Well, i have data that co. Paying dividend since 2012 continously, co. Equity was 5.3 in 2014, in 2015 co gave bonus 1:1 so it became 10. something, co. Has 8000 cr. Order book, co has great room for expand npm, and co is exploring , expanding biz globally and has good brand value. Looking to eps 27 fy 2018, its avalble @ 23 pe, and every good quality command premium and you have to pay.. read this what amrish baliga says on tv.....
Ambareesh Baliga on VA Tech Wabag: The stock cracked about 4-5 percent and that in fact gave me an opportunity to pick up. The main story is water treatment and I think that is a big story going ahead even from a country, even from a global point of view. The company is sitting on orders worth about Rs 8,200 crore or so. But the opportunity size is huge. Namami Gange itself is about Rs 25,000 crore, couple of states, Maharashtra, Karnataka, Tamil Nadu and Delhi, the opportunity size in terms of the tenders, which would be coming that is about Rs 18,000 crore, I am not even talking about the rest of the India. So Rs 43,000 crore just between these, so there is no way VA Tech Wabag will not have worked – clearly the visibility is there at least for the foreseeable 8-10 years.
So again, looking at an EPS of over Rs 38 for FY18, Rs 46 for FY19, I don’t think the downside is very much from here. It may just correct in case the market corrects and I am looking at a price of about Rs 850.
I would place this company a slightly better compared to other company
Ambareesh Baliga on VA Tech Wabag: The stock cracked about 4-5 percent and that in fact gave me an opportunity to pick up. The main story is water treatment and I think that is a big story going ahead even from a country, even from a global point of view. The company is sitting on orders worth about Rs 8,200 crore or so. But the opportunity size is huge. Namami Gange itself is about Rs 25,000 crore, couple of states, Maharashtra, Karnataka, Tamil Nadu and Delhi, the opportunity size in terms of the tenders, which would be coming that is about Rs 18,000 crore, I am not even talking about the rest of the India. So Rs 43,000 crore just between these, so there is no way VA Tech Wabag will not have worked – clearly the visibility is there at least for the foreseeable 8-10 years.
So again, looking at an EPS of over Rs 38 for FY18, Rs 46 for FY19, I don’t think the downside is very much from here. It may just correct in case the market corrects and I am looking at a price of about Rs 850.
I would place this company a slightly better compared to other company
what is your take on their legal battle for 1.5 Cr?
ReplyDeleteRajneesh Chopra, Global Head-Business Development, VA Tech Wabag in an interview to CNBC-TV18 assured that theirs is a completely solvent company and is confident that the appeal with National Company Law Appellate Tribunal (NCALT) will be heard favourably.
ReplyDeleteChopra said they have been a profit making company for the last ten years, with a good credit rating and have a networth of over Rs 1000 crore as of last financial year. The gross cash with the company is Rs 261 crore, said Chopra.
Throwing more light on the case, he said case was filed by one of their sub-contractors CCCL. It is a case of disputed payment, an arbitration case, said Chopra, adding that the company felt contractually CCCL had not completed their job given to them and they decided to move to NCLT. Moreover, the disputed amount is just about Rs 1.5 crore.
He assured that the company had no major loans and had a asset-light model.
He also said their bankers, and their investors with whom they were in touch with have reassured them that they are with the company. Moreover, company is cooperating with interim resolution professional (IRP) and taking all the requisition approvals from IRP,said Chopra.
The hearing is expected in the first week of November.
Thank You.
ReplyDeleteSir is the time frame for 850?
ReplyDelete