Financial Weekly

22nd Aug. 2021 to 28 th

Aug. 2021 10
RESEARCH REPORT

FOODS & INNS LTD

(507552) (67.25) (Face Value Re.1)
Foods & Inns (FIL) is a manufacturer and Particulars Quarter Ended
exporter of a range of processed tropical Q1FY22 Q1FY21 % Var.
fruits pulps, purees, and vegetables with Sales 145.52 68.23 113.28
state-of-the-art factories in Chittoor, Valsad, OPT 14.86 5.50 170.18
Sinnar and Gonde (Nashik). The company PBT 8.84 1.94 355.67
operates in the food processing industry and PAT 5.84 1.41 314.18

its principal divisions are Aseptic, Canning, Spray drying, Frozen fruits, IQF (Individually
Quick Frozen) vegetables and snacks. Product range includes tropical fruit purees, concen-
trates of Mango, Guava, Papaya apart from Tomato Paste, Natural Fruit & Vegetable Pow-
ders. The company became a 99.99% partner in Kusum spices (Spice brand established in
1972) from the 2nd of October 2019 and has consequently widened its offerings in the foods
segment. The company owns brands/trademarks such as Madhu - (Fruit Pulp), Green Top -
(IQF Vegetables), Kusum Masala - (Spices), Triveni Global - (Frozen food) & Zatpat Zaldee
- (QSR). The company as an initiative towards Sustainability and Value addition has entered
into a Joint Venture on the 13th of April 2021 with a food technology company to convert its
fruit waste into Pectin, Oils & Butter. The joint venture company is named Beyond Mango
Pvt. Ltd. Managing waste is a huge pollution control challenge as well as large waste dis-
posal cost.
It has an equity base of just Rs.5.03 crore that is supported by reserves of around Rs.177.44
crore. The promoters hold 45.20% while the investing public holds 54.80% stake in the
company.
For Q1FY22, FIL's net profit zoomed 314.18% to Rs.5.84 crore as against Rs.1.41 crore
on 113.28% higher sales of Rs.145.52 crore fetching an EPS of Rs.1.16. It declares 20%
dividend for FY21.
On account of strong fundamentals and robust technical, it is likely to achieve de-
cent levels in 9-12 months. Keep stop loss of Rs.58 for your buying.
Financial Weekly

22nd Aug. 2021 to 28 th

Aug. 2021 14
SMART
BUY OF THE WEEK
Dark Horse
Dark Horse-1
HINDUSTAN TIN WORKS LTD
(530315) (112.9) (Face Value Rs.10)
On 29th March 2021, we had recommended this
Particulars 3 Month Ended
stock as "DARK HORSE" at Rs.63.55, after our
Q1FY22 Q1FY21 % Var.
recommendation it zoomed to Rs.143 levels and
Sales 104.80 52.57 99.35
OPT 10.37 4.04 156.68 recorded almost 125% appreciation. Still stock is

PBT 7 0.55 1172.73 looking highly undervalued against its peers and

PAT 4.99 0.42 1088.10 looking attractive for investors.

Incorporated in 1958, New Delhi based Hindustan tin works ltd is one of the leading manufacturer and
exporter of high performance can, printed sheets and related components to consumer marketing compa-
nies in India and abroad. Its infrastructural strength, an unwavering commitment to delivering the best cus-
tomer experience and stringiest quality measures that are clearly defined, strictly controlled, and firmly
enforced has allowed them to continuously fulfil the expectations of their longstanding clients like Asian
Paints, Amul, Bikanerwala, DS Group, Del Monte, Danone India, Haldiram, Nestle India Ltd, Patanjali, Reckitt
Benckiser, and many more.HTW supplies diverse range of aerosol cans, food cans, beverage cans, baby
food cans and can components to a wide variety of foods, beverages, baby food, health, beauty and luxury
companies in more than 30 countries in Africa, Australia, Europe, Middle East, New Zealand, USA, and
parts of South East Asia. HTW's fully integrated and automated manufacturing facility is supported by high-
speed automatic printing and lacquering machines. The manufacturing facility in Murthal spreads over 10
acres (40K Sq. Mt) and houses state of the art machines imported from countries like UK, Germany, USA,
Taiwan, Italy, Switzerland etc.
It has an equity base of just Rs.10.4 crore that is supported by reserves of around Rs.154.7 crore which
is almost 15 times higher against equity. The promoters hold 40.24%, Insurance Companies hold 9.83%
while the investing public holds 49.94% stake in the company. Its share book value works out to Rs.159
and the price to book value ratio stands at just 0.71x.
During Q1FY22 it has reported superb numbers. For Q1FY22, HTWL posted 1088.10% higher PAT of
Rs.4.99 crore on 99.35% higher sales of Rs.104.80 crore and an EPS of Rs.4.87.
At CMP, HTWL trades at P/E ratio of 6.1x.
Investors can accumulate this stock with a stop loss of Rs.95. It may
give very good returns in medium to long term.
Cont...
 Financial Weekly

