Vidhi Dyesstuff Manufacturing Ltd – The Mightiest In It’s Business !!


Background: Imagine world without color. Color is a part of everything in our life and touches our life in every way, especially food. Vidhi Dyestuffs Mfg. Ltd., is a leading manufacturer of Synthetic and Natural Food Grade Colours that brings this color to our life.

Introduction: The company, Vidhi Dyestuffs Mfg. Ltd is in the business of manufacturing Edible colors for Food, Confectionary, Beverage, Pet Food, Cosmetics, Health Care, Pharmaceutical industries etc. for 2 decades. It is the world’s largest listed company in the space and second largest in the world overall (after Roha Dyechem). The company is the only company in the listed space that is manufacturing all the permissible fourteen colors (unlike its other competitor which are producing just a handful) and therefore, has a more complete portfolio than anybody else. The company’s products are being distributed and consumed in over eighty countries across six continents. The company has been growing at a very brisk pace of sales topline 30% CAGR for last 5 yrs and bottomline has been growing at 66% during the same period, even the OPM has increased consistently over the last five years. The company is working on very high utilization rates and we should not be surprised if the company announces another round of expansion in near future. Promoters of the company hold more than 64% stake without any pledge. Given the lower crude prices and high utilization rates, the company’s input costs could decrease a lot giving further fillip to company’s profitability. For the crown of second largest producer of synthetic food colors the company is in competition with a US based company called Sensient Food Colors, while the largest being Roha Dyechem. We should be thankful to the compulsions of the Big guys that they are unable to keep companies below a certain market cap and below a certain price on their radar or else these GEMS would never be available this cheap.

Valuations: This small cap company with pricing power which has grown its topline at 30% CAGR and bottomline at more than 66% CAGR over the last five years with a remarkable dividend payout is available single digit PE. Notably the dividend is increasing every year and this year they have already paid an interim dividend of 25% (last year total was 40%). The company has healthy return ratios and is expected to maintain the growth rate. The debt is also decreasing since last few years is now just above 2cr. Given its huge stature in Food Colors industry and dominant position with all range of offerings, the company is distinctly undervalued.

Technicals: The stock is trading at life time highs and broke its multi-year consolidation a few weeks back on very strong volumes. Given the strong growth, increasing dividends and decreasing debt, the stock is expected to give multi-fold returns in coming times.

Note: A small cap with pricing power and with strong rising sales, improving operating margins, very good dividend payout and available at cheap valuations with a chance of strong PE re-rating is the right recipe for potential blockbuster multi-bagger and should be strongly considered as a core bet.

Disclaimer: No holding in the stock as of now, and it is safe to assume that I may or may not invest in future. Also, the above stock view is my personal view in individual capacity. For rest, please look at the About page.

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419 Responses to Vidhi Dyesstuff Manufacturing Ltd – The Mightiest In It’s Business !!

  1. Prem says:

    Thank you Ace….god bless

  2. Smit Jain says:

    Excellent, but you didn’t write anything about its listed bse competitor

    • i think its already written enough. vidhi is “way” ahead in its product portfolio and growth rate in last five years. Its always better to be with the leaders and especially when its available cheaper. By the way i discovered vidhi while researching dynemic🙂

  3. pradeep says:

    i guessed it right but not able to buy it due to continuous UC

  4. baba says:

    Hi Ace,
    The competitor Dynemic products always much strong than vidhi and available in single digit PE.
    In case of Dynemic promoters paid dividend of 1.5rs even when the share price is trading @ less than 15rs for the last 5 years.

    • no …dynemic’s product portfolio is way smaller than vidhi. also no matter what they did in the past, their dividend payout is not increasing inspite of higher profits. also, the growth rate of vidhi in last 5 yrs is way better than dynemic. its always better to be with the leaders than smaller player

      • baba says:

        Dynemic is opening one more plant at DAHEJ, to support future growth. That’s the reason they increased dividend slightly.
        If vidhi is having more product portfolio , then why cash flow generations always lesser than Dynemic products.

        • wait..we may be surprised to see capacity expansion of vidhi also…furthermore, vidhi manufactures ALL 14 COLOR and do you have any idea how many dynemic produces … would be shocked to know.. the cash flow is very good for vidhi…why you say its bad…and whatever they generate they distribute generously unlike dynemic… anyway my preference is a leader…if you like dynemic stick to it…no worries brother.. different views make a market🙂

  5. Tanuj Singh says:

    Hello Dear Ace Sir, I bought it today for long term….Thanks for your kind recommendation sir. ….
    Sir What are your views on Indosolar….

