I expect JKIL to trade above Rs 1400 within next 2.5-3yrs (at a PE x of 15).
There is a high chance that given the accelerating growth rate, the entire construction sector gets re-rated in which case even a PE of 25-30x might be possible and JKIL can go above Rs 2800 per share. Now, obviously, this is not the base case we can assume today. But as the performance comes through and sceptics become more comfortable and eventually confident, the stock price can easily go past the levels that are difficult to imagine today but would be perfectly reasonable when viewed from a different lens, a lens based on facts reflected in the financial statements.
I guess that is what some of the best fund managers in the industry are seeing and have taken up sizeable position in the stock.
Mkt a slave of earnings. Sector having lot of tailwinds. JKIL executes nicely with lot of tunnel boring machines and marquee projects to its name . Best wealth created when both EPS N PE increases. discl invested and biased
In the below tracker, I have started tracking important company goals for J Kumar.These goals are referred to as ‘monitorables’ in the tracker.I will update this document regularly to reflect the current status of these goals.
Here’s a snapshot of what the tracker includes:
Company Ticker: For identifying the company
Monitorable Description: Description of the goal or metric being tracked
Date of Announcement: When the monitorable was announced
Deadline: Target date for achieving the monitorable
Status: Current progress (e.g., Not Fulfilled, Pending)
Verification Link: A link to see where we got the information about the goal.
I hope this information makes it easier to observe how well companies are progressing towards their stated goals.
Is it possible for a company to have fixed operating margin for years… J Kumar has 14% margin for 5 years (apart from covid year of 2021) - exact 14% every quarter. that too for construction companies where revenues are fluctuating based on project progress…
