Investing in ‘investment and precision casting ltd

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   Investing in ‘investment and precision casting ltd’ 
http://www.ipcl.in/
Preferred supplier’ of fully machined investment castings to reputed automotive Companies like Maruti Suzuki Ltd, Tata Motors Ltd, Mahindra & Mahindra Ltd, Ashok Leyland Ltd, Bajaj Auto Ltd, And multinationals like ABB, BEHR, John-Deere, Endress-Hauser etc. We have developed very complex and heavy-duty castings like steam turbine blades, impellers & diffusers as import substitution for BHEL
Letter to investor dated November 02, 2008
Market & Business Outlook:
The world-wide melt down in finance and the recessionary conditions prevailing in USA & Europe will affect the prospects for the Company in the short and medium term. It is our perception that the slow down in business will be experienced by all Indian and International Companies and your company will not be an exception.
There is a good amount of drop in cost of inputs and this would be a relief for the margins.
Status of the Company's Subsidiary & Export Market:
For the quarter ended September 30, 2008, sales have increased by 39% and also the Profit Before Tax has increased much higher. Depreciation in Rupee will also definitely help us.
However, the recessionary conditions in USA and Europe will affect the EOU Subsidiary.
We shall do our best to overcome the difficulties caused by the adverse market conditions and keep you posted.

Status of Last Qtr result
http://www.bseindia.com/xml-data/corpfiling/announcement/Investment_&_Precision_Castings_Ltd_311009_Rst.pdf
If we compare September Qtr 2008 and that of 2009 then we find
EPS is grown by 37.21%
Sales Growth 38.87%
On a very conservative side I expect that the EPS of FY 2009-2010 will be around =4.89+7.00 (expectation with conservation) =11.89.
The present stock price is 115. This engineering company is cheap to me. I think in 2005, 2006 and 2007 this stock performed very well in terms of price.
Mile stone 2009
• Acquired additional 13,038 Sq. Mt.  lands for plant expansion

   • New quality certification 
     PED 97/23/EC & 
     AD 2000-Merkblatt W0 
     received from TUV NORD
Part of MANAGING DIRECTOR’S Massage
-------We have developed very complex and heavy-duty castings like steam turbine blades, impellers & diffusers as import substitution for BHEL. 
------As a further boost to the technology leadership in India, the company is planning to develop ‘VACUUM INVESTMENT CASTINGS’ which has applications in aerospace and automotive 
industries and as orthopedic implants

Disclosure: I am poor in Math and those who are lover of automobile sectors do not suffer much about rate hike syndrome, Government  special scheme withdrawal syndromes, Dollar bounce back syndromes, automobile already reached its pick syndrome and do not suffer much in  value investing syndromes may find this stock as a cheap stock at CMP 113.35. I have bought this stock! 