ITL Industries Ltd : Hurry to catch-up the fair value

ITL Industries Ltd closes   at ₹122.75 with  a  Gain   of  +2.20%   on    05-March-2021  with formation of  a  Green Candle    on Daily  Price Chart.

About the Company : ITL Industries Limited is an India-based company, which is engaged in manufacturing of band saw machines, computerized numerical control (CNC) tube mills, and machine tools and sale/purchase of hydraulic items, among others. The principal business activities of the Company include machine manufacturing, and trading of cutting tools and hydraulics, among others. The Company's segments include machine manufacturing and trading activities. The Company's product portfolio includes High Speed Metal Cutting Band Saw Machine; Automatic Metal Cutting Band Saw Machine; High Speed Vertical Band Saw Machine; High Speed Circular Sawing Machines; Tube Mill; ON-Line Fly Cutt Off; Band Saw Blades; Mitre Cutting Band Saw Machine; Special Purpose Horizontal Bandsaw Metal Sawing Machines; Condensor Vessel/Heat Exchanger End Cutting Machine, and Aluminum Billet Cutting Bandsaw Machine for Extrusion Industry.

Sector Update : The tiles sector will see momentum in the near term with revival of the Industrial & Auto sector.

Strength : Gradual recovery in the domestic in the construction, auto & industrial sector will act as catalyst for this company in Mid-Long term.

Financials : The Company has posted Net Sales of ₹ 79.00Cr and Net Profit of ₹4.00Cr with Net Profit Margin of5% in FY2020 and Net Sales of ₹76.00Cr with Net Profit of ₹3.00Cr with 4% of Net Profit margin.

Valuations  : The Company is now Trading at X 0.90  of its  valuations ( last 4Quaters earnings considered here) with ~10% Discount  and at X0.84 of its FY 2021, which is now almost  ~16%  Discount  to its value and  X 0.80 of its FY 2022 earning with a Discount  of ~20% and X0.75 of its FY2023 earning with ~25%  Discount to its valuations.

Margin of Safety (1Yr Bond Yield: Value>1 ) is now 0.7, which  makes it attractive. The Best Price at X1 EPV to Past Reference(5Yrs) is ₹123 & Equity Value Per Share ( Enterprise Value Method ) is  ₹117.80 .

Disclaimer : We are / may going to take exposure shortly.

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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   |

 

Easy Trip Planners Ltd. IPO & Its Valuations.

Easy Trip Planners Ltd. (ETPL) is ranked 2nd among the Key Online Travel Agencies (OTA) in India in terms of booking volume in 9MFY21 and 3rd among the Key Online Travel Agencies in India in terms of gross booking. ETPL is well known for its online tour web portal EaseMyTrip.com. and EaseMyTrip.in. ETPL offers a comprehensive range of travel-related products and services for end-to-end travel solutions. Company’s products and services are organized primarily in the following segments: (i) airline tickets, which consists of the sale of airline tickets as well as airline tickets sold as part of the holiday packages; (ii) hotels and holiday packages, which consists of standalone sales of hotel rooms as well as travel packages; and (iii) other services, which consists of rail tickets, bus tickets, taxi rentals and ancillary value added services such as travel insurance, visa processing and tickets for activities and attractions

Here are some quick details about this offer:

Issue period: March 08, 2021 to March 10, 2021

IPO Size: Rs. 510.0 Crore

Price band: Rs. 186 to Rs. 187

Bid lot: 80 Equity Shares and in multiples thereof.

Retail Category: Not less than 35% of the net offer

Easy Trip Planners Ltd has Net Sales / Revenue   of ₹ 100.11Cr & Net Profit of ₹6.60Cr in FY2018 ; Net Sales / Revenue   of ₹101.11 Cr & Net Profit  of ₹29.30Cr in FY2019 and Net Sales / Revenue   of ₹140.99Cr & Net Profit of ₹34.60  Cr in FY2020 & Net Sales / Revenue   of ₹49.25Cr & Net Profit of ₹31.10  Cr in 9 months of FY2021.

Net Worth of the Cos. Has increased from ₹44.00Cr in FY2018 to ₹134.10 Cr in FY21 along with Net Profit Margin from 6.6% to 63.20% in the same period.

We have valued the Price of each share based on EPV method and its comes at X1.0 of its FY2021 earnings(9Months). Easy Trip Planners Ltd ‘s share is being offered at Fair Value /at Par to its FY2020 (9Months) Earnings at the highest offer price of Rs.187.00.

Source : Various Media Reports and RHP of the company.

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   |

 

Jyothy Labs Ltd : On a Debt Free Path

Jyothy Labs Ltd closes   at ₹548.45 with  a  Gain   of  +0.60%   on   01-Oct-2020   with formation of  a  Green Candle    on Daily  Price Chart.

About the Company : Jyothy Laboratories is principally engaged in manufacturing and marketing of fabric care, dishwashing, personal care and household insecticides products. Jyothy Labs Ltd has posted Net Sales / Revenue   of ₹1711.70 Cr & Net Profit of ₹17027 Cr in FY2020 and expected to post Net Sales / Revenue   of ₹1846.75 Cr & Net Profit  of ₹200.40Cr in FY2021.

Strength : 1. Net debt of the company is about Rs. 80 crore and it is around 3-4 months of net cash flows. At the current rate, there is neither any planned capex nor any major investment plan. By the December quarter, Cos. should be debt-free.

2.. Hopeful for a good business performance in the coming quarters.

 

Valuations  : Valuations  :  The Company is now Trading at X 2..50  of its  valuations ( last 4Quaters earnings considered here)at ~150% premium  and at X1.63  of its FY 2021, which is now almost  ~67%  Premium to its value .

Margin of Safety (1Yr Bond Yield: Value>1 ) is now 0.6; any downslide makes it attractive.

Return on Equity (ROE) which is now 13.62  for FY2020 will improve to  16.07% in FY2021 and EPS will improve from 4.64 in FY2020 to 5.46 in FY2021

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   |