Have recently purchased from secondary market  DMC Education  erstwhile listed DMC International in small qty which moves in a zig zag manner from UC TO LC OR VICE VERSA.Seems to be the only 2 nd listed education company focussed on Tutorials besides recently listed Career Point Infosystem.

There has been recent management change with company taking over Quest Tutorials & its foundr MD Gaurav Mittal a IIT, IIM educated first generation entrepreneur the new MD of DMC education.

The co posted huge rise in net profit in June quarter & had recently covered by CNBC where Gaurav strategised its education model of Education through broadband,

can be an interesting option.

Views invited from everybody.

Seems an interesting bet . Clearly Career Point , DMC fall in the competitive exam content provider . The craze and the demand is HUGE . If they have a good business in place , it should command higher valuations than other listed players . The scope of the business is mind blowing .

Investment of Rs. 15 million by HT Media

Posted on Tuesday, September 14th, 2010 at 2:23 pm  DMC Education Ltd  has entered into a Debenture Subscription Agreement with HT Media Ltd for issue and allot, subject to necessary statutory approval, 1,50,000 Zero percentage Fully Convertible Debentures of Rs. 100 each, compulsorily convertible into Equity Shares with a face value of Rs. 5  each at the end of 12  months from the date of allotment amounting to Rs. 15 million.
The Company will spend the subscription amount for advertisement and brand buildi

TCSer jee...I have also tried to do some research on this when I saw the interview in CNBC...

Realised that there can't be much research as there are NO numbers at all and the CEO in 2 separate interviews flatly refused to even get near that ( prior years numbers are from their real estate business so no use).

Anyway,some things amused me :-

1) Which company puts broker reports (not analyst presentations) in their OWN website? I dont know of many and especially one that only trumpets?

See this :-

http://www.dmceducation.com/wp-content/uploads/2010/05/DMC-International-Ltd-Code-517973-HBJ-Capitals-MPS-Unit-Business-Insight-Penny-Stock-Reco-for-Apr10.pdf

Some gems from the report :-

CMP = Rs 19.45 (April 27th 2010) – The stock
price is highly volatile & is in the consolidation
phase after the recent run up
 52 week’s high/low = Rs 29.60/2.95 – Year 2008 -
09 being one of the toughest year in the memory,
has seen huge price erosion, so DMC Inter was
also hammered.
 Peak share price = Rs 50.95 (4th Jan ‘08) – At the
peak of economic boom it made a high of 50.95
however at that time the company was into real
estate sector. After the transformation into
education sector the peak price can be taken as
Rs 29.60.
 Total Promoters 1.48 crore [66.74%]
 Total Public & others 74lacs [33.46%]
 Total Outstanding Shares 2.23crore [100 %]
 Debt/Equity = 0.2 [Mar’09]
 ROCE = 0% [Mar’09]
 ROE = 0.1% [Mar’09]
 Current Ratio = 7.8 [Mar’09]
 Delivered Volume per day = Approx 42%
 BSE Code 517973
 Trading volume = Min 7.2 lacs shares (approx)
per day –These are early days for a company
which is soon going to create a huge impact in
the Education sector. The stock is highly liquid
This shall help investors to get in and out of
stock easily.

I do believe that the report is of great entertainment value.

2) From what I can see, his new CEO and COO came from their acquisitions ( Gaurav Mittal and Praveen Tyagi from Quest Tutorial)

3) They (DMC) dont have anything on their own...All their Education ventures are recent tie-ups and acquisitions.

4) Their entire website says they 'Plan' to do everything

5) HT media investment needs to be looked at in the context of newspaper companies getting stocks,etc instead of complete cash for advertisement..DMC plans to advertise heavily in HT newpaper ( I believe a similar arrangement was made between Pantaloon and TOI though I am not sure).

6) For sure the stock is now in operators hands and it can go anywhere.

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For all I know, this company might be genuine and go places but for now I had skipped putting money..Will keep following it and hope you too keep us updated on your findings.