Singer India – Result Update !!!

Singer India

Singer india posted good set of numbers. Most encouraging has been growth of consumer durables which seems to be growing fast compounded with a strong and sound balance sheet.

God Bless !!!

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151 Responses to Singer India – Result Update !!!

  1. Akshay says:

    thanks for the update

  2. Ashutosh Sharnjay says:


  3. bingo says:

    sir now looking to take a plunge in Shri keshav cements…

  4. Rishu says:

    Ace,what’s your take on the fall of the price of Deccan Gold.I could not find out any reason for its also it is at lower circuit.

  5. ekb says:

    sir what’s your take on sequent scientific…

  6. rcpt says:

    On Singer, would you know what percentage of their sales is consumer appliances ?
    & do you see margins improving
    God Bless

  7. zubin says:


    Pl share your expert views on …. Astec life science takeover by Godrej Agrovet Limited

    – promoters have agreed to sell 45.29% of the current paid-up equity shares at a price of Rs. 190 per share to GAVL ….. This is at discount to cmp (240). Why would someone do that in a bull market. Promoters had 54% of their stake as pledged but …. or does this mean promoters no longer see potential. What is your opinion\analysis of this scenario.

    • well, a lot of promoters do it. its not uncommon. according to what i saw on tv, apparently promoters had come out with this deal based on mar 15 earnings and after that the results have been good which was priced in the stock price. now i dont know whether it is true or not though.

      • zubin says:

        Thanks Ace. Probably there is more to it that what seems on the face of numbers displayed. But from shareholders perspective, this should be positive development – strong\deep pocket promoters taking over. Also Balram Singh Yadav, MD, Godrej Agrovet, said that they will retain the current management.

        So overall looks fine and the company can expect better days ahead.

  8. Suneetha says:

    Plz share your view on Transport Corp of India, NIIT Ltd, Thanks in advance !

  9. hardyboy says:

    sir what u dont like about bike hospitality,their buisness model or promoters or overvaluation

    • there are several…let me ask you why do you like it?

      • hardyboy says:

        1. byke hospitality has asset light model.
        2.good numbers and ratios.negligible debt.
        3. i could get to speak to md easily two times and clear all my doubts.
        4. they have a moat.only company which buys rooms in select locations for a period and sells through 200 plus agents.
        5.good growth plans through internal accruals only.
        6. they cater for MICE segement.
        7. only vegetarian food served in all their locations.this attracts lot of domestic tourists.
        8.planning to come in 8-9 new locations
        9.they lease a hotel,renovate it for 3-4 cr.break even in first year.their lease3s are for 10 yrs plus.this improves their roce.
        10. now getting into wedding plannings.
        11.hotel reviews not great as yet but get good income from food and beverages.
        12. gst will help them a lot.
        13. lot of positive takeaways from their recent concall 31 jul 15.m cap is also 600cr only
        14. i was very impressed by getting through to their MD so easily.
        15. related party transaction not much.remuneration management is also normal.
        16. request any red flags from your side which i may have missed

        • first of all let’s not call point 4 a moat… and its important to note that ICRA suspended its credit rating due to lack of information sharing from the company to ICRA. This is a huge issue. Its nice to know that your interaction with the company was smooth because i had a very different experience when i was into it. Furthermore, as you rightly pointed out their properties are not good at all (first hand experience) hence, this explains the reviews. So after all this and especially the scuttlebutt, i am no more interested in the company though this should not stop anyone else to take a call on this. Now at these valuations especially with ICRA rating suspension, investor’s should be 110% sure of their investment thesis before taking a call. God Bless

  10. Purshotam says:

    Thanks for the update.

  11. RISHU says:

    Dear Ace, should we buy deccan gold to the maximum capacity so as to get full benefit of R.I or should we buy in SIP Form.ALSO what could be the reason for promoter selling and not subscribing to R.I at huge discount. Don’t u feel this will shake the investor’s confidence.