  6. swamy says:

    Till the other day(3 days back) they don’t have proper website ace, How come they host company website and you are referencing it in post. i am little surprised and be more suspicious on this ace

    • they always had… you were looking at the wrong website… go to your browser history and see, you must be seeing the website URL from moneycontrol…as usual moneycontrol cannot be trusted with its data…have told so many times…. please click on the URL from moneyctonrol and then compare its with the URL posted. Have faith my friend🙂 ….but its good that you asked this. God Bless

    • Prashant says:

      Dear Swamy,
      they has website for quiet a long time and its discussed in mmb also🙂

  7. Dinesh Agarwal says:

    how its single PE?
    currently its PE is 10.54
    and debt is also not decreasing.
    Debt in 2013 : 42.76
    Debt in 2014 : 43.50
    and its competitor has more sales turn over

  8. Tapas kumar says:

    Ace sir it was just a coincidence tht tody i buy at 18.80 rs. Holding for long term . No question to u abut it tht wht a target ,what wil i do if it fall. JUST HAVE RESPECT FOR U AND AS KNOW UR RECOMMENDATION ALWAYS ROCKS AND MORE THEN THT U EARN RESPECT FROM US WHICH IS LIKE GOLD. once again sir thnks and definetly we wil earn in short or long term .

  9. Jitesh says:

    My idiot broker dint let me buy @ 17.80 and the moment he was ready to buy this one, the stock was freezed on circuit😦😦

  10. Yash says:

    Thanks Ace got my quantity today,i was sure it was Vidhi dyestuff when you mentioned suplly to “Recession proof” sector which we all know is the food sector, i feel it has a huge potential and its not a 1-2 month play, give it some time and you will get the fruits. God bless you.

  11. sangram says:

    I am very surprised to read your disclamer

  12. akshay says:

    Hi ace,

    What impact do you see of the 1.5 month breakdown faced by the company on their bottomline?

    • no impact..actully that happened in sept start,and there also no impact was seen in the results.. also the company also maintains that….the breakdown was only in one line…so its taken care of…

  13. Aditya says:

    Hi Ace,

    Where can we get the details about the Vidhi being the world’s second largest company in this industry. Also where can we find the details that this one manufactures all the 14 permissible colors.

    “For the crown of second largest producer of synthetic food colors the company is in competition with a US based company called Sensient Food Colors” – Can this mean that Vidhi is currently not the second largest manufacturer of syn. dyes ?


  14. shreeux says:

    Hi Ace,
    Good Stuff.,but i don’t know what price i will get..!!!

    • buddy, but i had posted hints for people to get even better entry…but dont worry…. let it consolidate and enter whatevver price you feel comfortable

      • Prashant says:

        Dear ACEji,
        I was able to know its vidhi last week itself, but unless you mentioned officially I did not bought it .

        For me its doesn’t makes difference, I buy at 16 or 18 when future is so great .
        Thanks for finding such gems for us.

        Best regards,


    Thank you Aceji, God bless you.Bought at 18.9.Once again thanks a lot.

  16. hafizul09 says:

    GOD Bless you Ace ji……..Thanks a lot!!!!!!!!

    • hafizul09 says:

      After getting the notification of this new blog in my Gmail , i did the put the order of then CMP 18.88 but then saw it is increasing like anything…so i had to again modify the order and put the price 19.20 but fortunately i got @19.10……..Lets enjoy the ride now…Thanks a lot… i did not have fresh cash , i am going to sell Canara bank and IRB infra to provide the money to my broker…anyway , Thanks again……

  17. MyInsignia says:

    Hi Ace,

    With due respect to your research, Are the promoters trustworthy. I could not find any history of the promoters.


  18. Jyotir Bose says:

    Hi Sir , Thanks for the new stock

  19. Akshay says:

    prima corrected around 15 ruppes from its recent 52-week high…is it just a correction or something to worry about?

  20. M Prabhu says:

    Thanks ACE, Initially I was cracking other stock and asked you, you said no more information and answer will be revealed on this week monday only, however again you have revealed some more hints on the comments section to other followers which was really helpful to crack.. As my guts said it was surely Vidhi Dye Stuff,, I entered last week monday , it is good to know my answer was correct.and the stock in green. Thanks ACE again..

  21. Chirag Shah says:

    good to see Vidhi as the name… bought it at 10 bucks 3 months back… unfortunately not too much quantity though

  22. sam says:

    Hi Ace…whats your view on richa industries?

  23. sam says:

    any views on prima crashing down?? Doesn’t look like a normal correction!!

  24. jayprakash says:

    anything wrong with prima? down by more than 15%!

  25. sam says:

    Hi Ace…whats your view on richa industries?

  26. Mayur says:

    Ace, Any special for not holding Vidhi despite so many good things? Just curious to know, if you like to mention, though..

  27. niravkaria says:

    Sir can we add prima at CMP i.e. 58??

  28. Prem says:

    if any body left go and buy prima its really at very attractive level…….its a common sense.

  29. AJ says:

    Hi Ace,
    Whats your take on Titan Biotech, do you track it?

  30. amit says:

    liberty falling like a stone.down 30 percent from your september 315 price.though i believe nothing bad has happened.but i doubt calculations of reducing expenditure.the franchisee thing saving may be correct after merger.but how company will save 10 per cent in expenditure is not understood.can you please maximum this year profit will be 16 fy it will at max be 25 cr.if p/e is 25 then it will be 625 cr translating to price of 350 only.tell me if i am wrong in any assumption.till what price we can buy.i mean there has to be a limit.bata is 40 pe,relaxo is 35 p/e.same sector supar tannery having sales of 350 cr and np of 9 cr at 4 p/ much is rubber as their raw liberty more leather based or rubber.have seen that mayur uniquoters is supplier to them in big way.does crude play a role in artificial leather production.

