Mold-Tek Technologies – Multibagger Analysis

October 12, 2014

Company URL: http://www.moldtekindia.com/

Screener URL: http://www.screener.in/company/?q=526263

CMP: 146.00

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow

Yes. image

Durable Competitive Advantage

Moderate.  Company is just new entrant in many IT areas. image

Future Growth Drivers

Good for next 2 years. image

Conservative Debt (long term debt < 3 Net Profit)

Yes. image

Debt Equity Ratio, Current Ratio

0.27 image

Return on Equity must be Above Average

9.5% (Average) image

Low CAPEX required to maintain current operations

Yes. image

Management is holding / buying the stock

Decline of 1% in latest year. image

Price is Under Valued (< intrinsic value)

No.  image

Stock Price is consolidating (now)

No. image

Stock Price is growing in past years along with EPS growth

Yes. image

Additional Futurecaps Checklist

Consolidated PE, PB Ratio

PE 24 (high) PB 3 (Moderate) image

Cash Flow Positive, Net Profit % greater than 8%

Yes. No. image

Paying Dividends, Tax

Yes.  

EPS Growth Rate

25% above. Good. image

Jump in Trailing Result EPS

Yes. image

Jump in Quarterly Result EPS

Yes. image

Expected Gain in 5 Years

8-10X if the growth is maintained. image

Price Movement Graph, 52 Week High & Low

160/20 (8X gain already; Investors may shy to purchase) image

Volume Analysis

High image

Power of Brand

Moderate. image

Corporate Governance, Reputation of Leaders

Good. image

Fraud reported

Not in current search. image
Annual Report 50% capacity expansion on plan. link image

imageimageimage

Declaration

Based on the value & growth parameters the company is a Potential Multibagger.

image_thumb1

Allocation

1-2% of your portfolio.

Alert

Pledged Percentage is 3%.  Be cautious with investing.

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.

Capri Global Capital – Multibagger Analysis

October 6, 2014

Capri Global Capital Limited (CGCL) was set up in 1997. It is a Non-Banking Finance Company (NBFC) registered with Reserve Bank of India (RBI) as ND-SI (Non-Deposit taking systemically important) and is listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). Until 2011, CGCL offered an entire bouquet of financial solutions and services with emphasis on debt advisory services and has executed transactions close to INR 50,000 crores during FY2009 to FY2011.

image

Company URL: http://www.cgcl.co.in/

Screener URL: http://www.screener.in/company/?q=531595&con=1

CMP: 185.00

Fundamental Analysis: Link 1

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow

Yes. image

Durable Competitive Advantage

Yes. image

Future Growth Drivers

Good. image

Conservative Debt (long term debt < 3 Net Profit)

Yes. image

Debt Equity Ratio, Current Ratio

0 (Very Good). image

Return on Equity must be Above Average

8% (Bad) image

Low CAPEX required to maintain current operations

Not. image

Management is holding / buying the stock

Promoter Holding 74% (Very Good), Aggressively Increased 5% in past 3 years (Very Good). image

Price is Under Valued (< intrinsic value)

Yes. image

Stock Price is consolidating (now)

Yes. image

Stock Price is growing in past years along with EPS growth

Yes. image

Additional Futurecaps Checklist

Consolidated PE, PB Ratio

PE 7 (Very Good), PB 0.6 (Very Good) image

Cash Flow Positive, Net Profit % greater than 8%

Not.  Not. image

Paying Dividends, Tax

Yes. image

EPS Growth Rate

15% on 3 year average. image

Jump in Trailing Result EPS

Not. image

Jump in Quarterly Result EPS

Yes. image

Expected Gain in 5 Years

8-10X including growth & PE-resizing. image

Price Movement Graph, 52 Week High & Low

205/105 (Good Range) image

Volume Analysis

2000 (Good) image

Power of Brand

Moderate. image

Corporate Governance, Reputation of Leaders

Yes. image

Fraud reported

Yes. (But under old name Money Matters)  LINK image

Declaration

Considering the growth & value parameters we declare the company as a Multibagger. 

 image_thumb1

Note

As the old company was included in 2010 scam list & it can impact the price-spikes in future, please do your research before investing.

Allocation

2-3% 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.