    • its up to you what to do with your money but to be eligible for rights, one needs to posses the shares on the record date. promoters have been selling the shares for last couple of yrs nothing new and they have not sold whole lot. Yes, ideally they should have subscribed, but there could be several reasons for not subscribing.

  12. Satheesh says:

    Please share your view pennar ind & PFS

  13. bingo says:

    sir, when is the AGM of mangalam?

  14. ace sir freshtrop has started selling a new product under fresh cut ( ready to eat) segment
    Pomegranate Arils – Ready to Eat!
    Availability: 52-Weeks!
    this will improve sales and profits of the company for the full year

  15. i think sir this is a great move by the management as this indicates they are now focusing on products which are sold throughout the year, if they can come up with 2 or 3 more products like that than the tag of seasonality of the business will be removed a bit.

  16. hafizul09 says:

    Ace ji—complete bloodbath both in Dalal Street and portfolio——-where do u think NIFTY will settle—–7500? or less than that—looking scary—-

    • stop watching tv for a couple of months and if you have cash then buy more if your price comes.. nifty is not the portfolio right… and individual stocks are doing well… nifty can ofcourse go down more but that should be a good opportunity in individual stocks.

      • hafizul09 says:

        In office now, so no tv but yes was seeing in internet occasionally—–yes, wish i had some free cash—-seeing good stocks tanking but not able to buy——anyway hopefully market stabilizes as soon as possible so that individual stock can go high(if markets is crashing , it will force all shares to go down—-sentiment.. πŸ™‚ )–anyway Thanks.

        • if the markets are not going down in one direction then not all stocks go down.

          • hafizul09 says:

            Yeah, there might be some exceptions but then that is very less and overall portfolio is down very much—–with GDP growth 7% which is less than expectation of 7.5 our defensive RBI government should cut the rate before the policy review scheduled on Sept 29—and i expect him to cut this before that date by 25 bps at least—lets see—-if we compare the borrowing cost with USA(near zero), China(around 4%), India is having very high rate of 7.35%……this must be reduced——then only the investment will pick up and economy will grow—-

            • hafizul09 says:

              ooppss type: current repo rate in India : 7.25% not 7.35%

            • if rate cuts had such strong co-relation to growth then china would not be de-growing despite multiple rate cuts.anyways i am not an economist, but i feel that we have a world class brain managing things for us in the best central bank in the world i.e RBI so really not worried on this part. I trust his instincts more than my own

              • hafizul09 says:

                Yeah agree—-Rajan ji has good knowledge and he is doing well , however for the growth to pick up, investment needs to be picked up which will be possible if cost of borrowing is reduced——China has many other problems which India does not have—-Fiscal deficit, CAD, Inflation, govt, public spending opportunity etc. are good in India—–latest data is showing that consumer demand is also growing due to low inflation which is a very good sign——so India is very well poised for good consistent growth , however investment must pick up——-

                Regarding stock market reaction to positive/negative movement of global countries——recently SENSEX,NIFTY is crashing due to China stock market is crashing—but when China market was flying in last 1 year up to 2-3 month before(before starting correcting) and went up some around 60%(which is HUGE compared to India has 16% upside that time and on todays date SENSEX and NIFTY is giving negative return in last 1 year but after so much crash in China, still Shanghai Composite is up by some 30-35%) then India was not flying—–now China is crashing , SENSEX, NIFTY are crashing—–

                My point is when SENSEX,NIFTY did not follow China market when it went up then why its following when its crashing—-I understand China economy is not in good situation now but stock market is crashing not only because its economy slowdown , rather its because it went up by odd 60% and FIIs are booking profit well before economy actually falters——–China market should not have gone up so much(60%) at first place, the up movement was not justified at all———also I was very much surprised to see US market crashing by 4% on that Black Friday considering the market participants are more knowledgeable there——it did overreact on China’s Yuan devaluation——-

                Also US market went down by 4% but SENSEX, NIFTY went down by 6%, but when US market recovered by 4% and China market went up by 5.5%, our SENSEX went up only by 2%(on last Thursday)—–so SENSEX,NIFTY is not going up by same %, its going up by les %(underperforming global market) BUT when coming down , its coming down more % than others(again underperforming global market)——ur input pls on this matter as why India is underperforming global market when Economic conditions are much better in India than those countries——

                Thanks in advance!!!

