Jain Irrigation – Sitting on a huge oppo
Printed From: The Equity Desk
Category: Investment Ideas - Creating winning portfolios!
Forum Name: Emerging companies - Mid caps that can become large cap
Forum Discription: These are companies operating in growing markets having have certain niches or specific attributes like new sector plays. These are emerging multibaggers with high risks and high rewards.
URL: http://www.theequitydesk.com/forum/forum_posts.asp?TID=151
Printed Date: 28/Apr/2024 at 1:13am
Topic: Jain Irrigation – Sitting on a huge oppo
Posted By: basant
Subject: Jain Irrigation – Sitting on a huge oppo
Date Posted: 12/Aug/2006 at 9:21am
|
Jain Irrigation – Sitting on a huge opportunity Jain Irrigation (CMP Rs 249.20) has had a none too impressive past. Its management is not considered in the top scale and before I write anything else about the company this is one factor that has to be taken with some seriousness. But managements do change and some of the management who have changed or appear to have been changing are the Thapars, Mallyas etc. It would be unfair to generalize past performance and put it as a blanket comparison. A CIO of a very large Private Bank also having mutual fund interests once told me “Most management are like a dog’s tail but not all”. The company’s website states that Jain Irrigation is into a lot of interesting things primary among them are:
The opportunity that Jain irrigation at is huge. The total micro irrigation space is a Rs 60,000 crore opportunity. The grand budgetary policies of the congress Govt. and the entry of the big players into agriculture and farming will open up a scale of opportunity for Jain irrigation’s primary business. Over the next 2 to 3 years Reliance, Bharti and a few other major players would be spending thousands of crores into farming. More over the development of organized retail would also lead to better agriculture methods and newer and latest techniques of production would be employed.
The task force committee report states that over the 10th and 11th plans agriculture shall be the focus area and an amount of Rs 60,000 crores shall be spent on irrigation alone. This shall be 300 times the size of the present market. These schemes are taking off and pilot projects are being initiated by various State Govt. Over the next 5 years India Inc will spend over Rs 900,000 crores on infrastructure development. Primarily Jain Irrigation will be benefited since it manufacture PE and PVC pipes The Managing Director of Jain Irrigation Mr. Anil Jain remarked that "The focused marketing efforts that Jain brings to the deal will complement the products of Chapin and the acquisition will catapult Jain Irrigation and Chapin Watermatics to the forefront in growing global markets for irrigation equipment”. PVC Sheets have become substitutes for wood in the home building market of North America and Europe. This business has been steadily growing and the company recently acquired NU Cedar Mills Inc for US $ 3 million to further augments its activities in this space. Food Processing: Jain Irrigation has a good business model in food processing and vegetable dehydration business. The company has been a regular supplier to the International giants like Nestle In this connection the company acquired Terra Agro with 1200 acres of land and a 1600 ton per anum vegetable dehydration plant. The company plans to triple capacity over the next 3 years. Recommendation: If the management of Jain Irrigation can think from the shareholders perspective this stock is in for some real activity. All the businesses of the company are showing great traction with superior growth. At a market cap of Rs 1,444 crores you could not go wrong on this one. While like all growth stocks Jain Irrigation does look expensive on near term PE ratios these ratios should substantially improve over the next couple of years. Clearly the risk reward favors the investor. ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
||||||||||||||||||||||
Replies:
Posted By: basant
Date Posted: 30/Oct/2006 at 5:42pm
|
Jajn Irrigation recorded a net profit of Rs 16 crore for the September quarter a y-o-y growth of 100% over Rs 8 crore in the corresponding period of the previous quarter.
The revenues grew to Rs 226 crore from Rs 156 crore in the corresponding period. The company stated that the food processing division grew the fastest and in the backdrop of good monsoons accelerated growth could be witnessed in the irrigation space. The Govt's horticulture programme should push the company's products further so would the flood of retailers getting into the back end of growing potatoes and tomatoes.
The management has guided towards a net profit figure of Rs 100 crore which should transalte into an EPS of Rs 17.50 per share. The company which should grow at 30% plus each year is available at a PE of less then 19 times FY 07 earnings. ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: reetesh
Date Posted: 10/Nov/2006 at 6:44pm
|
Jain Irrigation is being mopped up by Soros "Quantam" fund, by the way I read he is coming to India in Dec. for further Investment(s), he is very active, mopped up a lot of Shashun Chemical along with his favourite Unitech,Ansal,Ananth Raj. ------------- When going gets tough, that’s when tough (people) gets going. |
Posted By: nikhil090
Date Posted: 20/Jan/2007 at 10:52am
|
Jain Irrigation has reported good results for this quarter. Their sales have grown by 38% YOY while their profits have doubled in this period. Some more talks below.. It seems a better play on Indian agri boom..
http://www.moneycontrol.com/india/news/resultsboardroom/jainirrigationresults/polymerpricedeflationtohelpjainirrigation/market/stocks/article/262597 - http://www.moneycontrol.com/india/news/resultsboardroom/jainirrigationresults/polymerpricedeflationtohelpjainirrigation/market/stocks/article/262597
|
Posted By: basant
Date Posted: 21/Jan/2007 at 12:27pm
|
I think Jain Irrigation is more then a 20%-30% play we could actually be looking at a 3-4 bagger in 4-5 years if the company gets its plans across.The past activities of the management are a concern though. ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: us121
Date Posted: 21/Jan/2007 at 7:01pm
|
I think Jain Irrigation is more then a 20%-30% play we couldm actually be looking at a 3-4 bagger in 4-5 years if the company gets its plans across.The past activities of the management are a concern though.
