Month: August 2014

Update: This stock really is Not a Multibagger.  Since the Valuation change it is No Longer a Multibagger in our view.  You can check other stocks from our latest Multibaggers pack.

https://futurecaps.com/tag/multibagger/

Futurecaps is a SEBI Registered Research Analyst providing Multibagger service to Indian Stock Market.

Vinyl Chemicals India Ltd , A Parekh Group company is in the business of selling various specialty chemicals mainly to textile, paints and adhesive sectors since 1991.

Website: http://www.vinylchemicals.com/

CMP: 38

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow	Yes.
Durable Competitive Advantage	Yes. Company mainly sell product to Pidilite Industries.
Future Growth Drivers	Increasing market share of Pidilite should improve Vinyl Chemicals as well.
Conservative Debt (long term debt < 3 Net Profit)	Not.  The short term liabilities is very high for the company.  It is around 50 and the past year Net Profit comes only around 5 crore.
Debt Equity Ratio	Good.
Return on Equity must be Above Average	Impressive. 33%.
Low CAPEX required to maintain current operations	High CAPEX required.
Management is holding / buying the stock	50% is management holding. They are holding flat for past 3 years.
Price is Under Valued (< intrinsic value)	Yes. Considering past 3 years earnings-growth.
Stock Price is consolidating (now)	Yes.
Stock Price is growing in past years along with EPS growth	Yes.  Price grown 4 times in past 1-2 years.

Additional Futurecaps Checklist

PE, PB Ratio	PE 4.2 which is good; PB 2.5 little higher in this capitalization range.
Cash Flow Positive, Net Profit % greater than 8%	Not.  Comes around 4%
Paying Dividends, Tax	Yes.
EPS Growth Rate	20% to 50%
Jump in Trailing Results	Yes. 100% jump in trailing year.
Quarterly Results Growing	Latest quarter shows growth. Past quarter shows de-growth but.
Expected Gain in 10 Years	Maximum 3-5 times in next 5 years.
Volume Analysis	Apt volume.
Power of Brand	Company mainly work with Pidilite, hence brand does not matter in backward-integrations.
Corporate Governance, Reputation of Leaders	Flat.
Fraud reported	Flat.

Declaration

We cannot really sure about declaring it as a Multibagger.  It could provide decent returns, but as we have other strong multibaggers, let us skip this.

Allocation

0%

Disclaimer

Futurecaps recommends 20 to 25 multibaggers per year, we recommend a 25% to 50% allocation of your savings in equity.  The stocks recommended here are gone through Analysts of several years experience in stock market.  Although they were successful in predicting future multibaggers, the overall stock market is a risky game.  So we recommend the reader to put his/her own thoughts & invest wisely.

Update: This stock really is Not a Multibagger.  Since the Valuation change it is No Longer a Multibagger in our view.  You can check other stocks from our latest Multibaggers pack.

https://futurecaps.com/tag/multibagger/

Futurecaps is a SEBI Registered Research Analyst providing Multibagger service to Indian Stock Market.

Kovai Medical Center and Hospital (KMCH) is a 750- bedded Multi-Disciplinary Advanced Super Specialty Hospital nestled in a serene atmosphere of over 20 acre piece of land. The location enables the patients to enjoy the rule of quietude, away from the hustle and bustle of city life.

CMP: 313

Website: http://www.kmchhospitals.com/

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow	Yes.
Durable Competitive Advantage	Cannot judge this parameter.
Future Growth Drivers	Yes.  Indian specialty hospitals are in up trend. New and new players like Manapuram too entering into this segment.  Company is expanding.
Conservative Debt (long term debt < 3 Net Profit)	Yes.
Return on Equity must be Above Average	Yes. It is 30% and our average requirement is 15%.
Low CAPEX required to maintain current operations	Yes.  Investing Cash flow required, but it is low compared with Operating Cash flow.
Management is holding / buying the stock	Yes.  50% is current holdings.
Price is Under Valued (< intrinsic value)	Average. Price is quoting around 3 times of book value, which  is not too good, but still adaptable.
Stock Price is consolidating (now)	Yes.
Stock Price is growing in past years along with EPS growth	Yes.

Additional Futurecaps Checklist

PE, PB Ratio	PE 13; PB 3; Moderate.
Cash Flow Positive, Net Profit % greater than 8%	Yes.
Paying Dividends, Tax	Yes.
EPS Growth Rate	30%.  We are happy to see 50% growth.
Jump in Trailing Results	Yes. But only 30%.
Quarterly Results Growing	Q-Q 20% growth in sales & 100% growth in profits.
Expected Gain in 10 Years	10X in 5 years through EPS growth & PE resizing on limelight.  In 10 years it could cross 40X.
Volume Analysis	Low volume.  Good for price fire.
Power of Brand	Hospital Reputation good.  It can attract patients & students.
Corporate Governance, Reputation of Leaders	Yes.
Fraud reported	Not in current search.

Declaration

Here by we declare that the stock has multibagger properties.

Allocation

3% to 4% of your portfolio.

Disclaimer

Futurecaps recommends 20 to 25 multibaggers per year, we recommend a 25% to 50% allocation of your savings in equity.  The stocks recommended here are gone through Analysts of several years experience in stock market.  Although they were successful in predicting future multibaggers, the overall stock market is a risky game.  So we recommend the reader to put his/her own thoughts & invest wisely.

