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Largest Unicorns
Life cycle of technological revolution
IPO recent trends across world and DTC Winc’s IPO
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BNPL and HOLIDAYS
What to do in Current Stock Market in Oct2021: Sell out, buy more or hold or Reorganize ?
Also read : Invest in Stock market IF
We can broadly classify investors today in three kinds only
- Who have made lot of money in last 1 year or so and kept on riding and still want to ride further
- Who are sitting on sidelines and thinking to jump or have jumped in last few months
- Those who wanted to exit now looking at various indicators
Most of the investors I talk are fearful of immediate correction in market, though they have not exited the market yet to cash positions. Some of them are confident after making money in last one year. Even the so called new breed of investors are also 1 year old in markets and calling themselves experienced now who have seen volatilities, and buying every dip. Time will tell who will be the Last Standing Man
So as you are reading this article, did you notice where do you belong? If you feel you are outside the purview of these three kinds, you have two choices. 1. Align to one of the view 2. Send me with your classification!
Congratulations, if you are able to see yourself amongst one of the three kinds mentioned above
Question still remains same for everyone : What to do now? Should we buy, sell or keep holding? What’s next : Is it bull market or is crash near?
Let’s read further to understand more about it and see what strategies people can adopt
Case 1. Sell out 100% and wait to re-enter at lower levels
This strategy is for people who
- Are facing Liquidity challenges
- Can’t sleep properly due to fear of crash in markets
- Borrowed money to invest
- Goals are near ( within 1-2 years)
OR
You are able to foresee with your experience drastic correction coming. It may be due to Evergrande default or US debt or may be some other reason
Advantage with these strategy is you may not lose capital if market goes down and may get a chance to re-enter at lower levels. Problem with this strategy is it is impossible for anyone to predict whether market has topped out or not. Will Market go further up and can give you a bigger chance to cash out? Will market come down and give you a chance to enter at lower levels. Nobody knows. Get away from people if they claim to know.
It is always better to cash out if our goals are near or we have debt to pay because when correction happens, it will not give you a chance to exit at your desired levels
This strategy although seems good but it can be painful as markets may remain irrational longer than you remaining rational and you might keep on getting the itch to enter again.
So be careful of this approach and you have to be sure when you should re-enter.
Case 2 Go opposite and buy more
I will strongly advised against this
Problem with this strategy is most of us will be invested in 40-50 stocks on tips from random sources and keeping most of the stocks which are in loss. So if market correction happens, we will not be having enough money to average down all stocks.
In case, you have idle money and have a itch to invest at these levels, in such cases adopt a simple strategy
- Keep buying same quality stocks based on quarterly results or in sip mode
- Plan your investment in a staggered manner instead of putting money in single go
- Invest the money which you don’t need for next 5 years
Correct portfolio allocation and conviction in the chosen stocks is a must for investing at these levels.
Case 3- Hold and reorganise your portfolio
This strategy is for people
- Who have long term views on equity
- Who have money available to invest right now
- Who do not need to sell out as no immediate money requirement
- Who understand their stocks and sitting on good cushion of profit in last one year and can handle 30% downside
- Who will not panic when market falls down and quality watchlist is ready to buy in such an event
Under this strategy, adopt the simple course of action
- Reduce number of stocks to a level which you can track easily. (20 stocks in a portfolio is considered reasonable for an average investor to track)
- Reduce the stocks positions partially or completely which you have bought on tips and not working or in loss. Getting out with a small loss is good at these levels to rearrange your portfolio
- Moving some part to cash from positional stocks. May be keeping cash close to 30-40%
- Buy stocks from upcoming niche sectors
- Buy more of convincing stocks with long term horizon of 3-5 yrs.
- Increase the positions in stocks which are showing a promising future and management is walking the talk
Case 4- Sell Partially
This strategy is for people
- Who are ready to leave last 10-20% gains on table
- Who are ready to have patience for their cash deployment
- They do not feel zealous when other people make money and they themselves stay in cash
- Under this the simple course of action is
- Sell partially up to 10-25% and sit on cash, may or may not get a chance to deploy cash soon and wait can get longer
- Rest 75% to 90% should remain invested, so if markets runs up, they are still in the market
What I am doing in this market? My answer is Case 3 ( changed from Case 4 earlier this year)
- I have booked out of most positional stocks apart from few holding with my closed group of people. Last few months, i have moved to already 35-40% cash but at same time reshuffled that cash to strengthen my existing positions or build new positions aligning to next few months
- I am holding stocks which have good story building up and adding more on each quarterly result. I do expect strong quarterly results of my investment holdings
- Any new stock which looks promising to me, I am adding as positional and converting to investment as my conviction increases
- I am not averaging down any stock as of now
So that effectively means
I am putting money into the market from so many booked positions in last few months and adding new positions
I am selling my existing less convincing or loss making positions
I am not waiting for correction in market as i have sufficient liquidity available
I am re-organizing my portfolio for next cycle of market
I am happy to ride with my invested convincing positions
Overall, what I learnt from markets in my journey is very simple and easy to follow :
You can’t be 100% invested in market
You can’t be 100% sold out from market.