-----------------------------------------------------------------------------------------
Basantji,
can u throw some light on 'The past activities of the management are a concern though. '
infact i am holding these shares for last 6 months. ------------- ABILITY will get u at d top. CHARACTER will retain u at d top |
Posted By: basant
Date Posted: 21/Jan/2007 at 7:55pm
Market grapewine had it that they were allegedly involved in manipulating their stock price. But for the time being we should concentrate on the bigger picture and hold on. ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: nikhil090
Date Posted: 21/Jan/2007 at 9:50pm
|
Can it be considered as a buy at these prices? |
Posted By: basant
Date Posted: 21/Jan/2007 at 9:25am
|
That again is as tough as anything because prices have run up for all these companies just buy it in bits and pieces with an intent of buying more as prices fall. ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: basant
Date Posted: 01/Feb/2007 at 12:07pm
|
Morgan STanley bought 10,75,000 shares at Rs 409 yesterday!!! ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: BubbleVision
Date Posted: 08/Feb/2007 at 10:14pm
|
BasantJi....this stock is another example of one of your best performers but the least discussed stocks!
CMP is 420.65...Giving a return of 68% so far.........  ------------- You can't make money if you are unwilling to lose...It's like willing to breathe in but not willing to breathe out. -- ED SEYKOTA ....Read Disclaimer! |
Posted By: PrashantS
Date Posted: 08/Feb/2007 at 10:28pm
| but the thing is when market drifts these stocks will fall fast..as there is less research on this...huge opportunity will come to pick it up... |
Posted By: nikhil090
Date Posted: 08/Feb/2007 at 10:49pm
| jain irrigation has been one of the strongest stock in the past 3 months.. even when there was a scare with 1000 pt fall, this stock hardly fell. So i am not sure whether you will get the opportunity to get this much cheaper unless the results are not upto expectation. |
Posted By: omshivaya
Date Posted: 08/Feb/2007 at 11:30pm
|
Foreign fund house Citigroup Global Mkts has consolidated its stake in Jain Irrigation to around 6 per cent, by picking up an additional 2.3 per cent stake for an undisclosed amount.
In a transaction held on January 31, Mauritius-based Citigroup picked up 13.35 lakh shares of Jain Irrigation in a secondary market purchase, the drip irrigation systems manufacturer informed the BSE. Source: http://www.financialexpress.com/latest_full_story.php?content_id=153786 - http://www.financialexpress.com/latest_full_story.php?content_id=153786------------- The most important quality for an investor is temperament,not intellect.A temperament that neither derives great pleasure from being with the crowd nor against it |
Posted By: BubbleVision
Date Posted: 08/Feb/2007 at 6:07am
|
I Agree with the observation of Nikhil......This stock hardly budged in the fall of Dec-06... ------------- You can't make money if you are unwilling to lose...It's like willing to breathe in but not willing to breathe out. -- ED SEYKOTA ....Read Disclaimer! |
Posted By: basant
Date Posted: 08/Feb/2007 at 8:19am
|
I would be repeating but the real thrust that agriculture would be seeing over the next 3 years could create huge demand for Jain's products - pick axe theme. ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: kulman
Date Posted: 09/Mar/2007 at 7:55pm
|
http://www.bseindia.com/qresann/news.asp?newsid=%7b56B2F7CC-72F6-4486-8AC8-257C08EF5CEF%7d - Jain Irrigation Systems Ltd has informed BSE that the Directors Sub-Committee of Board of Directors of the Company at its meeting held on March 09, 2007, has passed the resolution pursuant to approval of the Shareholders under Section 81(1A) of the Companies Act, 1956 at their meeting date August 28, 2005, 30,70,000 Equity Shares of Rs 10 each of the Company be issued and allotted at a issue price (including premium) of Rs 155/- per share (the minimum price as per SEBI (DIP) Guidelines, 2000 is Rs 145.20 per share) in the following manner: -------------------------------------- Basant jee
Your comments please. (CMP >Rs 400)
------------- Life can only be understood backwards—but it must be lived forwards |
Posted By: nikhil090
Date Posted: 09/Mar/2007 at 9:47pm
| It seems an old agreement dated Aug 2005 on which the shares have been granted now. If promoters made some contribution(put some money) at that point of time, then it should be ok. |
Posted By: basant
Date Posted: 09/Mar/2007 at 8:50am
|
I would go with that explanation above. ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: us121
Date Posted: 20/Jul/2007 at 12:03pm
|
source: indiaearnings.com -----------
------------- ABILITY will get u at d top. CHARACTER will retain u at d top |
Posted By: kulman
Date Posted: 02/Oct/2007 at 8:19pm
|
This is one of unsung heroes....
http://www.dnaindia.com/report.asp?newsid=1124789 - Water conservation, irrigation, food processing and plastic pipes are sectors that are destined to grow at a fast clip. Jain Irrigation is present in all these sectors. ..... company is destined to become the largest drip-irrigation company in the world in a few years. We are in drip irrigation, plastic piping, food processing and plastic sheets. All our businesses are growing on a consistent basis in the past 4-5 years. We are identified mainly by our drip-irrigation business. It is quite prominent and we have been pioneers in India. We believe this is a huge opportunity. India has the largest acreage of land under cultivation. And very little has been brought under drip irrigation. We have not even scratched the surface. The technology we have is very good for Indian conditions. Drip irrigation helps save water, energy, fertilisers and labour.
Our pipes are used by telecom companies for cable ducting applications. They are also used by gas companies for city gas distribution. GAIL has identified 200 odd cities for city gas distribution. We are already suppliers to Indraprastha Gas and Gujarat Gas etc.
