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| Glass Lined Equipment |
News Sect:-
Have you ever heard about the versatile company GMM PFAUDLR? If don't miss a single word from this blog information. With a rise of 3.34%, GMM PFAUDLAR stands on the strike price of 6205.40.
GMM stands for Gujarat Machinery Manufacturers was built in 1962 and its IPO came into the share market just a year before in the month of the march of 2019. You will not believe that when the IPO of Gujarat Machinery Manufacturers came at around 600 to 700 rupees and today that is on 24th August of 2020 its stand on the price of 6205.40.
Business:-
Gujarat Machinery Manufacturers Pfaudlar limited manufacturers equipment with glass-lined. This is the only company that manufacturers glass-lined equipment with very accuracy that's why its price is boomed in just a year. With glass-lined equipment, it manufactures storage vessels along with alloy steel equipment. There are a more small business of Gujarat Machinery Manufacturers PFAUDLR limited but manufacturing of glass-lined equipment is their core business. Filtration equipment, chemical processing equipment are all segments in which Gujarat Machinery Manufacturers are working.
Stock Market:-
As I said earlier from 600 to 6000 in just a year is really an incredible record. Even in the pandemic of covid-19, the market was in strong bullish movement and it is still in bullish movement.
Intrinsic Value:- Its intrinsic value is more than its current value or current price. So it's not a time to buy this stock but you should buy it before it reaches a higher price.
Returns Against Fixed deposit rates:- If you had invested 600 rupees in fixed deposit in the March of 2019 it would have become not more than the profit of 100 rupees but if you had invested 600 in the share of GMM PFAUDLR it would have become 6000 just a profit of 5400 rupees in a year.
Dividend:-The company does not offer a good dividend yield the dividend is only 0.08%.
Entry Point:- As the stock is in its overbought season I would not suggest you buy at this price.
Sector PE:- The sector PE ratio of GMM PFAUDLR is 28.92 and you are getting this stock at a PE of 127.52. The stock is overvalued, the Stock PE is much more than the sector PE. But if you will look at its business and its growth the stock is standing at a good price.
Financial Trend:-
The year 2017
Revenue :- 358.72 cr
Profit:- 31.12 cr
The year 2018
Revenue :- 415.09 cr
Profit:- 42.68 cr
The year 2019
Revenue :- 511.09 cr
Profit:- 50.59 cr
The year 2020
Revenue :- 596.83 cr
Profit:- 71.13 cr
If you look at its revenue and also its profit is increasing linearly year by year. So there could not be a better stock than this. Even in the pandemic of coronavirus ( covid-19 ), its performance does not impact by a single percent.
Shareholding Patterns:-
Promoters Holding:- Total promoters holding in this stock is 75 % which is really good with no pledge on the company. The total promoter holding is constant from March.
Mutual Fund Holding:- Mutual funds hold 1.95 % of the stock.
Domestic Institutional Holding:- Domestic Institution holds 2.11 % of complete shares which is also a good thing.
Foreign Institutional Holding:- Foreign Institutes hold 0.87% of all shares.
Cash Dividend:-
As of 19 th, August 2020 the dividend per share given was 2 rupees.
RSI:- 73.46
M Flow Index:- 88.48
MACD:- Bullish Movement
ADX:- Strong Bullish Movement
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| Stock Bull |
When To Buy:- Following recommendations are only for study purposes you can research on your own and can decide when to enter and at what price to enter.
As the stock is moving above its 20 days moving average so the 20-day moving average is strong support for this stock. As the stock is in the overbought zone you should not buy this stock at the current price but you can wait to come down. As its 20-day moving average is a price of 5387.32 prices. So there are fewer chances of the stock coming at this price. So you should buy on dips. Don't buy on my recommendation because my analysis can turn into the wrong analysis. So I would suggest it buy for 5500 rupees.
So these are my analysis but you should do your analysis on your own and then decide when to enter in stock.
Hello, my name is Vishal Yadav. I am here to give you daily updates which will keep you updated.
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