Will correction happen–Few events like US Debt, Tapering of interest rates, China India talks failure, China Power crisis, India Power crisis can dampen the spirit much faster than anticipated. So yes, quite a few things are bad, China power crisis is biggest of them. Any correction will be fast and furious. Be ready to see 30-40% erosion of capital seen on Screen today.
Are things all bad — On other hand there is good results anticipated for Q2FY22 both QoQ and YoY in many companies. Bigger population has been been vaccinated either partially or fully so effectively third wave is ruled out for few more weeks. Currently many things looking positive. Be it exports, be it festive demand in many sectors. Nifty has made new highs and can go further up. In short term upside seems limited though if everything falls in place, 21K on Nifty cant be ruled out within 7-9 Months (Jun-Jul2022)
Whatever strategy finally you adopt. don’t be a blind follower
Read more on Blind follower here
Wishing you all the best and lots of luck
In case you have any questions/ queries, please feel free to reach me through Contact Form
Do spread the word among your peers, family members or anyone who can benefit from this blog and asked them to subscribe. But be selfish and take care of yourself first by subscribing before they do.
Enjoy the day and your life. Don’t forget, we are alone in this grand universe and may not get a chance to live again.
Sun Setting on ATM’s
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MSEI: Wicket ready to fall down?
New Energy Vision
TOP UNICORN INVESTORS
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Two Crypto Unicorns of India
Coffee Exports
Nifty Influencers
Mobile vs Card Payments
Pharma exports and ANDA Approvals
Coin Based Laundromats : Long term Trend
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Supply shock may last 2 years as per DP world
Probiotics Bio-catalysis and Animal nutrition
Local vs Overseas brands : who is winning
Charging up : EVs
Essential Cash Flow Tips for Small Business Owners
Guest Blogger : Michael
For more valuable financial resources, check out the Alpha Affairs website!
Cash flow issues sink small businesses every single day. If you’re not on top of your cash flow, future financial problems are inevitable. Learning about common cash flow issues and good financial management practices will ensure you don’t fall victim to the mistakes made by many other small business owners. Below, we share some great tips to help you establish good cash flow practices from day one!
Protect Your Personal Assets
Before concerning yourself with your business finances, make sure your personal financial health is in good standing. Many first-time entrepreneurs don’t think about the fact that their personal assets are at risk in the case of litigation or overdue business debts. Shield yourself from financial hardship by establishing your business as a separate legal entity.
One of the easiest ways to do this is to form an LLC. Besides shielding your personal assets, forming an LLC will also offer tax advantages that can further support your financial health. You can form an LLC online through formation services like ZenBusiness. Just make sure you review the rules and regulations around forming an LLC in your specific state before moving forward!
Speed Up Accounts Receivable
The faster you can get money coming in, the better. Collecting money owed to you by customers and clients will ensure you have the cash you need to pay your bills on time. Thankfully, there are many things you can do to speed up your accounts receivable. Consider asking clients for a deposit before starting work on a project. Invoice your clients as soon as the work is done. And make it as easy as possible for people to send you money by setting up digital payments. If your clients tend to wait a long time before paying their invoices, consider establishing late penalties or early payment discounts to incentivize them to pay faster.
Cut Your Ongoing Expenses
Many small business owners don’t start thinking about making expense cuts until they’re facing tough times. But to keep your cash flow strong, try to be mindful of your spending at all times. Always be on the lookout for ways to reduce your ongoing expenses, whether this means downgrading to a less expensive email service provider or reducing the size of your office and hiring remote employees. When cutting costs, don’t sacrifice the quality of your products or your customer service. As MoneyHighStreet explains, striving for high levels of customer satisfaction and encouraging repeat business is much more affordable than continuously looking for new customers.
Stabilize Cash Flow with a Line of Credit
Cash flow naturally fluctuates throughout the year. As consumer shopping behavior shifts with the seasons, it can be tough to keep up with your spending needs. For example, if you need to purchase extra inventory ahead of the holidays, you may be short on working capital for a while. This is where a line of credit can help you out. A line of credit will allow you to access cash quickly, so you can pay bills or purchase inventory when your cash flow slows down. Unlike traditional loans that require a long and drawn-out application process, lines of credit make money available whenever you need it.
Lines of credit are ideal for established businesses but may not be available for startups. According to ZDNet, most lenders will require that your business has been operating for at least 6 months and earns an annual income of $25,000 or more. You may have to rely on a personal line of credit until your business is established enough to qualify for its own.
Maintaining healthy cash flow is key to the long-term success of your business. Make sure you always have the working capital you need to pay the bills and your business is sure to thrive! Taking steps to cut your costs, speed up your accounts receivable, and stabilize your cash flow will go a long way towards securing your financial future.
