AUSOM ENTERPRISES LTD

Ausom enterprises Ltd is trading companies , mainly engaged in the

business of trading in commodities like silver, gold ,diamonds,
Bullions ,gold jewellery ,shares derivative and mutual funds ,securities.
And it is also involved in the manufacturing of gold jewellery having and
having market capital of approx rs 90cr.
Taking about the Enterprises S.W.O.T
 Strength-
o An Ausom enterprise is a Enterprises with zero
promoter pledge and also Companies with strong
financials.
 Weakness-
 Enterprises are showing Degrowth in revenue and
profit right now because of covid.
 Drop in net profit
 Drop in quarterly net profit as well,
 Falling revenue every qtr. for the past 2 qtr.
 Major fall in TTM(trailing twelve months)
 Opportunities-
 right now stock of the Enterprises are trading at low
P/E ratio
 Threats-
 Increasing trend in non-core income
 Degrowth in profit and revenue

HISTORY OF AUSOM ENTERPRISES:-

Core Biotech was once known as Core Emballage. Core Biotech, which
is part of the Ahmedabad-based Core group, began as leasing Enterprises.
In 1994, it expanded into a variety of products, resulting in a three-year
investment of roughly Rs 400 crore. It began by establishing a chemical
plant in Gujarat to produce chemicals and bulk pharmaceuticals. It issued
 a rights offering to help fund the chemical research. The Enterprises
began producing dextrose and sodium chloride as a by-product.
Ausom's net working capital last quarter was ₹1.518 billion.
Ausom's net turning out capital for financial years finishing March 2017
to 2021 arrived at the midpoint of ₹1.881 billion.
Ausom's worked at middle net working capital of ₹2.032 billion from
financial years finishing March 2017 to 2021.
Looking back at the most recent five years, Ausom's net working capital
topped in March 2019 at ₹3.513 billion and also Ausom's net working
capital hit its five-year low in March 2017 of rs468.2 million.
 Ausom's net working capital reduced in 2020 (2.855 billion, decrease by
18.7%) and 2021 (2.032 billion, decrees by 28.8%) and expanded in 2017
(468.2 million, increase by 821.2%), 2018 (535 million, increase
by14.3%) and 2019 (3.513 billion, increase by 556.7%).
NAME POSITION
Mr. Zaverilal Virjibhai Mandalia Chairman, Non-Executive Director

Mr. Kishor Pranjivandas Mandalia Managing Director

Mr. Hitesh Adeshara Non-Executive & Independent Director

Mr. Vipul Zaverilal Mandalia Non-Executive Director

Mr. Ghanshyambhai Akbari Non-Executive & Independent Director

Mrs Nirupama H. Vaghjiani Non-Executive & Independent Director

Cost of Equity:- The cost of equity is the return that a company requires to
decide if an investment meets capital return requirements. Firms often use it as
a capital budgeting threshold for the required rate of return. A firm’s cost of
equity represents the compensation that the market demands in exchange for
owning the asset and bearing the risk of ownership.

Cost of Equity = Risk-Free Rate of Return + Beta of Asset * (Expected

Return of the Market - Risk-Free Rate of Return)
By using 10-Year Treasury Constant Maturity Rate as the risk-free rate. It is
updated daily. The current risk-free rate is 6.19000000%.b) Beta is the
sensitivity of the expected excess asset returns to the expected excess market
returns. Ausom Enterprise's beta is 0.62.
(Expected Return of the Market - Risk-Free Rate of Return) is also called
market premium, required market premium to be 6%.
Cost of Equity = 6.19000000% + 0.62 * 6% = 9.91%.