              • developing markets are expected to outperform both on downside and upside. actually india has done way better than almost any developing market be it russia, Indonesia,taiwan,brazil etc etc. Markets went down because of the unknown china affect… devaluation was just a start and this proved that the problems are for real in china but unfortunately, noone knows anything about china. chinese economy is such a close guarded monster and this is what making markets world over nervous. in any case, our markets were looking for a reason to correct and they did. 20% correction can come anytime in a bull market..even 30% can come. so not really worried. rather i am very happy that finally we are getting so many ideas on good valuations now.

  17. Sujjit says:

    Dear Ace,

    I have been going through all of your research and suggestions here in this blog and appreciate all your great efforts. But, I would like to tell you one thing, but it is my humble opinion only, if anyone asks about detail about any company, just give as always you do like “decent” “not keen on it”, etc, instead of asking them to search blog. Just a single word is enough for them. As I said, it is just my request. Please continue the great work. God bless..!!

  18. Rishu says:

    Ace,where do u think the fall in deccan gold will stop.i was expecting good buying in it so that one would be eligible for R.I,but its happening exactly reverse of it.Isn’t it giving indications that investors are not ready to subscribe it.

    • its your opinion not mine. people are also selling nifty does not mean nifty is useless…. up and down is part of life, and as mentioned in the stock story its not for everyday vigil and one should invest “only” if one has multi year horizon.

  19. Ramesh Patel says:

    Ace sir,
    Your view on Kanoria Chemicals please… I came to know that company is changing its product line with more focus on speciality chemicals.

  20. Ganeshan Babu says:

    Dear Ace,Pl let me have your view on Nitin spinners and Damodar industries

  21. sparsh says:

    Dear Sir,

    Your views in thirumalai chemicals. tried searching your blog but couldnt find.

    Many thanks.

      • sparsh says:

        may i know the reason why – is it due to too many options available or it does not pass through your filters. reason why I am asking is so as to learn.

        It seems to be a very good investment and if you find it appropriate, I would want to give you my reasons to invest and would request you to give your counter points. But in case you just dont track it, we will leave the topic.

        many thanks.

  22. sparsh says:

    thank you for the opportunity; following are the points:

    1. Co.’s chemical business seems to be impacted from the international crude prices. Lower prices seem to reduce the inventory costs and squeeze margins. yr 2013-14 saw huge volatility and subsequent fall in prices, denting co.’s profits and margins. still co. managed to make some profits due to increased efficiencies in management, inventory and working capital mngmt.
    2. As a result of the said efficiencies, the co. has seen turnarnd as seen from the past qtrs – march and june, wherein they made more profit than the whole of last yr. This time Co. has also been able to better manage the volatility and low crude prices, as is evident from the results.
    3. Co. has been consistently reducing its debt. Total debt has reduced from 400 cr to 130 cr in past 4 years. Of this long term debt has been reduced from 200cr to 67 cr in past 3 yrs alone. This signifies healthy cash flows, profitability and reduced finance costs.
    4. Co. has seen encouraging results from sales of alternate and derivative chemical products in the domestic market – sales are already 100cr and expected to cont at significant rate.
    5. Co. has a Malaysian subsidiary which was expanding and renovating – on internal accruals. It is already working on full capacity and has sales of USD 27million, but had a loss of 3.2 million due to modernisation and all. Minus such expenditure in future Co. foresees healthy profits.
    6. Co. has been known to incorporate technological advances since 1980’s and has a reputation for its products internationally.
    7. Has been paying consistent and healthy dividends. Presently aprrox. 2% div. yield.
    8. Mkt Cap 230 cr; PE of 6.5.
    9. Crude is not going to US$ 0 ; is already seen a significant correction. Whenever the crude prices move northwards, the co. should be a direct beneficiary.
    10. Co. exports chemicals, weaker rupee will only help.

