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cairn india

Discussion in 'Fundamental Analysis' started by jignesh_acharya, Oct 23, 2014.

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  1. jignesh_acharya

    jignesh_acharya Active Member

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    What do you say about cairn India?
    Fundamentally strong company available at very low rates, price is below book value
     
    jignesh_acharya, Oct 23, 2014
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  2. shabbir

    shabbir Administrator Staff Member

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    Please share how do you see a fundamentally strong company?
     
    shabbir, Oct 24, 2014
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  3. jignesh_acharya

    jignesh_acharya Active Member

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    company is debt free
    Good growth of 93% in past 5 years
    stock is available at near 0.89 times its book value
    good dividend 3.6%
    Presently this stock is down because of the down in the international price,when the crude price will increase in international market the jump in this stock is inevitable
     
    jignesh_acharya, Oct 25, 2014
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  4. shabbir

    shabbir Administrator Staff Member

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    Growth of 93% is something that is what I need to see why. Looking at bse india annual trends - http://www.bseindia.com/stock-share-price/stockreach_financials.aspx?scripcode=532792&expandable=0 Sales of 3.2 million in 2010 to 9927.53 million in 2014 is something that needs a reason. May be company started operations of some kind. If thats the case then growth is not something to be looking at.

    Rest looks all ok.

    Technically I would like to see a bottom being formed around 270ish.
     
    shabbir, Oct 25, 2014
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  5. jignesh_acharya

    jignesh_acharya Active Member

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    Yes the company started the operations recently after the permission of the supreme court without the decisions of gas price to be fixed. As it applied before the gas price came under regulations, Hence supreme granted it to start its operations.
    Reliance and others are waiting for gas price to be fixed.
    Technically your are right as it shows weakness since its last quarter result was poor because of the international market low price pressure and maintenance activity which hampered its stock price.
    I made position in this stock on the Muhurt Trading.....Lets See in Future.....;-)
     
    jignesh_acharya, Oct 25, 2014
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  6. shabbir

    shabbir Administrator Staff Member

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    Lets see but I don't prefer investing in these kind of stock fundamentally. Will share a blog post about how I use fundamental analysis soon once I am back from my vacation.
     
    shabbir, Oct 26, 2014
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  7. jignesh_acharya

    jignesh_acharya Active Member

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    will be waiting for your post....
     
    jignesh_acharya, Oct 27, 2014
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  8. shabbir

    shabbir Administrator Staff Member

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    The draft is on and so expected very soon.
     
    shabbir, Oct 28, 2014
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  9. jignesh_acharya

    jignesh_acharya Active Member

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    Awaiting for your post....
     
    jignesh_acharya, Oct 31, 2014
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  10. shabbir

    shabbir Administrator Staff Member

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    Your wait will be over in this weekend.
     
    shabbir, Oct 31, 2014
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  11. shabbir

    shabbir Administrator Staff Member

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    Hi Jignesh, I hope you will have an email about my post on fundamental analysis but still here is the link to the blog article.

    http://shabbir.in/fundamental-analysis/

    Let me know your views in comments. I will be waiting.
     
    shabbir, Nov 3, 2014
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  12. jignesh_acharya

    jignesh_acharya Active Member

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    Yes I saw that. I will read it carefully and will comment on that.
    Thank You very much for posting such beautiful and detail analysis.
     
    jignesh_acharya, Nov 3, 2014
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  13. shabbir

    shabbir Administrator Staff Member

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    The pleasure is all mine Jignesh.
     
    shabbir, Nov 3, 2014
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  14. Suresh_Sinha

    Suresh_Sinha Active Member

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    Read that on email and its eye opening for me actually
     
    Suresh_Sinha, Nov 27, 2014
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