Friday, May 9, 2014

May 9

BGR Energy Systems

Book Value - 169
Debt/Equity - 1.8
Current Ratio - 0.79
Current Market Price - 135

Last year, it has taken loans to finance its investments. Since last three years, it is dropped from 700 Rs to 110 Rs. Now it is in the correct range to invest in this share. The revenue and profit have stagnated over the past two years.
Dividend - They are giving dividend consecutively over the past 5 years. This year also they may give a dividend of about 7 Rs, Yield = 5.2 %.

Results and Dividend recommendation date: May 23, 2014.

Recommendation: Buy @ 130 - 140, Stop Loss: 125, Target: 150 till May 30, 2014.


Disclaimer:
These recommendations are my own and I might or might not have a interest in these shares. Please take this recommendation as a suggestion and do your own research before investing.

Ludlow Jute and specialties ltd.

·         Book Value:                        42 Rs
·         Debt/Equity:                      1.45
·         Current Ratio:                    0.79
·         CMP:                                     28.6 Rs

2013-14 Cr
2012-13 Cr
yoy
Revenue Cr Rs
275.5
275.5
0
Net Profit Cr Rs
2.68
8.44
-68.2 %
EPS Rs
2.49
7.84

Dividend/Yield
1.5/5.2%
2.5/7.6%


·         Public Shareholding:                33 %
·         Promoter Shareholding:           67 %
·         Pledged/Encumbered Shares:   0%

Analysis
It is in losses in the last quarter of 2013-14. The main reason is due to increase in inventory goods. This is not such a good sign for the operations of the company. Also the revenues and net profit have stagnated over the past 3 years.

Short Term (1 month)
The main draw for this share is its dividend yield. Also it is trading far below its actual value. But the volume of the buy is too low for it to change any faster. Do not expect any spike.

Buy for Long term only




Cheviot Company
·         Book Value:                        755 Rs
·         Debt/Equity:                      0.03
·         Current Ratio:                    1.79
·         CMP:                                     311 Rs


2013-14 Cr
2012-13 Cr
yoy
Revenue Cr Rs
279.5
290.2
-3.4%
Net Profit Cr Rs
26.8
30.7
-1.2%
EPS Rs
59.42
68.08

Dividend/Yield
15/5%
15/5.3%


·         Public Shareholding:                       25 %
·         Promoter Shareholding:                               75 %
·         Pledged/Encumbered Shares:   0%

Business:             Jute goods and Captive Power generation

Analysis
The debt is very less. This year the revenue and profit have decreased yoy. This is also a low volume share.

Short Term (1 month)
The main draw for this share is its dividend yield. Also it is trading far below its actual value. But the volume of the buy is too low for it to change any faster. Do not expect any spike.

Buy for Long term only

Disclaimer:
These recommendations are my own and I might or might not have a interest in these shares. Please take this recommendation as a suggestion and do your own research before investing.

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