Tracking expenses for Profitable Rental Property Business
Guest Blogger : Seth
The Importance of Tracking Expenses for a Profitable Rental Property Business
Alpha Affairs is your source of financial, fitness, and health tips and resources. Subscribe now to live your best life!
Tracking expenses can mean the difference between success and failure for a business. For a company that manages multiple properties, keeping track of finances, managing your profit and loss, and monitoring expenditure can be a full-time job — a job that can be made easier with the use of effective accounting tools.
Why should I track expenses?
A record of expenses needs to be kept by every business, including one that’s focused on investment property. Tracking costs allows you to keep track of spending, which is especially important in larger organizations where multiple employees incur costs. Keeping an eye on your outgoings helps you make better analyses to minimize mistakes made through human error. Collecting data around your earnings and outgoings allows you to oversee your P&L and use the data to identify areas of weakness and potential growth. In addition, the government requires you, by law, to keep paper copies of some expenses for tax purposes.
What records do I need to track?
Fortune Builders estimates there are 14 types of expenses that a property rental business needs to track: property taxes, maintenance, utilities, property management, homeowners insurance, appraisal fees, home inspection, broker fees and tenant screening, marketing, property improvements, accounting fees, vacancy costs, business permits, and closing costs. Even for one property, this is a large number of expenses to monitor — multiply that by 10 or 100, and you can see the importance of sophisticated expense tracking systems.
How can I track my expenses?
A property rental business should focus on organizing expenses by specific categories, ideally by each property and by type of expenditure (i.e., repairs, insurances, etc.). Accounts should be regularly updated with earnings and outgoings for the entire business. Expense tracking can be done traditionally, through paper filing, via spreadsheets such as Excel, or through robust accounting software systems.
Paper tracking
It can be tempting to shun paper filing in place of modern accounting systems. However, paper filing does have some benefits. The IRS requires receipts for business expenses that are more than $75.00. Moreover, it is recommended that small businesses retain receipts for all purchases to track business expenses effectively.
Paper tracking uses a traditional hand filing system to file documents into category folders. Paper filing is tedious, takes up physical space, and doesn’t give you an effective overview of your accounts department without transferring at least some of the data onto a spreadsheet or accounting system
Spreadsheets
For small businesses, the use of a spreadsheet may be enough to keep track of business expenses, and it has the advantage of eliminating some wasteful paper usages. However, spreadsheets for large businesses, or companies with many users, can become unwieldy and are open to human error. For this reason, spreadsheets are suggested for SMEs only.
Online accounting systems
For businesses, both large and small, that want a robust accounting system, QuickBooks Online Advanced is highly endorsed. Quickbooks process invoices, bills, checks, and expenses faster by allowing the user to input all data directly into the system, and it is connected to your bank and Paypal accounts. This complete integration into the financial aspects of your business allows you to see where your money is going by giving you a simple overview and analysis of your data. Quickbooks can be used to oversee a large number of employees, making this an excellent option for large companies. This sophisticated accounting system means your business is fully prepared when tax time rolls around.
Whichever method you choose to track your expenses, with managing rental property, it is imperative that you ensure that detailed accounts are kept and reviewed regularly. Successful businesses keep an eye on cash flow and use the data that they obtain to tweak practices to ensure growth and profit for the future.
Cost of Quality : Dip in Performance of company
Protected: Alpha Learners Class : 26sep21
Paras Defence : High level capability in major segments
Protected: Positional Stocks – 25sep21
Jubilant Ingrevia : on path to be gigantic
Jubilant Ingrevia Ltd (JVL) houses the Specialty Chemicals, Nutrition & Health Solutions, and Life Science Chemicals businesses, which have been demerged from Jubilant Pharmova Ltd (erstwhile Jubilant Life Sciences Ltd)
It has a Strong presence in diverse sectors and its vertically integrated and due to this , it is Globally Lowest cost producers for most products.
Multi Location Manufacturing & Operation Excellence is achieved by company over the years
Leadership team has an average 30 years of industry experience
Company has expertise in 35 technological platforms at large commercial scale and
Company also has an expertise to handle multistep chemistry (up to 13 steps) at large scale.
Three major segments of Speciality chemicals, Nutrition and Health solutions and Life sciences chemicals
As shared from Company presentation 25% of Life sciences chemicals are consumed in house by specialty chemicals segment while for Nutrition and health solutions segment (vitamin B3, 100% in house sourcing done from Speciality chemicals)
Financial Highlights– RoE, RoCE stood at 15%+, EBITDA grew by 53% YoY while revenue from all segments growing well
Growth triggers
Company is planning to invest 900 cr (550 cr,100cr, 250 cr in different segments by FY24) and expecting 2x revenue in ~5 years
Multiple products in different segments are in pipeline to be launched in coming years
There is a strong demand for Acetic Anhydride and there is no new facility addition announcement globally in the recent past. Company’s customers are exploring to shift from high cost to low-cost countries. They are adding another Acetic Anhydride facility to increase capacity by ~35% by investing ₹250cr over next 3 years.
