Freshtrop Fruits – What doesn’t kill you makes you strong

Freshtrop Fruits Ltd. Founded by an IIT graduate Mr. Ashok Motiani , is a food processing company and is engaged in the business of food processing and exports of fresh fruits to leading Supermarket chains in various parts of Europe, Russia & Far-east as well as in Domestic Market. The Company is producing Fruit Pulp & Concentrate for both the Domestic & International Customers. Freshtrop is today one of the largest Indian exporter of table grapes to the EU.

Details: Freshtrop fruits exports mainly Grapes, Pomegranates and Mango to Europe and the Middle East markets, CIS countries and Far-East The food processing division was started few years back as a part of diversification and de-risking strategy that also gave a natural backward integration to its existing seasonal fresh fruits business (and of course, because of the massive growth potential it provides). The food processing division is into non-alcoholic read-to-drink beverage vertical, which is one of the most lucrative area of food processing. The products include, Pomegranate Juice Concentrate,Various Fruits Pulp (eg. Mango Pulp, Guava Pulp etc), Tomato Paste etc. Freshtrop Fruits in line with its highly smart promoter is using technology and business strategy to its best. To de-risk their business from climate uncertainties they have set up multi location packing and post-harvest handling facilities for fresh fruit business. They already have 4 packaging warehouses but the management has decided to opt for asset light model moving forward (as it would dramatically improve the bottomline). So now, the expansion would come by outsourcing warehouse packaging and this will greatly improve the bottomline. They also increased the no. of fruits being processed for better capacity utilization and reduced dependence on vagaries of nature for processing business. Steadfast focus on quality and a systematic and thorough approach to food safety and traceability have been the directing forces for Freshtrop’s operations.

Excellent Business Acumen – Europe being one of the largest markets of grape exporters in India, shook the grape exporters in india with is ban of Indian grapes in 2010 (the ban was lifted last year). It wiped off nearly 2/3 rd of grape exporters in india, but not freshtrop. Interesting thing to note is that even during these years of export ban company was able to grow topline and did not post any loss. They did this by increasing the variety of fruit exports, exploring new markets, and also in the process realized the inherent risk of the business and took the plunge into the super lucrative non-alcholic beverage vertical, which not only de-risked its business but also gave it a backward integration. This remarkable agility and improvisation in adapting to changing business climate makes the management of Freshtrop a class apart. Normally such regulatory hurdles prove a death-knell of most companies (2/3rd of fresh fruit exporters were wiped off) but companies who come out strong out of it are the companies that create tremendous wealth in times to come.

Why to Buy – A food processing giant in making Freshtrop, is one of the biggest fresh fruits exporters of india, and a fast growing non – alcoholic food processing beverage maker, led by an IITian with “proven” excellent business acumen. The promoters have increased stake in the company from less than 44.99% in 2010 to 55.47% currently. Part of the promoter increase was done by warrants to promoters. The upfront payment helped in capex they had planned to start their food processing business. This was a smart move. They took the difficult decision of diluting a bit of equity to avoid raising too much of debt (which in any case was difficult to come by) in those difficult time. Remember that time was particularly difficult because not only the interest rates were high, India’s growth had started tanking and to top it all, the European ban had already put a huge pressure on bottomline. Rather than dropping the plan to open the food processing division, they took the warrants route as they knew de-risking of food exports business was essential and food beverage gave it a natural backward integration. This proves that the management of this company is not only agile and smart strategist but also a good capital allocator. With their recent decision to outsource packing warehouse to fuel expansion they have increased my belief in their capital allocation skills. They have 4 packaging warehouses but the management has decided to opt for asset light model moving forward (as it would dramatically improve the bottomline by avoiding any capex led expansion). Firstly, since the fresh fruits division is seasonal, they have the problem of utilizing their warehouses throughout the year (it can be kept professionally utilized only for a few months in a year). With things improving they have re-started paying dividends also, with a healthy payout ratio of more than 27%. The company would become debt-free (minus delivery credit) and without any capex in near future the company’s bottomline will improve significantly and that will in-turn boost the dividend payout. The company’s food processing division has also turned around and according to the management will now sustainably churn profits. They are so confident about their prospects that they have declared in their Annual Reports that this year they would be growing at 50% in their bottomline. In my interaction with the management, they even indicated that for next two years, growth of around 50% is amlost a given, so their bottomline will grow 50% for next two years atleast. This is really good. No wonder the company posted a first quarter profit that was more than the entire last year’s profit, infact 20% more than entire last year’s profit. The company has also started generating good cash flows now. The only sore point was the inconsistent bottomline in its food processing business and now in my interaction with company management they have indicated that the losses in food division is a thing of past and there should not be any losses in future. This could be a huge trigger. With other food processing companies saddled with Debt and trading at PE of 25-45, this company, that would be debt free this year, easily expected to grow more than 50% for next two years, having a payout of more than 27%, hereon growing in an asset light model, led by an IITs who is an excellent capital allocator and one of the biggest company in its area, is available at a PE of less than 8. The growth and PE is just going to expand from here on.
The management’s smart strategist acumen was tested very recently where there was a hail storm in maharashtra, but to investor’s delight, the management’s de-risking strategies played here and there was no effect of hail storm on the stock. Infact, the company posted best ever quarterly topline and bottomline numbers.