Patels Airtemp (India) – Multibagger Analysis

October 6, 2014

Patels Airtemp was incorporated in 1973. It fused technical expertise with innovative to achieve a remarkable growth and an efficacious nationwide presence. The growth saga was further strengthened in 1993, when it became a Limited entity and thus was born, Patels Airtemp (India) Limited.

PAT was the result of the conscious and dedicated efforts of a team of committed Engineers and Promoter – Directors. As experienced of over three decades in the field of design and manufacturing was instrumental in its upbringing. Today, PAT stands proudly as one of the leading manufacturers of high quality engineering products.

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Company URL: http://www.patelairtemp.com/

Screener URL: http://www.screener.in/company/?q=517417

CMP: 123.00

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow

Not.  The Sales are flat. image

Durable Competitive Advantage

Not impressive. image

Future Growth Drivers

Moderate. image

Conservative Debt (long term debt < 3 Net Profit)

Not. image

Debt Equity Ratio, Current Ratio

0.3 (Moderate) image

Return on Equity must be Above Average

10% (Bad) image

Low CAPEX required to maintain current operations

Moderate. image

Management is holding / buying the stock

Holding 45%. But increased in past year. image

Price is Under Valued (< intrinsic value)

Not. image

Stock Price is consolidating (now)

Average. image

Stock Price is growing in past years along with EPS growth

Yes. image

Additional Futurecaps Checklist

Consolidated PE, PB Ratio

PE 14 (High for a small cap) image

Cash Flow Positive, Net Profit % greater than 8%

Yes.  Not. image

Paying Dividends, Tax

Yes. Yes. image

EPS Growth Rate

–10%, –5%, –40% image

Jump in Trailing Result EPS

Not. image

Jump in Quarterly Result EPS

Not but decline. image

Expected Gain in 5 Years

1-2X for the max. image

Price Movement Graph, 52 Week High & Low

143/39 (already peaked for the year)  image

Volume Analysis

Good. image

Power of Brand

Moderate. image

Corporate Governance, Reputation of Leaders

Okay. image

Fraud reported

Not. image

Declaration

Under the value & growth grounds of past, we cannot call it as a Multibagger.

image 

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.

Mold-Tek Packaging – Multibagger Analysis

October 5, 2014

Mold-Tek Packaging Limited (MTPL) leader in rigid plastic packaging in India, was incorporated in the year 1985.

Mold-Tek Packaging Limited is involved in the manufacturing of injection molded containers for lubes, paints food, FMCG and other products. Mold-Tek Packaging Limited is the leader in rigid plastic Packaging in India with 20% market share.

image

Company URL: http://www.moldtekplastics.com/

Screener URL: http://www.screener.in/company/?q=533080

CMP: 200.00

Fundamental Analysis: Link 1

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow

Yes. image

Durable Competitive Advantage

Have good market share image

Future Growth Drivers

Looks good. image

Conservative Debt (long term debt < 3 Net Profit)

Not. image

Debt Equity Ratio, Current Ratio

1.25 (High) image

Return on Equity must be Above Average

18 (Good) image

Low CAPEX required to maintain current operations

Moderate. image

Management is holding / buying the stock

42% holding. (Increasing-Decreasing change over 3 years) image

Price is Under Valued (< intrinsic value)

Yes. image

Stock Price is consolidating (now)

Price is at Peak. image

Stock Price is growing in past years along with EPS growth

Yes. image

Additional Futurecaps Checklist

Consolidated PE, PB Ratio

PE 14 (High), PB 4 (High) image

Cash Flow Positive, Net Profit % greater than 8%

Yes.  Not. image

Paying Dividends, Tax

Yes. image

EPS Growth Rate

40% in recent past; Flat before that. image

Jump in Trailing Result EPS

Yes. image

Jump in Quarterly Result EPS

Yes. image

Expected Gain in 5 Years

Considering 10-30% growth in EPS, we can see 10-12X growth in 5 years. image

Price Movement Graph, 52 Week High & Low

200/30 image

Volume Analysis

30k (Moderate) image

Power of Brand

Yes. image

Corporate Governance, Reputation of Leaders

Yes. image

Fraud reported

Not image

Declaration

Considering the value-parameters above & good growth expectation of upcoming 2 years, we declare Mold-Tek Packaging as a Multibagger.

image_thumb1

Allocation

2-3% of your portfolio.

