Intrinsic Value

Stock has been generating better return on equity than bank FD

ROE vs FD rates

Stock doesn't offer attractive dividend returns

Dividend Returns

Good time to consider, as stock is not in overbought zone

Entry Point

Stock not in ASM/GSM lists and not a lot of promoter holding is pledged

No Red Flags

Lakshmi Automatic Loom Works standalone net profit declines 7.59% in the September 2021 quarter

Lakshmi Automatic Loom Works standalone net profit rises 141.38% in the June 2021 quarter

Lakshmi Automatic Loom Works standalone net profit rises 74.36% in the March 2021 quarter

Lakshmi Automatic Loom Works standalone net profit declines 16.30% in the December 2020 quarter

BRIEF-Lakshmi Automatic Loom Works To Consolidate Shares

Lakshmi Automatic Loom Works Limited is an India-based company that is engaged in manufacturing spares and accessories for weaving and knitting machines and parts for machines tools. The Company operates through two segments: Warehousing Rental Services and Engineering Services. The Company's Warehousing Rental Services segment consists of warehousing rental income on land and buildings at Hosur. The Company's Engineering Services segment consists of manufacturing and sale of accessories and spares for weaving and knitting machines, parts and accessories for machine tools and spares for other textile machinery. The Company is primarily manufacturing and supplying high precision items, such as VDI standard tool holders, rectangular tool holders, boring bar holders, collect chuck holders and VDI non-standard. It also exports weaving and circular knitting machines to Europe, China and others. It has two plants, Unit I is situated at Hosur and Unit II is at Pollachi.

Lakshmi Automatic Loom Works Ltd

Lakshmi Automatic Loom Works Ltd

Intrinsic Value
Intrinsic value is the calculated value of the company and may differ from current stock price. If intrinsic value > current price, price increase is expected in the future to reduce the gap and vice-versa

ROE vs FD rates
Fixed Deposit rate is a virtually risk-free rate where the investor assumes almost no risk on their investment. If stock's long term average ROE is lower than this rate, investors are better off investing the amount in a FD

Dividend Returns
A dividend is the distribution of reward from a portion of company's earnings and is paid to its shareholders. Good dividend returns indicate good health and outlook for the company

Entry Point
High demand for a stock increases its price. If the price is pushed up to a level which is not justified, then it's considered to be in the overbought zone, which is not a good time to buy the stock

News & Opinions

Lakshmi Automatic Loom Works standalone net profit declines 7.59% in the September 2021 quarter

Lakshmi Automatic Loom Works standalone net profit rises 141.38% in the June 2021 quarter

Lakshmi Automatic Loom Works standalone net profit rises 74.36% in the March 2021 quarter

Lakshmi Automatic Loom Works standalone net profit declines 16.30% in the December 2020 quarter

BRIEF-Lakshmi Automatic Loom Works To Consolidate Shares

Lakshmi Automatic Loom Works Ltd

Intrinsic ValueIntrinsic value is the calculated value of the company and may differ from current stock price. If intrinsic value > current price, price increase is expected in the future to reduce the gap and vice-versa

ROE vs FD ratesFixed Deposit rate is a virtually risk-free rate where the investor assumes almost no risk on their investment. If stock's long term average ROE is lower than this rate, investors are better off investing the amount in a FD

Dividend ReturnsA dividend is the distribution of reward from a portion of company's earnings and is paid to its shareholders. Good dividend returns indicate good health and outlook for the company

Entry PointHigh demand for a stock increases its price. If the price is pushed up to a level which is not justified, then it's considered to be in the overbought zone, which is not a good time to buy the stock

News & Opinions

Lakshmi Automatic Loom Works standalone net profit declines 7.59% in the September 2021 quarter

Lakshmi Automatic Loom Works standalone net profit rises 141.38% in the June 2021 quarter

Lakshmi Automatic Loom Works standalone net profit rises 74.36% in the March 2021 quarter

Lakshmi Automatic Loom Works standalone net profit declines 16.30% in the December 2020 quarter

BRIEF-Lakshmi Automatic Loom Works To Consolidate Shares

Intrinsic Value
Intrinsic value is the calculated value of the company and may differ from current stock price. If intrinsic value > current price, price increase is expected in the future to reduce the gap and vice-versa

ROE vs FD rates
Fixed Deposit rate is a virtually risk-free rate where the investor assumes almost no risk on their investment. If stock's long term average ROE is lower than this rate, investors are better off investing the amount in a FD

Dividend Returns
A dividend is the distribution of reward from a portion of company's earnings and is paid to its shareholders. Good dividend returns indicate good health and outlook for the company

Entry Point
High demand for a stock increases its price. If the price is pushed up to a level which is not justified, then it's considered to be in the overbought zone, which is not a good time to buy the stock