Technicals: The stock is looking very strong and is near its long term resistance of 65rs. But this time its looking all set to break this resistance and above this resistance the stock will become very strong and would quickly test its all time high of rs90. Beyond that it will fly once again.

Note:
1. Most of the material posted here is a result of my interaction with the management
2. Business is seasonal in nature, so 75% of earnings come in Q1 and Q4.

Remember, a smart first generation entrepreneur is the surest ticket to success.

Advertisements
This entry was posted in Stocks. Bookmark the permalink.

380 Responses to Freshtrop Fruits – What doesn’t kill you makes you strong

  1. Raj says:

    Excellent pick..was monitoring since Rs 30. my only doubt was the seasonality of business.

  2. Sameer Anand says:

    Hi ACE,
    This was under my scanner for quiet a while but your recommendation nudged me to buy it today!
    The biggest risk factor is of course the vagaries of nature. Also hopefully they would not dilute equity any more.

    Also thanks for posting the idea during market hours.

    Regards.

  3. Advait Thakur says:

    Ahaa…….. first time this is happening, the stock which I bought @26/- is being reccomended by renowned investor.BTW I withdrew my capital @55/- now holding rest free of cost will add more iff falls below 50/-

  4. chander pratap says:

    Hi…Ace
    Thank a lot for the new recommendation …
    God bless you ..:)

  5. mayur says:

    Hi ACE, I respect your research and valuable comments. But today got slightly disappointed as you posted recommendation during market Hrs which it was not supposed to do so.
    As you know, its already started flying high giving notime to study more. Nevertheless, I took small chunk adn will add slowly after going thru details. Anyways, it’s nice pick, I’m also tracking this stock but did not enter earlier due to debt issue and seasonality in business. You cleared all my doubts.
    Thanks again for all your help.

  6. M Prabhu says:

    Dear Ace,

    The below question was asked earlier, however got confused with answer, could you answer again

    Is CUPID still worth to buy, as because volumes reduced substantially, seems buyers lost interest, mostly sellers which makes little worry, do you suggest to enter the current market price of 27.80 is worth…

  7. Ramesh says:

    Dear Mayur,
    If Ace recom. this after market hours then also you will had not get chance to buy it.
    Thanks to ACE to post the recom. during market hours atleast some small investors can buy it at the very first.

    Thanks ACE once again to post it during market hours.

    • Sahil says:

      I totally agree with you. It really helps small investors.

    • Jitendra says:

      And also as it posted during market hours there is no upper circuit to the stock. If it would have posted after market hours, the operators sits with huge amount and the stock goes to UC at pre-opening session and small investors remains away from buying.
      During market hours the operators have to adjust there funds to buy and meanwhile the small investors buys it.

      • Prashant says:

        Dear Aceinvestortraderji,
        thanks a lot for this beneficial mistake for small investors .
        Probably this time will power of so many was too strong and able to buy your recommendation on day 1 .

        Thanks & Regards,
        Prashant

  8. anks says:

    Hello Ace congrats on being a force which can move share price of the company by 15%,Amazing the power of internet which has helped people to get benefits on such a massive scale.Information is now available to all.I say this because just after your post the stock has moved tremendously.

  9. saraaol says:

    Thanx Ace Sir for giving during mkt.. Catched it on Rs 61..thanx a lot..

  10. devnam says:

    Thank u ace… got my pocket full….. may god bless u and us all……

  11. Babu says:

    Thanks for the recommendation during market hours.
    Could you pl comment on Sudar industries pl

  12. srinivas says:

    i think it has hit the UC now.

  13. ravi multani says:

    all got the stock and its in uc
    thanksssssss a ton
    god bless u
    salute u

  14. srinivas says:

    i too got it in 61.5, let see how it turns out :), thanks aceji 🙂

  15. loordhu19 says:

    Hello Ace, The company is making money only in Q1 & Q4. Is that ok ?.

  16. ankit says:

    Thanks, ace for posting it in market hours. Btw is v2 retail still a buy?

  17. anjum vohra says:

    Thanks Ace for posting in market hours, see today most of ur followers were able to buy.Hope u continue this practice in future also!!!Thankssssssss.

