[sreedotk]

Continuing on Vedanta, I bought the shares a few years back when it was Sterlite. I am trying to learn the nuances of the Delisting and think i understand the theory but the practical part of Delisting was what i am missing.

I have a few shares of Vedanta and when the delisting process was announced i did not know how to participate or offer up my shares for a price i thought feasible in the offer.

Is it as simple as offering up the shares for sale at a price say 135 or so ?

S

[BaCkSeAtDrIVeR]

Originally Posted by sreedotk

Is it as simple as offering up the shares for sale at a price say 135 or so ?

What you are doing is sign a document authorising the depository (NSDL or CSDL) to transfer the number of shares specified by you to a party specified in the document.

This is not a bidding process like in IPO or FPO. You tender at the specified price or keep them.

The instruction is possibly conditional (have not and will not bother to go through the offer document) on successful delisting - that is, a minimum number of shares being handed over.

On a contrarian note, I confess I have a sympathy to the promoters - the NGOs,on strength of paltry holdings, have been creating a ruckus at the AGMs of the UK parent. In fact I sold off my shares (mentioned earlier) partly due to the NGO ruckus. And that was before the Tuticorin incidents.

Edit - is an entity engaged in manufacturing / production / processing but not capable of keeping the local population contended capable of surviving in this present days and present age?

[dailydriver]

Originally Posted by Ithaca

Spending ₹1.4 Lakhs on a tech that is not available here yet, is not my cup of tea.
One solution - spend ₹1.4 Lakhs & buy ITC shares & once 5g is available here, sell the shares & buy whatever iteration is available then.
For now, I will keep my older iPhones as long as they last.

The above post in the iPhone 12 thread forced me to ask this question here: what's happening with ITC lately?

The share price is seeing newer and newer lows everyday. Has the market lost confidence in the company or is the management not aggressive and confident enough?

At 160ish, will ITC move up sufficiently to enable Ithaca to buy that next iteration of iPhone?

Originally Posted by SmartCat

*

[Ithaca]

Originally Posted by dailydriver

The above post in the iPhone 12 thread forced me to ask this question here: what's happening with ITC lately?

The share price is seeing newer and newer lows everyday. Has the market lost confidence in the company or is the management not aggressive and confident enough?

I only wanted to highlight the futility (in my case) of spending Rs 1.4 Lakhs on a tech that could instead be spent in the market to get a better return. Took ITC as an example because of its volatility and the hope that in a growing population, an FMCG would always beat the market.

With regard to ITC stock, I am linking a blogpost by Manu Rishi Guptha below. He has outlined 10 salient points where he feels the company is faltering its shareholders.

Source : 10 Blunders 1 Company

The entire rigmarole of Fortune Hotels with 4000 rooms is generating a mere profit of 2.76 Cr – who is responsible for this and why is this abysmal performance being tolerated at my cost?
Welcome Heritage does a NP of a mere 40 lacs with 36 hotels , 900 rooms and the management bandwidth at my cost.
Which international brand / concept are we benchmarking ourselves against to justify our investment in the business and which of my employees has his/her skin in the game in this business and how is the executive compensation tied to the performance of the Hotel Division.

You recently acquired Sunrise at approx. 3.7 X the FY 19-20 revenues of 591 Cr at a PE of 37.

Norway’s food major Orkla acquired Eastern Condiments (almost double the size of Sunrise) at 2.1X Sales and at 18.5X earnings. Which team was responsible for the due diligence of Sunrise and it would be in the interest of the shareholders if the negotiation documents and files are brought out in public domain.

The Biggest Blunder

You are conducting an average of 41 committee meetings a year. Take out the weekly offs and holidays, You are meeting approx. every 5th day. FOR WHAT? And what are you achieving for me?
Except strategically destroying my wealth and value of my shareholding at my cost and charging exorbitant sitting fees? Gentlemen the average age of my board is approx. 65.6 Yrs.
God give You all a happy healthy life but don’t treat my company like a retirement resort.

[SmartCat]

Originally Posted by dailydriver

what's happening with ITC lately? The share price is seeing newer and newer lows everyday. Has the market lost confidence in the company or is the management not aggressive and confident enough? At 160ish, will ITC move up sufficiently to enable Ithaca to buy that next iteration of iPhone?

There is simply nothing wrong with ITC's business or management. Majority of participants (including mutual fund managers) in the stock market are "momentum" investors. If Reliance is going up, most investors pile on - thinking it will go up further. If ITC is going down, most investors bail out - thinking it will go down further.

Now, many companies that have been listed for many decades go through phases of long term stock price underperformance. A few examples -

Reliance Industries between 2007 and 2017 (10 years):



Hindustan Unilever between 1999 and 2011 (12 years):



If you look at the business or financials of RIL or HUL during this phase, you will find nothing wrong with it either. ITC at 6% dividend yield and PE Ratio of 13 is a no-brainer buy or hold. But only for those who don't mind if ITC stock goes the other way for some time. After all, ITC is literally paying you money (6% of invested amount, like a fixed deposit) for waiting.

[adimicra]

Originally Posted by dailydriver

The above post in the iPhone 12 thread forced me to ask this question here: what's happening with ITC lately?

The share price is seeing newer and newer lows everyday. Has the market lost confidence in the company or is the management not aggressive and confident enough?

