Since the markets have been weak since Mid December, IPOs have taken a backseat. IPOs prefer to come out during bullish periods. All those IPOs are right now accumulating and we'll be flooded with great ones once the market turns bullish.
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Hello all,
We are back in business with an exciting new SME IPO that is open right now
We are back in business with an exciting new SME IPO that is open right now
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About theCompany:
Macfos Limited is an e-commerce company that operates through its e commerce portal , and mobile application. Their website is Robu.in. They sell electronic items, drone parts, e bike parts, loT and Wireless items, 3D printer parts, development boards, robotic parts, batteries, chargers, accessories, sensors, displays, electronic modules, and more.
The company has over 140 vendors from India and Overseas for sourcing products. They have their own 3 brands to manufacture and procure products from third parties. Their fulfillment center is situated in Pune. A few of their valued customers are ONGC,M&M,Hindustan Aeronautics Ltd. , Tata Power Solar Systems Ltd. , Pilani,Wipro Enterprises Pvt. Ltd., Bharat Forge Ltd.,etc.
Macfos Limited is an e-commerce company that operates through its e commerce portal , and mobile application. Their website is Robu.in. They sell electronic items, drone parts, e bike parts, loT and Wireless items, 3D printer parts, development boards, robotic parts, batteries, chargers, accessories, sensors, displays, electronic modules, and more.
The company has over 140 vendors from India and Overseas for sourcing products. They have their own 3 brands to manufacture and procure products from third parties. Their fulfillment center is situated in Pune. A few of their valued customers are ONGC,M&M,Hindustan Aeronautics Ltd. , Tata Power Solar Systems Ltd. , Pilani,Wipro Enterprises Pvt. Ltd., Bharat Forge Ltd.,etc.
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IPO details
Application window: 17 to 21 Feb 2023
Listing date: 1st March 2023
IPO size โ 23.75 Crores
IPO price band โ 96 to 102 per share
Retail quota - 35%
HNI quota โ 15%
Application size
Retail INR 1,22,400
HNI โ 244,800
Application window: 17 to 21 Feb 2023
Listing date: 1st March 2023
IPO size โ 23.75 Crores
IPO price band โ 96 to 102 per share
Retail quota - 35%
HNI quota โ 15%
Application size
Retail INR 1,22,400
HNI โ 244,800
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Fundamentals
Revenue of the company has grown at an impressive CAGR of 85% since 2020 from 16.22 Crores to 55.87 Crores in 2022. 6M2023 revenue was 36 Crores.
PAT grew from 0.33 Crores in FY20 to 6 Crores in FY22.
PE ratio at issue price would be 16x which is fairly low.
Return on equity of the company is 65%
Revenue of the company has grown at an impressive CAGR of 85% since 2020 from 16.22 Crores to 55.87 Crores in 2022. 6M2023 revenue was 36 Crores.
PAT grew from 0.33 Crores in FY20 to 6 Crores in FY22.
PE ratio at issue price would be 16x which is fairly low.
Return on equity of the company is 65%
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And here comes the most important part. The demand of the IPO is fairly high and the latest GMP was 70%.
The IPO is a sure apply for me. Allotment probability though will be low ๐
The IPO is a sure apply for me. Allotment probability though will be low ๐
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A new mainboard IPO is here after months.
Sharing review in the next 30 minutes
Sharing review in the next 30 minutes
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IPO Review - Divgi Torq Transfer Systems
About the company
Established in 1984 as Divgi Metalwares Pvt Ltd, the company s one of the leading players in the automotive component entity that develop system-level transfer cases, torque couplers, and dual-clutch automatic transmission solutions.
Its clientele includes Toyota, Tata Motors, M&M. It is also a supplier for companies based out of US, UK, China, Korea, Japan etc.
Objects of the issue
- Funding capex requirements for expansion (good)
- General corporate purposes
IPO size โ 412 Crores
Out of which,
Offer for sale โ 232 Crores
Fresh issue โ 180 Crores
IPO Application Window โ 1st March 2023 to 3rd March 2023 (Closes tomorrow)
About the company
Established in 1984 as Divgi Metalwares Pvt Ltd, the company s one of the leading players in the automotive component entity that develop system-level transfer cases, torque couplers, and dual-clutch automatic transmission solutions.
Its clientele includes Toyota, Tata Motors, M&M. It is also a supplier for companies based out of US, UK, China, Korea, Japan etc.
Objects of the issue
- Funding capex requirements for expansion (good)
- General corporate purposes
IPO size โ 412 Crores
Out of which,
Offer for sale โ 232 Crores
Fresh issue โ 180 Crores
IPO Application Window โ 1st March 2023 to 3rd March 2023 (Closes tomorrow)
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IPO Application Window โ 1st March 2023 to 3rd March 2023 (Closes tomorrow)
Price band โ 560-590 per share
Lot sizes
Retail โ 25 shares โ INR 14,750 (Quota of 10%)
Small HNI โ 350 shares โ INR 206,500 (Quota of 5%)
Big HNI โ 1700 shares โ INR 10,03,000 (Quota of 10%)
Allocation chances would be highest in big HNI, followed by retail and then small HNI
Financials
- Companyโs revenue grew from 171 Crores to 242 Crores between 2020 and 2022 at a CAGR of 19% (while not outstanding, that isnโt bad)
- Profits during the same time grew from INR 28 Crores to INR 46 Crores at a CAGR of 28%. Profits growing faster than revenue is a good sign.
