Precision Camshafts Ltd IPO Message Board (Page 49)

PCL GMP 15-17 (slipping rapidly)

Sorry Sir, I am not expert enough to comment on reasons for fall in GMP ...

Good Question ... but I have no answers ... I am also just a learner ...

Precision Camshafts Limited: Information Note by IIFL

http://content.indiainfoline.com/wc/research/researchreports/PCL_IPO_210116.pdf

Monarch Networth Research

IPO Analysis – Precision Camshafts Ltd.
Subscribe to robust business model

Precision Camshafts Limited is one of the world’s prominent producer and supplier of camshafts, a critical engine component used in the passenger vehicle segment. PCL supplies over 150 varieties of camshafts for passenger vehicles, tractors, light commercial vehicles and locomotive engine applications. The company derives ~75-80% of its revenues from exports to key global OEMs such as Ford Motors, General Motors, Hyundai among others.
PCL has two state-of-the-art manufacturing facilities – an EOU unit and a domestic unit – both situated at Solapur, Maharashtra. The EOU unit consists of four foundries and two machine shops and products manufactured at the EOU unit are primarily exported to overseas customers. The domestic unit consists of one foundry and one machine shop which caters to the domestic market. The total manufacturing capacity as on September 30, 2015 was 13.38 million camshaft castings p.a. from the foundries and 2.22 million machined camshafts p.a from the machine shops.

Key Investment Arguments

•      Strong Competitive Entry Barriers

•      Prominent supplier of camshafts with a Global Market Share of 8-9%

•      Widening of Product Offerings

•      Emphasis on Value added products-Fully Machined Camshafts

•      Commendable engineering expertise coupled with Management Foresight

Valuation and Recommendation:
At upper price band, PCL’s IPO is priced at 21.4x/19.5x FY16E/FY17E EPS, and 11.5x/10.3x FY17E EV/EBITDA based on the quick estimates of the company. We believe that PCL has shown scalable and sustainable business growth in the past and would likely to continue the trajectory going forward, given its presence in niche segment, strong product portfolio of ~150 camshaft products, high customer retention rate, growth opportunities through entry in ductile iron, assembled camshafts business and natural shift from raw camshafts to machined camshafts by OEMs.
We compared PCL’s valuation with leading forging company Bharat Forge, considering that both have well established export focused markets and large presence in their respective segments in India. As per Bloomberg Consensus estimates, shares of Bharat Forge trade at 22.7x FY16E EPS and 18.3x FY17E EPS while 12.5x FY16E and 10.7x FY17E EV/EBITDA, which in our view is premium to PCL and therefore offers attractive proposition for the investors with long term view. We recommend a “SUBSCRIBE” to the initial public issue of Precision Camshafts Ltd.

Key Risks:
•      Increase in competitive intensity by existing players
•      PCL may face capacity constraints if existing capacity ramps up fast
•      Capital intensive business

Total revenue includes around 78% exports volume and the rest from domestic market.
In the last fiscal, General Motors and Ford both contributed nearly two thirds of the total export revenues....Do you think it is a red signal?

IMO most this analyst report r paid report so do not put much importance to it.....

Can someone please throw some light on the process of how applications are sold in the grey market ...also like I have all accounts in ICICI direct so how is it possible to sell to brokers who buy it.

PS Just for knowlege purpose ..I cold for some future IPOs that I would want to skip, not this one :)

it is a trap for retail investors by biggys in indigo. this is best time to invest in Indigo as Indigo is a profit making Co

PCL
GMPs 16-18
Kostak 600

Low volume

IPO SARO MEMBERS

PCL GMP 18-19 per share

INDIGO 1033 LOW

1050 GONE

BIG BULL WIPPED HOPE SO ,

FREINDS

WHAT HAS HAPPENED TO INDIGO -70 RS PROFIT HIGHER AS PER NEWS
BIG BULL IS BEING KILLED AS SAID - 6.8% LIKELY TO REACH 10 %
NOW 1114 MY RATE 1050 SOON

10 % REACHED LOW 1076

THANKS ALL

NO COMMENT FURTHER

Already told indigo can test 980 only unlikely to go ipi prices.....

for secondary MKT,

ECB has declared policy(unchange).
European MKT zoomed

I think nifty might touch 7500 before expiry.

dear eagleye,

I have heard that pcl premium rs.25-26.(not from smart investment)

is it right or wrong?

pls suggest.

