Optiemus Infracom - How much business Blackberry is going to bring for it?

Optiemus infracom launch KULT mobile …

Press release : http://www.kult.life/kult-beyond/media.html

1 Like

In today’s Economic Times newspaper, it is mentioned that price differences are coming down between online and brick and mortar setup. This is good for distributors like Optiemus.

Blackberry launch and Kult launch should add money to balance sheet.
Hope all these add up to sales and profit which is coming down from quite many quarters.

Specification of new mobile (earlier Zen Mobile) Kult Beyond is too good. If that works well without any major bug then Optiemus Infracom can see good days ahead.

Still invested heavily.

Kult Beyond was used as a learning event, I think. Optiemus has launched new mobile Kult Gladiator which is doing good till date. Amazon’s rating is 3.7 out of 100 reviews. Though, Kult Beyond also started good on rating. Later it reached to 3.2 which is a average rating.

Today, Optiemus infraocm share after touching 52 w low from few days, giving 20% gain. It is not a closing price. It is that correction is over! Its tough going on distribution front is over! Profit is going down from sometime. Can it be a brand public can recall as mobile manufacturer!

Optiemus Electronics Ltd is a JV of Optiemus Group and Wistron Corporation, Taiwan.
Just want to share new website of this company called Optiemus Electronics Ltd came out of this JV.
http://optiemuselectronics.com/index1.html

Sometime back I was thinking of delisting because there was big price surge in this stock which has not earned money for its shareholders. Before price surge, it was hitting 52w low many days.
Now, news previous month came that two bigger subsidiaries are merging with it.
Those two are far bigger than standalone group company.
Impact of Blackberry and its own brand Kult sale is still not clear.
Kult brand is not doing great according to me as its rating is just three out of five or lower. But it has launched three smarphone mobile in budget category in quick time. Battery is a big problem according to complain there. Hope it can address it soon before people completely put the brand in negative list. Already, latest mobile Kult Ambition got lower ranking than previous mobiles.

Price wise it is doing very good.

Here company announced amalgamation of two companies into self.
Because two subsidiaries which will merge with Optiemus Infracom are far bigger than the group standalone revenue and shares will be same in numbers so market is valuating Optiemus Infracom far higher than original company.

Disclosure: Invested.

Hi,
Was invested in this stock at 50/- range but was unable to hold till the bull run. Recently got a report about blackberry stock. Thought of sharing this with you as you are still holding optiemus. A revival of blackberry may help optiemus to a great extend

Optiemus Infracom is at Rs 122. It went to Rs 80 but now resting at rs 122. I think it is a time to load.
Its free float is very less. May be 6%. Checked it few months earlier. Due to this reason, volatility is very high. As biggies private investors don’t trade soon. In this bear market, buyers went absent which caused the price crash. See the volume while it was going down sharply. This risk is there. If any big private investors want to sell then it will depend which market he is selling. In bear Market price can crash as people are not many who are exposed to buying/selling this stock.
If you think this stock is a good stock fundamentally then at this price, risk rewards is favourable.

Invested again recently.

Disc: invested.

is anybody still interested in this stock. As India planning for big push for mobile manufacturing would this company get its share.

  1. They are one of the 5 companies who got approval for PLI scheme for Mobile manufacturing
  2. They already have partnership with Wistron Corp and prior experience of manufacturing for the likes of Blackberry, HTC etc
  3. They are also going to invest 300cr for component manufacturing like glass and mechanical elements.

Does anyone think this stock is worth looking into. There is hardly any news about this company or any announcement from their side.

Disclosure: Holding a few share for tracking.

1 Like

I was once tracking this company. But, in no way, I could understand the technology it own. I made lots of money when the news of blackberry came and I could stick to the stock.
But, this company cannot even excel in mobile accessories. Blackberry project and its own Mobile launch project at that time have flopped.
If I can understand what it can really produce other than assembling parts then that can help.
Promoter holdings consistency is the only good point here.

Don’t own.

3 Likes

Your doubt on capability is totally valid. That is the only reason I am not invested much. But there is a flip side also, Blackberry, HTC, LG all these companies didn’t click in the Indian Market so as a result Optiemus also got hammered. But I am hoping for a turnaround as they are one of the 5 winners of PLI scheme under domestic mobile manufacturing. Since they have won the licence I am guessing Government must have seen some merit because Dixon’s second licence was not passed through.

Recently they bought back 20% stake in JV with Wistron corp and sold a Land holding for 285cr approx to invest in new factory. Again I have a hunch that they won’t go and spend until and unless they have some kind of deal with some brands.

There are other positives also but all these won’t matter until and unless they sign their first brand. That’s why I am tracking this stock. Waiting for a strong turnaround sign.

2 Likes

Is the any commentary by management of the company about sale of land
Where did you get this information?

They have taken approval from the board. You can find document on NSE website

Anyone can help provide understanding of how to interpret the results for this quarter and whether they have got any new orders for their new facility?

Huge positive for the company.

1 Like

38000 crore revenue pipeline in 5 years. Current market cap of just 1700 crore. I am expecting this stock to atleast double in the near term. Does anyone have any red flags on this stock?

Disclosure - Invested

The tie up with Wistron seems very promising and having a very ambitious target of 38k Cr. over 5 years. However, the company product line doesn’t seems very attractive to me. I haven’t heard about brands like Zen / Kult.

Is there any visibility on what brands they going to produce under the partnership ?

The issue I had was mainly to do with the management and how they did not adapt after blackberry went bust despite having the capacity to do so. But now with the old Wistron India head coming in I think that problem has been solved to some extent. They have sold some of their land and cleared debt which was a big positive as well and they are now fully focused on manufacturing which is always a positive. I think next generation (in terms of promoter) coming into the business will also be great. To answer @Ragav1024 they also have a tie up with Oneplus which is a growing brand. Also, Wistron has tie ups with many other brands internationally and I think the iPhones that were being made in India was also by Wistron India itself. Also recently they announced a partnership with Noise to make smart wearables and headphones. They are also going to venture into manufatcuring of laptops and tablets and EV components according the press release. Execution is the main criteria to judge them now. If the execution is there, then the stock will surely reflect it (already started). To put this in perspective, at 38k crore, the average per year revenue comes out to 7.6k crore. Dixon trades at 3x sales. Even if it gets 2x sales that is 15.2k crore which is approx 6x from current price.

Disc- Holding from lower levels and looking to add on dips

4 Likes