Co is planning to increase focus to leverage its long standing relationship with innovator pharma & agro-chemicals companies to expand its CDMO operation.
Company is also moving up the value chain in most of their product segments
In the process of launching its diketene (highly complex due to high temperature cracking and storage hazards) and its value added derivatives.
Risks
Raw Materials Prices: Key raw material for life sciences biz is acetic acid. Hence, dependent on the prices of Acetic Acid(Very volatile).
Large capex in next few years: he funding of this 900cr capex will largely from internal accruals. But if for some reason this capex is not completed on time or need more debt then it may affect profits in coming years
Exit Strategy
Acetic acid Raw material prices hurting company growth or
Any ban on application of its pyridine and similar substances by other countries can hurt the company growth
In such cases , its better to exit and have a relook on invested amount
Current Market price of 760 Rs, Company looks optically expensive for investment but looking at big picture if it sustains 10.5 eps for next 3 quarters giving 42 eps for FY22 , stock price looks to have decent upside available
Update on Q2FY22 by Company on business outlook
Update on Q3FY22 by Company on business outlook
BELT Competency : Green, Yellow and BLACK
Sensex :Which direction
ALPHA LEARNERS – Mentorship program OCT
With great pleasure and best wishes from all of you, we are delighted to launch
ALPHA Mentorship program
ALPHA LEARNERS
Art and Science of Investing
to make you Independent in stock markets
A PROGRAM TO MAKE YOU LEARN AND EARN
This is a unique live program for approx. 5 months (on weekends) Where one can learn necessary
Fundamental Qualitative concepts to understand the things which create wealth in long run
Fundamental Quantitative concepts to substantiate what we have seen qualitatively
Necessary Technical aspect to make our entry and exit better in stocks
Resources to analyze faster to analyze more companies faster
Big money moves aspect to understand where money is moving
Understand Contrarian, Cyclical, Value and Growth investing
Bucket and GRADE Framework
Business Moats understanding
Exit Strategies in stocks
Reading Balances sheet in simple way to analyze results and issues to make quick exits or to do pyramiding after results
Tricks and Checklist for faster analysis of Annual Reports to help us all understand whether to deep dive or not
Conf-call understanding, Transcripts Concepts and Tricks to understand faster
Concepts and tricks on various intricacies in stock market
Understanding about primary, secondary and derivatives market
Also get a KNOWHOW on
Checklist for stocks to identify red flags faster
Checklist for deep dive into selected stocks
How to build Portfolio for Short term
How to build Portfolio for Long term
How to find Multi bagger stocks
How to avoid pitfalls in market
When to exit stocks
Concept of Futures and options
4 Bonus sessions from experts (apart from Program content)
Mutual Funds
Financial planning
IPO and
a SURPISE session
3 months of teaching and mentoring
Can be extended based on queries, case studies2 months of handholding
To clear doubts, correction of mistakes, independent walking in markets
12 Assignments
Based on actual events happening in markets during the course
Case studies
Based on future growth understanding and pitfalls to avoid
Quizzes
To help you assess yourself whether you are progressing or not during the program
This is a program YOU CAN NOT AFFORD TO MISS
LET THIS INDEPENDENCE MONTH be the start of your journey towards INDEPENDENCE IN STOCK MARKETS
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Number of batches and batch size is very very limited considering live classes
Major part of this initiative will go towards orphan children education and food
Do make use of this opportunity and be part of bigger initiative
Connect with us to help genuine needy children
In case you have any questions/ queries, please feel free to reach me through Contact Form
Do spread the word among your peers, family members or anyone who can benefit from this blog and asked them to subscribe. But be selfish and take care of yourself first by subscribing before they do.
Enjoy the day and your life. Don’t forget, we are alone in this grand universe and may not get a chance to live again.
Paras Defence and Space Technologies IPO : Subscribe or NOT?
The data has been compiled from various sources and might have small difference but overall theme is to subscribe or not — we will focus on that
Paras Defence IPO– Incorporated in 2009, Paras Defence is an Indian private sector company engaged in designing, developing, manufacturing and testing of a wide range of defence and space engineering products and solutions.
Business — It is one of the leading ‘Indigenously Designed Developed and Manufactured’(IDDM) category private sector companies in India, which caters to four major segments of Indian defence sector i.e. defence and space optics, defence electronics, electro-magnetic pulse (“EMP”) protection solution and heavy engineering. It is also the sole Indian supplier of critical imaging components such as large size optics and diffractive gratings for space applications
Region of operation –Company caters to India 83% revenue and have 17% exports revenue
Offer purpose —
Purchase of machinery and equipment’s: It has placed orders for ₹6.7 crore for the purchase of new and upgraded machineries, it is yet to place orders for ₹27.9 crore, Funding incremental working capital requirements of the company and Repayment or prepayment of all or a portion of certain borrowings/ outstanding loan facilities availed by the company
Risks —
High concentration of revenues from Goverment contracts
Cost overruns is common in fixed contracts (may lead to losses)
Technology risks
Various ongoing court cases may lead to penalty
Strength
Wide range of products and solutions offerings for defence and space applications.
