Sandesh is behind the leader Gujarat Samachar in Gujarat. Another competitor is divya bhaskar.
I dont track its financials so not much idea but its a three horse race in gujarat in gujarati language with gujarat samachar being the clear leader
Hi Hitesh, are you still tracking Gujarat Automative gears ? what is your current opinion on the same.
I never tracked gujarat automotive gears. So no opinions.
Hi @hitesh2710
Whats ur view on Omkar Speciality Chem at current levels?
Last quarter results were rlly good bt worried abt the pledging of shares by promoters.
Its a good opportunistic bet. I have been holding it and expect a good year ahead for the company as expansion benefits kick in.
Thanks Hitesh… Also would like to know ur view on HSIL if any…
Goin for good amount of capex in the last one year and I have been watching dem getting v active on the advertisement front.
I have never liked HSIL as a company. The management has never really got to grips with the glass business and that seems to have acted as a drag on the main business.
Just compare the wealth created by cera as compared to HSIL and one can easily make out where the wealth creator is. Just similar to exide and amar raja.
2 Likes
Hi @hitesh2710,
Wondering why omkar is just a opportunistic bet, but not a core or emerging portfolio pick ? You know everything about this company. Just putting down my understanding here … I see IP led growth in this company and they are continuously coming up with novel process (which they eventually patent it) to cut production cost of intermediates and get new orders from pharma companies. They are progressing good in Vet API segment as well. Only drag could be their commodity iodine business. CRISIL is continuously monitoring this company and the latest fair value of Omkr given by them is 220+. Given the expansion is also kicking in and aggressive play by technically sound father & son, shouldn’t we bet on this for next 3 years at least ? Of course, with regular quarterly results monitoring.
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Manoj,
For me long term bets have to have a fair amount of predictability and that is what I find lacking in business of Omkar. From whatever I have read about the company I find that it is just a commodity business having a good time. I wouldnt compare it with the likes of great pharma companies like ajanta, torrent, alembic, shilpa or other businesses I own like the HFCs.
I am not too impressed by the oft used word PATENT which is bandied about by Indian firms. The kind of patents Omkar boasts about are in effect just process patents and nothing much to brag about. If patents dont convert into higher sales and profits for the company it is no use.
The good thing I find about Omkar is decent management, and benefits of expansion which could keep the growth going for a couple of years or more.
Key monitorables include debt situation and working capital management.
7 Likes
Thanks for sharing your views. Very useful.
Hi Hitesh,
Please let us know how to manage cash % part of PF. Do you prefer to keep the Cash in regular bank and getting FD returns (or) to keep invested in stable business say (ex: HDFC Bank) to move them for purchases.
Torrent Pharma – Have done the AR and investor presentation reading. Q1FY16 itself they’ve given 48 EPS due to good sales and big NPM. And expected to continue in Q2FY16 as well. Overall FY16 will be more than 100 if we’re including this and valuation will be different in that case.
You’re also using technical analysis (tech-fundo analysis) and it will be great to know the signals (SMA or WMA?) which we may be useful for entry.
Thanks,
-Muthu
Hi Hitesh,
I wanted to know ur views regarding Force Motors.
My rationale for it is
Market Cap of 3100 CR Debt To Equity 0.02 Mcap To Sales 1.29
Although we cannot directly compare it to Atul Auto But it seems cheaper on above parameters.
Also it manufactures Engines for Mercedes and BMW.
There Operating Margin Seems to be Stabilizing near 11 (Quatrely OPM)
They are a Dividend Paying Company
Comapany is is operations Since very long have been acuired by Jaya Hind Group
Above points Plus the Strong Presence of Their Force Traveller and also increasing number of luxury cars in India (BMW and Mercedes) Gives me Confidence.
(Form My Office to Home in a stretch of 9 Kms I almost site 40 Force travellers)
However I went Through their last Annual Report in that there was no mention of manufacturing of engines
for Merc and BMW also on their site their is no information of these products.
Also one general question
What do you do in such situations where U r seeing the the Company products are being used company posting decent numbers paying dividend but information about their products are not fully covered in their Website or AR.
Regards,
Kapil
@kapil1301
http://www.forcemotors.com/page/index/assembling#&panel1-1
Though not too much information is given.
Gujrat automotive gears seems to be agood company as it has all the operating parameters well in place . The OPM, CAGR, NPM are all improving. But the intention of new promoters are doubtful. Why would a promoter take out cash from the company and loan it to himself ?
your views on vakrangee Hiteshbhai
Muthukumar,
I am usually fully invested in markets. Occasionally when I do hold cash it is just plain cash and I dont transfer the amount to either FD or liquid funds. When an attractive parking space is there I put in the cash into the parking stock till the next good opportunity presents itself.
About Torrent figures, I dont have any immediate guesses for the fy 16 numbers but overall am impressed by q1 numbers.
Regarding technicals I dont specifically use any single parameter or moving avg etc. I use broadly recognisable patterns which I trust more than indicators or individual parameters.
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I dont track vakrangee or force motors or guj auto gears so not able to comment on those.
But Lincoln pharma ratios as ROE are very low. This should be problems with company or its management.
Hitesh,
Your views on Indo count ? Asset light model with high margin business. Going to be debt free in one year, good FCF, growth.
Cons _ no dividend yet. Already increased too much
@ravi, I track Lincoln Pharma but more as a technical bet. With good q1 fy 16 results it seems to be headed for some good times. The presentation also shows some details about the company. You can put all the details u have mentioned in the thread on lincoln pharma.
@rajesh, I dont track indo count or any other textile companies so wouldnt be able to comment on it.