A golden opportunity from kGAL

peacockman · 1 A golden opportunity from kGAL Mon Jul 13, 2015 9:29 am

A golden opportunity from kGAL

Lawwa · 2 Re: A golden opportunity from kGAL Mon Jul 13, 2015 9:46 am

A golden opportunity from kGAL

Mr. Belfort · 3 Re: A golden opportunity from kGAL Mon Jul 13, 2015 9:59 am

A golden opportunity from kGAL

sureshot · 4 Re: A golden opportunity from kGAL Mon Jul 13, 2015 10:01 am

sureshot

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dont buy KGAL.N
Its a rat trap with a high dividend....

Plantation sector is also not favorable now.

peacockman · 5 Re: A golden opportunity from kGAL Mon Jul 13, 2015 10:24 am

peacockman

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Thanks Guys!

When It was at 95.00 I hope it's a good stock!

VALUEPICK · 6 Re: A golden opportunity from kGAL Mon Jul 13, 2015 3:08 pm

VALUEPICK

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In bull market we should not miss the biggest gain in stocks. Similarly, we should not ignore out of favour stocks in bull markets. We should pick stocks when they are in out of favour. We will see more rallies in plantation stocks in the future as well. On valuation, plantation stocks should go up in this bull market. When they start to generate earnings they will have more demand. It is also time to identify other attractive plantations stocks.

Types of opportunities in the CSE

Value stocks

Growth stocks

Blue chips opportunities

Out of favour opportunities

Value stocks with growth potential

Break out stocks

When a stock has value, future earnings, momentum and technical and strong charts we should grab from our both hands. It is time to prepare for next phases in the current bull market. Market volatility, pause and pull back create great opportunities. Recent volatility in global commodity, bond and stocks markets also was an opportunity.

peacockman · 7 Re: A golden opportunity from kGAL Mon Jul 13, 2015 7:55 pm

A very good moment to buy

slequityanalyst · 8 Re: A golden opportunity from kGAL Wed Jul 15, 2015 11:23 am

slequityanalyst

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The higher than normal dividend may be a signal that the company assumes that rubber prices will not recover any time soon. Hence, from the RICH perspective pulling out cash which is low yielding (when the core business is suffering) and deploying them elsewhere within the group (where ROICs are higher than KGAL at the moment) make sense. However, the RS.140 per share price is as a result of a one time dividend of Rs.45 which is unlikely to continue regularly in the long run. So, I think from a operational perspective and thereby earnings perspective current pricing is not sustainable at all unless I predict a recovery of rubber prices. (looking at current oil market dynamics it is difficult to see natural rubber prices picking!http://www.ukessays.com/essays/economics/link-between-oil-prices-and-rubber-prices-economics-essay.php)