Shree Lakshmi Cotsyn
Printed From: The Equity Desk
Category: Investment Ideas - Creating winning portfolios!
Forum Name: Stock Synopsis
Forum Discription: A bried discussion of companies on very specific matters. Normally this is the prelude for further research as always members would be discussing quality companies with good management only
URL: http://www.theequitydesk.com/forum/forum_posts.asp?TID=2559
Printed Date: 21/Apr/2025 at 11:29pm
Topic: Shree Lakshmi Cotsyn
Posted By: kishi_1
Subject: Shree Lakshmi Cotsyn
Date Posted: 08/Dec/2009 at 8:08pm
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Hey how to create new topic ? I am not able to create. I get "you do not have permission".
J2EE and vsb2pwn, are you guys following stock Shree Lakshmi Cotsyn ? Apologies for bringing up the topic here ! |
Replies:
Posted By: hit2710
Date Posted: 08/Dec/2009 at 10:13pm
Any further details of fundamentals, prospects etc? I assume they entered into technical textiles business besides the usual textile stuff. ------------- Stockmarket is a weird place. For every person who buys a stock there is a person who sells it and both think they are very smart. |
Posted By: shadows
Date Posted: 08/Dec/2009 at 9:03am
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Iam observing this stock for some time now In my view this is a very good company to have.quoting at a low PE and hovering aroung the year high mark. i bought it bcozof it is in DEFENCE sector it supplies bullet proof goods to ARMAY. Iam holding this in view of forth coming BUDGET..........................ShadowS |
Posted By: dkarthick
Date Posted: 08/Dec/2009 at 10:17am
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here more about Shri Lakshmi Cotsyn (SLCL) http://moneylife.in/article/620.html - http://moneylife.in/article/620.html http://moneylife.in/article/72/2209.html - http://moneylife.in/article/72/2209.html |
Posted By: kishi_1
Date Posted: 08/Dec/2009 at 11:12am
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More on this ...
http://www.mydigitalfc.com/companies/shri-lakshmi-make-mine-protection-trucks-341 |
Posted By: kishi_1
Date Posted: 08/Dec/2009 at 11:13am
| EPS around 45 and PE just over 2, I think price is very cheap |
Posted By: hit2710
Date Posted: 08/Dec/2009 at 11:23am
There must be some catch somewhere. Equity dilutions? Debt? Otherwise it is too good to be true. ------------- Stockmarket is a weird place. For every person who buys a stock there is a person who sells it and both think they are very smart. |
Posted By: hit2710
Date Posted: 08/Dec/2009 at 11:31am
Look at the debt factor. As on March 09 the total debt of the company is 630 crores whereas total market cap is around 157 crores. This probably explains the cheapness of stock. ------------- Stockmarket is a weird place. For every person who buys a stock there is a person who sells it and both think they are very smart. |
Posted By: kishi_1
Date Posted: 09/Dec/2009 at 3:26pm
| Still it looks to be cheap to me |
Posted By: hit2710
Date Posted: 09/Dec/2009 at 6:06pm
That could be the best thing about the stock.  ------------- Stockmarket is a weird place. For every person who buys a stock there is a person who sells it and both think they are very smart. |
Posted By: kishi_1
Date Posted: 09/Dec/2009 at 6:33pm
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In the last bull run it crossed 240+ with lower EPS.
