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What is The Best Finance Company to Buy Shares

4 posters

Go down  Message [Page 1 of 1]

kam2011


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

Dear Friends, With the increased growth rate in the economy, a lot of development activities are in implementaion with public and private investment. Foreign Exchange inflow too has been strengthen with many foreign funded projects and IMF support. This has created a conducive environment mainly for bank and financial sector. Since we have discussed lenthly on banking sector let us talk about the performance of listed finance companies
I would like to share some of my findings based on latest financial reports which are given below;

People leasing - Price = 77.20
- EPS = 3.23
-PE = 23.90

Softlogic F -Price = 67.90
-EPS = 3.07
-PE = 22.11

Arpico F -Price = 109.00
-EPS = 5.69
-PE = 19.15

Valibel F -Price = 46.90
-EPS = 2.60
-PE = 18.03

Singer F -Price = 31.10
-EPS = 1.77
-PE = 17.57

Central F -Price =1385.00
-EPS = 86.34
-PE = 16.04

Sinhaputhra F -Price = 91.10
-EPS = 5.82
-PE =15.65

LOLC -Price =104.50
- EPS = 8.08
- PE = 12.93

LB F -Price =175.00
-EPS = 14.73
-PE = 11.88

Alliance F -Price =1000.00
-EPS = 109.77
-PE = 9.10

According to above findings Best performed FInance company based on PE terms is Alliance FCinance. But I feel PE alone is not enough to make good assessment on a Compamy share. What are your views friends.

kam2011


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

By the way Many Thanks for the members who give me -rep repeatedly without any reason. I love those guys. If you are happy I am also happy. I do not expect voting rights here.

Slstock

Slstock
Director - Equity Analytics
Director - Equity Analytics

kam2011

This is my personal view.

Given the current prices

For long term I would go with LFIN. ( also some shor term movement)
LOLC is also good. But it is now diversified ( though still listed under BFI).

Actually as most of the these shares are trading lower than before , with positve market they can go up a bit.


For other short term given a postive market ( hopefully for a few days)

CFIN can bounce back to over Rs 1500-1600
ALLI is good at these prices and illuquid. I really did not think ALLI will fall to Rs 900 again but it did! When crazy illquid with no ffundamentals go to Rs 2000-4000 , ALLI is a enigma.

SMLL , please correct the calculation. SMLL now trading around Rs 43+ after right issue. When calculating be careful to factor in addition shares from rights to get eps. SMLL is also good to monitor for short term movement.

Also with VOL IPO watch for some VFIN movemen.

kam2011


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

slstock

You arecorrect friend. I did that calaulation for SMLL.
Net profit =Rs. 106,862,861/-
Market price =Rs. 43.20
Number of Shares=68,140,917
EPS = Rs, 1.57
PE = 27.51

In fact I have not included CDB too.
CDB
Price =83.60
EPS =13.43
PE = 6.22
However From the toyal net profit of CDB Rs. 311,690,000 has come fron Mark to Market Adjustment(MMA) For Ceylinco Ins. shares and they do not have any other invetment in listed firms as per Accounts. Therefore we cant expect such a higher capital gain next year. Therefore if remove MMA( I think it is a debatable matter whether we could excludethat amount or not because there may be some potion of similar MMAs in the net profit amounts of other Companies as well. But here that potion is the bigger piece of the cake);
Net profit =Rs.531,810,000/=
MMA =Rs.311,690,000/=
Profit(Ex MMA) =Rs.220,120,000/=
EPS =Rs.5.55
PE =15.06

For your views slstock and others pl.

FXX

FXX
Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

does anyone know the ex-dividend date for LFIN ?

kam2011


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

Dear FXX, LFIN exdividend date is 01.07.2011 and the dividend is 3.50. However share price has fallen by 10.00 from the date of announcement.(May be due to the current bearish market condition)

ShareShares


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

CFIN went up and slightly lower at the moment. LFIN also went up recently LOLC has a potential, .. SMLL, bank use to sell time to time. That is my experience with these shares. To me VFIN and LOLC are the most attractive.

FXX

FXX
Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

kam2011 wrote:Dear FXX, LFIN exdividend date is 01.07.2011 and the dividend is 3.50. However share price has fallen by 10.00 from the date of announcement.(May be due to the current bearish market condition)

i did my 1st LFIN buy at 183 and the same day it went to 200 but i didnt sell Embarassed then like u said share price went down and i manage bring my buying average down little bit, Thanks for the info

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