Note

As the company already peaked 100% in 2 months, we prefer to buy on declines.

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.

Nucleus Software Exports Ltd. – Multibagger Analysis

October 5, 2014

Nucleus Software is a leading global IT products and solutions company that delivers consistent value to mission critical business processes of Banking and Financial Services sector. With a robust portfolio of IT products and solutions for the BFSI industry that has been delivering value consistently over the last 27 years, Nucleus Software is one of the pioneers who have successfully taken the India IT product story to the world map.

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Company URL: http://www.nucleussoftware.com/

Screener URL: http://www.screener.in/company/?q=531209&con=1

CMP: 232.00

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow

Yes. But not too impressive. image

Durable Competitive Advantage

Moderate. image

Future Growth Drivers

Next 2 years an IT boom should happen.  This could benefit the company. image

Conservative Debt (long term debt < 3 Net Profit)

Yes. image

Debt Equity Ratio, Current Ratio

0 (Very Good) image

Return on Equity must be Above Average

17 (Good) image

Low CAPEX required to maintain current operations

Not. image

Management is holding / buying the stock

Promoter holding 57%.   No increase in past 3 years. image

Price is Under Valued (< intrinsic value)

Yes image

Stock Price is consolidating (now)

Yes. image

Stock Price is growing in past years along with EPS growth

Yes. image

Additional Futurecaps Checklist

Consolidated PE, PB Ratio

PE 11 (average); PB 2 (average) image

Cash Flow Positive, Net Profit % greater than 8%

Yes. NP% is 20%. image

Paying Dividends, Tax

Yes. Yes. image

EPS Growth Rate

50% for immediate past year & 30% from previous. image

Jump in Trailing Result EPS

Moderate. image

Jump in Quarterly Result EPS

Flat. image

Expected Gain in 5 Years

If the 30% growth is maintainable the company should give 15-20X returns including PE-resizing.  (Please note that in 2 years recession is forecasted, need to sell & reenter from bottom) image

Price Movement Graph, 52 Week High & Low

270/80 image

Volume Analysis

High Volume image

Power of Brand

Moderate. image

Corporate Governance, Reputation of Leaders

Yes. image

Fraud reported

Not in current search. image

Declaration

Considering the recent past EPS jumps & overall good expectation on IT market, we declare it as a multibagger.

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Allocation

2-3% 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.

Talbros Automotive Components Ltd. – Multibagger Analysis

October 5, 2014

Company URL: http://www.talbros.com/

Screener URL: http://www.screener.in/company/?q=505160&con=1

CMP: 103.00

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow

Flat for past 3 years. image

Durable Competitive Advantage

Branded clients exists. image

Future Growth Drivers

Automotive growth of India should contribute to this company’s growth. image

Conservative Debt (long term debt < 3 Net Profit)

Above 3X image

Debt Equity Ratio, Current Ratio

0.9 (high) image

Return on Equity must be Above Average

17% image

Low CAPEX required to maintain current operations

Moderate. image

Management is holding / buying the stock

51% & Increasing in past 3 years.  image

Price is Under Valued (< intrinsic value)

Considering past 3 years growth, the Intrinsic value is in par with CMP.  image

Stock Price is consolidating (now)

Yes.  image

Stock Price is growing in past years along with EPS growth

Yes. image

Additional Futurecaps Checklist

Consolidated PE, PB Ratio

PE 13 (high), PB 1 (good) image

Cash Flow Positive, Net Profit % greater than 8%

Yes.  Not. image

Paying Dividends, Tax

Yes. image

EPS Growth Rate

3 year average only 10% image

Jump in Trailing Result EPS

Trailing Year EPS is lower than Previous year. image

Jump in Quarterly Result EPS

Trailing Quarter EPS is lower than Previous month. image

Expected Gain in 5 Years

Only max of 2X expecting high growth in next 2 years.  After 2 years one should sell the stock as market expected to fall. image

Price Movement Graph, 52 Week High & Low

100/33 (good)  image

Volume Analysis

Good.  image

Power of Brand

Moderate.  image

Corporate Governance, Reputation of Leaders

Yes.  image

Fraud reported

Not in current search  image

Declaration

Considering the value parameters, we cannot see the company hae any potential in becoming a multibagger.

 clip_image005322

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.

