and TTM Sales for Mar 2022 are INR 34 crores
- The debtor days have deteriorated further to 930 (2021)
- Inventory turnover has improved to 0.87
- FII/DII investment in the company has stayed at zero but interestingly promoters have offloaded their entire stake and now Public holds 99.99% [Vimala Yogesh Desai being the biggest public investor holding 4.5%
- Dividend payout hasn’t happened and is not expected too with these kind of financials
- The EPS has slipped to -1.52 and TTM EPS for Mar 2022 is -4.9
All these parameters give me a doubt that operators have gotten into this stock and could be manipulating the prices to lure smaller traders into it.
Do the senior members to this forum have any other view?