  18. Theresa says:

    Hi Ace,
    Seems I am the only unlucky person in this board (the fact that yesterday you confirmed me you would post the new idea only after the market hours, after the market hours when I logged in, so disappointed to see your post uploaded @ midday). Another 20% UC tomorrow! Anyway, to me that is “Murphy’s Law” (Anything that can go wrong will go wrong).
    Thanks a lot for the new idea. God Bless!

    • Reader says:

      Why are you disappointed? You’d have seen it post market hours anyways and it would have hit UC tomm morning anyways so what difference does it make?

  19. Manish says:

    I wonder if the price comes down tomorrow, would the enthusiasm be the same?? I don’t know why everybody is keen to prefer the short term 30-40% gains than the long-term 4-5 baggers and may be more..there is a kinda excitement as if this is the last stock aceinvestortrader (AIT) has recommended..I think a better way is to wait for some time, understand the long term potential of the company and then buy the select few stocks with which one is more comfortable…but, i guess, this is useless gyan if the stock indeed hit upper circuit tomorrow

  20. rahul says:

    You are very late to the stock . it has been discussed on a public forum – Dalal street and valuepickr at 25 odd levels a couple of months back and has already doubled from that price .. So recommending to buy at current levels will be risky .. 45 to 48 is the best to price to enter .. Recently the stock made a high of 65 and retraced back to 48-50 .. So I think readers should avoid buying the stock at current price as it already owned by many and a liquid counter ..

  21. Soumya says:

    I got an opportunity to buy at 58. But could not due to my broker Religare whos is giving some excuses that I could not understand (suspended stock in T category, 100% cash..). So I missed a chance. I want to change my Broker, Requesting you all to suggest some good ones.
    Please..

  22. Teja says:

    This was on my watchlist till now.. now in my portfolio after ace reco.. Just visited the blog and amused to see the new investment idea in the afternoon itself…. got it at 60.5.. will hold it real long term.. Thanks ace and god bless you…

  23. Roy says:

    What you think about SKM EGG Products?

  24. prafulla says:

    Cupid Will have repeat larger and larger orders with need to control world population, and with ever increasing user population demand could be always ever increasing, and cupid being already establised and innovative producer sales would be ever icresing over the years year after year.One can visualise a bright future growth for CUPID

  25. Narain says:

    What your view on Banaras Beads ? I came across it lately and was analysing if it is a product that is actually a need for people. I would like to know your opinion.

    • The product is good but bad business… No pricing power… They even reduce prices so not good

      • Narain says:

        Out of curiosity. Being new to investing, I would like to know what makes you come to the conclusion that they have a bad business and there isn’t much pricing power.

        When I go online and just check other websites regarding the information of the business, I could barely find anything related to the pricing power or on what basis should I count that they are reducing the prices of their products.

        Please enlighten me on this.

        Thank you.

      • OneFootHurdle says:

        Sir I found your blog recently, its wonderful and very well written but i agree with the comment, Where is it written in the annual report about pricing power? May be I missed it, i would reall appreciate your help. Also where is it written that they intend to grow at 50% rate? I couldnt find that either.

      • OneFootHurdle says:

        I am talking about FreshTrop

        • can you please post a complete seperate query please. your query is coming under banaras beads so it might be a little confusing for the readers. sorry for botheration, but pls repost. God Bless

  26. mayur says:

    Hi, any thoughts on Poddar Pigments and Ricoh India, if you track them?

  27. hitesh says:

    SIR
    what are your views on HINDUSTAN TIN WORKS LTD , please GUIDE ME

  28. Salim Khan says:

    Hi ace how to get your recommendations via email?

  29. anil says:

    what are the prospects of waterbase at the present level. There appear to be ghost sellers

  30. Narain says:

    Could you post some checklist or such to value a company stock ? I mean apart from recommendations, we followers also will get some quality tips and such if you can post some important checklist one has to go through before buying any stock.

    • srinivas says:

      Yes ACE ji, this will be very helpful for novices like us, probably an excel with a checklist. or some book which will be easy for novices like us to understand.

      Thanks,
      Srinivas

  31. thakral says:

    wts ur view on black rose industry

  32. Rahul says:

    sir what are your views on Nocil and DCW?

  33. PR says:

    Hi Ace,

    Please share ur valuable view on RS Software,Can I buy it now.Will it be a multibagger given the kind of business they are in?

  34. KIRTAN says:

    lucky people get at 52 to 54
    unlucky got at 60
    wow
    Thanks

  35. rahul says:

    You are very late to the stock . it has been discussed on a public forum – Dalal street and valuepickr at 25 odd levels a couple of months back and has already doubled from that price .. So recommending to buy at current levels will be risky .. 45 to 48 is the best to price to enter .. Recently the stock made a high of 65 and retraced back to 48-50 .. So I think readers should avoid buying the stock at current price as it already owned by many and a liquid counter ..

