Skip to main content

TTK Prestige - unlocking value

TTK Prestige Limited, the pressure cooker major is on the path of bringing about total transformation encompassing all its facets and thus bring about enhancement in long term shareholder value. The company has engaged external management consultants to bring about organisational transformation and to build up long range plan which amongst others involves substantial expansion of the product range in the domestic appliances segment and extension of the Prestige brand across the product category.

The company has enviable Real Estate Holdings - Property on Old Madras Rd, Bangalore is right opposite to the upcoming Metro station and is valued at Rs.80cr to Rs. 120cr. The company also has factory properties at Coimbatore and Hosur (apart from Uttaranchal). The Hosur property is huge and production is being shifted to tax free Uttaranchal as well as to less expensive Coimbatore.

Retail Foray: The company operates 180 odd stores which have been opened in the past 12 to 24 months. In retail the new stores start giving top line and bottom line results in 18 months. So the PAT level should move up from the current Rs. 20cr PA levels to an annualised Rs. 35 cr or more in another one or two quarters.

Based on above thesis, the company should be valued at :
Real Estate: Rs. 100cr
Retail Ops: Rs. 350cr (35crX 10PE)
Total: Rs. 450cr

Against this the company is currently valued at Rs. 140cr or so. Market operators say, not to sell away this GEM. The company price should be atleast 2x the current price, ie around Rs. 225 to Rs. 260 per Share.

Popular posts from this blog

Historical Sensex Returns Updated - 2024

Historically Sensex has given returns of about 15% per year, despite volatility and price fluctuations of about -20% to +60%. The following table shows S&P BSE Sensex historical data - start  & close values and the yearly returns of the sensex from 2000 to 2024. So far during the year the   index has hit an all-time high of  75,124   and despite markets hitting all time highs not all stocks make all-time highs. There are many stocks still below their highs. Stocks like HDFC Bank, ITC, Asian paints are still well below their highs and some of them have given low returns over last 3-5 years. Individual or Retail investors can achieve consistent returns through investing via mutual funds , whether it be active or passive. Chasing returns from individual stocks is futile. Be a wise investor !

Mutual Funds - How to modify KYC or do rekyc?

Last year SEBI issued a circular effective April 1, 2024 regarding KYC norms for the securities market. This has created a lot of confusion among investors and intermediaries, whether who has to do rekyc and who need not? First check your KYC status from CVL KRA . If the 2nd column says KYC VALIDATED, then you are good to go - no action required. You can invest and redeem all the funds. If it says registered, you can invest in existing Fund houses. You have do rekyc to invest in new fund houses/ schemes. If it is on hold, you have to do rekyc.  You can do rekyc completely online from the AMC's websites, links of which are given below: Bandhan Mutual Fund - Bandhan Canara Robeco Mutual Fund - Canararobeco DSP AMC - Dsp Franklin Templeton Asset Management Franklintempletonindia HDFC Mutual Fund Hdfc ICICI Prudential Mutual Fund Icicipruamc Kotak Mahindra Mutual Fund  Kotak SBI Mutual Fund  Sbi Investors having KYC status of  'Registered' or 'On Hold' can complete thei...