P/BV is Asking or Quoted price of a scrip divided by the book value of the company. So here for the book value of approximately RS. 20, they are asking RS. 290 per share as the price. What crazy people indeed.
Still this one is expected to list in premium (I am 100% confident) and this valuation game is now a theory like wormhole/dark-matter/4th dimension/ which is explained by many and understood by very little
Insurance companies are valued differently a function of embedded value. It accounts for already written business which will be released over a period of time.
@ Mann Ki Baat. no no! on the contrary, such valuations would make one want to believe more in the worm holes, wrap drives etc....wrap drive in fact sounds more apt to me as it''s a human creation...these promoters far exceed the capabilities of all the Einsteins or Elon Musks we have ever known... and only they can show these retail investors the quickest way to reach the hell of financial disaster...
@. Saashy. Aah yes! But again for those who are here to make money, the only ethos is to Sell high and Buy low.... Is there anything left on the table? anything apparant to the common investors who need to make profits within their lifetime? um... no!
If one is looking beyond just listing gains and in having a long term great portfolio stock with compounding returns, then this is it. To add, there is a health and as well as a pension ''subsidiary'' within that will grow to have its own value. No surprise huge anchor interest that is there.
@ Saashy long term is often interesting.. I have many plans to execute in the long term....I am going to buy the most expensive mansion in Beverly hills...would marry the prettiest girl in the world ..and probably be the next guy to go to moon....yes! everything seems so wonderful in long term...
Couple of things, one - Why would one still buy an ''expensive'' HDFC Bank ''expensive'' as many ratios will tell you. And there are many better examples. Just look at the anchor INVESTORS, may be they have some work before putting all this money here. And thirdly, are we not assuming that good in long term, means ''not good'' in short / medium term. What I do realise is that there has been a flurry of insurance offerings, and that may take some shine away. At the end, all of us only carry a view.
In case of 1X RII overall subscription and 0.5X application sub, will 2L application have a higher chance of getting a 2nd lot over someone who has applied for 2 lots?
As per no of shares available for RII, if 18 lakhs applications are received then all will be allotted one lot. Suppose if only 9 lakhs applictions are received, in first instance all will be allotted one lot. Thereafter remaining shares will be allotted in proportion to no of additional shares(In addition to minimum lot) applied, to all applicants with higher no of shares. I am not 100 % sure but this is my logic.
As per my opinion, all applicants who apply for more no of shares will be allotted full no of shares as applied. I e, all 2L applicants will certainly get full shares. Friends, do you agree with my view ?
Do not apply for this IPO.30 Crore shares being sold.Selling pressure will be high.Only positive is HDFC brand is good and trusted.Buy from secondary market after listing.Listing will be at -10% to +8%