    • can you please summarize the question… what exactly is the question here.

      • amit says:

        liberty is 20 percent of my portfolio,which is for long term 20 plus it safe to keep buying it at dips and till what level.

        • 20 yrs ?????? sorry i dont have a view like this as mentioned upteen number of times… anyways for the next few years i am pretty confident about liberty… normally as mentioned previously, averaging does not mean buying after every few % fall..its better to average after sizable decline. also as mentioned earlier 210-220 is a support zone technically.

  31. Prem says:

    Hello ACE sir need your views regarding salzer electronics ltd..

  32. Nikhil Biswas says:

    Dear Sir, I am relatively new to your blog.. Prima plastics is my first purchase.. Just want to understand what is your psychology or outlook when you propose an attractive company… Is it on the basis of a long term wherein we purchase a stock and forget about it for the next couple of years, wherein the profits double or triple or is it from the view of making a 20-30% profit within 1-2 months.. It would be nice if you could explain this to a novice like me who has just ventured into share market… I am asking this because i was making a very handsome profit on prima till thursday close.. in fact im still making a decent profit (full credit to you🙂 ).. So was wondering what our strategy should be with regards to our share purchase in general and prima in particular.. Thanks once again for ur views.. Whether profit or loss, a learning is definitely guaranteed!🙂

    • normally i like to invest for some years…and keep monitoring the business without getting swayed by prices… you may get short term profits but if you try to be in a hurry you may loose out on massive gains…

      • indianbull10 says:

        yes yes yes, totally agree, and hence i bought more V2 when it touched 41. Nothing changed business wise in V2 when it came down to 41 from 50. Am I right Ace?🙂

  33. vivek says:

    Dear Ace,
    your views on SRS ltd.

  34. Prem says:

    For salzer electronics ltd….need your views Ace

  35. AJ says:

    Dear Ace,
    Can you advice on Titan Biotech?

  36. kumargbn says:

    Hi Ace,

    I have started following you very recently. Thank you for helping us with your knowledge. I have a small clarification. In the debt of Vidhi Dyestuffs Manufacturing Ltd is shown as 42.44 cr and in money control the secured loan for march 2014 is 42.44 cr. But you have specified the debt as just above two crores. Please let me know where to get the exact numbers.

    Thank you again for suggesting the multi bagger stocks.


  37. Akshay says:

    what are your views on Daikaffil Chemicals India?

  38. dinesh jain says:

    Which one is good for long term Vidhi or Adi Finchem?

  39. Shiv says:

    Thanks a lot Ace. This surely will give multi fold returns if you have patience. Please let me know, future of Neo Corp International?? Looks very promising.

  40. amit says:

    how is meghmani organics

  41. Yash says:

    Ace sir,but you still have 6 months to comply with Sebi rules and regulations,i feel bad for you as you are not able to buy before reccomendation, i feel you can do it till the sebi deadline and should buy the stock till deadline of 30th June. Keep up the good work sir. Had a question? Since Vidhi is a leader in this segment with very few listed cos and in a business which is unique,what pe it couls command and re-rating could happen till what pe? You can avoid the question if you feel, My blessings always with you.

    • those rules are already in effect. the six month window is for registration modalities. starting 1st dec people who recommend stocks cannot trade in that stock for T-30 + T+5 days. PE could be anything…dont know..leaders normally command anything between 20-triple digit PE, but PE is always a function of too many variables.

  42. chaturvedi says:

    ha ha ha..laughing at myself – Aceji.
    Like you i found this stock while researching on dynemic.
    but i stopped my research after failing to find their website and ARs. Also, at the same time there was a news about breakdown in one of their units.
    could have caught it in single digits – had i persisted. persistence pays!
    btw, how do you say that it has pricing power?
    is it an inference from the financial data or your study from the main street?

  43. rajesh says:

    Nice move ace bhai releasing your picks during market hours so more n more people can get benefit of stocks.thanks any update u can share for cyber tech n wanbury investors.

  44. Divi says:


    I wanted to increase the stake in liberty and Avanti feeds..
    as both r corrected to some thing wrong with these which we do not know…

  45. Divi says:

    ok fine..
    liberty could be 3 to 4 bagger from CMP in next 15 months..

  46. Divi says:

    u mean..any chance of postponing restructuring …
    2 of their retail wings contracts ends by march 2015.Unless if extends thier contracts..then they have to merge into LSL.

  47. jignesh trivedi says:

    Your view in jbm auto

  48. Raju says:

    If you convinced then why you not buying the stock?

  49. suneel says:

    I thought Vidhi will be in UC today but it is down 5%. There are no buyers but one huge sell order pending for 1lach+ shares.

  50. Akshay says:

    what is the next support level for nse?

  51. niravkaria says:

    sir prima at 56. Is it buy at CMP.

  52. Meraj says:

    Hello Ace Sir,

    Due to increase in dollar rate all IT stocks are up but Cybertech has not increased.

  53. Tanuj Singh says:

    Dear Ace Sir..Vidhi Dyestuffs is in lower circuit…is there any bad news???
    Sir what are your views on SALZER ELECTRONIC LTD???

