Maan Aluminium is an aluminium products manufacturing and trading company. Established in the year 1989, the manufacturing unit of this company is located in Pithampur, Madhya Pradesh.
For more info check, http://maanaluminium.in
NUMBERS - THE LATEST
Market cap: 30 crores CMP on Day24 Jan2017: Rs 93 BV: 83
Revenue FY16: 190 cr Net profit FY16: 0.6 crore approx FV: 10
POSITIVES
1. For the year FY2016, the profit before tax increased by 122%, with a 20% increase in the export volumes.
2. Revenues in the last 2 quarters have been consistently above 100 crores. Both q-o-q and y-o-y this is a huge improvement.
3. Maan Aluminium has expertise in producing designs with more than 10,000 shapes, thereby able to cater to a wide range of customer requirements.
4. Over the last few quarters, there has been a steady increase in the net profit of the company
INTERESTING INFO
1. The manufacturing revenues achieved last year was only on 50% utilization of installed capacity. Therefore there is a huge scope for growth.
2. Equity capital of the company is quite low, and promoters hold around 65%
3. Two insurance companies also own shares in the company
4. In the annual report of FY2016, there is a quote by Bill Cosby on the cover which says, "In order to succeed, your desire for success should be greater than your fear of failure". This indicates the mindset of the promoter and the management :-)
NEGATIVES - POSSIBLE RISKS
1. Any melt down in global metal prices could be a negative for this company.
MY TAKE
Maan Aluminium is a turn-around story. After a bad spell of several years, the company is coming into the positive. Efforts by the management in the last 12 - 18 months is in the right direction. The results of the steps taken are visible in the numbers.
At a market cap of around 30 crores, this is probably the cheapest company in the Aluminium sector. Supportive global metal prices could act as a tailwind for this sector, which could significantly boost the profitability of the company.
From current levels, the stock could head much higher over the near and medium term.
Maan is a potential multibagger!!
Disclosure: I own shares in Maan Aluminium
For commercial collaboration, consultation and JV ideas;
you can contact me via zorbayogi9@gmail.com
Important Note: Potential multibaggers are those stocks which have potential to give 100 - 500% profits. Obviously such returns take time. Probably 2 - 3 years or more. Short term volatality is the reality of the stock market and that will always happen. Short term movements(upside and downside) are impossible to predict. Only invest funds that you will not need for the next 3 - 4 years. As long as you buy a stock for the right reason and are convinced about the future prospects of the company, there is no need to worry if the share price goes down and stays down for a period of time after you buy; provided you have followed the cardinal stock market mantra BUY LOW.
Very important note: The objective of this blog is to share knowledge and info about multibagger ideas/opportunities. Neither is this trading website nor an analyst website nor a Buy/Sell call website. For stock market success, always do your home work, own assessment and make your own decisions.
For more info check, http://maanaluminium.in
NUMBERS - THE LATEST
Market cap: 30 crores CMP on Day24 Jan2017: Rs 93 BV: 83
Revenue FY16: 190 cr Net profit FY16: 0.6 crore approx FV: 10
POSITIVES
1. For the year FY2016, the profit before tax increased by 122%, with a 20% increase in the export volumes.
2. Revenues in the last 2 quarters have been consistently above 100 crores. Both q-o-q and y-o-y this is a huge improvement.
3. Maan Aluminium has expertise in producing designs with more than 10,000 shapes, thereby able to cater to a wide range of customer requirements.
4. Over the last few quarters, there has been a steady increase in the net profit of the company
INTERESTING INFO
1. The manufacturing revenues achieved last year was only on 50% utilization of installed capacity. Therefore there is a huge scope for growth.
2. Equity capital of the company is quite low, and promoters hold around 65%
3. Two insurance companies also own shares in the company
4. In the annual report of FY2016, there is a quote by Bill Cosby on the cover which says, "In order to succeed, your desire for success should be greater than your fear of failure". This indicates the mindset of the promoter and the management :-)
NEGATIVES - POSSIBLE RISKS
1. Any melt down in global metal prices could be a negative for this company.
MY TAKE
Maan Aluminium is a turn-around story. After a bad spell of several years, the company is coming into the positive. Efforts by the management in the last 12 - 18 months is in the right direction. The results of the steps taken are visible in the numbers.
At a market cap of around 30 crores, this is probably the cheapest company in the Aluminium sector. Supportive global metal prices could act as a tailwind for this sector, which could significantly boost the profitability of the company.
From current levels, the stock could head much higher over the near and medium term.
