Aeroflex Industries Limited IPO Message Board (Page 33)

Already informed that This company is going to file DRHP On 13 Aug for 900-1100 cr IPO

It has filed DRHP on 19 Aug with an issue size of 1050 cr

Dear newgen,
Bls also hold buy at 255/-, please🙏 also suggest on exit level.
Thank you once again.

Last 4 yrs Revenue CAGR Is around 32%
Current EPS Post issue
(Calculating EPS after adding No.of shares issued in fresh issue
Pre-issue , EPS - 2.64
Post-issue , EPS - 2.331)

If FY 24 Earnings are considered
Expected EPS would be 2.95
Where PE comes at 36

If 1H FY25 Earnings are considered
Expected EPS would be 3.42
Where PE comes at 31.57

Moral of the Story

Retailers ko C* samajh rakha he
2025 ke diwali ki Earnings 2023 me mang rahe he

First time I am angry 😠
Acchhe market me unreasonable valuations lakar bevakoof bana rahe he

Not saying to avoid par 2take ka bhi scope nahi he table pe

I expect everyone to please react on this message
Those LM's should think twice about demanding such high valuations next time

Please use a thumb 👍 and react

@newgen consultancy  Retailers ko C* ki jagah retailer ko ullu sahi rahega.
Retailers toh hum hi hai.
Pichle 1.5 varso se mainboard walo ka mastishk kharaab hai.
Ek lic aur paytm ka bhai TVS SC bhi open hai.

@newgen consultancy Sir
👍

I don't expect anyone to like the message but just thumb 👍 , so that I will get the message that my emotions and of all the respective retailer is the same

@newgen consultancy bhai you're absolutely correct. This is why I keenly follow all your advice.
So called market-gurus on business channels don't generally talk about accounting for future cash flows and other advanced earnings methods like you've mentioned in your comment.
Thanks for the valuable insight. This is a good company, but their overvalued asking price is too much for me. And afaik, they'll create fake GMP of 15-20% to lure retailers, and it'll all vanish by the time it lists.
BTW if anyone's interested, I'd like you to look into the Promoter of the company and his background, as well as his board. You can also look at their employees reviews on Google to get a clearer picture. Baki Samajhdaar ko ishara kaafi hai 😌

@newgenconsultancy
👍

@newgen consultancy 
Your messages help me to make a decision .
Keep posting your valuable message 🙏🙏
👍

👍

@newgen consultancy Sir, thank you very much for putting lots of efforts for helping CG Forum Members by highlighting important aspects of balance sheets.
I fully agree with you and it is a fact that recent IPOs have been highly priced in line with tomato prices.
Ideally, IPOs should be priced lower than their listed peers because company needs money and that is why it is bringing IPO.
It is now just opposite. It seems that investors need IPOs for investing and companies are doing gratitude by bringing IPOs.
What I mean to say is that due to our blindly subscribing highly priced IPOs, we are encouraging these Promoters and LMs to exploit us.
I urge fellow members to please study fundamentals, financials, valuations and then decide to invest or otherwise. I fully support your concern.
👍👍

@newgen consultancy Great work sir, please keep enlightening retail investors in every ipo, you are a very big help to us

@newgen consultancy i fully agree with you, keep up the good work, lot of members are benefitting by your knowledge

@newgen consultancy We appreciate your efforts...thank you !!

@newgen consultancy       
Agree with you on this, btw one point that i want to get clarified from you : as you said Last 4 years Revenue CAGR is 32%, but revenue figures for last 4 years ended (in crores):
Mar 20 : 144.94
Mar 21 : 144.84
Mar 22 : 240.99
Mar 23 : 269.48

As per this the CAGR comes out to be : 16.77% but you have mentioned it as 32%. Correct me if i have made mistake here, thanks.

@newgenconsultancy
👍

It is a wrong notion that Market laps only low PE shares. if such be the case, shares like SpectrumTalent would have been on fire. Shares like KAYNES which were offered at a PE of more than 80 were also found favour with investors rising more than 150% since listing. The core point, according to me, is the future potential of the core business of a Company and the ability of its management to convert the opportunities to create wealth. I feel Aeroflex will get heavily subscribed, up to 50 times, and will certain deliver good returns to investors.I am applying FF.

@Vnrao  No one said that only low PE shares do, that theory does not substantiate itself every now and then. But the point raised here is different, which, as it appears in the current case is intentionally raising the price of IPO, just to grab more money, when all other things being equal, how come this becomes a good practice? When recently prominent investors had obtained shares at lower value, then why to further raise the price band, just at the time of IPO? Its neither in favour of investors nor the company. Rest it only favours we all know who.

Sir you have given many statements in your response to my urge

I will try to respond on each of your statements

1.Market lapses only Low PE shares -
It's not important that A company is highly valued or low valued , the future prospects play an important role

Many High PE stocks have given great returns
Eg.VBL , ABB , DIXON , HAVELLS , SIEMENS , and many more
One thing is common in every counter of those , strong orderbook , or good CAGR Growth or softening of raw material costs
Or government support

2.Spectrum Talent - A fundamentally good company
But operator did a big turnaround during listing which is not in hands of yours or mine It is an exceptional scenario

3.Kaynes Technologies -
It had a strong orderbook value during IPO
Around 40% of its pre ipo market cap
And It is in OEM/ODM sector , also its
good promoters , good future prospects, strong quarterly results , and its sector (Defence and Aeronautics specially)
Gave it a premium valuation
After listing gains its PE was Around 110
After 1st Quarterly Results it came 66
After 2 nd it came at 77

So it's strong execution justifies it's valuations

4.Aeroflex Industries
We have no orderbook visibility because it keeps its SKU's ready and the consumer buys the already finished product so we cannot predict its future
If past performance is observed it is keen to deliver Around 30% CAGR Growth which is good for me.

