The Investor Sentiment - Equity and investments forum for Sri Lankans
The Investor Sentiment - Equity and investments forum for Sri Lankans
Would you like to react to this message? Create an account in a few clicks or log in to continue.
Please send an email to contact.lankaninvestor@gmail.com if you face any technical difficulties when posting
Search
Display results as :
Advanced Search
Latest topics
Tokyo CementMon Nov 23, 2020 9:42 amRajapaksap
Insider Dealings Fri Nov 20, 2020 2:30 ampjrngroup
UML United MotorsTue Nov 10, 2020 8:50 amThe Invisible
ExpolankaMon Nov 09, 2020 8:46 pmsmallville
Plantation Sector UpdatesSat Nov 07, 2020 8:15 amRajapaksap
HAYC - HaycarbFri Nov 06, 2020 12:11 pmsubash
LWL.N0000 (Lanka Walltiles PLC)Fri Oct 16, 2020 12:50 amsubash
CSE Daylight Robbery !Mon Sep 21, 2020 9:54 pmYin-Yang
Trading Journal Tue Sep 15, 2020 10:37 pmThe Invisible
AEL Access EngineeringTue Sep 15, 2020 7:24 pmsmallville
CFVF - First CapitalWed Sep 09, 2020 9:42 pmWonderer
Disclaimer


Information posted in this forum are entirely of the respective members' personal views. The views posted on this open online forum of contributors do not constitute a recommendation buy or sell. The site nor the connected parties will be responsible for the posts posted on the forum and will take best possible action to remove any unlawful or inappropriate posts.
All rights to articles of value authored by members posted on the forum belong to the respective authors. Re-using without the consent of the authors is prohibited. Due credit with links to original source should be given when quoting content from the forum.
This is an educational portal and not one that gives recommendations. Please obtain investment advises from a Registered Investment Advisor through a stock broker

Go down
First Guy
First Guy
Posts : 2544
Join date : 2014-02-22

Aluminium - Snapshot Empty Aluminium - Snapshot

on Tue Jul 28, 2015 10:40 pm
Message reputation : 100% (3 votes)
[You must be registered and logged in to see this image.]

[You must be registered and logged in to see this image.]

Since Aluminium has been a hot topic!

LALU numbers are as at March results while ALUM and PARQ are updated for June.

Interesting trendline and trading multiples. In fact, looks like the market got it correct again. ALUM has better ROE and trading at better price. But is the gap too much?

How does future growth look like?
First Guy
First Guy
Posts : 2544
Join date : 2014-02-22

Aluminium - Snapshot Empty Re: Aluminium - Snapshot

on Wed Jul 29, 2015 9:37 pm
Message reputation : 100% (3 votes)
In the above table, EPS was taken directly from the reports. LALU has a gain on sale of subsidiary reported in the December 2014 report. If that is excluded, trailing P/E comes to 9.3x (based on yesterday's price)
Either it's too expensive or PARQ is cheap. I think it's both.

Look at LALU's trend. Not so good compared to others.
[You must be registered and logged in to see this image.]
Is the market expecting anything better? Or is it ready for a slide when results come out?
avatar
hariesha
Top contributor
Top contributor
Posts : 1326
Join date : 2014-04-09

Aluminium - Snapshot Empty Re: Aluminium - Snapshot

on Mon Apr 23, 2018 12:07 pm
Message reputation : 100% (2 votes)
World aluminium prices have hit seven year high and prices are expected to surge further. Rupee has depreciated to all time lows.

How our Aluminium companies will face the new challenges. All three companies are in negative cash flows with increasing borrowings and operating expenses. Ability to pass the costs to buyers will be key. But recently added capacities will be a deterrent to price revisions, if demand not improved sufficiently.

Historically ALUM has played well with volatile aluminum prices. But now they are with high gearing which might limit their maneuvering.

As investors point of view, I think sector is not attractive at current prices.
avatar
yellow knife
Top contributor
Top contributor
Posts : 6813
Join date : 2014-03-27

Aluminium - Snapshot Empty Re: Aluminium - Snapshot

on Mon Apr 23, 2018 12:40 pm
Message reputation : 100% (1 vote)
Thanks Hariesha
CK
CK
Active Member
Active Member
Posts : 1392
Join date : 2015-11-01

Aluminium - Snapshot Empty Re: Aluminium - Snapshot

on Mon Apr 23, 2018 1:09 pm
Message reputation : 100% (1 vote)
Avoid these shares as this is impacted on present imports and hence profit margins will be lower in future.
Back to top
Permissions in this forum:
You cannot reply to topics in this forum