PB Fintech Limited IPO Message Board (Page 14)

If you like then plz give me a backlink over assetkumar.com

This is best explanation forever. I also write information related to finance . but your articles are too good .

PB Fintech - For those who care beyond the GMP (based on FY21 consolidated financials & post-money (top end of the price band)):

Tax Adj. RoCE (%): MASSIVELY NEGATIVE
RoE (%): MASSIVELY NEGATIVE

EV / Revenue (X): 43.7x
EV / EBITDA (X): MASSIVELY NEGATIVE
P / E (X): MASSIVELY NEGATIVE

As a comparison, Nykaa has shown some profits in FY21 and has delivered single digit RoE / RoCE. Further, Zomato, has only one another somewhat of a look alike in Swiggy but absolutely no other scaled competitor and hence a strong moat, currently.

Now for PolicyBazaar, which has an insurance and lending business. The insurance business is nothing but a glorified call center business and I see no value to it at the current valuation ask. Its a people intensive business and hence I really don''t see what''s the digital / internet value dimension. Also, whatever PolicyBazaar does can be done by any other horizontal FinTech play, Paytm for example. I''m not advocating for Paytm and neither am I advocating for horizontal FinTech plays - all I''m saying is that I''m failing to see a moat which justifies this valuation. The lending business - well let''s not even talk about it!

Sure, given the anchor book and digital / internet craze it may get subscribed well and give a good listing pop but can I rationally justify it? Well, no! So completely a skip for me! Keep minting!

@Neo Agree with you. Even if it does wonderful business in the near future, asking valuations are absurd. Already large insurance companies like HDFC life communicated it will not list its policies in PB.

I was feeling Dmart/Titan/Indiamart/IRCTs are richly valued but when I compare with these kind of IPOs I feel they are cheaper:)

Agree, Moat is narrow. But this is a platform business. If I want to buy something I compare prices in both Flipkart and Amazon. In insurance and loan, people look for choices, and they flock to known trusted name. That should augur well for PB, unit economics are positive but they are spending on ads and heavily discounting.

Revenues and profit perse what they demanding for valuation is atrocious though :)

With the latest pre-ipo news on Paytm every last cent is going to flow into Paytm leaving PB and SJS gasping for figures.

https://www.cnbctv18.com/business/paytm-to-raise-rs-8250-crore-from-anchor-investors-ahead-of-blockbuster-ipo-11317922.htm

Pb fintech gmp continue decreasing from 160 to 90

pls see this video
https://www.youtube.com/watch?v=n0HNVSPDEnU

never seen such rude and arrogant promoters, specially Yashish Dahiya ....thanks for this video, I just withdrawn my applications. Ready to skip this happily...this is another Car trade anyways..fooling people and taking away their hard earned money in the euphoria...They sounded really in hurry to encash the money from all we people...

Avoid the issue right now will definitely get oppertunites to enter at lower level if some one like the business modal at current price band its very expensive.

GMP 140/-

For those debating on application ratio between the various IPO''s currently open for subscription, it may help to note that in the month of August - the last time when multiple large IPO''s opened simultaneously to raise a large sum, almost INR 1 lakh crore of HNI money / financing was deployed and available for IPO''s! Keep minting!

Nykaa has cornered 90k cr+ in HNI funding today. My guess is that all the other 4 IPO''s which are currently open will struggle for strong HNI subscription in absolute terms. Sigachi for sure will get good overall HNI subscription given the small IPO size. SJS seems like a good Company to me but dearly priced and hence HNI subscription will reflect this understanding. PolicyBazaar has somewhat of a buzz around it but I think the buzz is quite pointless. Fino - may God help them! Keep minting!

1st day subscription is below expectations.
NBFCs are not sure whether they will give funding for this IPO or not
The page activity is very less for a live IPO..

All this reasons are not encouraging. Sentiment improvement, if any, should happen fast.. Otherwise, this will go in the cartrade/aptus/krsnaa category...

HNI 50 times looks tough

Very high cashburn, kind of middleman like platform, D2C disruption where insurance companies might be inclined to sell directly to customer.

I feel these internet companies are overvalued and it is incorrect to compare them with Amazon. Most people reason that Amazon also lost money initially.