Maan is a potential multibagger!!
Disclosure: I own shares in Maan Aluminium
For commercial collaboration, consultation and JV ideas;
you can contact me via zorbayogi9@gmail.com
Important Note: Potential multibaggers are those stocks which have potential to give 100 - 500% profits. Obviously such returns take time. Probably 2 - 3 years or more. Short term volatality is the reality of the stock market and that will always happen. Short term movements(upside and downside) are impossible to predict. Only invest funds that you will not need for the next 3 - 4 years. As long as you buy a stock for the right reason and are convinced about the future prospects of the company, there is no need to worry if the share price goes down and stays down for a period of time after you buy; provided you have followed the cardinal stock market mantra BUY LOW.
Very important note: The objective of this blog is to share knowledge and info about multibagger ideas/opportunities. Neither is this trading website nor an analyst website nor a Buy/Sell call website. For stock market success, always do your home work, own assessment and make your own decisions.
Sir, thanks for yet another recommendation. sir,how they will manage their debt, its just increasing yoy basis. And their quote- i felt is bit aggressive, so in future they will be taking more debt to meet their aspirations.Their net cash flow from operation was -ve,for last 10 yrs cumulative, so all their expansion was done by debt, isnt it too aggressive?
ReplyDeleteWelcome, Philip.
DeleteIt is necessary to distinguish between long term debt and short term debt which could mainly be bank overdrafts.
As long as the company is able to recover its dues from its customers, short term debt is not a problem.
Wish you good profits!
Thanks Sir, good learning point for me
DeleteDear Sir,
ReplyDeleteI came across your blog recently and noticed that I would have been sitting on great profits if I had known about markets in 2014 and had found your blog. But since I started recently feel its not too late please guide now on how to go about it?
1)Shall One buy the stocks which are below recommended price.
2)If one wants to invest every month from 5k to 30k depending on individual , how should he invest on your multibagger Ideas .
How to divide amount in between present Ideas and past stocks which have/or about to be multibaggers?
If searched on google for above only answer's Im getting is mutual funds whose performance you have beaten.
Thanks
Dear Umang,
DeleteIt happens :-)
If I had discovered the stock market 10 years ago, by now I would have been a millionaire.
Thinking about past is a waste of time.
We should our best possible in the present :-)
Broadly, making money in market is simple;
Step 1: Find a good quality stock
Step 2: Buy low
Step 3: Sell high
If you can do this consistently over a 10 year period, you will become very rich.
All the best!
Hello Yogi.
ReplyDeleteWe both are on same plane. Metal Index Strong Breakout as it is benefiting from Rising Commodity Prices. I remember i was bullish on whole metal pack when it hit all time low. But none of them gathered confidence to Buy Metals that time. Maan Was Just 10 Cr Mcap. Now Its 30 Cr Mcap.. 30 Cr Mcap is Just Peanuts. With 400 Cr Revenue Visiblity this stock should be atleast 50 Cr Mcap.
Agreed, my friend.
DeleteFor Maan Aluminium 50 crore market cap is not too difficult to imagine.
Wish you good profits in Maan.
Sir, happy republic day to you and all your blog readers
ReplyDelete
DeleteThanks, Philip.
My dear yogi
ReplyDeleteUr view on bglobal Sankhya Infotech and prithvi softech all these are appreciated more than 100% buy at cmp pls advice
DeleteNo idea about Sankhya and Prithvi, my dear Amudhan :-)
cheers!
Sir i am having the shares of unitech purchased @8 & now its at 4.75 what to do
ReplyDeleteHi zorba,
ReplyDeleteIf we go by the fundamental analysis what should have been its CMP?
Should we focus on individual stocks or aluminium metal as a sector? bcoZ we have stocks like century extrusion in the game as well
Thanks
This comment has been removed by the author.
ReplyDeleteWhats the reason of sudden price drop
ReplyDeleteDear sir,
ReplyDeleteWhy did you stopped blogging. Please continue sir...we are depending on you
-Gopi
Pre-IPO Opportunity @ Nazara Technologies
ReplyDeleteWe have a mandate to sale Nazara Technologies Shares (Limited Quantity). Last Traded Price is 770 Rs. Price May change as per demand.
Intrested may contact on contact@strategicalpha.in.
To Know Potential in this only to be Listed Company in Gaming Space in India Follow Check below Link.
https://strategicalpha.wordpress.com/2018/03/30/nazaara-technologies-a-high-potential-wealth-creator-in-gaming-space/