- FY22 P/E ratio would come out at between 35-40x which is not necessarily cheap.
Listed Peers
- Sona BLW Precision โ PE ratio of 73x
- Bosch Ltd โ PE ratio of 39x
- ZF Commercial Vehicle Control Systems โ PE ratio of 72x
- Sundaram Fasteners โ PE ratio of 44x
- Endurance Technologies - PE ratio of 35x
The stock however seems fairly valued in comparison to its peers. Further annualized FY23 PE ratio is 32x.
Price band โ 560-590 per share
Lot sizes
Retail โ 25 shares โ INR 14,750 (Quota of 10%)
Small HNI โ 350 shares โ INR 206,500 (Quota of 5%)
Big HNI โ 1700 shares โ INR 10,03,000 (Quota of 10%)
Allocation chances would be highest in big HNI, followed by retail and then small HNI
Financials
- Companyโs revenue grew from 171 Crores to 242 Crores between 2020 and 2022 at a CAGR of 19% (while not outstanding, that isnโt bad)
- Profits during the same time grew from INR 28 Crores to INR 46 Crores at a CAGR of 28%. Profits growing faster than revenue is a good sign.
- FY22 P/E ratio would come out at between 35-40x which is not necessarily cheap.
Listed Peers
- Sona BLW Precision โ PE ratio of 73x
- Bosch Ltd โ PE ratio of 39x
- ZF Commercial Vehicle Control Systems โ PE ratio of 72x
- Sundaram Fasteners โ PE ratio of 44x
- Endurance Technologies - PE ratio of 35x
The stock however seems fairly valued in comparison to its peers. Further annualized FY23 PE ratio is 32x.
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Now the most awaited information
The latest Grey market premium is between 8-12% from various sources
Verdict โ while the GMP isnโt super-exciting, it is not too bad given the market situation
While I would be applying for the IPO, the IPO carries a risk of coming out during a weak market, if the markets hold till the listing date, the IPO will list at a premium, if the markets crash by that time, the IPO can list at a discount too.
Note: This is my personal view for educational purposes, please do your own research before investing or consult a financial advisor. The analysis has been done with respect to the listing of the stock and not for the purpose of long-term investment. I sell most IPOs on the day of listing and book listing gains.
The latest Grey market premium is between 8-12% from various sources
Verdict โ while the GMP isnโt super-exciting, it is not too bad given the market situation
While I would be applying for the IPO, the IPO carries a risk of coming out during a weak market, if the markets hold till the listing date, the IPO will list at a premium, if the markets crash by that time, the IPO can list at a discount too.
Note: This is my personal view for educational purposes, please do your own research before investing or consult a financial advisor. The analysis has been done with respect to the listing of the stock and not for the purpose of long-term investment. I sell most IPOs on the day of listing and book listing gains.
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IPOs and more - by The Momentum Investing Co.
Fundamentals Revenue of the company has grown at an impressive CAGR of 85% since 2020 from 16.22 Crores to 55.87 Crores in 2022. 6M2023 revenue was 36 Crores. PAT grew from 0.33 Crores in FY20 to 6 Crores in FY22. PE ratio at issue price would be 16x whichโฆ
Meanwhile this one listed at an 80% premium. I hope there were at least a few lucky ones who got allotment of this stock. I toh didn't ๐
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New IPO opening this Monday
Global Surfaces
Will share an analysis tomorrow EoD
Global Surfaces
Will share an analysis tomorrow EoD
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Global Surfaces IPO closes today.
The IPO is a good one, but just like Divgi is coming in a very volatile envrionment.
The GMP is between 10-20%
I would be applying for it but from lesser number of accounts
The IPO is a good one, but just like Divgi is coming in a very volatile envrionment.
The GMP is between 10-20%
I would be applying for it but from lesser number of accounts
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Udayshankar Infra IPO is closing today
The IPO has fairly decent demand in the grey market with a GMP of 25-30%
A few caveats
1. Markets are trading below their 200 day moving averages. This means that the trend can turn negative which can negatively affect the IPO.
2. The IPO has 60% quota for retail (which means institutions did not show a lot of interest in the IPO (not saying that institutions cant be wrong).
The GMP however is pretty attractive.
I would be applying for it but from limited number of accounts.
The IPO has fairly decent demand in the grey market with a GMP of 25-30%
A few caveats
1. Markets are trading below their 200 day moving averages. This means that the trend can turn negative which can negatively affect the IPO.
2. The IPO has 60% quota for retail (which means institutions did not show a lot of interest in the IPO (not saying that institutions cant be wrong).
The GMP however is pretty attractive.
I would be applying for it but from limited number of accounts.
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