Face Value = 2
Price = 980
If FV = 10
then Price = 4900
Revenue decreased in years
Loss continued
Total Assets increased in years but not from last year

How come Total Assets increasing if Total Revenue decreasing.
If Total Assets + Total Revenue = next year Total Assets
then how they are getting money form day to day expense (working capital)
If they took loan for it then why not their loss increasing(paying interest)

Conclusion : Do not subscribe for IPO
If you are compelled then buy after 2-3 days of listing.
Long term view for the business is very good. In future very body will purchase their through online platform......bright future for it.
But as per their present income data, please avoid.

My judgement as per layman knowledge

@ Amit Majumdar ji at policy bazar we are looking it future growth, future online insurance policy penetration and its brand value....so calculating everything, cmp looks decent for decent listing gain....just see qib demand on last day. Fancy is there, so apply for listing gain. If it not comfortable, then don''t apply brain, just apply and sell in grey market.

Expensive valuation No moat even Paytm banks directly selling insurance waste of time and money 10-15 % gains only secondary market way far better I don''t want to waste my time and money purely avoid

Policy bazaar is to expensive in negative pe and high pb ratio but still gmp is available is it remains after ipo please reply thanks

@Vinay GMP is the biggest illusion. Don''t go ONLY by that.

Let me tell u an incident... Not exactly GMP... But how the mkt perceives things. I picked up shares of Paytm in the unlisted mkt at 2920 with a view to flip soon... The euphoria marketing starred as was expected. The unlisted brokers were all selling for 3600 - 3700 etc... In small qty... All of them were marketing it to another level... 4000 pe hoga list... Etc etc... I had a sizeable qty... Everyone was willing to sell... No one was willing to buy... So, I sold it back to the guy whom I brought it from ( most reliable and genuine person. Can''t disclose names here as i think its against the forum policy) for 3400 ( he was selling for 3500 that time)... Within 2 weeks of my selling, the so called PREMIUM CRASHED when it was declared that the price band was 2100 approx.

If I had believed the so called marketing premium, I would be staring at a huge loss.

@M.K. yes bhai i don''t believe in gmp of any ipo i always see the valuation of company, this is best way to decide to apply or avoid in any ipo but in recent ipo most of the ipo management say in drhp there is no any listed peers, so if peers company available then its easy to compare with other companies to see real valuations of company and see what promotes something left on table or not for investors but in recent ipo most of management say its unique business so its difficult to understand company valuation and decide apply or not but its ok
By the way good to see you to earn profit in paytm share pre ipo thanks

To get Dividend buy irfc on or before 9th nov.
buying on 10th or 11th you wont get dividend

how much is dividend

@Raj Kurupati, bank me paise pade rahe usse to a66a hai, at least getting better than FD

Best anchor book 👍

Would u except the listing will not be below listing price

@ pradip.. no hedging nothing in grey.. all open..
Nothing wrong happens in nykaa its just back to back announcement of ipos drag down the gmp.
@ aashish.. whenever der is raining of ipos.. its surely effect the listing gain.. discount listing probably not on cards but can dent listing gain..
In my personal opinion sjs and fino become victim of that ..

FRESH ISSUE % W.R.T TOTAL IPO SIZE
NYKAA=630/5351.92=11.77%
POLICYBAZAR=3750/5708.64=65.68%
PAYTM=8300/18300=45.35%
HENCE OUT OF THESE 3 BIG SIZED IPOS POLICYBAZAR WILL SPEND MAXIMUM PORTION OF IPO MONEY AS PER DIFFERENT REQUIREMENTS OF THE COMPANY ITSELF.NOW FOR LISTING GAIN PURPOSE ONLY,IS IT A CRITERIA WHICH IS TO BE CONSIDERED WHILE CHOOSING AN IPO OUT OF THESE THREE?

Smaller the size of OFS better it is. It shows that existing shareholders have faith in the company and do not want to cash out. Recent eg being Zomato

My point is that earlier pb was trading at 2200 in offline mode. Now price less than 1000. For two month it was open that issue would come at a valuation of six billion dollar at which is share value would be around one thousand then how it come that in grey market people were buying it upward of 2000. Please comment. Same analogy for Patym. Another question is that how many times anchor books subscribed in PB fintech. As nyaka was 40 times.

1. PB fintech is parent company of policybazaar so both shares are different
2. promoters priced it low for some listing gains ( still highly valued )
3. anchor book cant be oversubscribed as per my little knowledge their is some fix portion for anchor investors

if i am wrong at any point please correct me

thank you

Policy Bazar GMP. 145---155

HDFC Ergo and ICICI lombard are not part of PB any more. one point to be considered.