  36. rahul says:

    You are very late to the stock . it has been discussed on a public forum – Dalal street and valuepickr at 25 odd levels a couple of months back and has already doubled from that price .. So recommending to buy at current levels will be risky .. 45 to 48 is the best to price to enter .. Recently the stock made a high of 65 and retraced back to 48-50 .. So I think readers should avoid buying the stock at current price as it already owned by many and a liquid counter ..

    Reply

  37. rahul says:

    Why didnt a get a reply on my comment ??
    You are very late to the stock . it has been discussed on a public forum – Dalal street and valuepickr at 25 odd levels a couple of months back and has already doubled from that price .. So recommending to buy at current levels will be risky .. 45 to 48 is the best to price to enter .. Recently the stock made a high of 65 and retraced back to 48-50 .. So I think readers should avoid buying the stock at current price as it already owned by many and a liquid counter ..

    • ummar syed says:

      dear rahul
      from whom u r expecting reply.

      nothing like late or early in stock its a matter of conviction.

      let me know from whom u r expecting reply and what type of reply. dont take it as offensive.

    • brother, you can take your own decision. I do not invest in stock till fully convinced. I am at the right time, no early no late. Clearly you have some pre-conceived notions about stock market investing. I bought liberty for my family at twice the price of what it was originally recommended in this blog, so its clear what my idea is about money making. God bless you.

  38. Mehul says:

    When you say a new atock will be posted after market hours, why it is being posted in early market hours ?? Same thing was there at the time of cupid too ??? It is your blog and I am nobody to question but isnt it unfair on your part ??? Disc- i hold both scripts, hence it is not that I am left behind.

  39. KIRTAN says:

    ace sir,
    at next time when u post during mkt hours
    its my request please post time also so that we can try online..

    • Prakash says:

      I think ace already mentioned that you can subscribe to this blog by clicking on follow button. Whenever there is a new post you will be notified by email. I received the notification email yesterday at 2:11pm and bought the share at 3:30pm after doing a basic research on q results, balance sheet, management quality etc. I think this should be the way forward as lot of retail investors get a chance to buy if published during market hours. You can see the number of comments here praising that it was good to see the post during market hours..it at least gives small investors a chance to enter before operator game starts..just my two cents

    • kirtan, that was my mistake. I should not have put to schedule post. will post it at the pre-defined time only. My apologies.

      • mehulbsoni says:

        Sir, you should not be sorry, whatever you are doing is an aid to retail investors only. Anyway searching for some new idea which is yet not covered by brokerage houses, daily soap tv experts or bloggers….
        Mehul

      • M Prabhu says:

        Why ACE again and again asking Sorry and apologies, what happened now, your intention was suggestion of investing not trading, I also saw the post late and taken with the appreciated price keeping a view of atleast three years, so no worry when you put in blog. Infact apart from certain comments, you can see most of the retail investors are happy as because they were able to purchase on the same day only certain short term gainers make hue and cry which may be ignored. though it is your conviction considering broad subscribers views when to suggest in blog, from my point it is not necessary to ask again and again sorry and apologies….

  40. Babu says:

    Dear Ace

    Your thoughts on Sudar industries please

  41. praveenks97 says:

    Hi AceIT , What about Hindustan Zinc for a long term investment ?

  42. krishna says:

    Hi,
    Let me know ur view Lawreshwar polymers
    Considering low pe,small cap,promoter increasing holding,capacity expansion still available at 17

  43. mayur says:

    Hi Ace, can you pls name companies that you like most from Auto Ancillary sector? awaiting reply.
    Thanks.

  44. vijay says:

    bought freshtop at 71.50 today…….. i have confidence in this script, but the entry point is it ok?

  45. Navin Sharma says:

    Hi Ace thinking to add More Liberty Shoes as it is avaiable at pretty decent rates today. What you say?

  46. Power says:

    now at least everybody realized that there are no operators involved

  47. Zaheer Timol says:

    ACE WHAT DO U THINK ABOUT MT EDUCARE ??

  48. srinivas says:

    Hi,

    What is your view on Kwality Ltd ? 75% promoter holding, recently doing good. any idea on this stock?

    Thanks,
    Srinivas

  49. J Gopal says:

    At least , in this case it is proved that releasing the report during market hours is perfect. It is giving opportunity to everyone to participate…Anyway, the final decision is yours..