The textiles sector has not participated in this run as yes when they do this counter should move up. Also recently it has got crores order from defence,it is just a start for some new orders. :) (My hope) I also read 2 months back that company is also planning for an FPO which might trigger some upmove .. let us see what happens. |
Posted By: kishi_1
Date Posted: 19/Jan/2010 at 6:07pm
| Stock is trading now 1t 133, i hope there is more upside left :) |
Posted By: yogishkamath
Date Posted: 21/Jan/2010 at 2:15pm
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The company has a JV called Armet Armored Vehicles which is into the production of "technical textiles", bullet proofing vehicles etc. This segment has a much higher margin than ordinary textiles and it is also relatively insulated from competition. However, the company is selling at a lower P/E than other companies which are into plain vanilla textiles. So, I feel there is ample room for PE expansion (which is currently just over 3 ....... up from about 0.6 in January last year) The management sounded very optimistic about the future in the annual report and they are putting their money where their mouth is...... promoter stake has recently been hiked by a few percent. There is ofcourse a risk that the company will issue a significant number of shares to fund its expansion plans .... or worse.... go bankrupt if its plans don't pan out as expected.. It is a high risk/high reward sort of stock. |
Posted By: kishi_1
Date Posted: 24/Jan/2010 at 11:54am
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Don't know why this is a risk, this is a normal way of raising funds nowadays.
Today results and outcome of board meeting, lets see how this works out for this company. |
Posted By: kishi_1
Date Posted: 26/Jan/2010 at 9:02am
| Shri Lakshmi Cotsyn net profit rises 32.49% in the December 2009 quarter |
Posted By: kishi_1
Date Posted: 27/Jan/2010 at 8:35pm
| Profit 22.63 compared to 17.08 crores last year. EPS increased to 14.53 compared to 11.54. Good quarter. If not for bad market from 1 week this stock would have zoomed. |
Posted By: yogishkamath
Date Posted: 04/Feb/2010 at 3:53pm
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The problem with issuing a lot of new shares is that the company is selling at a significant discount to its intrinsic value (in my opinion). That hurts current shareholders. |
Posted By: kishi_1
Date Posted: 04/Feb/2010 at 9:17am
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Hi Yogesh,
This is very normal for a company to grow, always debt cannot be made for raising money. In any case company at 49 EPS company is trading at huge discount sooner or later it will move upwards significantly. I wont be surprised if it trades 250+ 1 year later [even its share capital increases significantly]. The new Defense portfolio has high profitability with lower competition. |
Posted By: yogishkamath
Date Posted: 05/Feb/2010 at 3:55pm
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Well, if they issue new shares when the market cap of the company is close to its intrinsic value, then I have no problem with it... But this company issued new shares last year when it was trading at around 60-70 if I remember correctly and it may do so again. That hurts. |
Posted By: kishi_1
Date Posted: 05/Feb/2010 at 6:17pm
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As I remember there are lot of companies which have issued at lower rates in 2008 bursts. These are companies are trading at much higher levels.
I understand your concerns but there at the same time there is no need of panicky or bearish about this shares. Promoters will always issue warrants to themselves. Even i would have done who told investors to sell it lower levels. This is the name of the game. |
Posted By: yogishkamath
Date Posted: 05/Feb/2010 at 6:55pm
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I am not panicking or bearish at all. Just disappointed at the devaluation of my asset. The fact that it has gone up substantially doesn't tell me anything. Who knows, maybe it would have gone up more if it hadn't been devalued. Besides, I don't plan to sell anytime soon. So, I would actually have been happier if it had gone up less than it has. Then, I'd be able to buy more at a greater discount to its actual value. |
Posted By: trushik
Date Posted: 16/Feb/2010 at 12:18pm
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Hello Looking at the financials of the company, it looks a good buy. Apart from the high debt factor.
Being a new investor, and still a learner
 ... I would like more views on the company's standings!Regards
|
Posted By: kishi_1
Date Posted: 18/Feb/2010 at 9:20pm
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Hi Trushik,
This is a great stock to be invested in. Look at the following articles. http://www.moneycontrol.com/news/business/current-order-book-at-over-rs-30cr-shri-laxmi-cotsyn_442493.html - http://www.moneycontrol.com/news/business/current-order-book-at-over-rs-30cr-shri-laxmi-cotsyn_442493.html http://www.indiainfoline.com/Markets/News/SLDA-unveils-Hi-Tech-defense-vehicles/4778740967 - http://www.indiainfoline.com/Markets/News/SLDA-unveils-Hi-Tech-defense-vehicles/4778740967 I think this will go great height next two years ! I have already some in my pocket , I want to add some more on dips. |