Issue Period: Feb 18 to Feb 21
Price Range: Rs.80 to Rs.85
Minimum Mkt Lot: 80 shares
Issue Size: Rs.64 cr to 68 cr
Grade: Above Average
Expected Gains on Listing Day (in percentage terms):15% to 25%
Expected Range of Listing Price: Rs.95 to Rs.110
Chances of winning Allotment: Strong (in Retail category)
Sector: Engineering (Multi product goods)
Recommendation
Much of the market in which the Company operates is unorganized & fragmented with many small & medium-sized companies. The Company faces substantial competition on the basis of product range, product quality, after sales service including factors, based on reputation, regional needs & customer convenience from other manufacturers in domestic or divisions of large MNCs.
On the other hand, V.Guard has around 15% of the market share in Voltage stabilizers in India. Pumps & Cables are the Company's second largest product categories. In present competitive environment, the Company develops effective, improved & reliable home appliances & have strong customer focus in the form of providing after sales services will be increasingly differentiated from the others in the field.
The Company has a good brand value of 'V-Guard'. Hence we recommend High risk investors to subscribe to this issue of multi-product company for medium to long-term investment
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment