Yup, I didn’t exactly refer that they are a holding company, but they act like one or more of a stock trading company.
Now ask this to yourself, you are investing in them because of their core business or because the management prefers to invest the cash flows in the stocks of other companies rather than focusing on growing their core business which is seeing tailwinds currently? What would happen during bear market, or when the business starts seeing headwinds, or both of these things at the same time?
I am closely tracking Maiden Forgings. They seem to have a plan in place, especially for exports and value-added products to expand the margins. However, their sales growth has been lackluster and recent half year results were not encouraging either (flattish sales, EBITDA and PAT).
Given the scale of operations, it might take some time to break into new customers and geography, but if they succeed with their plans, it could be a real good business. Execution needs to be monitored here like a hawk.
Discl: not invested yet but certainly interested, tracking.
Not much information available in the annual report they just have listed the products/services they offer with the client location.
The financials look strong but lack of info from the managment side
Pls do let us all knwo if u can gather some insights about company and its currect product building updates
I went through some interview videos of the company Directors (on YouTube), but that was not convincing. Now I found the Earnings Call video but yet to go through it
I couldnt agree with you more, this is what I often think these days, is it sustainable? doesnt surprise me if some one shares a story of small cap that has run up 3-4 times in last 1 year, with some improvement in fundamental outlook, I dont think I am qualified to say the valuations are not justified, but in general there is lot of optimism. To be specific some tier 2, tier 3 auto supplier have valuations 3-4 times higher than historical avg…
Poly Medicure and HSIL have similar businesses but their operating margin has different. Reason don’t know. It needs to study but Poly Medicure has a 25% Operating margin while HSIL has a 10%. There is no such huge data in HSIL for the study. It’s a risky bet
Could be on account of comparatively lower turnover base and competive price offering than polymedicure being premium supplier. it should improve gradually in coming years in line with sales rise.
Pharma/API segment
Niche segment
Iodine derivative and related product…200+ products…7+ API
Product used in most of industries including…pharma, chemical, cosmetics, agrochemical, electronics, rubber, dairy food product, oil & gas, medical, renewable energy…lots more.
Global presence 15 + country
Market cap ~340 Cr
Zero Debt
OPM ~14%
Topline/bottomline maintained
Healthy cash reserve
high promotor holding
Zero FII/DII
Suggestion and feedback required.
Disc…Initial entry n planning to increase holding.
I am now studying about Adeshwar Meditex. They are company which does marketing and trading of medical disposables like surgical dressings, first aid kits, etc. Recently the promoter has changed. The new promoter has decades of experience in the medical field and has been a minority shareholder in the company since 2017. His son has been the CFO for some time. Together they own upwards of 50% of the company already. If the open offer succeeds fully they will own roughly 86% of the company along with their PACs.
There are a couple of questions that I still have though.
The current promoter sold her stake at 6.5 rupees per share which is lower than the current market price
The new promoters haven’t disclosed any plans on what they plan to do with the business. All they have written in the open offer document is that they plan to continue with the same line of business.
So I am still not decided whether I want to invest in the business or not. I will update when my thinking evolves.
