Patience is key while Investing in equities. Build a diversified portfolio of small and mid caps by Investing in Hidden Gems and Value Picks. Click here for details.

SERVICES:        HIDDEN GEMS    |    VALUE PICKS    |    15% @ 90 DAYS    |    WEALTH-BUILDER

NANO CHAMPS (DEEPLY UNDERVALUED & UNDISCOVERED MICRO CAPS)

PAST PERFORMANCE >>> HIDDEN GEMS, VALUE PICKS & WEALTH-BUILDER >>>  VIEW / DOWNLOAD

SARAL GYAN ANNUAL SUBSCRIPTION SERVICES

Tuesday, December 25, 2012

Releasing Soon - Hidden Gem Stock of Dec'12

Dear Reader,

Wish you Merry Christmas!

Hidden Gem - Dec 2012 research report will be released in next 24 hours. Hidden Gem stock selected for the month is a micro cap stock with total market cap of less than 50 crores.

India continues to be a high growth economy and a significant portion of this growth comes from FMCG sector particularly consumer product companies. Earlier, the consumption of packaged food products was confined to urban population but now slowly with the rising literacy and income levels of rural population; the market for ready food products has expanded to smaller town.

Here is a brief about company's business:

The awareness amongst the consumers for leading a healthy life also has led to the growth of food sector. To leverage this, company had introduced an innovative range of products and is continuously adding value-added products to the existing product line. Company has intensified product promotion activities by highlighting nutritional values of its products.

Company has high standards and its goal is to sell the highest quality products. Company defines quality by evaluating the ingredients, freshness, safety, taste, nutritive value and appearance of their products. In addition to this, company offers value to their customers by providing them high quality products at affordable price.

Company's manufacturing units are strategically situated in four different geographical locations with ultra modern facilities and equipped with sophisticated machinery for self sufficiency in manufacturing and to cater to the ever-growing domestic and overseas needs.
Few facts which make this stock an excellent investment candidate for long term:

1. Market cap of the company is almost 1/5th of total annual sales turnover of the company. Market cap to annual sales is merely 0.2. 

2. Topline has increased by 27% in last 4 years where as bottom line is increased by 720% during the same period.
 
3. Management has rewarded share holders by paying dividend for the first time,  dividend yield at current market price is almost 3.

4. Promoters share holding is 74% since last many years which is good by all means for such a micro cap company.

5. In terms of valuation company is trading at trailing PE ratio of 14 and looks a bit expensive for short term, but considering growth potential for the company and the industry,its a good bet for long term investors.

6. Company has registered highest sales ever in last quarter, top line of last quarter is 1.5 times to its market cap. 

7. Last but not the least, ROE increased from 2% to 10% and ROCE improved from 11% to 15% in last 4 years.

8. High debt on balance sheet is the only concern but we do not see it as a major risk considering available cash reserves and promoters share holding in the company.

Grab this Hidden Gem and invest small portion of your savings in it for long term. Subscribe to Hidden Gems annual subscription (12 monthly research reports) @ Rs. 7500 6000 [$ 155 125] under our ongoing Merry Christmas and Happy New Year 2013 Offer and save 20% on subscription cost. You will also receive 3 Freebies at no additional cost.

1. Saral Gyan Hidden Gems - Flash Back Dec'12 - Last 24 Hidden Gems update
2. Saral Gyan eBook - "How to Grow your Savings?"
3. Portfolio of 13 Small and Mid Cap Stocks for 2013

Subscribe today to avail Discount upto 40%, Freebies and New Year Suprise gift. Hurry! Last few days, Merry Christmas & Happy New Year 2013 offer closes on 31st Dec'12 at 11.59 pm. Click here for payment options and facilities.


Regards,

Team - Saral Gyan,
Saral Gyan Capital Services.