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velu

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On 12/24/2020 at 10:58 PM, coffee_rules said:

Is this good advice?

 

 

If one had invested for long time in ITC, the dividend received would have recovered the buying price of each ITC stock.

 

TCS gave 44 Rs dividend per stock last year.

 

Some companies have too much of free cash flow, ITC being one of them. They have too much surplus even if they give dividend year after year. Paying dividend is also a good sign.

 

Some companies do not pay dividend, they are in loss.

 

All NIFTY 50 stocks pay dividend. I don't think there is even one scrip in NIFTY 50 which does not gives dividend.

 

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1 hour ago, randomGuy said:

How is IDFC first bank looking technically and fundamentally if anyone tracks?

MD and CEO Rajiv Lall has resigned last quarter. Vaidyanthan who is one of the promoter has experience with ICICI in his career before. 

 

One third of corporate loan book is under moratorium. 

 

The stock was a good buy at 26-30 levels. At CMP 44 it is overvalued imo. The clarity on its loan book, provisioning and restructuring of loans will possibly happen in couple of quarters.  

 

I would personally avoid this scrip totally as of now.

Edited by Straight Drive
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Used this boom to book profits and reshuffled the portfolio.

 

One of the long fresh position in reshuffled portfolio is in Britannia Industries at 3653.

 

After avoiding long positions in pharma for decades, finally have gone for Divis Laboratories at 3709. 

 

Any long term fundamental  views  on above two stocks. Any better stock alternatives in the sectors which they operate in?  @velu @jusarrived  @randomGuy

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21 hours ago, Straight Drive said:

Used this boom to book profits and reshuffled the portfolio.

 

One of the long fresh position in reshuffled portfolio is in Britannia Industries at 3653.

 

After avoiding long positions in pharma for decades, finally have gone for Divis Laboratories at 3709. 

 

Any long term fundamental  views  on above two stocks. Any better stock alternatives in the sectors which they operate in?  @velu @jusarrived  @randomGuy

 

 

Britannia is like ITC  , good dividend yielding stock .. i think in this overvalued market , its better to go for low beta high dividend  yielding stocks 

not sure about why divis lab is up in the last 5 years but other pharma stocks didnt appreciate anything significant :hmmmm2:

 

if you have plenty of fno stocks , its the time to write covered calls 

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34 minutes ago, velu said:

 

 

Britannia is like ITC  , good dividend yielding stock .. i think in this overvalued market , its better to go for low beta high dividend  yielding stocks 

not sure about why divis lab is up in the last 5 years but other pharma stocks didnt appreciate anything significant :hmmmm2:

 

if you have plenty of fno stocks , its the time to write covered calls 

Agree, the market is overvalued. Some investors who are buying overvalued stocks in current scenario will be the ones to say that stock market is useless once they get ino loss.  

 

Britannia gave 35 Rs dividend. Not as good as other companies give for example TCS, ITC etc. I went for it because of its potential rather than dividend. 

 

 No stock in pharma has appreciated like Abbott has.

 

Divis has gained on traction from the China impact viz a viz reducing supply chain impact wet China. Also Divis is investing in capex in setting up brownfield projects which are almost half done. The custom synthesis investments are happening and the API demand has also boosted good results. Divis is doing backward integration for key material like Gabapentin. For foreign companies which would look to derisk supply chain dependency on China, Divis will be one of the beneficiary. Also financially it is in a good position.

 

The only concern I have about Divis is the management was probably fined by SEBI for non disclosure of crucial share transactions around few months back.  If it happens again then it might shed off some price due to such negative news.

 

 

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54 minutes ago, Straight Drive said:

Britannia gave 35 Rs dividend. Not as good as other companies give for example TCS, ITC etc. I went for it because of its potential rather than dividend. 

 

 

 

they gave 4 dividends last year , total 143 rs ..  .. they are making money but dont know what todo  with it , so throwing their pfts to their share holders 

 

Announcement Date Effective Date Dividend Type Dividend(%) Remarks
05/10/2020   Special 1250% Payment of dividend of Rs. 12.50 (Rupees Twelve and Fifty Paise) per every 1 (one) fully paid-up equity share of face value of Re. 1 (Rupee One) each by utilizing its accumulated profits.
05/10/2020   Interim 1250% Payment of dividend of Rs. 12.50 (Rupees Twelve and Fifty Paise) per every 1 (one) fully paid-up equity share of face value of Re. 1 (Rupee One) each by utilizing its accumulated profits.
17/08/2020 26/08/2020 Interim 8300% Rs.83.0000 per share(8300%)Interim Dividend
20/04/2020 29/04/2020 Interim 3500% Rs.35.0000 per share(3500%)Interim Dividend

 

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35 minutes ago, velu said:

 

 

they gave 4 dividends last year , total 143 rs ..  .. they are making money but dont know what todo  with it , so throwing their pfts to their share holders 

 

Announcement Date Effective Date Dividend Type Dividend(%) Remarks
05/10/2020   Special 1250% Payment of dividend of Rs. 12.50 (Rupees Twelve and Fifty Paise) per every 1 (one) fully paid-up equity share of face value of Re. 1 (Rupee One) each by utilizing its accumulated profits.
05/10/2020   Interim 1250% Payment of dividend of Rs. 12.50 (Rupees Twelve and Fifty Paise) per every 1 (one) fully paid-up equity share of face value of Re. 1 (Rupee One) each by utilizing its accumulated profits.
17/08/2020 26/08/2020 Interim 8300% Rs.83.0000 per share(8300%)Interim Dividend
20/04/2020 29/04/2020 Interim 3500% Rs.35.0000 per share(3500%)Interim Dividend

 

That's a good dividend of 143 Rs. I see the 35 Rs was interim dividend only .

 

Britannia is now a leader in biscuits category. Have forayed into milk products and varieties of other snacks as well . Products are well penetrated and nicely branded. Some of them enjoy good valuation. The strong distribution network also gives the products a good reach within India.  Capacity addition is ongoing to boost revenue. 

 

 

As for Divis:

Capex of 1800 crore for FY21. Half of this is done and two sites are already functional to some extent as the remaining plan is underway 

 

Additional 400 crore capex for custom synthesis.

 

600 crore for site at Kakinada, the development which will be commencing shortly.

 

 

 

 

 

Edited by Straight Drive
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On 03/03/2021 at 5:13 AM, diga said:

@velu @Straight Drive Any views on Bharat forge? I see an inflection point in Auto sales . 

Haven't tracked Bharat Forge before. Will try to do some research on it individually as well as auto sector in couple of weeks and then comment. 

 

I had a position in Eicher recently but made an total exit to book profit .

 

Maruti Suzuki is another one on my radar in auto sector.

 

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On 3/3/2021 at 5:13 AM, diga said:

@velu @Straight Drive Any views on Bharat forge? I see an inflection point in Auto sales . 

 

All auto companies are going down a bit because of semiconductor shortage ..

Once things recover Bharat forge and other auto ancillary companies will outperform

 

If you have lots of quantity do sell covered calls instead of selling the stock 

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