Many small companies will be like that for years. Better will be to compare the PE with the peers in the same sector. Secondly look at the potential for business growth and management focus. Stocks of many PSU giants were in single digits for a long time, now these are in 3-4 digits. As an investor, if you are convinced about the company, stay invested and market will give due rewards at some point in time if the company performs consistently well....

They still have more than 20 crores to pay. Now if we divide it at 3.5 crores per quarter, it would take 2 years to come in the green despite having operational profit !! Common sense says the value will remain below Rs.15 for atleast a year !!...

Hi, The dividend of Rs. 1 per share was credited directly to bank account today. Srinivas...

strange.. mtnl is declaring dividends too......

Hi Sachin The stock is performing well. i have a feeling the spike up is due to Dlink getting listed soon. Talked to the company person, by this week they should get the SEBI approval and By late october the stock should get listed. I think the stock would get revalued when the results come out. Regards Arjun...

Hey Ace There is something wrong in the book value then, if Smartlink is trading around Rs 22 book value, then Dlink would atleast have a book value of Rs.46-50. Therefore, where have all the assets gone, has it been transfered to Dlink. Cause Earlier the total book value was around Rs. 68.90. Could you please clarify this issue. I think when Dlink Lists it should trade around 40-45. Thats my view. Regards Arjun...

Hi There seems to be some misunderstanding. The original D LInk was to be replaced by Smartlink. The original holders of D Link will not have Smart Link & D Link together. ...

This stock is currently traded at p/e of less than 6.
Market on an average is trading at p/e multiples of 20.

Is there any future growth seen in this company.
Business wise it has been best year for this company. It has earned 8 rs per share in first six months and can very well earn close to 16 per share for rest of the year. Demand for eggs and chicken seen to be renewing due to absence of any bird flu rumor and also since price of pluses, wheat, rise and vegetables hitting through the roof, people have started substituting these with eggs and chicken.

Its a zero debt company with with a book value of over 120.

Shouldn`t it rather quote around 150.

Thanks
Sachin
...

The company had net sales of 2774 lakhs this quarter compared to 1709 lakhs for same period last year. Net profit has been 233 lakhs this year compared to loss of 143 lakhs for last year.

Total eps for this financial year is now 8.29.
Its trading at 70 per share thats less than 10 times earning for past six months. With a year to go, I think it may earn upto 16 per share.

I suppose price may catch up sooner than later.

Thanks
Sachin...

actually result were good.
there brokering division has given a profit of more than two and half times (ie 150%)

This is a good sign for long term sustainability of their business.

Interest expense is due to some past liabilities due to their parent indian bank.

These interest expense are paid out of profits only so as a shareholder dividend payments would be mainitained.

Further once these liabilities are paid in due course it would have much more disposable income which can be paid out to shareholder. Its cost of operations is very less so as shareholder one can expect great rewards in future.

I think current fair value of this stock is between 18 - 20.

Thanks
Sachin...

Hi,
Record date for MTNL dividend payout was over sometime in september. Now its october end. Has anybody received the dividend of 1 per share declared till now.

Thanks
Sachin
...

Results are good, earning 2.21 per share.
I it continues this way for rest of the year, it may well earn around Rs 6 per share.

Then it might get revalued.

I hope soon to be re-listed dlink also posts good results.

Thanks
Sachin
...

No assets were transfered to smartlink (previously known as dlink)

New dlink will just have marketing business of promoting dlink international product and services in india.

For that they have set offices across India. However there would be not much fixed assets as all production is done in Tiwan and only sold here.

So it should be listed at 20 - 25 around 40% of smartlinks traded value because demerger was done in that ratio only.

Thanks
Sachin...

what exactly happened was smartlink was demerged from erstwhile dlink.
then name of dlink of changed to smartlink which we see today as getting traded at stock exchanges.
the demerged smartlink name was then changed to original dlink and which is what we are waiting to be get listed.

so if you bought the shares or dlink before record date of demerger you have shares of both the companies....