Comments on: Warm up to Q2 results http://dalaal-street.com/warm-up-to-q2-results/ Monies and Conversations Tue, 27 Jul 2010 15:09:53 +0000 hourly 1 http://wordpress.org/?v=3.0 By: Delivering on Q2 expectations | Dalaal-Street http://dalaal-street.com/warm-up-to-q2-results/#comment-1186 Delivering on Q2 expectations | Dalaal-Street Tue, 03 Nov 2009 13:10:43 +0000 http://dalaal-street.com/?p=203#comment-1186 [...] on this topic.Most of the stocks we have discussed till now have done very well in Q2 nos. In reference to the post on the pre Q2 stock ideas : , both the companies have done [...] [...] on this topic.Most of the stocks we have discussed till now have done very well in Q2 nos. In reference to the post on the pre Q2 stock ideas : , both the companies have done [...]

]]> By: Ayush Mittal http://dalaal-street.com/warm-up-to-q2-results/#comment-1059 Ayush Mittal Thu, 01 Oct 2009 18:16:00 +0000 http://dalaal-street.com/?p=203#comment-1059 Good work, Siddharth. The past is past. What is making me optimistic are the recent quarters and the potential going ahead. If one removes the "one time items" from the recent qtr nos, the company is doing very well. Lets see their Q2 nos to validate the logic and take further call ;-) Regards, Ayush Good work, Siddharth.

The past is past. What is making me optimistic are the recent quarters and the potential going ahead.

If one removes the “one time items” from the recent qtr nos, the company is doing very well.

Lets see their Q2 nos to validate the logic and take further call ;-)

Regards,
Ayush

]]> By: Siddharth Shukla http://dalaal-street.com/warm-up-to-q2-results/#comment-1056 Siddharth Shukla Thu, 01 Oct 2009 12:38:53 +0000 http://dalaal-street.com/?p=203#comment-1056 Hi ayush, I gave my opinion solely based on the numbers & i haven't gone through the ARs. First of all looking at the cash flows, they have -ve CFO for past 2 years & -ve FCF for past 5 yrs(not a huge concern if its a fast grower). Gross profit margins are good but Net profit margins have been erratic(-ve in 2k9 ,22% in 2k8, below 10% in 2k7,2k6,2k5) . Coming to asset turns , its been around 0.5 for past 5years, not a gr8 number for a pharma stock i feel. Debt to equity has gone up significantly in 2k9 tough interest covferage looks good barring 2k9. Being a high debt company a look at the ROCE shows poor numbers too except for 2k8. So neither is it a cash generating company & neither is it extremely profitable. I haven'[t looked at the recent quarter numbers tough(i generally don't look at them due to absence of Balance Sheet & Cash Flow stmt). I have no clue about the oncology space and about the impact of the MNC takeover, my view is solely based on numbers . I welcome your views & ya i am still learning to look at the bigger picture & learning from guys like you , thanks for the advice ... :) . Regards, Siddharth Hi ayush,
I gave my opinion solely based on the numbers & i haven’t gone through the ARs. First of all looking at the cash flows, they have -ve CFO for past 2 years & -ve FCF for past 5 yrs(not a huge concern if its a fast grower). Gross profit margins are good but Net profit margins have been erratic(-ve in 2k9 ,22% in 2k8, below 10% in 2k7,2k6,2k5) . Coming to asset turns , its been around 0.5 for past 5years, not a gr8 number for a pharma stock i feel. Debt to equity has gone up significantly in 2k9 tough interest covferage looks good barring 2k9. Being a high debt company a look at the ROCE shows poor numbers too except for 2k8. So neither is it a cash generating company & neither is it extremely profitable. I haven’[t looked at the recent quarter numbers tough(i generally don’t look at them due to absence of Balance Sheet & Cash Flow stmt). I have no clue about the oncology space and about the impact of the MNC takeover, my view is solely based on numbers . I welcome your views & ya i am still learning to look at the bigger picture & learning from guys like you , thanks for the advice … :) .

Regards,
Siddharth

]]> By: Ayush Mittal http://dalaal-street.com/warm-up-to-q2-results/#comment-1052 Ayush Mittal Thu, 01 Oct 2009 02:31:09 +0000 http://dalaal-street.com/?p=203#comment-1052 Hi Siddharth, Yes, Ahlcon is cheap if they maintain their nos like in Q1. Fresenius Kabi is a much better business model with long term growth prospects. Financial are not in a mess - try understanding the bigger picture - After takeover, usually all MNCs do balance sheet clean up and provide for lots of one time expenses. The beauty of this company is : 1. Its in a business which is one of the fastest growing & has very limited big players. 2. Operating margins are very good...close to 25-30%. (Look at Q1) 3. The German co is aggressive and has lined up lots of expansion. Have a look again, go through their annual report. Regards, Hi Siddharth,

Yes, Ahlcon is cheap if they maintain their nos like in Q1.

Fresenius Kabi is a much better business model with long term growth prospects. Financial are not in a mess – try understanding the bigger picture – After takeover, usually all MNCs do balance sheet clean up and provide for lots of one time expenses. The beauty of this company is :
1. Its in a business which is one of the fastest growing & has very limited big players.
2. Operating margins are very good…close to 25-30%. (Look at Q1)
3. The German co is aggressive and has lined up lots of expansion.

Have a look again, go through their annual report.

Regards,

]]> By: Siddharth Shukla http://dalaal-street.com/warm-up-to-q2-results/#comment-1048 Siddharth Shukla Wed, 30 Sep 2009 18:40:23 +0000 http://dalaal-street.com/?p=203#comment-1048 Hi ayush, Ahlcon Parentals looks interesting & cheap, i went through the financials & they look good. However i wasn't quite impressed by Fresenius Kabi, the financials are in a mess & neither is it cheap,is your investment rationale on this one based more on Macro factors?? Hi ayush,
Ahlcon Parentals looks interesting & cheap, i went through the financials & they look good. However i wasn’t quite impressed by Fresenius Kabi, the financials are in a mess & neither is it cheap,is your investment rationale on this one based more on Macro factors??

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