Monil asked me a good question :
Hello Rajeev,Pleased to read your insights on SREI. Though, you point out at a very important factor for turning SREI into a minting machince, 'IF the interest portion of 100cr. is cutout'. But, going by books, it does not seem that SREI is near to achive that? No immediate unlocking of value / cash flow seems evident? How do you analyse that to happen?Also, for my learning and information, where did you get the information about Quippo being a company promoted by SREI? And the businesses of Quippo? I could not find anything related to the same on BSE's website / announcements.
I thought I put the answer on main page and not on comments so that some readers may get insight to look at things in Stock Market.... and will also suggest readers to see my comments as well.Sometimes there is something we can teach each other....never skip looking at commnets...
Here is my answer:
Hi Monil,It is already written in the text which I have pasted it here.It is not my hand written....that Quippo is promoted by Srei Infra....I have just highlited that sentence.I haven't added on my own.....I don't say the Int. cost will come down immidiately.It is all assuming but that can happen.It is natural that if co is giving 100 cr per qr as int. then any MD will think to lower that cost and increase the earning to get better discounting....and hence can place Srei Infra shares at higher price.Monil, these are the things to be foreseen.....it is called Vision...it can also be called as thinking in right way...If it is written anywhere then everyone can buy it seeing that EPS is going to increase.But one should be able to read between the lines....That's it....These things are not written anywhere...it is to be anticipated....and BTW...I am never ST....
Glad to hear from you! Btw, I like your comments and thoughts for the simple reason that you are also interested in LT, unlike 99% people out there trying to milk profits in ST. I too am a very small investor who enjoys analysing more than the 5% up or down circuits. Conviniently, I like to pick small cap, low lying, undiscovered picks. I think SREI would do well to fit that bracket and so would be interested.
ReplyDeleteBy the way, one of my questions still has gone unanswered, 'Where do you find this info from'? Not BSE announcements, I believe.
Hi Rajeev.,
ReplyDeleteI hold both IDFC and SREI infrastructure finance. I looked at Quippo home page and was surprised to see that IDFC PE II and SREI both invested about 15% in Quippo.
What is your view on IDFC? Will it perform better than SREI? Currently SREI is better in PE and EPS but IDFC is favored for extremely good management. How do you see these two performing in the future?
thanks
Venu
Monil,
ReplyDeleteThey are paper clipping which I have pasted.I think the first one is of ET which I pasted somewhere(other Forum) and other is of DNA Money(not sure).
But as I read the latest on DNA Money I remembered that I have pasted it somewhere the previous one and hence retrieved it from there and pasted both here for the readers....
Dear Venu,
ReplyDeleteIDFC is pure Finance co.While Srei is having many arms.Can't comapre IDFC and Srei.....don't think of Srei as a fin co while comparing it with IDFC.Moreover in IDFC , GOI is having major stake.
Both are good.Can't distinguish which can give better return.
It is all luck.Hence as I write buy both.....and sit...
Hai rajeev well and wish to hear the same from you. i wan tto invest around 75ooo in the market. shall i distribute thesame in around 10-12 stocks of your picks or shall i go for artson tata etc say 500-750 artson since it seems to be moving fast- i thought of buying it at 27 level but mos t people were (and are still) giving a target of 4200 for nifty so i didnt buy then. please tell me whether to buy artson now - i can wait-it s for long term only. do coninue this good work. thanks and bye best wishes
ReplyDeletedrkksuresh
Dr KK Suresh,
ReplyDeleteI am extremly sorrry to write that I can't give portfolio advice here.
I am here just to discuss stocks.It is absolutely your's take what to do with your money.
How you would invest and in how many stocks....
Telling which stocks one should buy become too individual....
Moreover, SEBI is coming out with the rule that one cannot advice publicly if one is buying por selling that stocls before or after it is adviced...
Hnece, I don't see much chance of this Blog remain continued for long...as the SEBI rule will not let me do....
Hello rajeev ji sorry for putting you in a spot of trouble. I wont repeat that mistake. As u rightly said --having money in hand and watching stocks move from 20-50 makes u crazy know-thats why i asked that querybut i am sorry for that. Letskeep this as a stock discussion forum as u said/ I think we can continue this as a discussion forum even after the sebi rules come in to force--i think i m right in this. please do continue ur good work. thanks and bye. kk
ReplyDeleteHi Rajeev,
ReplyDeleteAs u said,If SEBI comes out with any regulation like preventing analyst to give open stock recommendations,can you please send us your recommendations to our personal Email-ids?
We feel like stranded if you stop writing this blog.
Many people like me are getting benefitted by your recommendations.
Regards,
Sambath