One of the few manufacturers of optics for space and defence application in India.
Companies offerings are aligned with the “Atmanirbhar Bharat” and “Make in India” initiatives by the government.
Strong R&D capabilities with a focus on innovation.
Strong customer relationship with government arms and government organizations.
Strong experienced management.
Future
They are currently developing several new products, such as hyper spectral space camera, ARINC-818 based avionic display and naval periscopes,
and multi and hyper spectral cameras for drones and space, Unmanned Aerial Vehicles, cubesats and anti-drone systems. Looking at horizantal integration, prospects look bright if unfolded as looking currently
Valuations
Valuations are pricey
Should we apply?
People with high risk apetite can subscribe for long term only
Add more if it dips below issue price keeping long term horizon mindset
Others can avoid
In case you have any questions/ queries, please feel free to reach me through Contact Form
Do spread the word among your peers, family members or anyone who can benefit from this blog and asked them to subscribe. But be selfish and take care of yourself first by subscribing before they do.
Enjoy the day and your life. Don’t forget, we are alone in this grand universe and may not get a chance to live again.
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Containers : Imbalance growing
Aatmnirbhar version : BEV and Hydrogen fuel cell
Sansera Engineering IPO : Subscribe or NOT?
The data has been compiled from various sources and might have small difference but overall theme is to subscribe or not — we will focus on that
Sansera Engineering IPO-Incorporated in 1981, Sansera manufactures complex and critical precision engineered components and caters across automotive and non-automotive sectors
Business — The company manufactures precision components such as connecting rods, rocker arms, crankshaft assembly and gear shift forks for the automotive industry
Region of operation –Company caters to India 65% revenue and have 35% exports revenue. 12% revenue comes from non automotive segment.
Offer purpose —
The IPO is entirely an offer for sale by the promoters and other strategic investors
Risks —
High concentration of revenues from few clients. Bajaj auto being highest , contributing close to 20% of automotive revenue
Export oriented risks
Faster shift to EV can cause some turbulence
Strength
Strong Operating profit Margin
Pass through arrangements with domestic customers for cost escalations help margins
Long term relationship with most customers
Reducing dependence on ICE vehicles
Experienced management team.
Future
The client profiles and relationship, move towards EV and contracts available presents good future prospects
Valuations
Valuations are matching with peers but look pricey
Should we apply?
People with high risk apetite can subscribe for long term only
Add more if it dips below issue price keeping long term horizon mindset
Others can avoid
In case you have any questions/ queries, please feel free to reach me through Contact Form
Do spread the word among your peers, family members or anyone who can benefit from this blog and asked them to subscribe. But be selfish and take care of yourself first by subscribing before they do.
Enjoy the day and your life. Don’t forget, we are alone in this grand universe and may not get a chance to live again.
Exports Imports : Up and Up
SaaS Innovation : Fixed to Variable
Tinplate makers : Capacity Ramp up
Private Labels : New trend for Food delivery
Silicon Carbide : Next Leap
Aatmnirbhar version : PLI for electrolysers
Optimal Allocation : Cryptocurrencies
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V for VEGAN
Aatmnirbhar Version : MMF and Technical Textiles
8 months : 8 brokers : Penny wise Pound foolish
EV ecosystem
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NaapBooks Limited IPO : Subscribe or NOT?
The data has been compiled from various sources and might have small difference but overall theme is to subscribe or not — we will focus on that
NaapBooks Limited IPO– SME company, Naapbooks is engaged in developing and providing Information Technological solutions to corporates.
Business —
The company develops Fintech App, Cloud Consulting, Blockchain App, Mobile App, Web App, Embedded App products to its clients.
Companies’ services include designing, developing, operating, installing, analysing, designing, maintaining, converting, porting, debugging, coding, and programming software to be used on computers, microprocessor-based devices, or any other such hardware. The company also provides Software Consultancy services.
Offer purpose — The IPO is for Funding the working capital requirements of the company, Funding purchases of equipment and Meet general corporate purposes.
Risks —
SME company and minimum lot size > 1 lac
Very less information available on business and management
Strength
Strict adherence to quality compliance standards.
Big demand for IT and automation in India post covid.
Strong customer relationship and repetitive clients.
Future
The company is showing good growth and profitable.
Valuations
Very small company and hence valuations could not be easily made out
Should we apply?
People with big risk apetite can subscribe for long term only
Others avoid
In case you have any questions/ queries, please feel free to reach me through Contact Form
Do spread the word among your peers, family members or anyone who can benefit from this blog and asked them to subscribe. But be selfish and take care of yourself first by subscribing before they do.
Enjoy the day and your life. Don’t forget, we are alone in this grand universe and may not get a chance to live again.
Protected: Positional Stocks – 04sep21
Aluminium : Supply shortage
FAME-II and Electric Vehicles
Coffee Exports rising
Chip Shortage : Its going downhill
AMI Organics IPO : Subscribe or NOT?
