Ashok Alco-Chem has two business divisons
1. Chemicals ( Ethyle Accetate, Glacial Acetic Acid etc.) Divison
2. Mineral (Bauxite, Bentonite, Kaolin etc.) Trading Divison
Now Mineral Trading Divison is contributing majority of the profit of the company and in future also it will continue to do that. Government of India's mineral policy will help this company immensely in the coming years. In the Quarter ending March 2015 promoter has converted their warrants which indicates their confidence in the company' future. Recently company has announced turnaround result for the Q4 of FY2015 and it has announced maiden dividend of 10% for FY2015. On TTM Standalone EPS of Rs.31.55 company is trading on a very cheap PE multiple of 7. So this stock is a definite buy at the current price.
1. Chemicals ( Ethyle Accetate, Glacial Acetic Acid etc.) Divison
2. Mineral (Bauxite, Bentonite, Kaolin etc.) Trading Divison
Now Mineral Trading Divison is contributing majority of the profit of the company and in future also it will continue to do that. Government of India's mineral policy will help this company immensely in the coming years. In the Quarter ending March 2015 promoter has converted their warrants which indicates their confidence in the company' future. Recently company has announced turnaround result for the Q4 of FY2015 and it has announced maiden dividend of 10% for FY2015. On TTM Standalone EPS of Rs.31.55 company is trading on a very cheap PE multiple of 7. So this stock is a definite buy at the current price.
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