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Ankur's avatar

Hi Siddharth....in this post I felt risk factors presently overweight the opportunity it offers that's why these need to sort out by company first. I am re-emphasizing these points like pledge shares with growing borrowing with stretch capital cycle. Kindly also include checklist in your analysis.

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Siddharth Bothra's avatar

Pledge shares are a concern, I agree. The management’s reasoning for pledging shares is not very convincing. On working capital cycles, unfortunately that’s a industry wide issue. The next few quarters / years would be crucial to see if it can really become a Tier-1 defense OEM.

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Akash Singh's avatar

PE & PEG on higher side

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Siddharth Bothra's avatar

Yep, definitely not a cheap stock at these levels

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PitchStack Investing's avatar

Defence stocks are on a tear recently! Will be keeping an eye on this one

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Siddharth Bothra's avatar

Yep, the volatile geopolitical scenario definitely helps

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Girish Kolari's avatar

As per 2024 Annual report company has 76% stake in M/s. Apollo Defence Industries Private Limited - any idea who own remaining stake?

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Siddharth Bothra's avatar

Hey Girish, I tried to fish for this information from various sources but unfortunately I couldn't find who owns the remaining shareholding. Probably would need to buy the financials of this company from MCA to get this information.

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Girish Kolari's avatar

Thanks for taking the time to reply to my query - much appreciated. I will wait for the Annual report 2025 if any more is disclosed in this line for the time.

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