    Your views sir.

    • your first point is precisely the reason why i am not interested here. its purely a chemical company and a direct proxy of crude. I am not interested in buying a company where i have to worry continuously about a commodity. Improving balance sheet, cash, etc is available in so many companies. The low PE is not value here but something that it deserves. We should see why would someone pay higher price for this kind of business. Highly cyclical company. Therefore, as mentioned earlier, not at all interested here sir.

      • sparsh says:

        Thank you for your views sir. I dont want to argue for the sake of proving a point, but want to learn. If it were a direct proxy to crude then they seem to have performed quite well in the falling crude prices and can keep up the pace? Shall we monitor it for following quarters to see the performance or you think it is not worth it.

        Thank you for giving your precious time.

    • by the way my thesis should not stop anyone from researching any company..

      • Jp says:

        Hi.. Ace and Sparsh.. Such a healthy conversation has been carried on here. Thanks for the research done by the latter and the answer given by the Ace…!!

  23. TPW says:

    Ace, this question is purely from educational perspective … have you in your long experience in stock market seen this situation similar to people dumping deccan gold shares even till the last date of RI ex-date knowing very well that RI price is at a deep discount to the current price. There should be a method in madness too, hence wondering if market players know more than what is available in the public domain.

  24. Vasanth Devadiga says:

    Dr Ace,
    What’s your view on Ashok alco-chem Ltd at CMP 113 Having an EPS of 30+ and also ROE 53%.Pls share something about this scrip.

  25. zubin says:


    What is your take on Markets. Is it time to stay away for some time 2/3 weeks or take small dips OR as some say “Sell on highs”. I am requesting this query as we have seen , though you are more into fundamentals of companies, you are good at technicals too. Your advice will help us take a planned decision on accumalating more of the good fundamentals stocks – V2Retail, Vidhi DyeStuff, MIC et

    • when markets go down its time to buy not sell…also, in the last couple of yrs portfolios must have been up multiple fold, so even if there’s some decline, people should not give up winning positions. One should be looking to buy stocks at any significant declines.

  26. pwe says:

    sir, in this falling market, i would request you to recommend a new stock, if valuations are good. its been quite a while now

  27. Rishu says:

    Sir,can you tell us that if we don’t subscribe to R.I in Deccan gold then what will we loose and if we subscribe to it then what will we gain.Is the gain in terms of only dividend (if we receive it in future) because the price is already ex-rights.Therefore, even if i subscribe then also my net worth will be the same as cum – rights.Regards

  28. Vandana says:

    Hello Ace! is these something wrong going on with Deccan Gold? 22% down

  29. Rohit Gulati says:

    Dear Ace,
    Was going thru a report on Deccan Gold website ,wherein they have given a sensivity table showing NPV and IRR at various market rates for Gold viz a viz the Gold reserve of the Ganajur mine.
    @ USD 1100/ounce,the NPV (@10%) discount is only Rs. 154 crs. and IRR works out approx. 25%.
    My ques. is that if the NPV is just 154 crs,the market cap today is Rs. 229 crs.How to compare these two things to value the Company?

    • pls dont use NPV in relation to market cap. this could be seriously misleading. please go through the links i have provided to hear from the CMD the revenue potential of the mine …also pls go through the analyst transcripts too. An investor should regularly attend the analyst call that the management conducts. That’s very useful.

  30. piyush says:

    Sir , I got deccan gold @69CMP . I am looking at atleast 5 year horizon . Is it good time to purchase more to average out cost or i should wait until prices stabilize a little .