About 30% of our business accrues from micro (drip) irrigation, 35% is from pipes and 15% from food processing (fruit and vegetables). The balance accrues from plastic sheets business. So ultimately you may see micro-irrigation at 40%, food at 20% and sheet business will be pared down overall in percentage terms. Pipes would provide 30% of our revenues.
------------- Life can only be understood backwards—but it must be lived forwards |
Posted By: PKB2000
Date Posted: 02/Oct/2007 at 8:50pm
|
It is working on rocks and hence it has to be solid! ------------- I am always doing that which I cannot do, in order that I may learn how to do it. ~Pablo Picasso |
Posted By: kulman
Date Posted: 02/Oct/2007 at 9:39am
|
Jain Irrigation, the micro-irrigation major, is http://www.dnaindia.com/report.asp?NewsID=1125028 - working on a concept called “on demand water on tap”, which will allow farmers to draw water from metered taps.
For the world’s second-biggest drip irrigation company, the move to expand its business spectrum comes naturally. “As a core business, our company is focusing on water,” he said. The “on demand water” as a project is still at a pilot stage. It is being tested out in the rural belts in the southern and western states of the country, Jain said. A recent Credit Suisse report stated that by 2025, based on the most recent UN population data, that 18 countries will have water demand in excess of supply and 58 countries (representing a total of 64% of the global population) to suffer high or medium -high relative water stress.” The concept envisages providing as much water as the farmer needs. But the water is available through pressurised pumps as and when the farmer needs it. Open the valves and he’ll get the water and he’ll pay for it. So you need to find an area where farmers are ready to pay for the water used. For Jain Irrigation the “on demand water on tap” is part of a larger scheme that involves in preparing itself for a bigger role in water distribution. “We are looking at a lot of opportunities. We have a lot on the table,” Jain said. The Jalgaon-based company is under contract with Veolia, a leading French water management company, to supply plastic HDPE pipes to the end consumer on a 24/7 basis. Jain has an important role to play in the Veolia led project happening in the state of Karnataka. According to the Credit Suisse report, General Electric has publicly stated that it forecasts its water-related activities to grow at a compounded annual growth rate of 35% (up to 2009) in developing countries. Dow Chemical similarly expects to triple water exposure over the next four years. Jain said his company is betting on India to provide the maximum revenues. ------------- Life can only be understood backwards—but it must be lived forwards |
Posted By: nil5624
Date Posted: 11/Oct/2007 at 6:56pm
|
Jain Irrigation sees FY08 net at 1.4-1.5 bln rupees Oct 11 2007 5:29PM MUMBAI (Reuters) - Jain Irrigation Systems Ltd sees 1.40-1.50 billion rupees in net profit in 2007/08 on increased drip irrigation and fruit pulp business offsetting a strong rupee, a senior official said on Thursday. It posted a net profit of 991.1 million rupees in 2006/07 on income of 12.08 billion rupees. Last month the company said it expects a turnover of 22 billion rupees in 2007/08. Jain Irrigation, which made four acquisitions since February 2006, is now eyeing opportunities in Africa, Managing Director Anil B. Jain told Reuters on Thursday. "We have a business there and it would make sense to become local so that we have a long-term story," Jain said. ------------- PLZ READ THE OFFER DOCUMENT B4 INVESTING. |
Posted By: khokhadream
Date Posted: 20/Nov/2007 at 11:43am
|
basantji,
writeup is of pristine high quality.
Going by that it appears that jain irrigation is supposed to be 2 bagger
in next few years.
Browsed through their website which is kind of not professional. It appears they have all the good products to ride the agricultural boom.
Shall keep on eye on that and will add slowly
|
Posted By: basant
Date Posted: 20/Nov/2007 at 11:51am
|
A few years back this management was a suspect but everyone seems to have become good because the market cap gains are just too high to ignore. ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: khokhadream
Date Posted: 26/Nov/2007 at 10:21am
|
http://www.moneycontrol.com/india/news/pressmarket/jain-irrigation-gets-4-plexcouncil-export-awards/16/35/314613 -
Does this mean something or its trivial thing.
http://www.moneycontrol.com/india/news/pressmarket/jain-irrigation-gets-4-plexcouncil-export-awards/16/35/314613
|
Posted By: khokhadream
Date Posted: 27/Dec/2007 at 12:38pm
|
http://www.moneycontrol.com/india/news/pressmarket/naandan-jain-irrigation-declares-strong-ytd-performance/20/43/318515 -
http://www.moneycontrol.com/india/news/pressmarket/naandan-jain-irrigation-declares-strong-ytd-performance/20/43/318515
|
Posted By: deveshkayal
Date Posted: 14/Jan/2008 at 12:52pm
|
http://www.indiainfoline.com/news/showleader.asp?storyId=609&lmn=1&cid=0&ei=LPWKR_byOYiaoAPG_eG2DA - Anil Jain interview to India Infoline. ------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: CHINKI
Date Posted: 17/Jan/2008 at 8:21pm
| http://www.tradingmarkets.com/.site/news/Stock%20News/993350/ - |
Posted By: ganeshbhandary
Date Posted: 17/Jan/2008 at 9:20pm
|
what about its biodiesel ventures?
i 've read the following in some thread
Jain Irrigation System Ltd, has plans to set up a Indian Rupees 480 million large-scale commercial bio-diesel plant, with a capacity of 150,000 tons per day in Chattisgarh by 2008. R&D work is being carried out in a 3 tons per day biodiesel pilot plant at Jalgaon, built at a cost of Indian Rupees 5 million. This will be followed by another bio-diesel plant with a capacity of 10 tons per day at Jalgaon.
|
Posted By: khokhadream
Date Posted: 18/Feb/2008 at 12:34pm
|
http://www.moneycontrol.com/india/news/business/water-project-order-book-at-30-40m-jain-irrigation/18/00/326233 - http://www.moneycontrol.com/india/news/business/water-project-order-book-at-30-40m-jain-irrigation/18/00/326233
Basantji jain is still holding solid. Now it seems jain would also move into
water management wherein we can have prospect of huge growth in India.
