Company Watch #1

Company watch is a series of posts on the companies that I scan through when I scout for investment opportunities. Maintaining a record helps me save time in the future as that I can quickly refer to the recorded information when I come across a stock that I had already looked at.

Gayatri Projects : (CMP : 203) - buy at 150
Construction, Infrastructure projects.
+ points
PE : 5, BV 180, 07 - 08 growth = 50 % .
promoter holding 56 percent (increased by 1 % YoY)

- points
debt / equity = 2

Could look good, but wait for a further fall due to high interest rates which lower margins
FII hold 17%, their sell off will give rise to a further fall

Conclusion : Will buy(look) at 150

Kilitch Drugs : (CMP : 108) [look at 40]
Manufacture of Injection Medicines, biggest player in this space(?)

+points
no MF Holding
high YoY growth as compared to previous years., could be a turnaround
promoter holding : 64 % (reduced from 66%)

-points
PE 13.51
USFDA approval this year, could wait for a fall if this does not happen
debt / equity = 1.46

Conclusion : PE is high, Debt is high. Look at 40.

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Facor Alloys (CMP : 10.16) [can buy provided company is clean]

+points
PE = 2.81
promoter holding = 48.68 (reduced from 50.9)
high YoY growth. Looks like a turnaround

-points
retained earnings are negative ( -306.56 crores). Not sure what this is
owners fund as % of total soource : -37.6%

Conclusion: Something goofy. Look at this in detail.
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Neha International
Flowers.
PE 66 - forget it.