This article we can explore the possibility of Rajratan Global Wire Ltd as a multibagger 2022 Stock based on Value Investing principles.
| Website | https://rajratan.co.in |
| CMP | Rs.1,063.00 |
About Rajratan Global Wire Ltd
It was in the early nineties that Rajratan graduated from the traditional business of Iron & Steel trading and ventured into manufacturing of bead wire for tyres. Automobile boom in India was of course the prime reason behind this futuristic step which was taken after much contemplation. What started with indigenous technology soon upgraded itself into a world-class manufacturing set-up ably backed by a skilled workforce. With the automobile sector flourishing globally, Rajratan saw to it that they not only expanded their existing capacity but also ensured strategic geographic expansion. Rajratan Thailand was a result of this very progressive thought.
Quality, Innovation and Customer Service have been the very basis of existence at Rajratan right from the beginning. This very philosophy has helped Rajratan become the leading manufacturer and supplier of bead wire in India and also the only manufacturer of bead wire in Thailand. With a comprehensive group production capacity the company has earned a reputation of being one of the most trusted and preferred brand around the globe.
Bead wire is a product where maintaining quality is not an option but an indispensable necessity. At Rajratan, quality is something which company follow rigorously. This commitment towards quality is visible from the fact that both their manufacturing facilities conform to the most stringent international standards. Company have deployed some of the best Quality Management Tools to improve processes and deliveries. As a result, they are considered one of the most preferred bead wire manufacturer and supplier not only locally but globally by some of the most esteemed and fastidious clients. The main mission of the company is to become the leading and most preferred bead wire manufacturer & supplier to tyre companies, globally.
Products & Services
- Tyre Bread Wire
- High Carbon Steel Wire
Profit & loss
Warren Buffett Checklist
| Factor | Valuation |
| Economic moat | Moderate |
| Growth | Good |
| Valuation | Moderate |
| Debt | Moderate |
| Integrity | Good |
Positives
- Company is having Reputed Brand & Enjoying repeated business in a Niche expertize business
- Company has delivered 30% above CAGR returns in Revenue & Sales
- Company is into Capacity Expansions
- Promoters increasing the Holdings
Negatives
- Sector is NOT a high growth one
- Company is trading at 18X of Book Value
- Cash Flow is negative
Summary
As per the Expansion & Value Investing grounds the company is having Multibagger Properties.
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t from Company website & Other websites & the Research Analyst does not guarantee the Validation of Content in this report.
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