For the quarter ended December 2012, Bambino Agro reported a sales of Rs.56 Cr v/s Rs.54 Cr and a net profit of Rs.1.22 Cr v/s Rs.1.1 Cr compared with same period last year. This can be interpreted in either way .Critics may argue ,Company's Sales down in December quarter compared with just preceding September quarter .Even if there is some truth in it ,when we check the past sales trend of the company in detail ,sales figure is always higher in their September quarter for the past many years. From a loss of Rs.81 lakhs reported in December quarter company back to black in latest quarter with a profit of Rs.1.22 Cr. In my previous posting on this stock I clearly mentioned the attitude of promoters is the most important factor deciding the future of this stock.(Old posting HERE). If we read between lines ,I feel the two points which we get from today's BSE Submission is encouraging and pointing to the right direction.It is clear from the data that the promoters again hiked their stake in latest December quarter after hiking it in September.Now it is inching to the maximum permissible level of 75% .Another point is ,company today announced its plan to shift one of its manufacturing facility from Hyderabad to Indore.( Company operating more than one plant in HYD) .This will help the company to produce products from strategically located plants across India ( Hyderabad,Indore and Gurgaon ) .This will also help the company to save logistic costs especially at a time company started to pay much attention beyond southern markets.It also help to mitigate the power shortage related issues prevailing in AP.What I feel is, at last by now promoters started to show some interest to grow the business of this company and started to initiate some logical thinking for that purpose .If it is so ,there may be even some dramatic improvement is possible with a merger of other group companies with the listed one in future ..Recommending to HOLD the stock.
Disc:I have vested interest in BAIL
VIMAL OIL AND FOOD
Reported sharp improvement in latest quarter as follows:
For more details about this company check previous posting HERE
Disc:I have vested interest in VOF
Vpji what are your view about vadilal result.should one exit it.
ReplyDeleteIt is a seasonal business ,no meaning in exiting after seeing December result which is generally weak.How early company can raise funds by diluting equity to pay back debt is the key for success.
DeleteSir - Your views on CEBBCO?
ReplyDeletesir, what is about granules india..hold, sell or can buy on dip?
ReplyDeleteNo change in my previous views on Granules .At CMP it is a Buy for me for an investor with patience.
DeleteCould you share your view on Prakash Industries at CMP?
ReplyDeleteThanks
Chaitanya
Dear sir,
ReplyDeleteYour views on VA tech wabag & mangalam cement qly results...
Wabag in line with expectation and Mangalam a bit below.But I feel stock price already discounted it.Mangalam reported an EPS of Rs.25 for the nine months itself .
DeleteHello Sir,
ReplyDeleteWhat are your views on Kwality Dairy? Good bet for long term?
Thanks.
Not tracking this stock
DeleteI know many have assked about Granules India as many of your followers have bought it.
ReplyDeleteBut my question is - what could be the reason for such a big fall from 160 to 100 levels. Yesterday there was high volumes on both exchanges.
Do you think its an attempt to corner shares buy creating panic or some one selling out?
The price fall is ok but the way this one has fallen seems unusual.
your thoughts.
thnx
Dear Mr Raman
DeleteThere was lot of buy recommendations on this stock in last one year by many big broking houses too.So lot of people bought this stock with big expectations on their 3rd quarter result .But company could not complete the promised expansion in time along with power crisis in AP resulted in lower profit. I strongly believe many people including some big players off loaded the stock due to this reason .Simultaneously there was huge sell of in mid caps which added fuel to fire.This is what my belief and I think this company will come back and give good return for genuine investors with enough patience.
Hi VP Is IFCI a buy at CMP? Regards Raj
ReplyDeleteNot tracking IFCI
DeleteDear VPji,
ReplyDeleteSPAN is on a downward spiral continuously...30% down from yoour recommended levels..
Whats wrong..Whats your prognosis on this Co now...This stake sale to a valuable partner etc .. all seems not happening...is there any value still here?
Regards
Madhu
Dear Madhu
ReplyDeleteI have a humble request not only to you but the others too.As you are aware our economy is going through very difficult times and all statistical data indicating the true picture.When we ready to invest in mid caps we should realize that these companies are working in our country and their performance is linked one way or another with the over all industrial growth of our country even the management is genuine and hardworking .In some situations many things are beyond the control of management and will take time to back to normal.These type situations are part of any industrial cycle prevailing in any country and the effect will be reflected in stock market and stock price.If we are not ready to accept this truth and not willing to hold a position below our purchase price even for a short span of six months or so ,it is always better to avoid investing in mid caps or in stock market all together.Hence I humbly requesting if any one of you are not convinced in any of the stocks recommended previously it is always better to book loss and come out.
Dear Valuepick
ReplyDeletewhat is your analysis on the Q3 result of rossell india.
Regards
Sudeshna
Result is satisfactory
Delete
ReplyDeletedear sir,
I humbly request you to provide your comment on opto circuits results which are published today. your view on the stock for long term will be of great help.
Many thanks in advance.
Result is satisfactory .But the issue is another - many institutions are holding this stock and there is some corporate governance issue reported earlier.Generally institutions are not interested to stuck in such stock which may limit the up move in near future.
Deletedear value pick.. yesterday i happened to see the financial statment of bambino, i am curious to know that why they take october 1st to september 30th as their financial year.... any reply will be appreciable
ReplyDeleteDear Jithin
DeleteSince there is no strict rule to follow in this matter,what we can say about company's discretion :)