Sugar Scrips on Fire ~ Humming Sugar Sugar… & you got me wanting you !

Sugar Scrips on Fire  even as Sensex tanks @ 382 points & 1.48 % to close lower at 25483

Humming the Archies classic “Oh Honey! Sugar Sugar You’re my Candy Girl & you got me wanting you !”

Look at the Sweet Sweet Returns if you’d made the call on this commodity just a month or two ago when Global Prices have been rising dramatically and the Indian Government has allowed Sugar Exports to realise these prices

Just look at these 14 Sugar Scrips on Fire on BSE !

Dwarikesh & Simbhaoli closed at their 52 Week Highs today while several others recorded their 52 Wk Highs before closing marginally lower !

Interestingly EID Parry has not gained till date in 2015 having opened at Rs 202 levels and closing today at similar levels

Sugar Sector has been a Multibagger one this year !…in fact in just one or two months of investments one would have raked in three digit % returns in Sugar Scrips !

 

SUGAR SCRIPS ON FIRE !

Scrip Name

 

Mkt Cap

(Rs Crs)

FV

(Rs)

52 Wk

High

52 Wk

 Low

Jan1 2015

Nov18

2015

 

%

Day

  

%

2015

 

%

from

52 wk low

Sensex

 

 

30025

24834

27486

25483

-1.47

-7.3

2.6

Nifty

 

 

9119

7540

8273

7732

-1.35

-6.5

2.6

 

 

Rs 

 Rs

Rs 

Rs 

 

 

 

Bajaj Hind Sugar

1768

1

25.2

11.01

19

21.65

-2.73

13.9

96.6

Bannari Aman

1401

10

1420

575

1163

1225

-1.1

5.3

113.0

Balrampur Chini

2024

1

85.4

33.45

60

82.65

14.63

37.8

147.1

Dalmia Bharat

565

2

76.70

16.10

22.7

69.85

-1

208

334

Dhampur Sugar Mills

423

10

74

27.4

43.4

72.2

3.69

66.4

163.5

Dwarikesh Sugar

147

10

89.9

19.1

28.35

89.9

4.96

217.1

370.7

EID  Parry

1950

1

244.5

123

202.6

201.65

-6.17

-0.5

63.9

Oudh Sugar

108

10

44.2

14.2

19.9

41.75

4.76

109.8

194.0

Rajshree Sugar

89

10

39.5

14.4

22.9

37.55

3.18

64.0

160.8

Sakhti Sugar

37

10

35.1

12.2

16.7

33.35

-0.15

99.7

173.4

Shree Renuka Sugar

1618

1

20.4

7.03

15.35

17.42

8.54

13.5

147.8

Simbhaoli Sugar

68

10

24.05

7.6

14

24.05

9.82

71.8

216.4

Triveni Engineering

956

1

39.8

14.4

23.5

37.05

8.18

57.7

157.3

Uttam Sugar

128

10

34.4

9.14

15.5

33.7

-0.6

117.4

268.7

What now going forward into 2016 !? Can One yet Consider hopping on to the Sugar Bandwagon even now?

Well a few sugar sector analysts expect a good run for the next two years after a cyclical bad time past few years….just like the Aviation Sector that has returned to spectacular profits as Oil prices halved and thus halving Aviation Turbine Fuel Prices that make up @ 50% of the Costs

These Commodity Cycles are tricky to gauge & hence the huge Volatility swings over time…literally Sugar is not in everybody’s cup of tea !…probably only those aggressive

If considering to increase or initiate exposure in the Sugar Sector,just do your Homework on Potential Non Linear Profitability coming up in Sugar Companies going forward and assess how much of this euphoria is already reflected in current Share Prices…many companies are in the restructuring stage after some gruesome years battling low sugar prices and high indebtedness & losses….many crippled factories have even shut down

Otherwise you could land up being a victim of ‘Herd’ Mentality because you just ‘Heard’ !

However  my intention is neither to scare you nor to make you excited !

Just don’t put 14 spoons of Sugar in your Tea !  

 

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