QIB subscription is only a part of the analysis. Stock market without risk does not exist. I have applied in full. I advise boarders to take their own decision.
Also, if something happen in gold load field similar to microfinance field, investors may incurr huge losses! that's y m not applying... opinions needed on this issue!
As per anlysis of some of the boarders, if QIB is more than 25 times, its almost sure that it will list at a premium. but one thing should also be analysed, that what was the retail oversubscription, if muthoot goes 10 times in retail one will get 56 shares per one lac and if it lists at a premium of 4-5% then the return will be rs. 400-500 per lac. No one will be able to sell and later on the shares will tank below par.
I dont understand that what is the logic in applying for a rs. 3 5 book value share @ 175 and then after expect somebody else to buy on listing @ 200/-
A company with less than 100 crore net profit (after showing 50% growth last year) and expected profit of rs. 200 crore next year (if everything remains normal) is expecting a market cap of rs. 8000 crores its ridiculous.
234. SkDash| Link| Bookmark|
April 21, 2011 11:50:33 AM
Top Contributor (1000+ Posts, 200+ Likes)
233-Natrajan (vas nat)- thank you for putting detailed analysis for the benefit of boarders. I am in the same view. Return on listing day will not be surprsing but it will be safe bet. Capital protection is assured.
at 11.00AM on 21th Apr 2011 ************************** QIBs 22.94 times NII 0.88 times RII 1.58 times Total 10.25 times ************************** as per nse website ************************** ************************** QIBs 2.06 times NII 0.14 times RII 0.73 times Total 1.18 times ************************** as per bse website **************************
The high low on the listing day is all positive except for one Ashoka which had a low of below listing price but that too closed above the lisitng price at the end of the day.
So friends, history shows that whenever QIB subscription was high, lisitng was positive.