  31. kannu says:

    How to apply for the Right issue of Deccan Gold, Is the application is online or through form. Can you please guide. As my broker is asking me to check with the company for the process of applying for the RI

    • your broker only knows… as it is broker specific..i guess hdfc icici etc give direct online access.

      • Puru says:

        Hi Ace, after your advise on Deccan Gold I contacted my broker but he said they didn’t know anything on this…. pls call-up the company registrar office.
        Thereore, I followed-up with the SPA capital office (lead Manager) and they told that a form would come at the investor’s address (around Oct first week) and then one can apply for this RI.
        Ace, can you also advise on the pricing…. My buying price was around 74, so now after stock being ex-RI what is the actual holding price of my stock. how is it calculated?

  32. Vandana says:

    Hello Ace! Added huge quantity of Cybertech today.

  33. vipulvalueinvestor says:

    Sir what is your view on Liberty Shoes and South Indian bank? I am holding these since a year or more.
    Should i shift my capital to other stocks. Sir please answer as I think this is the right time for me to shift.

  34. hardyboy says:

    will liberty pay normal tax or concessions still available this year

  35. RISHU says:

    Sir, what could be the reason for this drastic fall in deccan gold. Is something fishy. Do u suggest buying more at present levels or to wait until picture becomes more clear.

  36. Rishu says:

    sir,do u suggest to add more at current levels or wait for some more fall

  37. Rishu says:

    i mean do u suggest to add more of deccan gold at current price or wait for some more fall as i am already stuck at price of 75

    • dont think the stock price went to 75rs… i guess the 52 week high price is 71… dont forget its now trading at ex-rights price as mentioned so many times in the last two days on this blog. Averaging is normally done when the price is significantly down…not just 20-25% down from recommended price. As mentioned in the stock story one should invest in the stock “only” if he/she has a long term vision. No point in checking the price of “any” stock every day or every hour. This anxiousness of yours is probably coming because you have no conviction in the stock that you have bought it seems. Rome was not built in a day.

  38. Raj Gupta says:

    Ace sir,
    Cybertech seems very strong around 34, don’t know technically but i think the effect of recruitment of employees n execution of orders will start to reflect in sept quarter onwards.Your views..


  40. Suneetha says:

    Plz share your view on Ananthraj Ind. Thanks in advance !

  41. Raj Gupta says:

    One more question regarding Ashiana housing, will it be good to invest in this stock for long term??

  42. Himanshu dalal says:

    Dear Sir,
    I would like to know your views about Themis medicare and mold tek packaging.
    Themis has announced good quarterly no. and shows good strength in recent correction.However it is difficult to understand pharma sector and sustainability of the earnings.
    while mold tek has IML technology and planning big to increase turnover by entering into newer sectors.
    your views will be of great help.

  43. Pg says:

    deccan gold 52 week high is rs 91

  44. Roshan says:

    happy teachers day ace…god bless u πŸ™‚

  45. Manthan says:

    Hawkins cooker available at attractive, raw material cost also decreasing and will be one of the indirect beneficiary of “housing for all by 2022”

    Your valuable inputs please?

  46. prem says:

    Happy Teachers Day Sir…thank you so much for everything :)….god bless

  47. RAVI says:

    Happy Teachers Day sir, have become a improved investor in your guidance and hoping the same for the rest of my life. Thank you for that…… are really a perfect teacher.

  48. happy teachers day ace sir

  49. sparsh says:

    Dear Sir,

    Ideally how many stocks should be there in a portfolio. We hear about stock concentration and also diversification. Also there could be many attractive opportunities and you never know mkt gives what value to a particular stock at a time. Even there are 27 stocks given here under watch.

    Should there be a max limit? For eg I have 40 stocks in my portfolio and I am convinced about all of them. Am i doing it wrong and should I further limit the portfolio?

    Many thanks.

    • having a stock under watch and having it in portfolio is two different things. I am a firm believer of concentrated portfolio because that has worked for me and that makes me most comfortable.But everyone has their own method as some people cannot sleep at night if they have just 5-7 stocks in the portfolio and some people (like me) feel strange to have too many stocks in the portfolio. An investor should choose his/her own style and that comes with gut most of the times.

