Sunday, July 12, 2020

Firstsource Solutions Ltd – A Healthcare, Banking and Financial & Mortgage segment adding value

Firstsource Solutions Ltd  closes   at 43.40  with  a  Gain   of   + 7.40    on    10-July- 2020   with formation of  a  Long Green  Candle    on Daily  Price Chart.
About the Company : Firstsource Solutions is engaged in the business of providing customer management services like contact center, transaction processing and debt collection services including revenue cycle management in the healthcare industry
The Company  has posted Net Sales / Revenue   of 4098.60  & Net Profit  of 339.70 Cr in FY2020 and expected to post Net Sales / Revenue   of 4217.60 Cr & Net Profit of 334.40 Cr in FY2021 and Net Sales / Revenue   of 4708.20  Cr & Net Profit of 392.60 Cr in FY2022 .
Valuations  :  The Company is now Trading at X 0.70   of its  valuations ( last 4Quaters earnings considered here). It is now Trading at X0.5 of its FY 2020, which is now almost  ~50%  Discount  to its value and  X 0.53  of its FY 2021 earning with a Discount   of ~47%   and X 0.45 of its FY 2022  earning with a Discount  of ~ 65% .
Why In News : RJ has increased stake & HDFC MF has entered in recent past days.
Strengths :  1. Company is having Debt of ₹845.50 Cr in Books (2020), which will be reduceded to ₹ 825.50 Cr in 2021 & ₹805.50 in Fy 2022.
2. Cash Flow from Operations ( CFO ) which is ₹410.40 cr in FY2020, will improve to ₹547.7 Cr in FY2021 and ₹664.00Cr in FY 2022.
The Fare Value of Equity Per Share is 82.42 for FY2021 and 96.70 for FY2022.
Disclaimer : We are / may going to take exposure shortly.
Join Us at   Telegram #   https://t.me/TheNiftyNext
Data Source | NSE Website | Screener.In  | Capital Line | Money Control |
The author tracks economic, behavioural and corporate tends, hoping to gauge good avenues of return based on Fundamental Valuations of Stocks, a follower of EPV method. You can reach me/us at | Twitter # NiftyNext1 |  e-Mail : Mail@NiftyNext.Com  |  Tel +91 8802230836  |  Telegram # TheNiftyNext   |


Rossari Biotech Ltd : IPO & Valuations

Issue Open: July 13 – July 15, 2020
Price Band: Rs. 423 – 425
Issue Size: 11,676,471 eq shares
Rossari Biotech Ltd is one of the leading specialty chemicals manufacturing companies in India based on sales for Fiscal 2019 providing customized solutions to specific industrial and production requirements of its customers primarily in the FMCG, apparel, poultry and animal feed industries through its diversified product portfolio comprising home, personal care and performance chemicals; textile specialty chemicals; and animal health and nutrition products. RBL operates in India as well as in 17 foreign countries including Vietnam, Bangladesh and Mauritius. It is the largest manufacturer of textile specialty chemicals in India providing textile specialty chemicals in a sustainable, eco-friendly yet competitive manner. As a manufacturer of specialty chemicals, it focuses on functionality and application of its products which form a key ingredient to its customer’s manufacturing and industrial processes. It has focused on providing customised solutions to its customers in a cost and time efficient manner. RBL’s success is the result of sustained efforts over the decades in every aspect of its business, such as product innovation, process improvements for its customer’s production cycle, agile customised solutions, its sustainable ecofriendly portfolio of products and increased scale of operations. RBL’s business operations have been led by its Promoters and assisted by its experienced Key Managerial Personnel who have over 80 years of experience in the specialty chemicals industry cumulatively. RBL’s business is organized in three main product categories – (i) home, personal care and performance chemicals; (ii) textile specialty chemicals; and (iii) animal health and nutrition products. As on May 31, 2020, it had a range of 2,030 different products sold across the three product categories.

Financials : The Company  has posted Net Sales / Revenue   of 600.09 Cr & Net Profit of 65.25 Cr in FY2020 and Net Sales / Revenue   of 516.22 Cr & Net Profit of 45.68 Cr in FY2019  and Net Sales / Revenue   of 299.06 Cr & Net Profit of 25.40  Cr in FY2018 .
Capital work in progress is 21.75 Cr in FY2020 compare to 2.83 Cr in FY 2019. EPS is 17.86 (FY 2020) & 20.8 (FY2019)
Valuations : We have Valued the Company ( Per Share ) based on earnings reported in FY 2020, which is valued at X1.44 of its Earnings at its highest offer price ₹₹ 425. Its Fare Value per Share is 295 based on FY 2020 earnings(We follow Earning Power Value Method )

Disclaimer : We are / may going to take exposure shortly.
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Data Source | NSE Website | Screener.In  | Capital Line | RHP |
The author tracks economic, behavioural and corporate tends, hoping to gauge good avenues of return based on Fundamental Valuations of Stocks, a follower of EPV method. You can reach me/us at | Twitter # NiftyNext1 |  e-Mail : Mail@NiftyNext.Com  |  Tel +91 8802230836  |  Telegram # TheNiftyNext   |


Tuesday, July 7, 2020

AXISCADES Engineering Technologies Ltd – A Multiplyer


AXISCADES Engineering Technologies Ltd closes   at 61.95  with  a  Gain   of   + 5.00    on    06-July- 2020   with formation of  a  Long Red  Candle on Daily  Price Chart.