The data has been compiled from various sources and might have small difference but overall theme is to subscribe or not — we will focus on that
Ami Organics IPO-Incorporated in 2004, Ami Organics Limited is one of the leading research and development driven manufacturers of specialty chemicals.
Business — The company manufactures different types of Advanced Pharmaceutical Intermediates and Active Pharmaceutical ingredients (API) for New Chemical Entities, and material for agrochemicals and fine chemicals. The company has developed over 450 pharma intermediates across 17 key therapeutic areas i.e. anti-retroviral, anti-inflammatory, anti-psychotic, anti-cancer, anti-Parkinson, anti-depressant, and anti-coagulant.
Region of operation –Company caters to India and in 25 countries overseas i.e. Europe, USA, China, Israel, Japan, Latin America
Offer purpose — The IPO includes an OFS portion of ₹370 crore and a fresh issue of ₹200 crore. The fresh issue proceeds will be utilised to lower the
debt of ₹140 crore (from a recent acquisition) and shore up stretched working capital requirements of the company (₹90 crore).
Risks —
High concentration of revenues from few clients
Export oriented risks
Strength
Leading global market share for some of intermediaries
Strong R&D, sales and marketing capabilities
Consistent financial performance track record
Long term contracts for most of exports with price escalation clauses
Strong relationship with customers over long ter
Future
The strong growth anticipated for Ami Organics, drawing from its product and client profile and strong pipeline presents a good future prospects
Valuations
Valuations are matching considering peers but look reasonable
Should we apply?
People can subscribe for long term only
Add more if it dips below issue price keeping long term horizon mindset
In case you have any questions/ queries, please feel free to reach me through Contact Form
Do spread the word among your peers, family members or anyone who can benefit from this blog and asked them to subscribe. But be selfish and take care of yourself first by subscribing before they do.
Enjoy the day and your life. Don’t forget, we are alone in this grand universe and may not get a chance to live again.
Tin Manufacturers vs BIS certification
Vijay Diagnostics IPO : Subscribe or NOT?
The data has been compiled from various sources and might have small difference but overall theme is to subscribe or not — we will focus on that
Vijay Diagnostic Center IPO-Established in 1981, Vijaya Diagnostic Centre is one of the fastest-growing diagnostic chains in Southern India
Business — The company offers a one-stop solution for pathology and radiology testing services. The company offers around 740 routine tests, 870 specialized pathology tests, 220 basic tests, and 320 advanced radiology tests. The company also offers a broad spectrum of customized health and wellness packages to its customers.
Region of operation — Company’s operational network consists of 80 diagnostic centers and 11 reference laboratories spread across 13 cities and towns in the states of Telangana, Andhra Pradesh, National Capital Region, and Kolkata. 96.2% of the revenue comes from Hyderabad, the rest of Telangana, and the Andhra Pradesh region.
Offer purpose —
The IPO is entirely an offer for sale to provide partial exit to existing investors, who will be divesting 30 per cent of the stake
while the promoter is divesting 5 per cent.
Risks —
Company is in a highly competitive space
High regional concentration risk
Company not getting any proceeds from IPO for growth
Strength —
Largest and fastest-growing diagnostic chain in Southern India.
Affordable diagnostics service provider with a focus on superior quality.
Strong technical capabilities, cutting-edge diagnostic testing technology and robust IT infrastructure.
High brand recalls driving high individual consumer business.
Future
Company is operating with non-franchise model so growth is based on company reach. Focus is more on quality which bring people back to same place. Although the industry is highly competitive, but regional it has strong presence.
Valuations
Valuations are slightly lower considering peers but look reasonable
If we see growth projections, then valuations are at par or premium only
Should we apply?
We can completely avoid
Wait for lower prices to emerge to invest
In case you have any questions/ queries, please feel free to reach me through Contact Form
Do spread the word among your peers, family members or anyone who can benefit from this blog and asked them to subscribe. But be selfish and take care of yourself first by subscribing before they do.
Enjoy the day and your life. Don’t forget, we are alone in this grand universe and may not get a chance to live again.