22nd Aug. 2021 to 28 th

Aug. 2021 15
Dark Horse-2
AJANTA SOYA LTD
(519216) (116.45) (Face Value Rs.10)
ASL is a leading manufacturer and mar- Particulars 3 Month End
keter of Vanaspati, Cooking Oils and Bak- Q1FY22 Q1FY21 % Var.
ery Application since two decades. The Sales 336.59 190.30 76.87
company is promoted by well established OPT 13.44 1.17 1048.72
PAT 8.68 0.68 1176.47
group having and proven track record in

the fields of cooking oils. ASL is now a company with a strong portfolio of brands viz. Dhruv,
Anchal & Parv and enjoys reputed market share. ASL also offers its quality products as food
ingredients to serve food manufacturers, food service industry and bakery products like
Biscuits, cookies, cakes, puffs and kharis.
It has an equity base of just Rs.16.10 crore that is supported by reserves of around
Rs.63.26 crore. The promoters hold 46.85% while the investing public holds 53.15% stake in
the company.
For Q1FY22, ASL's net profit zoomed 1176.47% to Rs.8.68 crore as against Rs.0.68 crore
on 76.87% higher sales of Rs.336.59 crore fetching an EPS of Rs.5.39.
Currently, the stock trades at a P/E of 5.8x.
Investors can accumulate this stock with a stop loss of Rs.100. It may give very
good returns in medium to long term.

Buy... Buy... Buy on Dips Hold Sell on High

Prism Cement 125.00 Tata Elxsi 4726.00 Ashok Leyland 119.00
Ambuja Cement 391.00
ABB Power 1806.00 Apollo Tyres 211.00
Confidence Petro 64.00 Tanla Platform 891.00
MRPL 42.00 Lux Ind. 4146.00 REC 143.00
Subex 52.00
Suven Life 84.00 Nestle 19552.00 GMR Infra 27.00
HG Infra 555.00
Spice Jet 67.00 Tata Consumer 847.00 NTPC 114.00
Radico Khaitan 884.00
Shiva Cement 35.00 Alkem 3803.00 CIPLA 890.00
Caplin Point 771.00
BATA India 1741.00 IGL 522.00
Rana Sugar 29.00 Muthoot Fin. 1457.00
Shalimar Paints 97.00 TCS 3557.00 GIC Housing Fin. 139.00
Chambal Fert. 337.00
Genus Power 61.00 Aarti Ind. 925.00 PI Ind. 3183.00
Berger Paints 816.00
HPL Ele. 69.00 Grasim 1483.00 Tata Steel 1375.00
Dhanuka Agri 870.00
Schneider Ele. 120.00 Fiem Ind. 979.00 Jindal Steel 376.00
Apar Ind. 612.00
Financial Weekly

22nd Aug. 2021 to 28 th

Aug. 2021 42
Primary Market - Dilip K. Shah

In the primary market 38 companies have raised Rs. 71800 crore till now in the current year,
which is 131% higher than Rs. 31128 crore raised in the corresponding period last year
It is just 3200 crore short of the highest ever Rs. 75000 crore fund raised in 2017
In August 2021, the highest 25 companies filed DRHP for Rs. 33000 crore IPOs
90% of the IPOs listed in the current year gave positive returns: Rs. 75000 crore IPOs in
pipeline: Rs. 1 lakh crore may be raised in the current year
Devyani, Krsnaa, Exxaro got listed with premiums
but Krsnaa is now in discount following correction
Windlass Biotech, CarTrade IPOs got listed in discount and crumbled further
Next week all eyes will be on listing of Nuvoco, Chemplast and Aptus
Due to poor response Aashka BSE SME IPO extended again
This week Edelweiss Fin and Muthoottu Mini Fin NCDs issues enter the debt market
In the current calendar year Rs. 71833.37 crore have been raised by 38 companies through
IPO, which is 131% higher than Rs. 31128 crore raised by 16 companies. More than 20 companies
including PayTm, Adani Wilmar, Policy Bazar, AdharHousing Finance, A.B. Sunlife, Prudent Cor-
porate Adv., Emcure Pharma, Mobikwik, Fincare SFB have approached SEBI for IPO. LIC is also
planning IPO.
* In August 25 DRHP filed for Rs. 33000 crore IPOs :- With 25 DRHP filed for Rs. 32473 crore
IPO filed in August 2021, now total Rs75000 crore IPOs are in pipeline.
* Last weeks' IPO listing : Last week five IPOs got listed of which Exxaro Tiles, Krsnaa Biotech
and Devyani got listed with premiums and Windlass Biotech and CarTrade Tech got listed in dis-
count.
Cont...

