ARUN JYOTI ENTERPRISES - KEEP WATCHING

Arun Jyoti Enterprises is a company started
trading in BSE about one month back. Company
operating few Department stores in and around
Hyderabad under the brand name ‘TAAZA STORES’.
Apart from this company is in the trading
activities of agricultural inputs like bio
pesticides and bio fertilizers . Till now ,its
major income is coming from these trading
activities.Company now claiming that it is
aggressively looking for further expansion in
retail segment and backward integration in the
field of cultivation of vegetables in big way
for selling through its own shops. As per the
available informations, even now company is
sourcing part of the vegetables from its own
farms and also have some contract farming
arrangements with farmers. If the promoters
are able to tap the opportunities available ,
this integrated business model may work well
in future. It is not easy to judge the company
on the basis of tracking done in short period ,
but keep watching further developments .For the
last financial year ,company posted a turnover
of Rs.79 Cr and a net profit of Rs.1.21 Cr with
an EPS of Rs.2.40 .This is a low liquid counter ,
currently trading around RS.98/-