Jain is operating in sectors which are growing because of economy and also supported by government and will always be supported by govt.
We can expect solid and consistent growth from jain for next 5 years.
My question is is jain costly at this price.
|
Posted By: basant
Date Posted: 18/Feb/2008 at 12:37pm
|
Does not seem to be, corp governence at the company has also improved over the last few years. ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: kulman
Date Posted: 21/Mar/2008 at 8:05pm
Good read about this company: http://businesstoday.digitaltoday.in/index.php?option=com_content&task=view&issueid=24&id=4339&page=in&latn=2&Itemid=1 - The winner that came in from the cold
 ------------- Life can only be understood backwards—but it must be lived forwards |
||||||||||||||
Posted By: tigershark
Date Posted: 22/Mar/2008 at 6:07pm
|
at the current price of 550 looks like this one trades 20.5-21 times 09 earnings.is this expensive, cheap. or just right? kulman and friends? ------------- understanding both the power of compound return and the difficulty getting it is the heart and soul of understanding a lot of things |
Posted By: omshivaya
Date Posted: 22/Mar/2008 at 7:49pm
|
Looks expensive Tiger jee, considering how others have been butchered. Around 13-15 times FY09, I think would seem cheap IMHO! ------------- The most important quality for an investor is temperament,not intellect.A temperament that neither derives great pleasure from being with the crowd nor against it |
Posted By: kulman
Date Posted: 22/Mar/2008 at 11:21pm
|
Isn't it fairly priced which discounts all the good news/growth factored in?
------------- Life can only be understood backwards—but it must be lived forwards |
Posted By: Ajith
Date Posted: 22/Mar/2008 at 11:33pm
|
If the turnover just doubles by 2012 as given in the BT article its only fairly valued but there was some brokerage report(not BSMA-linked,in which case meaningless)somewhere which was more optimistic about growth rates. One negative is high debt levels ,I think. ------------- Ajith |
Posted By: kulman
Date Posted: 13/Apr/2008 at 8:00am
|
http://www.business-standard.com/common/news_article.php?leftnm=si&autono=319924 - From BS ... excerpts...
------------- Life can only be understood backwards—but it must be lived forwards |
|||||||||||||||||||||||||||||||||||||||||
Posted By: Ajith
Date Posted: 13/Apr/2008 at 8:46am
|
Great growth rates.Bought some. But Jain was covered in BT,Outlook Profit and BS almost simultaneously.Any manipulation or am I needlessly suspicious? ------------- Ajith |
Posted By: bassein
Date Posted: 14/Apr/2008 at 10:33pm
It could just be a case of follow the leader. In the Outlook Profit piece (issue dated 21 March 2008), Jain Irrig. was just one of ten stocks covered. Anyway, I'm keeping it as part of a diversified portfolio. |
Posted By: Ajith
Date Posted: 14/Apr/2008 at 11:40pm
|
I am inclined to agree with you, Basseinji. ------------- Ajith |
Posted By: Ajith
Date Posted: 15/May/2008 at 10:27pm
|
Investing Rs.550 crores in 2 mega projects in Jalgaon in agriculture and related sectors. I think Jain is emerging as a sector leader and that too not just in India. ------------- Ajith |
Posted By: basant
Date Posted: 15/May/2008 at 11:59pm
|
Does anyone have any report or presentation on this company? ------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: Vivek Sukhani
Date Posted: 23/May/2008 at 8:40am
|
http://here.alfalaval.com/?pageID=3&articleID=1007 - http://here.alfalaval.com/?pageID=3&articleID=1007
Its nice to see a report on a company in the in-house publication of a global engineering giant. never knew jain irrigation is into such stuff like food-processing etc.
The promoters certainly have a vision. The problem which I can see is why not make and market these products. All the processed food will land in the warehouses of multinational companies and they will make a bigger killing. Jain may end up just being a middle player. I think this company should extract a decent chunk from the prfits which these MNCs are making.
|
Posted By: kulman
Date Posted: 23/May/2008 at 9:46am
Good link.
More than two years ago Jain had bought Mango Processing business from none other than Parle Bisleri! As mentioned in the article, Alphonso variety of Mango is a kind of moat. ------------- Life can only be understood backwards—but it must be lived forwards |
Posted By: Ajith
Date Posted: 23/May/2008 at 11:26am
|
Jain has the opportunity and capacity to jump up into a top league international company in the present scenario.
------------- Ajith |
Posted By: Vivek Sukhani
Date Posted: 24/May/2008 at 12:34pm
|
At current prices, this appears to be a gem.....
After Glaxo, ONGC, Gillanders and castrol....this company falls on my radar.