  54. Meraj says:

    Nifty breaking all important supports, what may be bottom?

  55. M Prabhu says:

    ACE, I thought Crude oil fall is the blessing for the countries like India and could not understand continuous market correction. of course do not bother market sentiment and focus will be in our portfolio stocks only… Did not book profit in any share till date for all entered stocks….unfortunately lost lots of profits i.e cupid, prima…. correction really testing the patience. Still I will not sell for short term.

    meanwhile I would like to have your view on the continuous overall market corrections

    • you have to think about selling sir… cant help you if you are in a habit of tracking prices so closely. please develop a strategy around investing/trading … and according to that strategy only you should sell/book profits.

      • M Prabhu says:

        Agree ACE, need to Change my strategy, nevertheless, this over all correction makes Lot of my watch list shares are in huge correction mode.. Still greediness make me to wait… what to say is it time to glad or sad…. I will take glad for the opportunist…

  56. vivek says:

    dear ace
    pls share your view on national fittings.

  57. sarvdeep123 says:


    What do you think about Milton Plastics?
    products are very good and people around me like the products.

  58. ace sir need your advice i want to shift some funds from some stocks and i have 2 stocks on my radar to invest waterbase and prima. which one should i buy. should i buy both or buy only prima

  59. sam says:

    prima has shown a great support at 56-57 levels…do you think nifty will correct further Ace?

  60. Mayur says:

    Ace, your views on – Godfrey Phillips India Limited – The Company with an annual turnover of approx Rs 4,220 crores (2013-14) has expanded business interests in tea, pan masala and confectionary…though it doesnt fall under your research criteria, would you like to share some thoughts?

  61. RightStock says:

    Dear ACE,

    1. Can I average Wanbury now?
    2. I have read in one of your comments to wait for cupid results before fresh entry. I have entered at 45 before reading the comment. Is it fine? (Sorry, I am not able to find updated comment on that)


    • if y ou are very convinced about wanbury, yes its at very attractive levels. also, cupid is fine, its just that people get very paranoid about price action. cupid as mentioned so many times i like it fundamentally, but did not appreciate it going down 41 rs…but again today it bounced on good volumes…fundamentally i re-iterate, i love what i know about cupid…. its still a wonderful stock but just start cribbing if theres any negative price action…if the business is fine, one should have confidence to ignore price action

  62. acefollower says:

    Sir, I want to invest to one stock. Please suggest which will be better for investment among vidhi, prima and cybertech.

    • very difficult question…all three are very good at current valuations .. you could probably split your money equally..or with prima and vidhi split equally at 40% each and rest 20% with cybertech…

  63. hafizul09 says:

    Ace ji…when is ur next investment idea will come out…any date or in which future week at least……….as i need to manage my funds accordingly for ur next investment idea………..ur view on Kellton tech will be appreciated….Thanks in advance!!!

  64. Altaf says:

    do you like sharan bio med & shilpa medicare ?

  65. Altaf says:

    why market is down today ?

  66. san says:

    bro your view on kellton tech

  67. Sameer says:

    Hi Ace, any views on Zenith Fibres?

  68. Abey says:

    Is arrow textile good for holding

  69. Abey says:

    View on eon electrials

  70. Abey says:

    View on claris lif

  71. Abey says:

    View on Indian hotel

  72. Abey says:

    View on tata global

  73. Abey says:

    View on gspl

  74. san says:

    Bro, your view on auto corp goa…..

  75. sridhar says:

    Hi, Following forum from couple of works , its really nice work done.But if it is ok should I as this and please be honest. I need suggestion on following stocks.Hit very badly but I can wait for 3 years and not issue.All these fall down 40-50% from my purchase. To start off with Unitech,gvk,parsvanth,indiabulls power,era infra(28-ready to die) and finally JP power.Please don’t discard and advise/share ur valuable input. I am ok to go for average for any stock specific.
    Please remember minimum 40-50% down on all stocks from my purchase price as I bought at very wrong time.

    • all the stocks which you have mentioned i do not like. it would not make sense for you to average in this. its better to get out and invest in high quality stocks. depending on your risk profile there are number of stocks you can choose to invest as mentioned in this blog.

  76. Joshua says:

    Hello Ace, your view on Ultramarine and Pigments.. Thx

  77. sir there is something cooking in cupid look at the outstanding buy orders of 1,65,384. probably there is something which the market knows and we don’t know

    • i dont know but we always knew its a good stock, isnt it? that’s why i keep on saying dont look at prices alone. price action made investors beleive that cupid is useless and same thing is making cupid look interesting now. furthermore, the stock has bounced back from decent support levels and more importantly is now above the support levels that i personally beleive is very important.

  78. rags says:

    Hi Ace, ur views on Aksh optifiber ?

  79. rags says:

    if i have to choose between sterlite technology and Aksh, which one looks better from fundamentals standpoint ?

