Outrageous pricing, no QIB for a 50 cr+ issue, very average financial performance and huge fundraise versus size of P&l - avoid for me.
As a disclaimer, I'm hunting for long term, fundamentally strong holds in SME segment too and hence listing pop or lack of it is not my decision-making criteria. To each their own!
@DSR - If you don't need the funds then hold this one tight but you will need to be patient for a few quarters for the next strong up move since new hospitals is a long gestation play though what helps is that the new hospital here will come up in this year. Also, keep an eye out for how the Anchor investors change their position in the stock since this one has a good Anchor list. Overall good balance sheet and decent cash flow profile but the receivables are a clear cause of worry and should be monitored very closely in this one.
Keep minting!
14.6. Manan Surana| Link| Bookmark|
December 2, 2023 12:54:17 AM
Top Contributor (800+ Posts, 200+ Likes)
@Manan Surana ji, I'm not very conversant with the Iron & Steel industry and hence perhaps not the best placed to respond to you. However, I did see the Company briefly and it does look decent to me, but I also feel that if you really want to play the Iron & Steel industry then there are so many other larger, well known and well-run companies which are listed on the Main Board which could be a safer play and provide similar returns. With this Company you're not only exposed to business size risk but also the new projection execution risk along with commodity price risk (which all players big and small are exposed to). I'd believe that larger companies would be better place to manage all such risks versus a smaller player whose financials can go through significant volatility due to any of these risks playing out even mildly. In early January next year when a year is completed since listing there may be some pressure on price by those who wish to exit since the stock hasn't given much return so my suggestion would be to exit since there is still some profit to be made on the IPO price despite the STCG. My best wishes!