Dhanuka Agritech Update

Reasons for buying:

Buy PE was reasonable at 14.52 below the 10-year PE median of 19.61.

The 5-year earnings average is 13.43% and earnings increasing since 2013 with a slight blip in 2020.

Return on equity is good at 23% but the 5-year average is 22%.

The market cap of the company is ₹3,069 Cr.

The debt of the company is ₹0.96Cr with ₹198 Cr cash.

Buy date: 03-Oct-2022

Qty: 15 Buy Price: ₹653 Buy EPS: ₹44.96 Buy PE: 14.52

I will stop adding when EPS drops below ₹32.65 or R3 does not satisfy.

Buyback

Qty:8 Sell Price: ₹850 Sell EPS: ₹47.03 Sell PE: 18.07

Profit: ₹1,576

Dhanuka Agritech is involved in the manufacturing and marketing of plant protection agrochemicals. The product range consists of Insecticides, Herbicides, Fungicides, and plant growth regulators. The company offers crop solutions for various crops. Its brand portfolio consists of more than 85 brands. The firm generates a majority of its revenue from agrochemicals. The company has a strategic partnership with American, Japanese, and European companies. Its manufacturing facilities are located in Gurgaon (Haryana), Sanand (Gujarat),, Udhamput (Jammu and Kashmir), and Keshwana (Rajasthan). Dhanuka's target customers are farmers.

12 Power Finance Corp

The stock came up on the HDY screen and I will hold it for longer and hope the company pays dividends.

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Buy date: 29-Dec-2022

Qty: 581 Price: ₹137 EPS: ₹53.55

Div. Yield is 9.12%

Dividends are consistent since 2007 except in 2019.

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Buy date: 11-May-2022

Qty: 91 Price: ₹109.85 EPS: ₹52.01

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Buy date: 06-Jan-2022

Qty: 81 Price: ₹122.95 EPS: ₹49.41

The reason for owning a dividend-paying company is dividends can be used as cash flow and very few people hold stocks forever, I want to be in those very few. There will be few losses because of the company going bankrupt since I am investing only 1% in single stock the losses will be minimal. Basically treating investment in companies as buying a house and expecting them to pay rent every year. The best investment I have made so far is my house which pays rent every month so trying to convert investments into rent-paying assets.

11 GTPL Hathway

The stock came up on the HDY screen and I will hold it for longer and hope the company pays dividends.

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Buy date: 26-Dec-2022

Qty: 805 Price: ₹124.2 EPS: ₹17.54

Dividends are consistent for the last 5 years

10 Monte Carlo Fashions

 The stock came up on the HDY screen and I will hold it for longer and hope the company pays dividends.

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Buy date: 23-Dec-2022

Qty: 156 Price: ₹636.4 EPS: ₹56.25

8 GHCL

 The stock came up on the HDY screen and I will hold it for longer and hope the company pays dividends.

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Buy date: 23-Dec-2022

Qty: 200 Price: ₹497.05 EPS: ₹113.15

7 Visaka Industries

Reasons for buying:

Buy PE was reasonable at 9.27 and above 10 years PE median of 8.9.

Earnings have increased 3 times from 2012.

Return on equity is good at 19.55%.

The market cap of the company is ₹1,096.23cr.

The debt of the company is ₹115.49cr with ₹116.81cr in cash.

Buy date: 6-Oct-2021

Qty: 15 Buy Price: ₹657 Buy EPS: 70.87 Buy PE: 9.27

The earnings have increased by 1.28%. I will stop buying when EPS falls to 32.85.

Buy date: 18-Nov-2021

Qty: 16 Buy Price: ₹591.00 Buy EPS: 71.78 Buy PE: 8.23

The stock came up on the HDY screen and I will hold it for longer and hope the company pays dividends.

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Buy date: 23-Dec-2022

Qty: 165 Price: ₹424.8 EPS: ₹58.03

Visaka Industries Ltd is a manufacturer of Roofing sheets and Cement sheets. It also manufactures Fiber sheets, Industrial sheets, FIber cement, corrugated sheets, Fiber cement sheets, and Roofing sheets. The company's activities are organized into two operating segments namely. Building Products and Textile Synthetic Yarn. Building products division products asbestos sheets, accessories used mostly as roofing material and non-asbestos flat sheets and sandwich panels used as interiors. Its synthetic yarn division manufactures yarn out of blends of polyester, viscose, and other materials which go into the weaving of the fabric. It generates maximum revenues from the building products segment. Geographically it derives a majority of revenues from India.