    • sterlite is still better…

    • M Prabhu says:

      Mr Rag,

      Incase you would have to choose the company of Fiber Optic Cables, it my feel to select sterlite compare to Aksh…. Aksh may be looked at cheaper price, however it is mostly driven by operators, I hold for six months and got out with loss and entered with the better stocks suggested in this blog. it is in green now… take your decision accordingly…

  80. Suneetha says:

    Is there any chance of nifty Correcting to 6500 ? why because Rounding Bottom breakout happened above 6500 and also All Time High Breakout 6500, this may act as Strong support on deep corrections if at all happens ! Plz share Posiible Scenario ? 7700 or 6500 ? so that we can plan Money management !!!
    I invested 50% in Frestrop[114],Prima[58],Simmonds[66],Cybertech[51][Sharonbio[63],Wanbury[48],Waterbase[52],SKMegg[90],
    Libertyshoes[214],Allcargo[315] Cupid[42] VidhiDye[19.30] with overall portfolio 15% down ! Waiting to invest remaining 50% ! Plz suggest !

    • not sure whether you invest as soon as the names are declared or you try to invest when they have already doubled … as otherwise your portfolio would be multibagger even with wanbury and cybertech included. anyways, AS OF NOW, 7600-7700 would be a very strong support..i dont see 6500 coming so easily …so as of now 6500, is not visible to me as 7600-7700 is very strong support… also, if you want to average, it may now be a good opportunity …waterbase has a strong support around 45-51 as mentioned earlier, vidhi is at “very attractive” levels now…prima is also doing great… if its a long term portfolio now may be a good time to nibble a bit

  81. amit says:

    Sir it’s gud to buy vidhi dye, skm egg product and luminaire tech at current price…

  82. amit says:

    Sir ur suggestion on suryalata spng and suryalakshmi cotton mill…

  83. jayprakash says:

    Ace, Pls share ur views on Kesar Terminals. Thanks

  84. Shiny says:

    Can we get to hear your new stock on 23rd dec

  85. niravkaria says:

    Sir how much down Prima and SKM Eggs can go. Today Prima broke the resistance level of 55. Just for Information when you think this start its upwards journey.

  86. MyInsignia says:

    Hi Ace, can you please share you money control ID. there are 100s of aceinvestor on MMB

  87. Jathin says:

    Hi Ace,
    Your views on Balasore Alloys and Indian Acrylics?

  88. Nagesh Rao says:

    Hi Ace,

    What do you think about Daikaffil Chemicals India Ltd ??

  89. hafizul09 says:

    Ace ji…i can see many people asking you regarding many stocks , so i thought let me also ask you about some stocks.. :)…ur view on Brooks Lab and Sankhya infotech and Prakash constrowell please……..Thanks….

  90. Mayur says:

    Hi, is there still any involvement of TPG capital and Shriram group in V2 or was it for Vishal megamart in the past..and now no role in V2? can you pls throw some lights..

    • as far as i know no role of TPG in v2.

      • indianbull10 says:

        Ace, I sent an email to these ids requesting clarification about the article on V2 Retail,,
        link to article

      • indianbull10 says:


        I am an individual investor in V2 Retail and have just gone through your article on TPG and its investment into Vishal (V2 retail). Here is the link for the same:

        I find several factual errors in the same for which I request a clarification.

        1. Though substantial capital has been invested in V2 Retail since 2011 (TPG does not wish to divulge the amount), the private equity firm is optimistic about the apparel chain’s future.

        Query: I checked the shareholding pattern of V2 retail as on September 30, 2014 filed with the exchanges and TPG is not listed as having any shareholding in V2 Retail. Can you please elaborate on this.

        2. But first, they had to prune it: The investors shut down about 28 loss-making stores, reducing the number of V2 Retail outlets to 120 (from 148). No new outlets were opened for 18 months.

        Query: V2 Retail does not have 120 stores as per the company details. It has hardly 16 stores. Can you please confirm on the same.

        3. In 2011, TPG Capital and the Shriram Group took operational control of a debt-ridden apparel chain, Vishal Retail Ltd, now called V2 Retail. It took them three years to turn the Delhi-based company into a profit-making entity. They achieved this on the back of a restructuring strategy, which included rationalisation of store sizes, low-cost sourcing and handpicking store locations in tier-2 and -3 cities where the retailer could operate in a near monopoly.

        Query: TPG and Shriram purchased the assets of erstwhile Vishal Retail.
        Subsequently the then chairman Ram Chandra Agarwal renamed Vishal Retail to V2 Retail. What is the relationship of TPG with the rechristened V2 Retail. Above it is claimed that TPG and Shriram have operational control over V2 Retail.

        As a shareholder I am concerned about this. I request your clarifications on the above. The article was by Deepti Chaudhary. This raises serious Corporate Governance issues as none of this is transparent to the minority shareholders.
        Request your early clarification on the same.

  91. vivek says:

    dear ace,
    share your view on avt natural products and r systems int.

  92. amit says:

    is liberty a buy at 200.210 is also your calculation you had taken premise based on MD interview that there will be 10 percent reduction in cost of correct this thesis can be.on what basis this cost of production will decrease.what are chances that market may give it a 20 p/e only if growth doesnt come

  93. prateek says:

    Ace sir,
    As the market is bleeding now a days & providing a good opportunity to enter.Should i average my current stocks or should i buy new one’s which are in my radar list.I am in big dilemma please help????

