Venkys operates in the poultry business and has a presence in Maharashtra, Utter Pradesh, Haryana, Punjab, Himachal Pradesh, Rajasthan, Jammu, and Kashmir, Madhya Pradesh, Uttarakhand, Bihar, and Gujarat. Promoter stake 55.38%, Public stake 37.41%, and institutions stake 7.21%.
It operates in three segments which contribute to its revenue as follows as per Q3 of 2021-22
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Poultry and Poultry Products (SPF, processed food, commercial chick sales, broiler chick sales, and grown-up broiler birds) - 36.99%
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Animal Health Products - 7.09%
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Oilseed - 58.77%
Poultry and Poultry products profitability has taken a major beating in Q3 of 2021-22 Vs Q2 of 2021-22 and previous years due to a steep rise in soya seed prices. Its management at the end of Q3 of 2020-21 held its first-ever investor conference call where they indicated good days and years ahead for Venkys. Link - https://www.bseindia.com/xml-data/corpfiling/AttachHis/82263532-9691-4385-a8c2-2bf9d292d2e8.pdf
Given the food habits in India and especially amongst the youth, I feel it can be a good investment with headwinds. It’s a commodity play, and Q3 is to be more profitable giving direction to its stock price.
I have attached my study on the stock which is based on past data and sentiment analysis for the community interaction and dialogue!!
VENKYs.xlsx (168.6 KB)