Jain has a wonderful scalability which most of my names dont have. can anyone guide me about:
1.Jain's net debt
2.Jain's absolute debt
3.Dividend growth
4.Corporate rewards culture like bonus, rights and special dividend.
|
Posted By: jain208
Date Posted: 24/May/2008 at 4:13pm
You can find most of the details http://finance.livemint.com/Research.asp?pageName=FundaReports&ReportType=Ratio&CompanyCode=17020012&CompanyName=Jain+Irrigation+Systems+Ltd%2E&Ticker=JainIrrigatn&MajorSector= - here and http://finance.livemint.com/Research.asp?pageName=investorreturn&CompanyCode=17020012&CompanyName=Jain+Irrigation+Systems+Ltd%2E&Ticker=JainIrrigatn&MajorSector= - here ------------- ======================================= The more it changes, the more it’s the same thing. |
Posted By: Ajith
Date Posted: 24/May/2008 at 10:19pm
|
I think past financials will not inspire confidence.And debt too is fairly high.But the company can become huge in 4-5 years given the emphasis that will be given to agriculture and that too not just in India. Some times debt can lead to gains as in case of Aban but of course Jain being already large can only be a reasonable multibagger unless it stumbles somewhere. ------------- Ajith |
Posted By: deepinsight
Date Posted: 25/May/2008 at 4:25pm
|
Any thoughts on its exposure to Govt. subsidies/directives & and its potential negative impact? ------------- "Investing is simple, but not easy." - Warren Buffet |
Posted By: Ajith
Date Posted: 25/May/2008 at 5:28pm
|
Currently MIS is having 25% OPM and I have not heard anything about subsidies being reduced.I do not know precisely but allocation for agriculture must necessarily go up.I have not considered a reversal in policy.Govts. as you hint can be foolish but it would be suicidal-MIS is the way forward as most politicians are aware and they will have to be rational in this and will be to secure votes. ------------- Ajith |
Posted By: kulman
Date Posted: 24/Jun/2008 at 3:10pm
------------- Life can only be understood backwards—but it must be lived forwards |
Posted By: PKB2000
Date Posted: 19/Aug/2008 at 11:51am
|
Good or bad !!!!
The stock is in its month low
Why?
------------- I am always doing that which I cannot do, in order that I may learn how to do it. ~Pablo Picasso |
Posted By: bharti
Date Posted: 02/Sep/2008 at 7:26pm
|
an article on "Jain Irrigation" in Forbes magzine - Drop by Drop: http://www.forbes.com/business/global/2008/0901/052.html - http://www.forbes.com/business/global/2008/0901/052.html
|
Posted By: Hitesh Shah
Date Posted: 08/Dec/2008 at 4:39pm
|
http://moneycontrol.com/mccode/news/article/news_article.php?autono=369926&special=highlights - Jain Irrigation & FCCBs
------------- |
Posted By: karthikr80
Date Posted: 09/Dec/2008 at 7:30pm
|
Basantjee, Does Jain irrigation quantify a good buy? It meets two of your criterion atleast A) growing at 50% and quoting at 10 PE B) Sector leader (ok, its a niche business :)) ------------- karthik |
Posted By: basant
Date Posted: 09/Dec/2008 at 7:39am
|
I have lost complete track of it can you indicate the RoE and market cap. Promoters are were not shareholder freindly but from what analysts say things have changed.
In these times it is better to knock off some reward from the stocks that you intend to buy if they come with lower risk.
------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: karthikr80
Date Posted: 09/Dec/2008 at 9:14am
Posted By: basant
Date Posted: 09/Dec/2008 at 9:29am
|
Seems ok except that ROE has declined can yu put in the full financials?
------------- 'The Thoughtful Investor: A Journey to Financial Freedom Through Stock Market Investing' - A Book on Equity Investing especially for Indian Investors. Book your copy now: www.thethoughtfulinvestor.in |
Posted By: praveen
Date Posted: 09/Dec/2008 at 9:35am
|
Decline in ROE is a lot to do with increase in equity vis-a-vis debt.
Can someone post the data for a little longer term? ------------- The quest for knowledge is a never ending Journey |
Posted By: Hitesh Shah
Date Posted: 09/Dec/2008 at 9:53am
Praveen, please don't misunderstand me but you can get the information from http://www.jains.com/Company/financial.htm - here. The link posted by Bharti a few posts ago also provides some nice historical background, possibly biased  , but informative all the same.------------- |
Posted By: praveen
Date Posted: 09/Dec/2008 at 10:01am
|
Sitting on a debt of 1500 crs with an EBITDA of 380 crores for FY-08 and expected EBITDA of 500 crs for FY-09. http://moneycontrol.com/mccode/news/article/news_article.php?autono=369926&special=highlights - http://moneycontrol.com/mccode/news/article/news_article.php?autono=369926&special=highlightsDoesn't look cheap at all compared to the rest of the market. And with management of a questionable past, seems like a easy pass to me ------------- The quest for knowledge is a never ending Journey |
Posted By: praveen
Date Posted: 09/Dec/2008 at 10:06am
just last 3 year information. Was looking for more like last 7-8 years of data. Just thought if someone is tracking the data might have ready access ------------- The quest for knowledge is a never ending Journey |
Posted By: karthikr80
Date Posted: 09/Dec/2008 at 11:31am
|
have 5 years data http://money.rediff.com/money/jsp/ratio.jsp?companyCode=17020012 ------------- karthik |
Posted By: Amit_Singh
Date Posted: 12/Dec/2008 at 2:04pm
|
http://marketinfo.livemint.com/Research.asp?pageName=Shareholding&CompanyCode=17020012&CompanyName=Jain+Irrigation+Systems+Ltd.&Ticker=JainIrrigatn&MajorSector=