PCL GMP 21-22 per share (Mumbai)

FI SELLING FIGURES FOR ONE OF MY FREIND WHO RAISED THE QUERY YESTERDAY
HE SAID FI WERE BUYING
DETAILS FROM MONEY CONTROL

DATES      FII (Rs. Crore)
      
Gross Purchase      Gross Sales      Net Purchase/Sales
Gross Purchase      Gross Sales      Net Purchase/Sales
21-Jan-2016      4042.16      5789.39      -1,747.23      
20-Jan-2016      3854.92      5179.61      -1,324.69      
19-Jan-2016      2695.97      3553.67      -857.70
18-Jan-2016      3140.59      4344.43      -1,203.84      
15-Jan-2016      3172.68      4296.47      -1,123.79
14-Jan-2016      3096.69      4318.66      -1,221.97      
13-Jan-2016      4316.56      4392.46      -75.90      
12-Jan-2016      3090.47      3631.46      -540.99      
11-Jan-2016      3157.82      4477.06      -1,319.24      
08-Jan-2016      3802.86      5039.81      -1,236.95      
07-Jan-2016      3610.14      4661.88      -1,051.74      
06-Jan-2016      4452.42      4694.90      -242.48      

Sir,

Have you also looked at the F&O data? ... Cash market is only one side of the game that FIIs play ... their bigger game is in Futures & Options ... which is harder to analyse (by not so intelligent people like me).

Also, please note the Spot market is only in India ... and the Indian Stock exchanges (NSE & BSE) ... reveal this data every EOD ... whereas the futures markets data is not revealed by the exchanges as clearly by the Indian exchanges ... also I understand that Nifty futures are traded in the offshore markets of Singapore & Chicago ... and we have no data clues coming from them.

So, in my humble opinion ... the cash data that we all see is only one page of the story ... not the entire story.

eg ... did you notice that ... ICICI (on NYSE) close up 3.3% with highest recorded Volume.

HOS: Market Punters are expecting .... PCL to list @250

Now that the news of the hour!

You last time also said that some operators in NH wanted it to list at 320. Which later proved correct.

Even i am confident about the company as such is tapping markets at this point of time where the secondary markets are weak. This is really a daring act by PCL.

Even Co.s Like L&T not daring to come with ipo in such markets

Thanks for information.

Sir,

A word of caution here ... These are market rumours ... it is good to keep in mind what the market whispers are are ... after all rumours are just that ... rumours!

So please take care ... It is best to exercise self-discipline.

Happy Investing !!

PCL
GMPs 18.5-20
Kostak 650

not much activityIMO it is bcoz of new SEBI ABSA ruling given all the KYC cautious norms comes with this anyway let see

GDP of China going to fall every month,no chance of recovery there,simultaneously no chance of world market recovery,1 or 2 days might be pullback but that would be relief rally and opportunities to exit.....

YES AS IN CASE OF RELIANCE TODAY , AT 1024 , CRACKED TO 984
BUT CHANCE OF RELIANCE BACK TO 1024 LEVELS IS VERY LESS ,
MY CALCULATIONS MAY BE WRONG BUT HOW MAY CROES ARE REQUIRED TO PUMP RELIANCE BACK TO 1024 FROM 984 ANY GUESS
YOU MAY NOT IMAGINE

eagleye wht listing gain in pcl....

YOU FIND AN PARTICULAR SHARE HAS CRASHED FROM HIGHS , EQ L&T , TATA STEEL, SBI , BUT HARD TO CRACK ULTRA TECH CEMENT, LI HOUSING , INFY , ETC
TODAT MARUTI HAS CRACKED RELIANCE , AND INDIGO IS SHOWING SIGNS OF STRESS , LATER ON WHEN ABOVE SHARES THAT HAVE CRACKED MAY RISE , OTHERS LIKE ULTA TECH , LIC WILL FALL SLOWLY ,

MARKETS ARE LIKELY TO TEST 7250 AS NIFTY CLOSED BELOW 7275

7250 IS CRUCIAL LEVEL IF IT TESTS BELOW 7250 ON CLOSING BASIC THEN 6900 IS SURE SHOT ,
AND THIS IS AN BIG BULL LEVEL IF THE BIG BULL LEVEL OF 6900 CRACKS
I WILL NOT BE ABIVABLE TO COMENT FURTHER
RISE OR FALL OF MARKETS BUT TO RISE IT WILL TAKE TIME

Precision Camshafts Limited

Bid/Offer opens on 27th Jan
Bid/Offer closes on 29th Jan

Basis of Allotment on 02nd Feb
Unblocking of ASBA on 04th Feb

Commencement of trading on 05th Feb

Thanx eagle....

Dear eagleye mam
5-7 din to asba me amt block (in physical asba) hone me lag jaate h fir ye kese possible h ki unblock bhi tabhi ki tabhi ho jaaye...aur listing on 05feb ...r u sure??

I want to know the would be market cap of PCL after listing, based on DRHP . Help me....

At the upper price band of Rs.186 ... the post issue Market Cap will be Rs.1,762Crs.

Also it is always good to buy from.secondary market rather than ipo if market are turbulant timea.giving liquidity to new issues wd camarket going dwn further. I hope people dnt apply in this ipo rather they buy from secondary market for long term.