Wednesday, April 18, 2012


NATIONAL BUILDINGS CONSTRUCTION CORPORATION LTD. is a newly listed PSU company. operating in Project Management consultancy (PMC), Real estate development and Civil infrastructure.It is one of the rare listed companies concentrating in PMC.Almost 85% of its total turnover is from PMC which is a high margin business compared with the rest.Under the PMC segment , company is offering management and consultancy services for civil construction projects related with road,water,Hospitals ..etc.Company having proven experience in this field and many reputed names in their client list includes   Ministry of Defense, Ministry of Home Affairs  Ministry of External Affairs, MoUD, Ministry of Commerce and Industry, Ministry of Corporate Affairs, Ministry of Finance, Haryana Urban Infrastructure Development Board, IIT Roorkee, IIT Kharagpur, IIT Patna,BHEL,NTPC..etc. In real estate segment,company having 125 Acre land assets in prime locations across 10 states and 9 projects are under various stages of executions.Since it is a PSU under Ministry of Urban Development company is getting priority from Government undertakings which is big positive especially at a time of slow growth  in infrastructure sector.At present ,company having an order book of more than Rs.10000 Cr. It is a debt free company with a cash reserve of Rs.1360 Cr t as on March 2011. On the other hand ,there may be delay in receiving payments due to the over dependency on Government orders. In the last FY , company posted a turnover of Rs.3126 Cr and a net profit of Rs.140Cr.On the post issue equity ,last year EPS is Rs.12/-. Considering all these factors reasonable appreciation is possible from current level of Rs.95/-


  1. sir i have samtel colors of 10,000 rs, but present value is 5000 rs. 50% loss. sir, i want to switch over to another script. kindly suggest suitability from below :1. centum 2. kirloskar electr. 3. kopran 4. prakash ind. plz review based on long term company growth and suggest suitable.

  2. Dear Km

    I have already shared my opinion on the mentioned stock,please select based on your risk profile.

  3. Hi VP,
    What is your opinion on suraj diamonds and dishman pharma?

    1. Dear Anand
      Not tracking both, based only on numbers Dishman is not bad,but not much idea about its management.

  4. Sir, today evening bt 4.30 to 5.30 there is a telephonic conversation bt schneider management & investors, analysts.please post your findings after that concall

  5. Dear VP Sir,

    Panama Petrochem is trading at CMP 185 which is nearly to yearly LOw 179/-. This share was contnuosly dropping and at lower range.
    May i request you to prvide the strength of this share, can we consider for investing in this share for good returns?

    If we compare another scrip Biocon is also trading at YLY low price, in your opinion which is better in trems of good potential for growth, performance to provide good returns on investment.
    One is petrochemical & another is pharma sector,which sector we can focuss for better investment strategy..

    Looking forward for your valuble sggestions .

    with regards,

    M Phani..

  6. Dear Sunil

    Company didn't reveal any numbers like order book,expected turnover..etc.Since it is the first interaction of the management ,I feels , they tried to introduce the company and their area of operation to the investor/analyst community.Any way the big positive take away from this concall is that they are considering the business as 'Serious'

  7. Valuepick sir,

    whats your opinion on Diamines & Chemicals Ltd.

    comments appreciated.


  8. Dear vp,
    why you always write "i feels"

    1. Dear Friend
      In my experience ,intuitions are playing a big role in taking many investment decisions even after evaluating all known data/numbers of a company .So I can express only my feelings and some times I can't give a proper rationale for some advice.( I don't know whether it is true or false) :).So I am expressing my feelings/expectations which need further home work/study by every investor before acting on it.

  9. national peroxide ....please tell ur opinion

    1. Benefits of capacity expansion will start from next year onwards.So better to hold National Peroxide.



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