    • krishna says:

      Correct decision is during market hours else punters will take advantage if you keep it after market hours

      • Jitendra says:

        When ACE will post next recom.., everybody will come to know that due to operators small investors will not be able to purchase at the very beginning. There will be UC for some days, which was not the case with Freshtrop Fruit. Everyone is participating and satisfied, enough time to study as well.

        We request ACE to post his new ideas during market hours only.

  50. HG says:

    Hi Ace,
    One of these days, could you also write your views on portfolio construction and capital allocation? After a certain level, I think these matter more to creating wealth than the next stock to buy and it would be great to know your approach to these issues.
    thanks.

    • srinivas says:

      i agree please write some topics which can enlighten newbies.

      • chirag says:

        It would be great if you could discuss some insights on capital allocation, managing risk and the portfolio, diversification and so on. Industry overview and insights if possible.

        As it takes you a lot of time to come up with a stock recommendation, I’m sure if you write on such topics, you can do do so on the go and without much hassle.

      • Narain says:

        Yes, please post some topics that will help us in improving our knowledge regarding the stock picking.

  51. Karen Shekh Jasmeet Singh fernandes says:

    Good pick

  52. ravi multani says:

    Hello ace
    do u think fall in rubber prices will boost cupid bottomline…whts ur view

  53. mayur says:

    Do you like Suven Life Sciences?

  54. dharmesh says:

    V2 Retail aimed to increase its revenue 30 per cent every year, he said, adding the company was eyeing sales of Rs 260-270 crore and a profit of Rs 9 crore this financial year. Here’s the link
    http://www.business-standard.com/article/companies/after-vishal-retail-debacle-founder-focuses-on-e-commerce-114091700918_1.html

    • dharmesh says:

      he is already projecting profit of 9crs this year ==> Eps of 4!! PE of 24-25 takes the stock price to 100!! Avg industry PE of retail sector is 77!! good days ahead… seems like. Dear Ace, ur thoughts after what Ram said today!

      • dharmesh says:

        Log chamatkar ko namaskar karte hai (people salute miracles). I have restarted the retail journey. The chamatkar will happen,” said Ram Chandra Agarwal. Lol!!! 😀

  55. Tarun says:

    ACE,
    Sharp India is falling everyday. Good time to accumulate and at what levels?

  56. thakral says:

    when ur next pick is coming..

  57. nsriniv says:

    Sir your valuable inputs on Morepen Lab and Trigyn Technologies will be highly appreciated. Looking forward to your reponse. Thanks

  58. Rahul says:

    sir whats your views on Nocil and DCW?

  59. Karan says:

    I’ve recently starting following your blog. I like your recommendations. I’m concerned about the risk associated with the export ban. As already pointed by you, grape export was banned by EU due to pesticide issue. Market values clarity in earnings. What’s your view on it? Thanks

    • Thats fine…these kind of things cannot be predicted. So people should not be worried. Market values not only values clarity but also growth and honest management. The regulatory concerns should not arise, case in point pharma, where regulatory surprise is most, but look at how market values indian pharma.

  60. Rishant says:

    ACE,

    Your thoughts on RTSPower corp?

  61. M Prabhu says:

    Why ACE again and again asking Sorry and apologies, what happened now, your intention was suggestion of investing not trading, I also saw the post late and taken with the appreciated price keeping a view of atleast three years, so no worry when you put in blog. Infact apart from certain comments, you can see most of the retail investors are happy as because they were able to purchase on the same day only certain short term gainers make hue and cry which may be ignored. though it is your conviction considering broad subscribers views when to suggest in blog, from my point it is not necessary to ask again and again sorry and apologies….

  62. gibbsab says:

    Sir your valuable inputs on scanpoint geomatics cmp 33

  63. rashmi says:

    hii ace,can i swap lt fin with freshtrop

  64. rashmi says:

    lt finance with freshtrop,lt isnt moving if freshtrop follows your tagline compound money faster,it can.
    🙂

  65. rashmi says:

    thnx ace for the green signal

  66. power says:

    hi all
    pls watch intrasoft technology

  67. ACE, Thank you for all the wonderful picks. I have realigned my portfolio and is now filled with Kopran, Freshfruit, V2 and Cupid which makes it a concentrated portfolio. Kindly share your views on Ashapura mines. thank you

  68. jasraj says:

    Hi Ace,

    What is your view on Archies Ltd.?