Just noticed that the general public shareholding in Jain Irrigation is only 4.41 %. Does this mean this scrip is not very liquid and therefore more likely to fluctuate,sometimes even irrespective of the prospects/results? |
Posted By: Hitesh Shah
Date Posted: 12/Dec/2008 at 2:31pm
Quite often the difference between bid and ask is quite high. So what you're saying seems to be the case. ------------- |
Posted By: Hitesh Shah
Date Posted: 26/Jan/2009 at 9:40pm
|
More on http://www.business-standard.com/india/news/jain-irrigation-harvesting-profits/22/06/347036/ - Jain Irrigation
------------- |
Posted By: subu76
Date Posted: 03/Feb/2009 at 12:03pm
|
Agri-Irrigation major Jain Irrigation Systems Ltd (JISL) has announced very encouraging Q3 FY09 standalone numbers. This growth has been achieved by the Company in the most challenging environment and has been achieved with rebalancing of its product portfolio and enhanced focus on rural India. The Q3 FY 09 revenues have grown 29.4% at Rs.531.9 crores as against Rs.410.90 crores last year. The domestic revenues which constitute around 77% of total revenues have grown by above 33% at Rs.411.4 crores as against Rs.308.3 crores last year. The growth is achieved on back of about 50% increase in piping revenues and 38% growth in MIS/SIS (Micro Irrigation Systems) revenues in the quarter. The export business which constitutes 23% of the total revenues, have grown at 17.4% mainly on back of multifold growth in MIS/SIS, and agro processed divisions. On a corporate basis the top performing divisions are MIS/SIS (40%) and Agro processed (62%). The Corporate EBIDTA has grown by 39% to Rs.116.5 crores for quarter as against Rs.83.8 crores last year. The EBIDTA margin at 21.9% reflects a jump of 150 bps over the last year’s level. The EBIDTA margins have increased due to significant margin expansion in agro processed products and steady expansion in MIS/SIS due to better product mix. After absorbing the higher notional loss of Rs.8.66 crores on Long Term Foreign Currency loans, the net profit is 24% higher at Rs. 55.6 crores as against last years Rs.44.85 crores. |
Posted By: subu76
Date Posted: 03/Feb/2009 at 12:08pm
|
No idea why is the company talking about a tough enviroment. |
Posted By: Amit_Singh
Date Posted: 05/Feb/2009 at 5:39am
|
Have been tracking this for a while,hoping to make an entry at sub-250 price band.But I guess it has hardly moved out of the 300-350 band of late.Guess their are some strong hands backing it up or perhaps not many care about it at present, which is a positive in itself. Can't argue with the scale of opportunity though.As organized retail grows its roots in India,MIS will perhaps become more of a necessity than the luxury that many think it is now. |
Posted By: experteye
Date Posted: 08/Feb/2009 at 2:02pm
To me, Jain Irregation is Goldmine in long run and long term basis. ------------- more risk,more profit but have a vision before taking risk,itis all about investment in equities market. |
Posted By: suyogagrawal
Date Posted: 11/Feb/2009 at 4:29pm
|
Even i am waiting for sub 300 levels to corner this stock for slightly long term. Probably i wld swap my rpower holding with Jain. Today also Jain amde some smart moves and crossed 350. I was waiting for 250 but now i think that i have to raise my entry point. Wot does forum has to say??Shld we wait for sub 300 or can go ahead??? ------------- Difficulty is the excuse history never accepts... |
Posted By: Amit_Singh
Date Posted: 23/Feb/2009 at 11:23pm
|
Was just reading through the company's disclosures on BSE. Turns out that many of the promoters have pledged their shares on Jan 28.Details http://www.bseindia.com/qresann/news.asp?newsid=%7BEBB20E56-6815-46EE-8D56-60574E4E95CC%7D¶m1=2 - here So not all is hunky dory out there. Besides the price has been falling for the last couple of days.Seems like the wait may be worth the while. |
Posted By: suyogagrawal
Date Posted: 25/Mar/2009 at 5:30pm
|
Read a report by prabhudas on the valuations of jain.Acc to them the stock seems to be justified at around 320-340. This is quite evidnet as the stock hasnt moved much in the current bounce back. Infact it has slided down from 360-65 levels to 330 levels...I think it makes sense to buy this once it is below sub 300 levels..
Also would seek senior members advice on the growth opportunities for the company...Keeping in view the sector it operates backed by govt subsidy, a srtong hold in its business, around 55% market share and a strong reputation in market(interacted with couple of my friends who are in agri equipment business and got positive feedback abt the products and company) can this company grow at a CAGR of 26-31% CAGR for next 5 years????? ------------- Difficulty is the excuse history never accepts... |
Posted By: suyogagrawal
Date Posted: 26/Mar/2009 at 11:45am
|
jain has been consolidating around 330-350 levels. Doesa that indicate that it is poised to make some significant move in either directions??? Volumes are pretty OK. Though i am not a huge fan of chartism, still do look at the price levels before buying....Bcause my belief that buying at a right price is equally important gets stronger day by day..so lukin at charts revela that if it goes up then can reach upto 400 and in downside arnd 290-300 would be a good buy ------------- Difficulty is the excuse history never accepts... |
Posted By: deveshkayal
Date Posted: 27/Mar/2009 at 10:42pm
|
Jain has no funding issues bcoz of recent stake sale to IFC so expansion should be on track.
