Laxmi had a good listing and a good run post listing. The closest peer in terms of products portfolio is Ingrevia which also recently demerged from JLS & started trading. The current valuation for Laxmi seems significantly high given the current financial position and maybe trading at high valuations due to expected Fluro capex which should be quite high margin business, but that is still to fructify in numbers.
The valuation comparison done with Ingrevia is as below which is also detailed in this post of Ingrevia thread assumed at Stock prices of today INR 336 for Ingrevia & INR 202 for Laxmi for simplicity.
| Ingrevia | Laxmi Org | ||
|---|---|---|---|
| 9M Fy21 EBIDTA is 418 Cr & EPS is INR 13.81 | 6M Fy21 EBIDTA is 85.4 Cr & EPS is INR 2 | ||
| Estimated FY21 EV/EBIDTA based on 9MFY21 EBIDTA | Estimated FY21 PE based on 9M FY21 | Estimated FY21 EV/EBIDTA based on H1 EBIDTA | Estimated FY21 PE based on H1 FY21 |
| 10 | 18 | 31 | 51 |
Requesting folks, tracking Laxmi to add if I have missed any points or have any insights into this business.
Disc: Not invested, tracking closely to enter at corrections.