    CMP 33

  69. srinivas says:

    hi ACE, is it ok if one can select mid & small caps based on P/E, P/BV, Graham’s number and NCAV?? what else parameters to be considered in selecting the stocks? how can we get to know regarding the management efficiency and their strategies as retail investors cannot interact directly with the management. your ans helps me a lot.. 🙂

    • srinivas says:

      ACE, pls reply

    • ok, now that i have returned, let me answer you. Its not my style, i.e. i am not a follower of graham (he’s great, make no mistake about it). Over the years i have developed my own investing style which i am most comfortable with. First and foremost, management quality and growth matters, thats it. PE (or even PEG) is immaterial and so is P/BV IMHO. It matter only in some sectors and not all. Graham’s number i think is not a great tool IMHO for obvious reasons and Net Current Asset Value Per Share again does not apply in not all sectors. RoE and RoCE are still better tools, but then if you look at that then you would never buy a turnaround company because their ratios would be all screwed up, isnt it. So its just growth and management integrity that matters and everything else is a derivative of it.

  70. Ravi says:

    Can you pls give your views on SIKA INTERPLANT (BSE 523606) ?

  71. mayur says:

    hi Ace, any views on Kitex Garments? Already appreciated a lot but future growth and management looks positive. Any thoughts?

  72. satish Kumar says:

    Sir views on Hilton metal

  73. MyInsignia says:

    Sir do you follow Simran farms

  74. Ankit says:

    hi ace, your views on gati, amtek auto?

  75. sravan says:

    Hi Sir, can you please give your views on Infinite Computer , HPPL ?

  76. ravi multani says:

    he means huhtmaki ppl or paper products

  77. Vijay Yadav says:

    Sir, ur view on Panchsheel organic

  78. rahul says:

    Dear Aceinvestor,

    What’s your view on sandesh?

  79. KIRTAN says:

    hi
    view on
    Garden silk mills
    LKP FINANCE
    JET AIRWAYS

  80. Rahul says:

    sir, whats your view on VIP & Kajaria?

  81. yash says:

    hey ace, may i pls know your view on haldyn glass

  82. ankitkhaitan says:

    ace whats ur take on “aro granite industries”

  83. Hi Ace, You just mentioned you follow simran farms. Is it a buy?

  84. Jitendra says:

    Dear ACE,

    Your view on Kalpena Ind. @CMP Rs. 125.00.

    Thanks in advance.

    JD

  85. Simanchal Ratha says:

    hi ACE
    although there has been profit and revenue growth of the company(freshtrop frutis) in last three years , the stocks ROE is not appealing and is around 10 percent . Do you believe there will be some sort of turnaround ?? Will it be a risky venture for Initiation at 68-70 range at a small quantiy ??

  86. Ravi says:

    Can you pls give your views on SIKA INTERPLANT (BSE 523606) ? I asked earlier also.

  87. srinivas says:

    Hello Ace ji,

    What is your view on distilleries stocks, most have them have very good book value and descent quarter results, there are few companies which have double the book value than the stock price, what do you think of this segment.

    Thanks,
    Srinivas

  88. Vijesh says:

    Hi aceinvestortrader,
    What’s you view on Hindustan Tin Works Ltd.
    Would be thankful for your opinion
    Warm Regards
    Vijesh

  89. Sagar says:

    Hi Ace,
    What is your opinion on Century Plywood? Its margins are expected to improve after GST and its first mover advantage in Malaysia. Also the prices of timber have been reduced in Malaysia. It is only competing with Green Ply in the organised sector(50% market share) and is performing better than it in terms of growth. The dividend payout too looks attractive. The share of organised sector too is increasing at 25%. Any suggestions?

    Thanks

  90. Noobtomarket says:

    what’s your opinion about 8kmiles software and Shriram Needle Bearings ?

    • 8k not at this price other not interested

      • Noobtomarket says:

        Thanks for giving advise on all queries. No other ever blogger does it . I recently had a big loss , now i am reshifting my portfolio . Could i Also Ask whether I should buy JBM Auto or V2 retail at this price ?
        I have Cupid,Freshtrop Fruit, Shilpi Cable, SMS Pharma, LLoyd Electric as main now. Rest all other stocks are in losses . I did not used to follow this blog when you recommnded Waterbase, So missed that opportunity .
        Also, could i get your opinion on Bilcare ? Sorry 4 asking so much .

  91. Karan Singh says:

    Sir .Why you are not giving any clear reply against questions related with balance sheet or financial ratios. Don’t you have an idea about such things. These type one word answers will not help the readers to take a fine decision.

  92. sanjeev jain says:

    sir kindly enlighten me on Accel Frontline Ltd(AFL) .This software company has recently been bought by Japaneses CAC Corporation .One concern is huge debt of 90-100 crores.Can we buy it for long term ?Also give your views on R systems International.
    rgds
    sanjeev jain

  93. DM says:

    Your views on Redington India?

  94. sanjeev jain says:

    sir give me advice on Sudarshan chemicals .The company has recently gone by split from Rs10 to Rs.1 and also 1:1 bonus .Is it long term good buy
    rgds
    sanjeev jain

  95. praveenks97 says:

    Hello AceIT , What about Nath-Bio Genes ?