Chips continue to be down
Taxable interest on EPF/GPF
AUDIUS : Blockchain protocol on Music
Decade of Energy transition and non ferrous metals
Ola Electric S1 : Battery BOMB
Protected:
Gold Financiers
Protected: Premium Stocks : 28-Aug-21
Protected: Positional Stocks – 28Aug21
Bubble and Burst and Gains
IPO stories : by Size
Going Electric
Innovative Agile Platforms
BLOCKCHAIN @ NASDAQ SPEED
Painful MUDRA : MSME Stress
Protected: Positional Stocks – 22Aug21
Protected: ALPHA LEARNERS : INTRO VIDEO and CLASS
Farm-to-CUP on IOT : Cherise
CHILLI(NG) TIME
Private trains : No Takers, still on paper
Agri Tech Farmkart
ALPHA LEARNERS – Mentorship program
With great pleasure and best wishes from all of you, we are delighted to launch
ALPHA Mentorship program
ALPHA LEARNERS
Art and Science of Investing
to make you Independent in stock markets
A PROGRAM TO MAKE YOU LEARN AND EARN
This is a unique live program for approx. 5 months (on weekends) Where one can learn necessary
Fundamental Qualitative concepts to understand the things which create wealth in long run
Fundamental Quantitative concepts to substantiate what we have seen qualitatively
Necessary Technical aspect to make our entry and exit better in stocks
Resources to analyze faster to analyze more companies faster
Big money moves aspect to understand where money is moving
Understand Contrarian, Cyclical, Value and Growth investing
Bucket and GRADE Framework
Business Moats understanding
Exit Strategies in stocks
Reading Balances sheet in simple way to analyze results and issues to make quick exits or to do pyramiding after results
Tricks and Checklist for faster analysis of Annual Reports to help us all understand whether to deep dive or not
Conf-call understanding, Transcripts Concepts and Tricks to understand faster
Concepts and tricks on various intricacies in stock market
Understanding about primary, secondary and derivatives market
Also get a KNOWHOW on
Checklist for stocks to identify red flags faster
Checklist for deep dive into selected stocks
How to build Portfolio for Short term
How to build Portfolio for Long term
How to find Multi bagger stocks
How to avoid pitfalls in market
When to exit stocks
Concept of Futures and options
4 Bonus sessions from experts (apart from Program content)
Mutual Funds
Financial planning
IPO and
a SURPISE session
3 months of teaching and mentoring
Can be extended based on queries, case studies2 months of handholding
To clear doubts, correction of mistakes, independent walking in markets
12 Assignments
Based on actual events happening in markets during the course
Case studies
Based on future growth understanding and pitfalls to avoid
Quizzes
To help you assess yourself whether you are progressing or not during the program
This is a program YOU CAN NOT AFFORD TO MISS
LET THIS INDEPENDENCE MONTH be the start of your journey towards INDEPENDENCE IN STOCK MARKETS
ACT NOW for your Independence
CONTACT us
AVAIL EARLY BIRD OFFER till 31st Aug 2021
ACT NOW for your Independence
CONTACT us
Number of batches and batch size is very very limited considering live classes
Major part of this initiative will go towards orphan children education and food
Do make use of this opportunity and be part of bigger initiative
Connect with us to help genuine needy children
In case you have any questions/ queries, please feel free to reach me through Contact Form
Do spread the word among your peers, family members or anyone who can benefit from this blog and asked them to subscribe. But be selfish and take care of yourself first by subscribing before they do.
Enjoy the day and your life. Don’t forget, we are alone in this grand universe and may not get a chance to live again.
Rice Exports in trouble
Investing in Global stocks becoming easy
Its a Long road to Profitability
Globally also lot of them on similar path
Protected: Premium Stocks : 14-Aug-21
Protected: Positional Stocks – 14Aug21
New opportunity coming : Trading in global stocks
Aptus Value Housing IPO : Subscribe or NOT?
The data has been compiled from various sources and might have small difference but overall theme is to subscribe or not — we will focus on that
Aptus Value Housing IPO– Incorporated in 2009, Aptus Value Housing is a retail focused housing finance company primarily serving low and middle income self- employed customers in the rural and semi-urban markets of India.
Business — It offers customers home loans for the purchase and self-construction of residential property, home improvement and extension loans, loans against property and business loans. It only offers loans to retail customers and does not provide any loans to builders or for commercial real estate. Its target customers are first time home buyers where the collateral is a self-occupied residential property. It provides loans with a ticket size only below ₹25 lacs
Region of operation –Company caters to 4 states namely Tamilnadu, Andhra pradesh, Telangana, Karnataka
Offer purpose — The IPO is fresh issue of 500 cr and offer for sale by promoter. The issuance of shares is for branch expansion and general corporate purposes. It proposes to utilize the Net Proceeds from the Fresh Issue towards fully augmenting the tier I capital requirements of the company.
Risks —
Limited region of operation can pose regional risks
Loans to low and middle income groups may lead to spike in NPA with COVID-19 3rd wave risk
Strength
Good Financial ratios despite catering to low and middle income groups
One of the largest housing finance companies in South India
Highest return on assets (RoA) of 5.7% among 25% the Peer Set during FY21 and low Loan to value size helps the company further
Backed by sound promoters
Future
With affordable housing on rise in India and emergence of nuclear families present a long runway for company in short to medium term to grow the business and grab the opportunities. Expansion into new markets is also another opportunity
Valuations
Valuations are bit on higher side considering peers but look reasonable due to better finacial metrics
Should we apply?