Shree Hari Chemicals – Multibagger Analysis

September 26, 2014

Company URL: http://www.shchemicals.com/

Screener URL: http://www.screener.in/company/?q=524336

CMP: 170.00

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow

Yes. image

Durable Competitive Advantage

Moderate.  Growing company. image

Future Growth Drivers

Moderate. image

Conservative Debt (long term debt < 3 Net Profit)

Good. image

Debt Equity Ratio, Current Ratio

0. Very Good. image

Return on Equity must be Above Average

ROE 94% image

Low CAPEX required to maintain current operations

Moderate. image

Management is holding / buying the stock

Promoter Holding 45%.  Management Increasing holdings for past 3 years. image

Price is Under Valued (< intrinsic value)

Yes. image

Stock Price is consolidating (now)

Not. image

Stock Price is growing in past years along with EPS growth

Yes. image

Additional Futurecaps Checklist

Consolidated PE, PB Ratio

PE 1.2 (Trailing) PB: 2 (Good) image

Cash Flow Positive, Net Profit % greater than 8%

Yes. image

Paying Dividends, Tax

Yes.  Past years have some differences but. image

EPS Growth Rate

100% for past 2 years. image

Jump in Trailing Result EPS

Yes. image

Jump in Quarterly Result EPS

Yes. image

Expected Gain in 5 Years

Taking standard growth of 30%, and if persisting,  the company can provide 15-20 times returns. image 

Price Movement Graph, 52 Week High & Low

52 week high is very high compared with 52 week low.  (certain investors will hesitate to buy the stock) image

Volume Analysis

Less than 15 thousand. Good. image

Power of Brand

Moderate.  Growing company. image

Corporate Governance, Reputation of Leaders

Moderate. image

Fraud reported

Not in current search. image

Declaration

Based on the strong EPS growth and Quality value parameters, Management confidence, we declare the stock as a Multibagger.

image_thumb1

Allocation

1-2% 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.

Tata Metaliks – Multibagger Analysis

September 25, 2014

Established in the year 1990, Tata Metaliks began its commercial operations in 1994. Growing from strength to strength over the last two decades, the Company today has emerged as one of the biggest pig iron manufacturing and selling companies of India, with an annual production capacity of 345,000 tonnes.

image

Company URL: http://www.tatametaliks.com/

Screener URL: http://www.screener.in/company/?q=513434

Moneyworks4me URL:

CMP: 102.70

Warning

This is a turned around company with past quarters with losses and most recent 2 quarters shows positive turnarounds.  Company reserve also turned negative.

image

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow Flat as it is a Turnaround company. image
Durable Competitive Advantage

India’s largest pig iron producer.

image
Future Growth Drivers Few challenges exists. image
Conservative Debt (long term debt < 3 Net Profit) Not. image
Debt Equity Ratio -2.22 (Horrible)  image
Return on Equity must be Above Average Not. image
Low CAPEX required to maintain current operations Moderate. image
Management is holding / buying the stock 50% holding. Flat. image
Price is Under Valued (< intrinsic value) Not. image
Stock Price is consolidating (now) Yes. image
Stock Price is growing in past years along with EPS growth Moderate.  Company turned profitable in recent past. image

Additional Futurecaps Checklist

Consolidated PE, PB Ratio PE 3.5 (Good); PB –0.3 (Bad) image
Cash Flow Positive, Net Profit % greater than 8% Yes. Not. image
Paying Dividends, Tax Not. Not. image
EPS Growth Rate 100  image
Latest Quarter EPS Growth 100% above. (turnaround story) image
Expected Gain in 10 Years If the turnaround story persists, there is 20% growth forecast able making 1-15 times returns.  image
Price Movement Graph, 52 Week High & Low 52wh is 145 & 52wl is 33  image
Volume Analysis Moderate in volume  image
Power of Brand Yes. Part of Tata Steel.  image
Corporate Governance, Reputation of Leaders Yes.  image
Fraud reported Not in current search.  image

 Declaration

As you can see the above value parameters does not say it as multibagger.

image_thumb2

Considering its recent quarter turnaround, it could possibly become a multibagger.  Investors with high-risk appetite with strict-diversification can try this.

Allocation

1-2% of 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.