      • sparsh says:

        Thank you for the answer Sir. It puts so much emphasis on ‘research’. You are correct, lot of gut is needed to stick with fewer stocks, as having more stocks has given me peace of mind during turbulence as it eases the losses but also compromised on the returns.

        Thank you and wish you a happy teacher’s day!

  50. Ncp says:

    Thx a lot for your stock recos..almost all of your recos are super hit…but if any one asks you dat he is new to dis site n completely missed your recos in past and now u just plz command ..”go and buy these five stocks..”..what are those stocks in your preference serial??….plz reply sir…

    • you will have to choose the stocks that you want to buy. You have so many choices listed here. Take the five you yourself are most convinced of. I cannot give any preference here as that would give wrong signals to other investors who own different shares than those five shares. Please do your own due diligence.

  51. Vishwanath says:

    Ace, IUHO, can Rajoo Engineers be accumulated at price <13?

  52. rocky says:

    sir, i wish there was a stock recommendation at these turbulent times because right now i think the valuations would be very good.

  53. ramsingh says:

    sir, what’s your take on IL&FS Engg

  54. eshvar says:

    freshtrop is looking at very good value point right now sir…..

    • right and so many others… these kind of opportunities unfortunately are not taken by investors as they are too obsessed with the thought of seeing M2M losses in the short term and forget to see the bigger picture

  55. murtuza says:

    sir, what’s your take on sequent ?

  56. aashav23 says:

    sir,your view on dalmia bharat for a long time frame?

  57. Souvik says:

    Sir greetings. Deccan gold is continuously falling and daily hits LC. It seems it may go to 20 level. What is the reason? Can you explain. Can I add more if it goes below 30.

    • dont see any change in fundamentals in the company.

      • TPW says:

        The fall in deccan has been ominous.. In my experience of the stock market, I have seen these kind of fall with some of the scripts when insiders or connected market players know more than what it is in public domain..By the time retail investors know, their wealth would have been eroded significantly. Cutting one’s loss at some price point is also a strategy which some of the succsessful investor’s have advocated in the past. It’s better to leave the battle to live for another one … Even though nothing has changed from the business perspective but continuous fall on circuits tell us that something somewhere is seriously wrong and people in the know, know about it and therefore selling. Ace, this is the juncture where your experince and acumen is tested.. dont know if you got a chance to speak to the management recently and heard that nothing wrong on the business prospects.

        • if someone is so worried, then one should take the pain and talk to the CS and attend the so many conference calls the company conducts. By the way these falls are not new to the blog, we have seen stuff like this in cupid, waterbase,wanbury etc.. Anyways, enough discussion on deccan but again as i said some time back, i dont know anything negative in the company.

          • mayur says:

            Ok then what is reason behind Promoter selling shares on every good news or rise…why they are not confident about own holdings?? Its happened many times…one or two ok but not everytime imo…

            • what is the reason that page industry’s promoters have been selling shares for last so many years? Why did cupid promoter sold shares last year when the price went up? if promoters were not happy in deccan gold and wanted to exit they would have sold in huge chunks when they got opportunity and not just in small chunks? Do people know in last three years how much promoter holding has declined in case of deccan gold viz-a-viz page… i think we have already discussed it so many times on this topic… also this fact was known even when the stock story was published. Noone questions about page because page’s stock price has only gone up and this is what price action does to investors. If deccan had gone up, noone would have questioned it. One should have conviction in a company and only then one should take a call in it.

  58. souvik says:

    Thanks sir for your reply.

  59. murtuza says:

    looks like markets have bottomed out….right sir?

  60. Pulkit says:

    When is the new recommendation coming Sir?

  61. pruthvi says:

    Hi ace. Pls Suggest a pick in banking space for a long term. Would like to know your view on syndicate bank too. Thanks

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