Update: This stock really is Not a Multibagger.  Since the Valuation change it is No Longer a Multibagger in our view.  You can check other stocks from our latest Multibaggers pack.

https://futurecaps.com/tag/multibagger/

Futurecaps is a SEBI Registered Research Analyst providing Multibagger service to Indian Stock Market.

Seamlessly integrating precision, reliability, and cost-effectiveness, Control Print’s abilities stem from our leadership, in association with our partners, in hard-core technology and product engineering. Augmenting these capabilities is our expertise across applications and industries combined with an extensive support infrastructure to provide the highest quality products and services in the Coding & Marking Industry across the Indian Subcontinent.

Website: http://www.controlprint.com/

CMP: 136

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow	Yes.  Company is steadily increasing in sales & profit.
Durable Competitive Advantage	Yes.  Company has power of brand & good growing network in India.
Future Growth Drivers	Yes.
Conservative Debt (long term debt < 3 Net Profit)	Yes.
Return on Equity must be Above Average	Yes. 19%
Low CAPEX required to maintain current operations	Moderate as Investing Activity Cash Flow is negative.
Management is holding / buying the stock	Yes. 49% is existing holding & it is increasing all past 4 years.
Price is Under Valued (< intrinsic value)	Yes.
Stock Price is consolidating (now)	Moderate.
Stock Price is growing in past years along with EPS growth	Moderate.

Additional Futurecaps Checklist

PE, PB Ratio	Good.
Cash Flow Positive, Net Profit % greater than 8%	Not.
Paying Dividends, Tax	Yes.
EPS Growth Rate	30%
Jump in Trailing Results	Only 30%
Quarterly Results Growing	Increasing 30% above.
Expected Gain in 5 Years	Maximum it can go 20X in 5 years.  Price doubling on every 2 years & PE resizing to industry average due to stock recognition.
Volume Analysis	Moderate.
Power of Brand	Moderate.
Corporate Governance, Reputation of Leaders	Good.
Fraud reported	Nil found.

Declaration

Here by we declare that Control Point Ltd. have multibagger properties provided it is able to continue the past growth levels.

Allocation

As it is a small cap we recommend around 2%-3% allocation.

Disclaimer

Futurecaps recommends 20 to 25 multibaggers per year, we recommend a 25% to 50% allocation of your savings in equity.  The stocks recommended here are gone through Analysts of several years experience in stock market.  Although they were successful in predicting future multibaggers, the overall stock market is a risky game.  So we recommend the reader to put his/her own thoughts & invest wisely.

Update: This stock really is Not a Multibagger.  Since the Valuation change it is No Longer a Multibagger in our view.  You can check other stocks from our latest Multibaggers pack.

https://futurecaps.com/tag/multibagger/

Futurecaps is a SEBI Registered Research Analyst providing Multibagger service to Indian Stock Market.

Lloyd Electric and Engineering Limited is a publicly traded company with its headquarters in New Delhi. It is the leading and largest producer of Coils / Heat Exchangers (Fin and Tube type) in India, serving the entire spectrum of HVAC & R industry in the country as well as OEM’s in North America, Europe, Middle East and Australia. Lloyd Electric also manufactures Air conditioners for the Indian Railways, Metro Rail and Buses at its Bhiwadi factory.

CMP: 140

(warning: promoter holding data is incorrect)

Website: http://www.lloydengg.com/

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow	Yes.
Durable Competitive Advantage	Yes. Good Brand, Distribution network.
Future Growth Drivers	Indian Consumer Market is growing & growth projected.
Conservative Debt (long term debt < 3 Net Profit)	Debts around 350 crore & Latest net profit slightly less to cover the 3X.  Not Pass.
Return on Equity must be Above Average	Yes. above 15%
Low CAPEX required to maintain current operations	Not. Investing Activity negative.
Management is holding / buying the stock	Yes. Through 2013 to 2014 they are increasing holding %.  Current holding is around 50%
Price is Under Valued (< intrinsic value)	Yes. Considering intrinsic & book value.
Stock Price is consolidating (now)	Yes.
Stock Price is growing in past years along with EPS growth	Yes.

Additional Futurecaps Checklist

PE, PB Ratio	PE 5; PB 0.8 (Quoting below book value)
Cash Flow Positive, Net Profit % greater than 8%	Cash Flow Positive; But Net Profit less than 8% – company may face cash-crunch on tough expansion situations; but compared with consumer-electronics sector & marketing overheads, this is adjustable.
Paying Dividends, Tax	Yes.
EPS Growth Rate	50% with latest growth. Past year was flat
Jump in Trailing Results	Yes. 50% jump; Good to buy & hold for 1 more year & sell if no growth further.
Quarterly Results Growing	Yes.  Almost 70% jump in latest quarters
Expected Gain in 10 Years	20X if trailing growth level retained & PE resizing to peers happens @ 30.
Volume Analysis	High Volume – Mass Fire possibility is least.
Power of Brand	Recognized Brand, but not the Top though.
Corporate Governance, Reputation of Leaders	Good.
Fraud reported	Not any in current search.

Declaration

Here by we declare that LLoyd Electric is a multibagger.

Though keep a watch on next year growth.

Allocation

3% to 5% of your portfolio.

Disclaimer

Futurecaps recommends 50 to 100 multibaggers per year, we recommend a 25% to 50% allocation of your savings in equity.  The stocks recommended here are gone through Analysts of several years experience in stock market.  Although they were successful in predicting future multibaggers, the overall stock market is a risky game.  So we recommend the reader to put his/her own thoughts & invest wisely.