  94. sangram says:

    I wanted to average out stocks from this blog but my emotions are not making me to buy because most of the stock except cybertech are trading way above my initial acquisition price( credit goes for you). Just now I am starting nibling on vidhi and liberty. I want to buy simmonds but I am not getting any bargain price.IMHO this will be the one of the fastest bouncing stock (technically). Anyways my question was which is your most wanted stock in your buying list in current fall and would suggest me for?

    • unfortunately i cannot do portfolio management for people… you have to do it yourself. a lot of stocks are available at solid valuations…you should take a pick… what are your choices ?

      • sangram says:

        I like Simmonds a lot,sharp India and salzer as make in India noise is getting stronger. My favourite is freshtrop fruits. Is it adviceable to add freshtrop at camp. As my initial price is way lower.

        • add freshtrop at declines hopefully….if you are very convinced and dont want to miss any opportunity you may buy now….in investing the initial purchase price never matters…what matters is the relative returns from today… god bless

  95. niravkaria says:

    For Prima what should be the line of action at current level considering one has more than 30% of prima in his portfolio at average price of Rs.63/-. Really require your view Ace sir.

  96. Shobhit says:

    Dear ACE, whats your view on Tata Metaliks?

  97. Nevil Johnson says:

    Pls say your opinion on Kesar Terminals….sorry bcoz I Havn’t found your words about KT

  98. Abey says:

    Advice on tayo rolls

  99. Vijay says:

    Dear Ace, Could you please let me know if Tata Elxsi is a worthy stock and if its current price of 560 is ok for it to be a multibagger


  100. sir there is something seriously cooking in cupid look at the pending buy order they are increasing day by day today its nearly 2.6% of companies equity capital. probably market knows something really good which we don’t know

  101. suneel says:

    Dear Ace, Can you share your views on Paushak Ltd?

  102. Vandana says:

    Hello Ace!

    Are you still +Ve on Archid Ply and Action Construction?

  103. kumargbn says:

    Hi Ace,

    Could you please share ur views about Ujaas energy and Indosolar.
    Both are in solar segment and as Govt is keen on renewable power is it good long term bet.


  104. niravkaria says:

    sir your view on nilkamal and IKF Finance pls.

  105. pruthvi says:

    pls introduce the hints of next gem before week end

  106. vivek says:

    dear ace,
    share your view on avt natural products and r systems int. pls……..

  107. anita says:

    sir your view on sks microfinance. purchase price 180. may i book profit? thank you.

  108. anjum vohra says:

    Dear Ace,your favourite Liberty Shoes on 20% upper circuit,congrats to ur conviction!!!

  109. MyInsignia says:

    my question on waterbase – Though the sales has increased YOY but the cash from operation this year has come down drastically from 11.25 to 2.53 cr. Are they selling too much on credits …

  110. Smit Jain says:


  111. Divi says:


    Liberty locked in UC..
    luckly I hhave bought heavily @201…
    any restructuring news or is it because of value buying

  112. sam says:

    Hi Ace..your views on sunil healthcare?

  113. Rohit Gulati says:

    Dear Ace,
    I have lost heavily in Cyber, down by 42% from my entry price.Would you suggest to book losses and invest in Prima instead?

    • how did you loose? have you booked out ?

    • M Prabhu says:

      Dear Mr Rohit, Lot of Ace Investors including myself entered at the same price level of yours and everyone feel the tentative negative in Portfolio…As you read in the ACE Article as per their Annual report, recently added almost more than half (250 Employees) of the existing manpower 450 Employees with an additional floor space… Even Logically thought, no company augment the manpower without the business orders and potential requirement ahead… The correction happened because of over expectation in the last quarter result, it is almost settled now , so this is not the time to exit…if you really convinced on the Cyber tech business potential…have a patience….Give a some time….. to my feel no need to jerk on the notional losses reflecting in the portfolio… even then if you want to change to Prima which will be in your own decision…

  114. Rohit Gulati says:

    No,not yet sold…..Since Prima is strong and Cyber still in downward trend,thot if its wise to switch!

  115. AJ says:

    How do you rate MPS Limited?

  116. M Prabhu says:

    ACE, Even though I cannot be expert like you, some how having the feeling that the opinion can be exchanged of the followers query…do you agree to do in this blog…

  117. Jathin says:

    Hi Ace,
    Your views on Ultramarine & Pigments Ltd and Taneja Aerospace and Aviation?

  118. MyInsignia says:

    Hi Ace,

    Now that the GST bill is through. Do you see new highs for V2 retail.

  119. Hi ace, if I hav to choose one stock between VIDHI & SALZER , which one should i choose?

  120. Abey says:

    Advice on tv18

  121. Abey says:

    Advice me on NIIT

  122. Ravi multani says:

    hello ace
    bought good quantity of prima yesterday and today……I think it has filled the vacuum which was created from 46 to 74….good chance of prima to make new high from this level…what’s your view…

  123. Rajesh Kumar says:

    What are your views for monthly SIP of Rs 5000/- each in Granules India, Suven life, SPARC for next 8-10 years?. Plz reply because there are so many investors like me who are unable to commit lumpsum amount . Plz try to write your thoughts for investors who are able to spare 5-10000 pm only. Advice some very good stocks which can give 25-30% annual return & can multiply wealth in SIP. Regards

  124. sangram says:

    Looks like Russia is going to permit seafood and eggs from India. Good news for skm and water base. Messages you the link on fb messenger

  125. amit says:

    Is it gud to invest in sanghi ind, snowman log, ashok Leyland at current price…

  126. amit says:

    Vidhi Dyestuffs at current price for short term gud to buy?