------------- "You don't need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beat the guy with a 130 IQ. Rationality is essential"- Warren Buffett |
Posted By: experteye
Date Posted: 07/Apr/2009 at 10:25pm
|
Jain is an all time green stock and i am sure it will keep us green provided if we stay with this itself.My feel is that Jain alone , is enough investment without botheration. ------------- more risk,more profit but have a vision before taking risk,itis all about investment in equities market. |
Posted By: FutureBull
Date Posted: 12/Apr/2009 at 8:24pm
|
this stock has spiked a lot in this bounce...EPS is growing handsomely too..but at current level fairly priced..as per market rumour next bull market will be in agri commodities and Jain is nice pick in whole agri space.. what other say ------------- ‘The market always does what it’s supposed to — BUT NEVER WHEN’. |
Posted By: master
Date Posted: 04/May/2009 at 11:19pm
|
Commenting on the company's future outlook, Anil Jain, MD, Jain Irrigation, said: Our margins even in the current annual year and for this quarter has improved quite a lot at earnings on the EBITDA level and the forex losses were notional because they are related to long term foreign currency. Going forward in the current year we are looking for a very strong growth. Micro irrigation will continue to grow somewhere between 40-50% or in that region; piping would grow beyond 20%, food should grow some where between 25-30%. So overall we are seeing very strong traction. We are seeing a very strong traction overall in terms of growth. As far as margins are concerned, micro irrigation is usually highest margin and we have maintained a band of 25-30% of margins but this quarter our margins were 32.5% in micro irrigation on the higher side. ------------- Someone’s sitting in shade today because someone planted a tree long time ago. |
Posted By: Hitesh Shah
Date Posted: 04/May/2009 at 11:26pm
|
I think Finolex, with Israeli collaboration, is also into micro-irrigation.
------------- |
Posted By: somu0915
Date Posted: 04/May/2009 at 12:25pm
|
I think irrigation is a wonderful business to be in. Are there any strong competitors of Jain Irrigation? |
Posted By: commnman
Date Posted: 09/Aug/2010 at 4:41pm
So, its a 5 bagger in about 4 years
 But, wonder why this counter isn't active since more than a year in E-desk.
Anyway, Jain irrigation has become a bit of an irritation as far as latest results are concerned.
Sales up 27% at 721 Cr vs 567 Cr.
but net profit down 6% at 52 Cr vs 56 Cr.
I was considering to add this stock in my portfolio. Disappointed somewhat with the results.
Eager to know the openion of fellow TED's.
|
Posted By: srihsd1
Date Posted: 06/Mar/2011 at 10:19pm
|
http://www.moneycontrol.com/news/business/import-duty-reductionbudget-immaterial-jain-irrigation_527380.html - http://www.moneycontrol.com/news/business/import-duty-reductionbudget-immaterial-jain-irrigation_527380.html ------------- Best Regards Sri |
Posted By: FutureBull
Date Posted: 11/Jun/2011 at 1:26pm
|
this is available less than 20 times forward PE.. is it worth considering? ------------- ‘The market always does what it’s supposed to — BUT NEVER WHEN’. |
Posted By: wiseowl
Date Posted: 11/Jun/2011 at 5:41pm
|
The company had gone through a rough patch in the 1990s because of a large number of diversification projects which failed to take off. Check out Business Today 6 Apr 2008 issue. Now the company wants to launch an NBFC. Keep a close watch on this, their other expansion projects, the debt position and equity dilution via QIP as well.
------------- You alone are responsible for your actions. |
Posted By: shontou
Date Posted: 11/Aug/2011 at 10:55pm
|
Conference Call
Jain Irrigation Improved payment cycle from the government and implementation of the National Mission Mode in MIS will aid in improving the working capital cycle Jain Irrigation held a conference call on for discussing performance for Q1 FY12. In the conference the company was represented by Anil Jain, Managing Director. Key takeaways The net sales for Q1 FY12 grew by 31% to Rs 951.31 crore. The domestic business grew by 30%. The MIS business has shown a growth of 31%, pipe business by 4% and agro processing by 80%. Within agro processing, onion dehydration grew by 24% and Mango pulp grew by 106% with strong seasonal demand. Export business has confirmed the revival sign of overseas demand and improving environment witnessed in the previous quarter. Overall exports for the company were up by 23%. OPM has increased by 123 basis points to 24% due to fall in raw material cost. The net profit was up by 57% to Rs 82.35 crore to rise in top line and margin The net consolidated sales for FY11 were at Rs 4072.45 crore, up 20%. EBIDTA was at Rs 758 crore demonstrating a growth of 27%. The Net profit was up by 13% at Rs 281 crore. Receivable days outstanding at gross level on MIS has come down from 369 days to 349 days due to strong pick-up in subsidy disbursements from the governments of Maharashtra, Karnataka and Andhra Pradesh. The gross receivable in March was Rs 2403 crore which came down in June to Rs 2378 crore. With implementation of the national mission mode, Maharashtra and Andhra Pradesh have got additional allocations and these extraordinary receivables from these states to the company are likely to come down over the next few months. The management guides for receivables to come down to 310 day. Improved payment cycle from the government and implementation of the National Mission Mode in MIS (NMMI) will aid in improving the working capital cycle. The revenue from project side in MIS stood at Rs 70 crore in Q1. The company's market share in MIS is 55% to 60%. The overall receivable days has come down from 263 days to 244 days. For MIS business, cotton and sugarcane has helped for such a good growth in Q1.. The main states contributor for the MIS growth in Q1 was Gujarat, Himachal Pradesh and Karnataka. The plastic division faces challenges because of high raw material cost. The company's present order position is Rs 925 crore which is 15% more compared to last years same quarter. Out of Rs 925 crore, MIS is Rs 500 crore, food business is Rs 300 crore and pipe is Rs 100 crore. 1000 hectares land under rice to be planted under drip irrigation in next season. The company will see its major impact on it earning only after 2 years. The company has applied for NBFC license to RBI which is expected to come by Q3. IFC will take 10% stake in the company while the company's stake will be 40%. The promoter and other institutional investors will hold the remaining stake. The total capitalization for NBFC is Rs 200 crore and the company's exposer will be Rs 80 crore. By the end of Q3, NBFC is expected to be operational. It expects NBFC to have NIM of above 3%. The total long debt on standalone is Rs 900 crore out of which Rs 600 crore is in foreign currency. The working capital is around Rs 1200 crore. The total debt on subsidiaries is Rs 400 crore. The capex for FY12 is Rs 350 – 400 crore. ------------- Every day, self-proclaimed stock market "experts" tell us why the market just went up or down, as if they really knew. So where were they yesterday? |
