Two Rs 75 Scrips….Both yet look fundamentally interesting,depsite their significant rise past two years……Crop Protection Chemicals,Sabero Organics & Textile Retailing, S Kumars Nationwide….clients have interests in both..have recommended them earlier too…they yet look good for further appreciation to Rs 100+ in the coming Year…consider for the Growth Segment of your Equity Portfolio…they may no longer be a constituent of the Multibaggers Segment with entry at these prices
I initiated recommending Sabero Organics in 2008 at Rs 24….I blogged twice again on it…it’s now Rs 80+ and poised to cross Rs 100
Check out my earlier three blogs on Sabero Organics http://www.gauravblog.com/?s=sabero
Regular Readers of my Blog would recollect Sabero Organics
I had recommended it on August 8,2008 at Rs 24 Fabulous Quarterly Show by Sabero Organics Gujarat…..Rs 24 and yet again this year on September 4,2009 at Rs 35 Sabero Organics up but FII,Clearwater Capital seen exiting ! Why ?
It’s zoomed away to near Rs 70…infact was Rs 45 last week….To check out why refer to my earlier blogs on this Scriptech Select Stock and you’ll be convinced Rs 100 is not to far away now!
On August 6,2008,just under thirteen months ago I had blogged that Sabero Organics looks good at Rs 24..Click on http://www.gauravblog.com/?p=93
It had then dropped to Rs 12 in the market meltdown and since then has shot up to near Rs 40…Today it’s Rs 35 and has given an excellent June quarter performance…PAT is Rs 11.20 crs on Sales of Rs 121 crs,of which Exports are Rs 80.49 crs or a healthy 66%.Operating margins have surged from 14% to 18% levels
It’s book value was Rs 25 at March 31,2009 and should be close to Rs 35 by end FY 10 with networth crossing Rs 100 crs…So Forward FY 10 P/B is 1….. Earnings Multiples too look great…EPS for FY 09 was Rs 7+ and for this year should be Rs 12+…so you’re getting the scrip at a Forward FY 10 P/E of just 3…The Current Market Cap is just Rs 103 crs,that’s just 20% of FY 10 projected sales of over Rs 500 crs…The Debt situation should ease with the increasing profitability