People can subscribe for listing gains and hold longer with each quarterly review
Exit on listing if getting more than 30-40% gains
Add more if it dips below issue price keeping long term horizon mindset
Also Read
Burger King IPO crisp Summary — Listing with huge gains as shared
CAMS IPO crisp summary — Listed with 20% gains as shared
Happiest Minds IPO crisp summary –Listed with substantial gains as shared
In case you have any questions/ queries, please feel free to reach me through Contact Form
Do spread the word among your peers, family members or anyone who can benefit from this blog and asked them to subscribe. But be selfish and take care of yourself first by subscribing before they do.
Enjoy the day and your life. Don’t forget, we are alone in this grand universe and may not get a chance to live again.
Nuvoco Vistas IPO : Subscribe or NOT?
The data has been compiled from various sources and might have small difference but overall theme is to subscribe or not — we will focus on that
Nuvoco Vistas Corporation IPO-The company was incorporated as ‘Infra Cement India Private Limited’on February 8, 1999. Nuvoco Vistas Corporation Limited (“NVCL”) is the 5 largest cement company in India and the largest cement company in East India in terms of capacity.
Business — NVCL has an extensive portfolio of cement, RMX and modern building materials to cater to the needs of their customers. NVCL distributes their products through the trade segment, which mainly caters to individual home buyers (“Trade Segment”), and the non-trade segment, which is mainly via direct sales to institutional and bulk buyers (“Nontrade Segment”). Their focus is on the Trade Segment, where their distribution channels are a mix of wholesale and retail dealers and a sub-dealer network
Region of operation — NVCL has 11 Cement Plants (8 in East India and 3 in North India). Company’s Cement Plants are in the states of West Bengal, Bihar, Odisha, Chhattisgarh and Jharkhand in East India and Rajasthan and Haryana in North India, while their RMX Plants are located across India
Offer purpose — The IPO is issuance of shares for debt clearance and general corporate purposes.
Risks —
High and intense competition with Peers. Only Marginally ahead in East India in term of market share
High Valuations
Strength
Presence across key consumption markets and strong relationship with channel partners
Backed by Strong Promoter
Extensive sales, distribution network with diversified product portfolio
Plants are in close proximity to key markets and raw materials
Future
NVCL is the fastest growing cement company in terms of capacity addition on percentage terms with installed capacity doubling over the last 5 years post the acquisition of NU Vista. With focus on Infra in Pan India and special focus on East India, company can keep on growing well
Valuations
Valuations are high considering the Financials
Should we apply?
People can can give it total miss or subscribe only for listing gains if any. Sell on listing day.
Better peers are available cheaper in market
Also Read
Burger King IPO crisp Summary — Listing with huge gains as shared
CAMS IPO crisp summary — Listed with 20% gains as shared
Happiest Minds IPO crisp summary –Listed with substantial gains as shared
In case you have any questions/ queries, please feel free to reach me through Contact Form
Do spread the word among your peers, family members or anyone who can benefit from this blog and asked them to subscribe. But be selfish and take care of yourself first by subscribing before they do.
Enjoy the day and your life. Don’t forget, we are alone in this grand universe and may not get a chance to live again.
Hydrogen Fuel cell : Railways
Car Trade Tech IPO : Subscribe or NOT?
The data has been compiled from various sources and might have small difference but overall theme is to subscribe or not — we will focus on that
Car Trade IPO-Cartrade Tech Limited (“Cartrade”) was incorporated on April 28, 2000. Cartrade is a multi-channel auto platform with coverage and presenceacross vehicle types and value-added services.
Business –Cartrade Tech Limited (“Cartrade”) is a multi-channel auto platform with coverage and presence across vehicle types and value-added services. Their platforms operate under several brands: CarWale, CarTrade, Shriram Automall, BikeWale, CarTrade Exchange, Adroit Auto and AutoBiz. Through these platforms, they enable new and used automobile customers, vehicle dealerships, vehicle OEMs and other businesses to buy and sell their vehicles in a simple and efficient manner.
Revenue streams — Commissions and fees, advertising, lead generation for OEM, inspection related charges
Risks —
High and intense competition in industry
High valuations
Industry still in nascent stage so continuous threat of new entrants will be there
Strength
Leading marketplace for automotive sales with an effective ecosystem
Technology platform oriented business
Network effects can make it a commanding marketplace
Profitable and scalable business model
Future
The company is well positioned to benefit from used vehicle industry growth as well as digital ecosystem. With Network effects coming into place with time, and selective acquisitions it can grow big
Valuations
Valuations are high
Should we apply?
We can avoid subscribing or apply for listing gains and exit
Wait for correction to enter for long term
Also Read
Burger King IPO crisp Summary — Listing with huge gains as shared
CAMS IPO crisp summary — Listed with 20% gains as shared
Happiest Minds IPO crisp summary –Listed with substantial gains as shared
In case you have any questions/ queries, please feel free to reach me through Contact Form
Do spread the word among your peers, family members or anyone who can benefit from this blog and asked them to subscribe. But be selfish and take care of yourself first by subscribing before they do.
Enjoy the day and your life. Don’t forget, we are alone in this grand universe and may not get a chance to live again.
ALPHA AFFAIRS 