SP Tulsian of sptulsian.com joins CNBC-TV18 to pick out his multibagger stock ideas for the day. He chooses Bliss GVS Pharma and Mangalore Chemicals and Fertilisers.
On Bliss GVS PharmaThis is an interesting company. They are into pharma and FMCG, making anti-malaria, respiratory, anti-inflammatory and even dermatology products and some personal care products.
First let me take the financial performance of the company for H1FY12, they posted a PAT of about Rs 32 crore on a top line of about Rs 132 crore. This results into a PAT margin of 27% which is very rare. In fact, these kind of PAT margin is not enjoyed by the larger pharma and FMCG companies too.
Also, they have posted a 23% growth on the top line on a comparable period of FY11 and posted a growth of 24% in the bottom line. That has resulted into an EPS of about Rs 3.50 for the first six months of the year on a low equity of about Rs 10.50 crore.
The share has a face value of Re 1. The book value of the share will be at about Rs 24 by 31 March 2012. That means it is available practically exactly at a book value of Re 1.
If you see the manufacturing pipeline of the company, they have a very strong brand portfolio, reputed products enjoyed by the name of the company, and the plant is located at Palghar in Maharashtra.
The shareholding pattern is also quite interesting - 65% held by the promoter, 13% by HNIs and about 20-22% is with the public. So the share is available at a PE multiple of three times. It
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