Grey Markets Premium

IPOs Offer Price Premium Remark

Name (Rs.) (Rs.)

Nuvoco Vistas 560 to 570 - (2 to 5) Discount

Chemplast Sanmar 530 to 541 -5 to 7 Seller

Aptus Value 346 to 353 10 to 11 Seller

Don't subscribe IPO only on the basis of Grey premium.
Before Investing check the fundamentals of IPOs
Financial Weekly

22nd Aug. 2021 to 28 th

Aug. 2021 43
2021 : 38 IPOs raised Rs. 71833 Crore
Co. Name Offer Price Issue Size Co. Name Offer Price Issue Size
(Rs.) (Rs. Cr.) (Rs.) (Rs. Cr.)
Aptus Value 346 to 353 2780.05 POWERGRID InvIT 100 7734.99
Chemplast Sanmar 530 to 541 3850 Macrotech Developers 486 2500
Nuvoco Vistas Corporation 560 to 570 5000 Barbeque Nation Hospitality 500 452.87
CarTrade Tech 1618 2998.51 Suryoday Small Finance Bank 305 582.34
Krsnaa Diagnostics 954 1213.33 Nazara Technologies 1101 582.91
Devyani International 90 1838 Kalyan Jewellers India 87 1175
Exxaro Tiles 120 161.09 Laxmi Organic Industries 130 600
Windlas Biotech 460 401.54 Craftsman Automation 1490 823.7
Rolex Rings 900 731 Anupam Rasayan India 555 760
Glenmark Life Sciences 720 1513.6 Easy Trip Planners 187 510
Tatva Chintan Pharma Chem 1083 500 MTAR Technologies 575 596.41
Zomato 76 9375 Heranba Industries 627 625.24
Clean Science and Technology 900 1546.62 RailTel Corporation of India 94 819.24
G R Infraprojects 837 963.28 Nureca 400 100
India Pesticides 296 800 Brookfield REIT 275 3800
Krishna Institute 825 2143.74 Stove Kraft 385 412.63
Dodla Dairy 428 520.18 Home First Finance 518 1153.72
Sona BLW Precision Forgings 291 5550 Indigo Paints 1490 1176
Shyam Metalics and Energy 306 909 Indian Railway Fin. Cpr. 26 4633.38
71833.37

• Exxaro Tiles (543327) :- IPO with offer price of Rs. 120 got listed on August 16 at Rs. 126 and
went up to Rs. 132.25 and down to Rs. 132.25 before closing at Rs. 126. On Friday, it closed at Rs.
123.20.
• Krsnaa Diagnostics (543328) :- The issue with offer price of Rs. 954 got listed on August 16
at Rs. 1025, went up to Rs. 1099.50and down to Rs. 961.45 before closing at Rs. 990.75. It closed
at Rs. 925.65 on Friday.
• Windlass Biotech (543329) :- The issue with offer price of Rs. 460 got listed on August 16 at
Rs. 439 and made intraday high at Rs. 452.10 and down to Rs. 405 before closing at Rs. 406.70. It
closed at Rs. 366.90 on Friday.
• Devyani Intl. (543330) :- The issue with offer price of Rs. 90 got listed on August 16 at Rs. 141
and went down to Rs. 120 before closing at Rs. 123.35. It closed at Rs. 118.30 on Friday.
• CarTrade Tech (543333) :- The issue with offer price of Rs. 1618 got listed on August 20 at
Rs. 1600 and went down to Rs. 1476 before closing at Rs. 1500.
Advisable to exit from Devyani and hold for one year in Krsnaa and CarTrade Tech.
* New IPO listing:
• Nuvoco Vistas Corporation :- The issue with offer price of Rs. 560-570 may get listed on
August 23 in discount. If the market sentiments support it may get listed around 580-600. However,
discounted listing is expected around 525. Considering big holding of QIB speculative trading is
expected. Cont...