About the Company : AXISCADES Engineering Technologies operates in the business of Engineering Design Services.
The Company  has posted Net Sales / Revenue   of 672.90 & Net Profit  of 30.30 Cr in FY2020 and expected to post Net Sales / Revenue   of 731.70 Cr & Net Profit of 31.90  Cr in FY2021 and Net Sales / Revenue   of 805.10 Cr & Net Profit of 39.30Cr in FY2022 .
Valuations  :  The Company is now Trading at X 0.50  of its Value. We have valued the company with its  expected Financial Year 2020 earnings  , which is now almost  ~50%  Discount  to its value and  X 0.43   of its FY 2021 earning with a Discount   of ~57%   and X 0.35 of its FY 2022  earning with a Discount  of ~ 65% .
Strengths : 1. Cash Generated from Operations: 1.75x growth to INR 649 Mn vs 371Mn.
2.The company bagged 2 multiyear, multi-million contracts. The company bagged 2 multiyear, multi-million contracts.
1.        Expanded relationship with prestigious European systems OEM to USD 10 Mn.
2.     Added 9 new customers during the year mostly in heavy engineering and in automotive domain. Some of the customers have the potential to translate into USD 1 Mn+ accounts in the near future.

The Fare Value of Equity Per Share is 144 for FY2021 and 176 for FY2022.
Disclaimer : We are / may going to take exposure shortly.
Join Us at   Telegram #   https://t.me/TheNiftyNext
Data Source | NSE Website | Screener.In  | Capital Line | Money Control |
The author tracks economic, behavioural and corporate tends, hoping to gauge good avenues of return based on Fundamental Valuations of Stocks, a follower of EPV method. You can reach me/us at | Twitter # NiftyNext1 |  e-Mail : Mail@NiftyNext.Com  |  Tel +91 8802230836  |  Telegram # TheNiftyNext   |


Sunday, July 5, 2020

Muthoot Capital Services Ltd – Ride the wave of Pre-owned car demand in times of Covid-19


Muthoot Capital Services Ltd closes   at 405.30 with  a  Gain   of   + 4.70    on    03-July- 2020   with formation of  a  Green  Candle    on Daily  Price Chart.
About the Company : Muthoot Capital Services is a Systemically Important Deposit Accepting Non-Banking Financial Company (NBFC) primarily engaged in the business of financing for purchase of automobiles, mainly two wheelers against hypothecation of the vehicles and granting of personal/business loans etc.The Company  has posted Net Sales / Revenue   of 194.90 Cr & Net Profit  of 26.70 Cr in FY2020 and expected to post Net Sales / Revenue   of 185.20 Cr & Net Profit of 22.60  Cr in FY2021 and Net Sales / Revenue   of 218.50 Cr & Net Profit of 33.30 Cr in FY2022 .
Valuations  :  The Company is now Trading at X 0.60   of its Value. We have valued the company with its  expected Financial Year 2020 earnings  , which is now almost  ~40%  Discount  to its value .
The Company has total assets of 2587.20 Cr  and Net Debt of 1905.40 Cr in its books as on 31.03.2020. Return on Equity (RoE) is 12.3%( declined from 18.90% of FY2019); RoA is 2.34%; EPS is 36.8.
Why it is in Focus: The sale of used car has increased to 5Mn units  in 2020 from 3.5 mn in 2014.
“ A study by second-hand car dealer Cars24 showed 22.5 per cent of the consumers, who were planning on buying a new car last year, would prefer used cars now due to limited budget.” ( Media Report )
The Fare Value of Equity Per Share is 802 for FY2021 and 1023 for FY2022 ( based on 10% expected growth )
Disclaimer : We are / may going to take exposure shortly.
Join Us at   Telegram #   https://t.me/TheNiftyNext
Data Source | NSE Website | Screener.In  | Capital Line | Money Control |
The author tracks economic, behavioural and corporate tends, hoping to gauge good avenues of return based on Fundamental Valuations of Stocks, a follower of EPV method. You can reach me/us at | Twitter # NiftyNext1 |  e-Mail : Mail@NiftyNext.Com  |  Tel +91 8802230836  |  Telegram # TheNiftyNext   |