  127. amit says:

    how is control print,super tannery,amarjothi spin

  128. Vasim says:

    Hi Sir,

    During last five years Net Profit grew from 1.62cr (Mar 09) to 5.9cr (Mar 14), this results to a CAGR of 29.81%. How did we arrive at 66%. Am I missing something or wrong calculation.


  129. Ravi says:

    Ace Sir,
    Vidhi – Face Value Re.1/-, so is it not highly priced now?
    Also, in today’s Business news it is reported “Rosselkhoznadzor has approved meat and egg imports from five Indian companies …….In the last few months, Rosselkhoznadzor has approved beef imports from four Indian companies, and egg imports from SKM Egg Products Export (India) Limited”. So, how u say it is one year old news ?

  130. J Gopal says:


    What’s your view on Tyche Industries ?


  131. Dinesh Agarwal says:

    pls give view on Vinyl chemicals?

  132. AJ says:

    when is your next post coming? Also, for Wanbury, do you foresee any further impact in the next quarterly result on account of losses from the foreign subsidiary?

  133. Vanadana says:

    Hello ACE!
    Does PEL Semiconductor Ltd sound nice, i am holding it, should i hold or sell, please suggest?

  134. Jitesh says:

    dear ace…wanbury has shaken all my trust…i m at 48% loss…any change in perception/thoughts for wanbury from your side as well? All i am hoping if i can get my holding price atleast and then i will move out I am ready to hold this for some more time if that can help to cover my loss?

    • no change in perception. as mentioned in the stock story it was for high risk takers. If i was not hopeful of recovery why would i consider the stock good, but the balance sheet clean up was a new but welcome move. stocks dont go up every time they move around. did you mail the company about the doubts and questions about the results?

    • Salim Khan says:

      Boss. the remaining 52% is intact right. Why are you worried? Don’t be greedy.

  135. Mayur says:

    Ace, any idea what kind of results are expected from Prima in coming quarter – good / excellent / outstanding? what your gut feeling says?

  136. jayprakash says:

    pls share ur views on Narmada Gelatines. Thanks

  137. Dear Ace Sir,
    Can you view Tanla and Logix Micro? And will be good if you can share your impression.

    Vinod BR

  138. RightStock says:

    Dear Ace,

    What’s your views on Rohit Ferrotech. I understand its having a huge debt. The following are my points to consider.
    1) It trades at a huge discount to the Book value (So considering there is a margin of safety).
    2) On debt: It has successfully got the approval for the CDR. Most of the debt is used for its Captive Power Plant (40+ crores is currently spent on power).
    3) Its loss making because of its cyclical nature (But with increase in revenue).
    4) Noted most of the expenditure is on raw materials, but there has been cost saving measures by the company (by implementing the ERP)
    5) Good promoter holding (75%)
    6) Coal blocks in Indonesia.

    Assuming the local demand increasing with the new governments actions, and supported by the softness in the crude price which would reduce input costs (please correct if I am wrong) I am expecting a turnaround in another two years.

    Kindly let me know your views in detail. Thanks in advance.

  139. arjun says:

    Do you like Gujarat Automotive Gears Ltd. at CMP?

  140. Mohan says:

    Can we invest in Ajantha Pharma, if yes, at what price.
    Can we invest in PNB, if yes what price.

  141. pruthvi says:

    sir, awaiting for your next gem hints.
    hope we will get it tomorrow.

  142. sunil says:

    sir your view on sks microfinance. thanks

  143. sangram says:

    This query is not related to any stocks from your blog. I just wanted to know about nilkamal. Do you think they are turning there business around. Promoters are also on buying spree. Ace investor also holding this company. As it is one of largest plastic furniture maker in Asia. Which doesn’t signifies this market cap.i know you are very interested in prima . I hold both of them as major portion of portfolio.

    • sangram says:

      Sorry forget to specify the name I.e. dolly khanna

    • their retail business is a real drag on their overall business and that’s my main concern. its been guzzling cash at an alarming rate and that’s what i am very uncomfortable about. had it been just a plastic company i would have been ok, but not in the current setup. Ofcourse, needless to say i like prima much better

      • sangram says:

        According to a research report by Jignesh Kamani of Nirmal Bang, Nilkamal has decided to go slow in @Home business and may even look at divesting its stake also to focus on its core business.

  144. Hi Ace, what is the update on SKM on russia mkt entry. Is it a positive news for SKM..?

  145. Chandrashekara says:

    Dear Ace,
    Do you think can Amtek India Ltd be a good bet for long term investors? Any views on Amtek India Ltd ?