  96. Kiran says:

    Hello Ace,

    What are your thoughts about Bodal Chemicals? Looks like turnaround story.

  97. Keerthy S Tharakan says:

    As in the case of personal life some promoters are sacrificing ethics in business for their own gain or company’s gain .What is your opinion in investing in companies owned by such promoters ?

  98. sravan says:

    Hi Ace, what is ur current update on waterbase, can i buy it at CMP ?

  99. MyInsignia says:

    Hi Ace,

    Does packaging company like mold-teck, polyplex , Hindustan tin are bound to have debt.
    Do you have debt free packaging company in “under research” section

    thanks

    • if there’s anything everybody will surely come to know. just because a company is debt free it does not mean its a great company to invest in. There are too many examples of it.

  100. sumesh says:

    hi whats ur views on brooks lab

  101. Darshan S. says:

    Dear Ace, What is your opinion about ‘India Bulls Wholesale’?

  102. sanjeev says:

    hello ace … can CERA and HAWKINS COOKER be bought at current market price?

  103. sam says:

    Hi Ace
    Whats your view on JSPL..i’m stuck at 450..any advice?
    Thanks

  104. Rahul says:

    Hi Ace,
    Whats your view on Essel Propack ?

  105. ravi multani says:

    hello ace
    i m planning to buy liberty shoes….recently u told tht its looking strong at 315… now it has come down to 302 level…can it b bought at current levels??..whts ur view

  106. Ankit says:

    hi ace, your views on talbros auto, munjal auto?

  107. Kiran says:

    Hi Ace,

    What do you think about Munjal Showa, Oriental Carbon and Alkyl Amines?

  108. srinivas says:

    ACE, your view on NEO CORP international??

  109. reddycv24 says:

    Sir,
    Your view on Indraprastha medical. Can I buy @CMP Rs. 53/- for six months view.

  110. Shubham says:

    Sir,
    What is your opinion on Rexnord Electronics and Controls Ltd.

  111. om says:

    KEEP EYE ON AXIS IT&T CAN BE HIDDEN GEM …. ACE PLAYER DOLLY KHANNA EYEING THAT STOCK

  112. Navin Sharma says:

    Ace, Your view on Eon Electric. can it be bought @ CMP?

  113. vithal says:

    Sir
    What is your view on datamatics global

  114. sam says:

    Hi Ace..your views on vikas wsp?

  115. anujpress24 says:

    Ace when can we expect ur next idea

  116. Rakesh says:

    ace. Whats your view on stylam laminates, vinyl chemicals, suven, and premco global at this level. Please advice

  117. kamal says:

    dear friend,
    any opinion on tv today and db corp,
    i understand both to have secular growth with decent management and good valuation.
    pl share

  118. Noobtomarket says:

    Sir, Recently some People I know are recommending SRS as a Multibagger . What are your views on it ? Is it better than SMS Pharma for long term ?

  119. a.p. says:

    Hello, dont you think singer india being an importer especially of durable products(almost all), without any hedge policy, is vulnerable to rupee depreciation which is likely as india is heavily dependent on imported crude in long term???

  120. Rishant says:

    ACE,
    did you get chance to attend Sharp India AGM today or any feedback from someone on future prospects?

  121. rashmi says:

    Hi ! Wud like to know ur views on sumedha fiscal.

  122. Rahul says:

    Ace whats your take on Indian Hotels and DCB bank.

  123. Anil Kumar says:

    Please give ur view on vipind

  124. sam says:

    Hi Ace,
    Your views on ybrant pls…specially the ride on lycos bus, seems like they are planning to go too far!!
    Though the company seems ok what do you think about the big future projected?

    Thanks

  125. Amar says:

    Ace please advise what should be the best bet among liberty, mirza and superhouse? Also what’s your view on snowman at 95.

  126. sam says:

    Thanks a lot Ace..it is always better to have different perspectives…i’ve made my positions in ybrant and have invested a very small part of my big profit for long term….
    Thanks a lot for looking into this..much appreciated..

  127. Amar says:

    Ace how do u rate technocrats industries?

  128. If you had to give a fair value to the stock in 3 years for now for Freshtrop, can you provide a ballpark?

  129. kushan says:

    How about the management? MD is getting older… Who is going to replace him? since you talked about 1st generation of leaders. I believes he has daughters and they have yet not joined the firm.

    • which company are you talking about ?

      • kushan says:

        Hi i am talking about Freshtrop Fruits… The MD of Freshtrop is old and he has two duaghters… Now what is the future of such management? What are your views on this

        • you know kishore biyani family tree ? it can either go that way or induct a professional management like infy did. He would definately not be interested in giving Freshtrop in hands of somebody whom he is not 100% sure about, its obvious. Personally, i am not too worried, it looks like a well oiled machinery.