Control Print Ltd - Benefits from capex


Control Print Ltd   closes   at 199.50 with  a  Gain   of   + 3.80    on    03-July- 2020   with formation of  a  Green  Candle    on Daily  Price Chart.
About the Company : Control Print Ltd is engaged in manufacturing and supplying of Coding & Marking Machines and its related consumables. It has country wide service network to cater its customers.
The Company  has posted Net Sales / Revenue   of 194.90 Cr & Net Profit  of 26.70 Cr in FY2020 and expected to post Net Sales / Revenue   of 185.20 Cr & Net Profit of 22.60  Cr in FY2021 and Net Sales / Revenue   of 218.50 Cr & Net Profit of 33.30 Cr in FY2022 .
Valuations  :  The Company is now Trading at X 0.70   of its Value. We have valued the company with its  expected Financial Year 2020 earnings  , which is now almost  ~30%  Discount  to its value and  X 0.85   of its FY 2021 earning with a Discount   of ~15%   and X 0.57 of its FY 2022  earning with a Discount  of ~ 43% .
Net Cash Position , which is 18.90 Cr in FY 2020, will improve to 45.50 Cr in FY 2021 and further 48.50 Cr in FY 2022.
Why it is in Focus : 1. Past years Capex will help to improve Cash Flow.
                   2.Anti-Chinese wave will affect Oligopolistic market , where it a important player.
The Fare Value of Equity Per Share is 236 for FY2021 and 348 for FY2022 .
Disclaimer : We are / may going to take exposure shortly.
Join Us at   Telegram #   https://t.me/TheNiftyNext
Data Source | NSE Website | Screener.In  | Capital Line | Money Control |
The author tracks economic, behavioural and corporate tends, hoping to gauge good avenues of return based on Fundamental Valuations of Stocks, a follower of EPV method. You can reach me/us at | Twitter # NiftyNext1 |  e-Mail : Mail@NiftyNext.Com  |  Tel +91 8802230836  |  Telegram # TheNiftyNext   |


Saturday, July 4, 2020

GE T&D India Ltd - Import Bans from China will Improve its Financials


GE T&D India Ltd  closes   at 80.75 with  a  Gain   of   + 4.90 %   on    03-July- 2020   with formation of  a  Upper Red  Candle    on Daily  Price Chart.
About the Company : GE T&D India is in the business of building power transmission and distribution infrastructure. It has a portfolio of products, solutions and services, comprising the entire range of transmission equipment up to Extra and Ultra High Voltages (765 kV and beyond), including air-insulated switchgear (AIS) and locally manufactured power transformers and gas-insulated switchgear (GIS). It also provides power electronics solutions and offers advanced power management Smart Grid solutions for transmission and distribution including renewable energies integration.
The Company  has posted Net Sales / Revenue   of 3158.70 Cr & Net Loss of - 302.60 Cr in FY2020 and expected to post Net Sales / Revenue   of 3104.80Cr & Net Profit of 7.50Cr in FY2021 and Net Sales / Revenue   of 3719.40 Cr & Net Profit of 83.00 Cr in FY2022 .
Valuations  : The Company is now Trading at  Deep Discount to its Fair Value ( We valued Cos based on Net Profit Generated . Here the cos has posted loses) . Its Fair Value is 202.00
Net Cash From Operations , which is -259.60 Cr in FY 2020, will improve to 276.80 Cr in FY 2021 and further 333.60 Cr in FY 2022.
Why it is in Focus : 1. Company currently has order book of Rs59bn providing revenue visibility for next 2 years. Of the total OB 40% comes from private, 30-35% SEB’s and 25% from central utility/PSU/exports. None of the orders currently have got cancelled but there has been delay in decision making process for projects.
2. Govt bans power gear imports from China amid border stand-off ( Media Report )

Disclaimer : We are / may going to take exposure shortly.
Join Us at   Telegram #   https://t.me/TheNiftyNext
Data Source | NSE Website | Screener.In  | Capital Line | Money Control |
The author tracks economic, behavioural and corporate tends, hoping to gauge good avenues of return based on Fundamental Valuations of Stocks, a follower of EPV method. You can reach me/us at | Twitter # NiftyNext1 |  e-Mail : Mail@NiftyNext.Com  |  Tel +91 8802230836  |  Telegram # TheNiftyNext   |


Wednesday, July 1, 2020

The Anup Engineering Ltd : Deep Value Stock


The Anup Engineering Ltd : Recently HDFC Mutual Fund has bought share of this Engineering Company.
This cos. is now Trading at X0.70 of its last 4 Quarters earnings ie. it is now available at~30% Discount to its Value.
isclaimer : We are / may going to take exposure shortly.
Join Us at   Telegram #   https://t.me/TheNiftyNext
Data Source NSE Website | Screener.In  | Capital Line Money Control |
The author tracks economic, behavioural and corporate tends, hoping to gauge good avenues of return based on Fundamental Valuations of Stocks, a follower of EPV method. You can reach me/us at | Twitter # NiftyNext1 |  e-Mail : Mail@NiftyNext.Com  |  Tel +91 8802230836  |  Telegram # TheNiftyNext   |

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