Posted By: Supermanglide
Date Posted: 15/Aug/2011 at 8:12am
|
Can it be regarded like a purchase at these prices? < ="Content-" content="text/; charset=utf-8">< name="ProgId" content="Word.">< name="Generator" content="Microsoft Word 11">< name="Originator" content="Microsoft Word 11"> file:///C:%5CDOCUME%7E1%5CADMINI%7E1%5CLOCALS%7E1%5CTemp%5Cmsohtml1%5C02%5Cclip_filelist.xml - <> - http://www.buyguccishop.com/gucci-boots-c-59.html/ -
Cheap Gucci Boots http://www.wholesalepolonow.com/ - Cheap
Ralph Lauren Polo Shirts ------------- http://www.buyguccishop.com/ - Cheap Gucci Shoes http://www.buyguccishop.com/gucci-boots-c-59.html/ - Cheap Gucci Boots |
Posted By: Supermanglide
Date Posted: 15/Aug/2011 at 8:12am
|
Can it be regarded like a purchase at these prices? ------------- http://www.buyguccishop.com/ - Cheap Gucci Shoes http://www.buyguccishop.com/gucci-boots-c-59.html/ - Cheap Gucci Boots |
Posted By: shontou
Date Posted: 12/Sep/2011 at 9:06am
|
Jain Irrigation Systems::Takeaways Motilal Oswal Annual Global Investor Conferences
Key Takeaways MIS the key growth driver; backend advantage gives competitive edge The micro irrigation systems (MIS; 50% of revenue) division continues to post robust growth, achieving 31.5% revenue growth in 1QFY12. The management expects similar growth through the year, led by strong demand in its seven key states. Though new players are looking to enter the MIS space (M&M, Godrej Agrovet), Jain Irrigation (JI) has a major competitive advantage in terms of complete backward integration and strong distribution. JI has 55% market share and currently makes double the margins of the nearest competitor in MIS. Domestic margins to improve, owing to higher share of MIS and food processing Domestic margins expanded 140bp to 23.5% in 1QFY12 due to higher share of MIS and food processing in the total mix which enjoy higher margins. Margins are likely to be under pressure in piping and PVC (30% of sales) due to higher input costs. However, the management expects these businesses to grow at half the rate as compared to MIS and food processing. Hence, overall domestic margins in FY12 are likely to be higher than in FY11. MIS receivables improving; NBFC to reduce balance sheet burden in FY13 In 1QFY12, gross MIS receivables improved 20 days QoQ to 349 days. The management expects another 40-50 days of improvement by the end of 3QFY12, led by subsidy payment dispatch from the Maharashtra government. JI expects to get the NBFC license in 3-4 months, which will reduce JI's debt and receivables burden. The total equity funding required will be INR2b, of which INR1b will come from JI, which will initially own 49% stake. JI believes that all MIS players will take the NBFC route; EPC Industrie (M&M's subsidiary) has an NBFC and Netafim (second largest player in India) has also applied for an NBFC license. International: Strong growth in new geographies; double-digit margin target JI introduced its MIS products in Turkey last year and generated revenue of USD10m; the company plans to increase revenue to USD25m in this market in FY12. JI's international subsidiaries posted an EBITDA margin of 5-6% in FY11. With increasing sales of MIS in new geographies and access to the UK market through its Sleaford acquisition, JI is targeting double-digit margins over the next few years. ------------- Every day, self-proclaimed stock market "experts" tell us why the market just went up or down, as if they really knew. So where were they yesterday? |
Posted By: sameerde
Date Posted: 14/Sep/2011 at 11:43am
| thanks very much. appreciate the trouble you are taking to post takeaways. |
Posted By: anil1820
Date Posted: 27/Feb/2013 at 6:24am
|
Conceptually Jain Irrigation appears to be a great stock with lot of growth opportunities. Water and food shortage is real and is only going to worsen in next 5-10 years. But there are some factors which make me quite nervous to initiate position in this company.
1. I think promoters tend to take too much debt regularly and tend to diversify TOO MUCH. 2. Working capital requirements are quite high in this business and this reflects in the poor ROCE of 15% during 2005-11. This does not reflect the brand or their market position at all. During 2005-11, average debt equity was around 1.8x and currently stand at 2x. But in MD&A I have not seen any concern on the part of the management to reduce debt. They are still talking about inorganic growth [though historically they have not made any big bang acquisition] 3. There has been consistent equity dilution and promoter holding remains quite low for my comfort [27.5% for Dec-12]. 4. Lastly though they are talking about change in business model [shifting subsidy burden directly on farmer rather than company taking responsibility to collect it from government], it seems that by floating NBFC and restricting company equity contribution to less than 50% [read somewhere that company contribution is 49%] it appears to me that this is simply an attempt to move debt off balance sheet. Now NBFC will give loan to farmers for buying irrigation equipment and loans will not be consolidated in company as equity is less than 50%. We all are aware that NPAs are maximum in farm loans and forceful recovery from farmer community in next to impossible eg SKS microfinance. So unless debt is materially reduced and company stops unnecessary diversification, I do not think I will be interested in this stock, TOO MUCH OF RISK. |