At 160ish, will ITC move up sufficiently to enable Ithaca to buy that next iteration of iPhone?

ITC and Bharti Airtel have become the biggest jokes in stock market, but not for investors like myself.

These 2 stocks have the highest number of buy calls from all brokerages and analysts and both have been just going down every day even when the markets are rallying. One of my worst investment mistakes. Now the question is to continue losing money or get out and book losses. I feel my best chance of recovering my investment is to invest in other performing shares like IT/Auto/Pharma or Index ETFs etc rather than sticking with Bharti
. But booking a substantial loss is easier said than done

[BaCkSeAtDrIVeR]

Originally Posted by adimicra

ITC One of my worst investment mistakes. Now the question is to continue losing money or get out and book losses. I feel my best chance of recovering my investment is to invest in other performing shares like IT/Auto/Pharma or Index ETFs etc rather than sticking with Bharti

I dont have Airtel. Too much competition. Of the sectors listed, except Auto, others dont appeal to my risk appetite. Regarding ITC, I think it is more to do with sentiment- I think their shift to high dividend pay out policy in a working capital intensive business is a huge mistake. This is compounded by sudden death of YC Deveshwar. Also, a huge chunk is held by "The Specified Undertaking of UTI" where some disinvestment process is on, adversely affecting sentiment. (If the SUUTI sells its ITC holdings, float will rise, leading to change in management and control.) And major foreign holder, BAT, matmy not like it.

[joslicx]

Originally Posted by adimicra

ITC and Bharti Airtel have become the biggest jokes in stock market, but not for investors like myself.

These 2 stocks have the highest number of buy calls from all brokerages and analysts and both have been just going down every day even when the markets are rallying. One of my worst investment mistakes. Now the question is to continue losing money or get out and book losses. I feel my best chance of recovering my investment is to invest in other performing shares like IT/Auto/Pharma or Index ETFs etc rather than sticking with Bharti
. But booking a substantial loss is easier said than done

For an individual investor a general rule that serves well is to ignore the stock price but to follow the cash flows. Stock price eventually catches up with cashflows.

Just look at ITCs cashflows. No other company has the kind of cashflows and free cash in India as ITC. ITC is a core long term holding for me. The dividends alone will take care of most of my expenses at some point. My advice would be to ignore the noise and just accumulate this fantastic cash generating business that is also absolutely debt free. There are very few like this around. Unless there is significant deterioration in cashflows or company is seen piling up debt there is no reason whatsoever to exit.

[shashant]

What is the recommendation here for ETF only strategy in stocks market with split like

Niftybees 50%
Nifty next 50 40%
Goldbees 10%

I plan to invest in a lumpsum manner over a period of time.

[spookey]

Is anyone tracking Infoedge (Naukri) ? Cmp 3500 M Cap of 45000 Crs and consolidated PE ratio of 1000+ this must be one of the most expensively priced stock of the world markets. Even 22% Stake in zomato and another 10% in policybazaar doesnt justify such valuations looks like a big bubble waiting to burst when amazon scales up its food delivery business.

[ajmat]

Originally Posted by spookey

Is anyone tracking Infoedge (Naukri) ? Cmp 3500 M Cap of 45000 Crs and consolidated PE ratio of 1000+ this must be one of the most expensively priced stock of the world markets. Even 22% Stake in zomato and another 10% in policybazaar doesnt justify such valuations looks like a big bubble waiting to burst when amazon scales up its food delivery business.

It is extremely overvalued. PE Ratio is 103!. 50 day moving average is flat compared to 200 day moving average so its reached its peak

[airbus]

Any view on National Aluminium Company (NALCO), stock is hovering around 30 for sometime now.

[joslicx]

Originally Posted by airbus

Any view on National Aluminium Company (NALCO), stock is hovering around 30 for sometime now.

It's a commodity company and commodities are cyclical.

Learn a bit about cyclicals if you are interested in this company. If you can enter around the bottom of the cycle then the rewards can be handsome, provided you exit appropriately ( around the top of the cycle)

Now the question would be, how to know up/down of the cycle. It's a bit tricky and you need to read up a bit ( about the industry and the supply demand situation which primarily influences the cycle) but there's one indicator in the finances that can be used as an educated guess. It is the operating margins! Just check out the operating margins and the stock price graph for cyclicals. Mostly it will be very closely correlated. Which kind of makes sense as margins have direct bearing on bottomline and you can get very wild swings in bottomline because of margins alone!

[ajmat]

Originally Posted by airbus

Any view on National Aluminium Company (NALCO), stock is hovering around 30 for sometime now.

Financial health is poor, cash flow and profits are poor. Being a govt entity, it will somehow survive. I would not put my money on it except for a speculative punt

[Imran.Syed]

I would appreciate some advice from the experts here. I'm a novice investor & I have 10L residual cash that I can invest and forget for 3-5 or even more years.
ITC is on the top of my list, and I have done rigorous research on it.
My other pick is Bharat Electronics for only for two reasons, it is a defense manufacturer/supplier and it is on Smartcat's screener. Haven't done the due diligence on BEL yet.
I plan to invest 75% capital in ITC and rest in BEL.

Any suggestions or criticism or ideas are welcome.

I'm currently learning all I can from threads like these on TBhp and Zerodha's varsity. Information in the posts here have really helped me jump ahead. Thank you to all the contributors.