Mahindra Lifespace Developers – Multibagger Analysis

September 23, 2014

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Mahindra Lifespaces has been at the forefront of transforming urban landscapes by creating sustainable communities and is India’s first Green Homes developer. With this philosophy deeply engrained, we espouse Green Design and Healthy Living as the foundations of all our projects. One of the first companies to receive the Platinum rated green homes pre-certification from IGBC, today all the residential projects are pre-certified green buildings by IGBC.

The Company’s pan-India presence and the development of India’s first integrated business city have all contributed to Mahindra Lifespaces being recognised as a developer with a pioneering spirit internationally and in India.

Mahindra Lifespace Developers Ltd, the real estate development business of the $16.5 billion Mahindra Group, is a leader in sustainable urbanization, through the creation of residential and integrated large format development across India. Mahindra Lifespaces has a footprint of over 7.3 million sq ft of completed projects and over 11.3 million sq ft of ongoing and forthcoming projects. The company has pioneered the concept of an integrated business city through ‘Mahindra World City’ developments in Chennai and Jaipur. These developments cover 4,375 acres and house over 100 reputed global companies, providing an integrated environment for Life, Living and Livelihood. The company’s residential footprint spans across Mumbai, Pune, Delhi NCR, Nagpur, Hyderabad, Chennai and is poised to venture into Bengaluru.

Company URL: http://www.mahindralifespaces.com/

Screener URL: http://www.screener.in/company/?q=532313&con=1

CMP: 550.00

Fundamental Study: LINK 1 LINK 2

Warren Buffett Checklist

History of Consistently Increasing Sales, Earnings & Cash Flow

Yes. image

Durable Competitive Advantage

Green Development.  Brand.  Yes. image

Future Growth Drivers

Urbanization, 2 Year expected Real Estate Boom in India. image

Conservative Debt (long term debt < 3 Net Profit)

Yes. image

Debt Equity Ratio, Current Ratio

Debt Equity Ratio is 0.9 which is higher.  Current ratio is good. image

Return on Equity must be Above Average

ROE is 8% only. image

Low CAPEX required to maintain current operations

Not. image

Management is holding / buying the stock

Promoter holding is 50%.  Decreased holdings from past 2 years. image

Price is Under Valued (< intrinsic value)

Considering recent jumps in quarterly results, Yes. image

Stock Price is consolidating (now)

Yes. image

Stock Price is growing in past years along with EPS growth

Yes. image

Additional Futurecaps Checklist

Consolidated PE, PB Ratio

PE 28 (bad), PB 1.8 which are good.  Projected PE is < 10 for trailing year. image

Cash Flow Positive, Net Profit % greater than 8%

No. Yes. image

Paying Dividends, Tax

Yes. image

EPS Growth Rate

10%, –30%, 120% image

Jump in Trailing Results

Yes image

Quarterly Results Growing

Yes.  Huge jump in quarterly profit & EPS – watch for sale of projects.  This may be seasonal only & not consistent. image

Expected Gain in 2 Years

Taking standard growth level of 50% for next 2 years, we expect stock to triple. image

Price Movement Graph, 52 Week High & Low

Good. image

Volume Analysis

Good around 15k. image

Power of Brand

Yes. Part of Mahindra group of companies. image

Corporate Governance, Reputation of Leaders

Yes. image

Fraud reported

Not in current search. image

Declaration

The stock is multibagger.

image_thumb1

Allocation

3-4% of your portfolio.

Warning

We expect Indian Real Estate to go boom in next 2 years & bust there after.  Good to hold for 2 years & exit the stock for re-enter at bottom after 4 years.  Please add your studies too.

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.

FC Analyst Sell Updates

September 22, 2014

Please find the sell updates on recommendations:

  1. Sold Bajaj Finserv due to sluggish quarterly performance.  Gain 100% YoY.
  2. Sold Mahindra Finance on reason sluggish quarterly performance.  Gain 30% YoY.
  3. Sold Muthoot Capital Services on reason sluggish quarterly performance.  Gain 90% YoY.

As these stocks were held over 1 year from recommendation date, no capital gain tax applies on profits. (please verify your buy date)  We moved the capital to better performing-promising stocks for time being.

Note: Accelya Kale Solutions liquidated in past month with 100% profits.  Will  update you when we can reenter this counter.

Above is our view on selling the stocks.  Please take your decisions accordingly.