  130. sowrabh says:

    hai…how do u think the company is looking to improve on its Q2 and Q3 results…do u think they have any strategy to boost the sales during these periods?

  131. ashish says:

    Any personal targets for q2? what are you aiming at, are PAT’s going to be positive this quarter ….?As an investor i was just working out a few combinations, do you see atleast 1cr in positive?

  132. ashish says:

    results on line with our expectations, topline growth 41% bottomline 30% (is that correct ace?) or 60%? as last quarter it was negative…what a turnaround story with dependable management,i think this will be a multibagger even from current levels for the long term

  133. Sir is it late to enter here or can I accumulate for long term??

  134. ashish says:

    ace, can you tell me what is the present debt of freshtrop fruits—it shows almost zero debt –short term borrowings at 80 lakhs only…..thats fantastic mate…did you notice that!!

  135. ashish says:

    against last quarter (q1) of 18.05 crores…..

  136. ashish says:

    by fy15 march this should be zero debt -right?

  137. what a great result:Sales are up 47% YoY from 5.7 Cr to 8.4 Cr. Operating profit has gone up from 30 Cr loss to 87 Cr Profit which is substantially huge.. Net profit goes up from 25 Cr loss to 29 Cr profit.. EPS has moved from -0.22 to 0.24..
    my question is at roughly around 120 have the good results been priced in or still would be cheap at this level?wat is the pe after results?

  138. ashish says:

    @ prasad since its a unique business , the markets may give it a higher rating…also as ace has pointed out that others in the same segment saddled with debt are quoting very high p/e.This may go ahead for another run near term

  139. ashish says:

    who knows -if jubilant food works can get a p/e of 75, this largest exporter of fruits atleast deserves a pe of 45?

  140. wow 45 pe that would be something!lets not get carried away,i think it would have to consistently deliver quarter after quarter year after year for that.ppl only look at price appreciation of winners like avanti feed and start to compare our fav small cap to that but few ppl know that avanti feeds has shown a cagr of almost 100% in turnover for the past 5 years! how many companies can try and show such growth

  141. ashish says:

    boss, i agree with your view, but i compared this stock with jubilant food works and not with avanti….this is the largest exporter of fruits which is listed in market, so it will get a higher pe rating,lets wait and who knows if it can continue with its growth rate

  142. OneFootHurdle says:

    Sir I found your blog recently, its wonderful and very well written, I have a few questions. 1. Where is it written in the annual report about pricing power? May be I missed it, i would reall appreciate your help. 2. Also where is it written that they intend to grow at 50% rate? I couldnt find that either.
    Thanks a lot

    • its there in the AR 14… search with numerical 50 or text 50

      • OneFootHurdle says:

        Thanks a lot, i see that now, Where are the comments about the margin sustainablity i still see them prone to competition.
        I also bought a bit of it luckliy a few months back, at that price no growth was factored in promotors were buying etc. so it was a simple decision. now i have to do some work to see if i should sell when the price has roughly tripled and its not so simple any more :(. Also if you see revenues havent gone up but margins have, given they supply to big businesses like supermarket wouldnt they try to get lower prices going forward?

      • OneFootHurdle says:

        i meant to say revenues have gone up but margins have not.. Now sure how to edit the previous comment

  143. OneFootHurdle says:

    i meant to say revenues have not gone up but margins have… Now sure how to edit the previous comment

    • ashish says:

      hope you did not sell, looks clearly heading to new highs, 200rs cant be ruled out if markets give support, lets see.

      • OneFootHurdle says:

        Come on Ashish, I understand stock prices are totally useless information if you are using that to justify the investment, All you can see is that a stock is cheap and hence buy and sell otherwise, it could very easily fall 50% and then will you say it was a bad decision? So far i am convinced enough to keep a small position in FreshTrop. But i dont think its very cheap to buy more. Also if i sold it and bought a much cheaper stock in the long term 2-3 year it should be more then fine.

  144. ayush says:

    considering its debt free status, food processing industry(other companies in the sector not only have a high pe but also heavy debt) it available very cheap…what makes you think its expensive at current price? A share eventually becomes a slave to its earnings……we all know that

  145. ayush says:

    management has given guidance of 50% bottom line and 30% topline, both at AGM and AR of 2014 ….if they walk the talk a 50% upside is definite.

    • just to add, whatever the company has told me so far, thats being proven to be true, so i would stand by the management as of now and therefore, my conviction is stronger.

      • ayush says:

        After a little research i found out that mangoes could be added from q1 next year(ban lifted on alphonso)…..food processing also to continue to grow –so lets hope ff gives us great returns

Comments are closed.