I am absolutely positive about the company
But the valuations they are asking are
F1 25 as I already mentioned in my previous message

It is not an Capital goods company like Siemens or ABB that it is asking a PE of 46Nor it is in defense ori Aeronautics like MTAR
also not a drone company

To kyon Retailers ko mehenga bech rahe ho

One more thing
In June Ashish Kacholia and Vikas Khemani bought at 86 per share
To hamse kyon 108 mang rahe ho

I hope you are satisfied

@newgen consultancy :
Thanks for depth analysis...
You have great knowledge of share market 🙏
Please keep enlighten us small investors.

@newgen consultancy  👍

Dear newgen,
Thank you🙏 very much your advice regarding latent view Rs. 431/- today. Target Of Rs. 450/-given by you.
Thanks

@DHARMENDRA SHARMA 
Cochin Shipyard blasted too
But hadn't thought about such aggressive price action

I am revising my short term target of
Latent View at 465

Also Hold BLS , Vascon , MTAR for those who have taken on my recommendation

I also had recommended BEML some months ago, see the returns now

Can still buy BEML for 2450

@newgen consultancy 👍 very good analysis
Can give opinion about cg consumer
Rajesh export
And uno minda
Eagerly waiting for reply

I am very bullish on UNO Minda
Very good for Medium to long term

CG Consumer , neutral
Nothing good on charts either the business

Rajesh exports , some bottom fishing can be done , can see 10-15% upside

Very Very expensive VALUATIONS
Now u apply or not?

@MITTAL Let anchor come
I don't think premiums will sustain above
30-35 post allotment

Saint Global
And Maven India

@newgen consultancy 
The issue/problem of High Valuations is not new Buddy.
Nykaa / Zomato / LIC / Aditya Birla AMC / Cartrade / Paytm ..
Mamaearth the new upcoming (in pipeline).
Let me remind LIC had planned initially to come up with IPO of worth 70,000 crore total issue Size and initial price per share was 2100/- approx .. than they reduced the size to 50,000 crore .. 35,000 crore .. than at last they came with size 21,000 crore.

Imagine if it was of 70,000 crore .. just image the wealth destruction .. share value depreciation ... 🤣

@newgen consultancy 
Mamaearth

The company became profitable in FY22 with net profit of Rs14 crore compared to losses of Rs1,332 crore in FY21 and Rs428 crore in FY20. In the first half of FY23, its net profit stood at Rs3. 67 crore. “The company has only turned profitable in FY22

Sequoia Capital-backed Indian skincare startup Mamaearth is in talks to raise at least $300 million in a planned IPO next year and is seeking a valuation of around $3 billion.

24000 crore valuation .. 14 crore profit .. 🤣

@newgen consultancy any target for uno minda my avg price is 660

@newgen consultancy sir, as per my understanding last 4 years CAGR is
< (269. 48/144.94) power 1/4>-1=16.77%

Kindly correct me if my understanding is wrong.

@MKS IND IPO 
You are definitely right ✅️

I have kept aside the covid effect during which the growth was sluggish for the company
And considered approximate CAGR
Studying last 2 yrs trend and industry estimates

I am confident on this company on 30-32% growth but not on its valuations

@newgen consultancy As it's current GMP is too high and I don't think this GMP can remain intact till listing but can we apply this ipo for atleast 30% listing gains.

@Phoenix.. 
Sir agar Paisa ban raha ho , to bana lena chahiye

I have got the info that grey trades are happening in small quantities but frequent times

Matlab thoda sa maal baar baar kharid rahe he
But still 25% listing gains are possible

@newgen consultancy Sir, Thanks for the clarification which is quite logical.

Thanks sir
That will effect on decision

Can anyone suggest about aero flex IPO.and what is open info price.thanks everyone.

You're right, and cherry on the top about this company is, their so called "environment-friendly metallic flexible flow solution products" is literally freaking steel pipes hahaha.
Aise to mai bhi apne papa ji ko bolta hu, hamare apple farms ka IPO la dete hain. We'll describe it as "Our estate consists of acres of orchards comprising various cultivars of Malus domestica, spaced at intervals conducive to sunlight, irrigation, and nutrient absorption. Each tree possesses a rootstock and scion, demonstrating grafting techniques for disease resistance and optimal yield. Harvesting utilizes specialized machinery, inspecting color, shape, and blemish-free fruit for packaging and transport", when all I mean is I grow apples 😂

Pre - Issue Total Shares : 22863600 EPS AS ON 01.01.2023 EPS : 9.76 As per DRHP
Post Issue : 22863600 + 1.5 Cr Fresh Issue = 3.78 Cr Shares Total
EPS : 5.89 Approx PE : 18.3
Correct Me If I am Wrong Team Kindly Reply ?

@Venkateswarlu You are wrong in each and every figure my friend Pre-issue total shares : 11,43,20,370, Total net profit of company as on march-23 is 30.517 cr so EPS will be 2.64 and post issue 11,43,20,370+1,50,00,000(Fresh issue)=12,93,20,370 shares and EPS will be 2.33 so approx PE will be 46.3 (post issue)