A Thread on #GNFC and a Deep Dive into it's Business
Gujarat Narmada Valley Fertilizers and Chemicals
⚡️A Chemical Major in love with a Fertilizer Minor
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( A small Effort from your side could make a big Impact )
GNFC - A small peek into Valuations and Results before studying the Business
Posted Best ever Results - It was a clear Bumper
An EPS of 35 in a Quarter with a Margin of 28% and Sales at 2400 crores
Trades at a P/E of 6 ... Yes you heard me right .. A P/E of 6 ..
Well before concluding what is cheap is cheap for a reason do hear me
I question valuations a lot and always trust my charts and price more . More often i think market values stocks better than me ..
Reserves of 7200 Crores on Books with almost Zero Debt . ( I'm not Kidding)
The FII have kicked their Stake up from 14% to 17% in a Jiffy .
The Public Stake is Decreasing . A Killer combination for a stock to start it's Upward Journey .
Yes GNFC is a cyclical .. But the Antidumping duty makes it a Partial Cyclical Story and infact more of a Structural
The diversification of GNFC into many streams and chemicals rather than concentrating its dependance on just 1-2 chemicals makes this a great name .
When one product dominates a business ( That too in a Cyclical ) it's not a great place to put your feet in ..