  146. Divi says:

    this is regarding Kitex garments…

    management said that KCLwill be merged with KGL..and both r having almost same turnover..
    if they merge it its eps will be 4 fold by FY16.if they do not increae share capital.
    but my question will they increase share capital when it get merged with KGL.if share capital increases then we will not get eps gets diluted..

    • if the “paid up” equity capital increases then only eps dilution would happen. The scheme of arrangement document would detail all this. That’s the most authentic document and it should put rest to all the speculation

  147. nirav karia says:

    If amount wise nilkamal n prima are there in portfolio then what to do. Shift to prima or hold nilkamal. Thanks

  148. amit says:

    how is plastiblends.they make masterbatches for plastic companies.if plastic companies doing well then it should also do such very few listed companies doing this

  149. Hi ace, we are eagerly awaiting your next reco. pl tell us when it is coming & will it be a quiz again?

  150. pradeep says:

    hope u’ll publish the next puzzle today..,so that u’ll give atleast a day time to guess.

  151. amit says:

    Sir can I invest in vidhi at present level..may I know the target of one year…

    • ofcourse, this is a wonderful business. if you are and old reader you should be knowing i dont give any targets as i do not believe in that theory.

      • amit says:

        I’m new here ….as i invested in vidhi around 19 huge quantity I’m little worried as it going down….

        • amit, its not even 10% down and you are feeling the jitters. in small caps this kind of volatility is fine. the company has already given 15% return since recommendation which is great. even though your purchase price is higher but in real context its still very cheap. the stock is pretty good and i would suggest you to research more if you are feeling nervous. stay invested only if you yourself are convinced.

  152. Milind Paradkar says:

    Hi Ace,

    You said a debt of 2Cr, but I notice the dbt is around 42Cr from their annual report. Did you miss or am I missing something? Thank you.


  153. Milind Paradkar says:

    Sorry Ace! I found the answer from your reply above. Thanks!

  154. AJITH says:

    I entered Vidhi yesterday at around 19.6 .. I read your blog, shared your vision and have loaded myself.

  155. vinod says:

    Dear Ace,
    Bought 2500 scrips at 18.50 of Vidhi today. After tracking it for almost one month.
    Purely for long term – no question in that.

  156. ..pd.. says:

    Hello Ace,

    I downloaded last annual report but it seems to be corrupted. I have tried to open it in all possible pdf viewers. Do I have any other way to get it? I also tried to mail them asking about their ‘largest manufacturer’ crown claim and about the AR, but the mail is getting failed.

  157. AJITH says:


    I just did a quick comparison on list of products excluding blends and natural colours between Vidhi(V) and Dynemic(D). I have mentioned the number of products by classification below.

    For eg: V14 means Vidhi 14 products under Synthetic water soluble colour.

    a. Synthetic Water soluble colour – V14 and D16
    b. Lakes – V14 and D11
    c.FD&C certified – 6each
    d.FD&C certified Lakes – V6, D0
    e. D&C colours -V4 and D6
    f.Dyes Intermediates – D3
    g.Salt Free Dyes – D17.

    Total – V 43 and D 69..

    Looks Dynemic has more products than Vidhi. Further, in Annual report i note that Vidhi has mentioned always 3 industries (Food, beverage and Pharma), However, Dynemic has more application. There is no way to confirm.. HOwever, thought will let u know

    • there are 14 approved food colors and dynemic does not have approval of more than 2-3. please check with EFSA if required . also dynemic is more than food colors. its a lot into dyes inter and speciality chemicals also other than food colors. please do not just go by what’s printed on the dynemic website, talk to people and verify the fact will help better. God Bless

  158. AJITH says:

    Hi One more question, it is said that Sensient and Vidhi are 2nd largest producers. I went through the Sensient financials and they have approximately USD 400mn sales from Colours. Can you confirm if i am seeing the right thing.

    • actully the largest producer is roha and second position is always a tussle between sensient and vidhi, sometimes vidhi is number two sometimes sensient. also its not just total company revenue, but the range of food colors and approvals for them also matters when considering size …furthermore, sensient’s color business is not just esfa approved food colors but include all types of color business. Would help if you connect with them or talk to vidhi also.

  159. Sai says:


    Can we buy vidhi at current levels of 20? I was waiting for a chance of getting it around 14 levels but has reversed after reaching 16 levels. Also can you suggest what could be target for short/medium and long term?


    • people who do not have conviction keep waiting for levels to come which may or may not come and for a possible 10-15% wishful downside they are ready to forego 2X-5X … returns which is rather unfortunate. I do not see a reason why vidhi should not be bought at present levels…ofcourse you yourself have to be convinced because conviction gives peace of mind at the time of volatility.

  160. Sai says:

    Its not about getting convinced about the stock. If i get at a bargained price, then i can add much quantity to the sum i have planned to invest. Still i feel it may correct with the way market moving. I added few quantities and will get some more as and when there is a fall. Cheers.

  161. Ajith K G says:

    Hi how is this company different from kelkar, camphor and allied products??

  162. Manish says:

    So what I got u bit lately but the perfect one….:)

  163. Rahul Agarwal says:

    How far ahead is Vidhi from Dynemic. From my perspective both are of almost equal size, if you remove traded sales from Vidhi numbers. I guess you also know what does traded sale of Vidhi represent.

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