[Ken]

Accounts are not audited Cash flow is negative is why cant even pay 10% div

[Shoumik]

My friends we have good stock to look forward to. Just build on to the quantity. See 10000 shares going to 60 130 300 700.. is good but imagine you have 100000 or even better 500000 shares what will be the outcome of your current investment. And that quantity is not difficult to purchase at these 3 6 12 18 and for some at 25 to 60 bracket. When the mutual fund jumps in this can move further really fast.

[Shoumik]

A stock to move forward  does not necessarily require a sale and purchase transaction to happen all the time.

I will explain this to you through a example. It goes like this

Once a farmer had a cow which gave 2 litres of milk each day. The villagers knew that and offered rs 1000 to the farmer for purchasing the cow. The farmer was not interested to sell. Next year , the cow was now giving 5 litres of milk. The villagers now offered rs 3000 to the farmer for his cow. This time too he declined to offer and kept enjoying the incremental profits from selling the milk. Still a year further the cow was now giving 10 litres of milk and now the villagers were offering rs 10000 to the farmer. The farmer is still deciding…

The moral of the story is no transaction had happened but the price kept on increasing. So your stock price appreciation does not always depend on the purchaser. It depends on what internal return your assets is generating for the owner.

Here with our baby which is a 20 year old company has shown survival instinct and has successfully fought a battle during the downward cycle and emerged as a winner. 95% of the companies are out of business and are closed within the first 10 years of their formation .

So our survivor who has emerged victorious has before it a 20 to 30 years of golden period and possibly even more , as per a company’s lifecycle, in its hand. This cow is worth only 3 at the moment but will very soon be valued very high and will remain in demand for decades to come and will keep on giving us higher and higher quantity of milk each year for many many years to come and we the owners of the company are not dependent upon the mercy of the Purchasers to get the value we all deserve. The inherent quality of this business will build the value for us and the golden period has just started. Be rest assured on this one and buy in truck loads to secure your families future.

 

[108BULLGURU]

gr8 example. v logical.
Looking forward to that.

[Shoumik]

the price will depend on the company’s growth and pe expansion due to value unlocking. Giving a price tag here will not be justified. As a value investor we should seek value from our investment through summation of two types of value. One is the Present value derived for present day by virtue of the demonstration of performance for the years gone by and secondly the Future Value based on a reasonable estimate of the future performance which the company will demonstrate extrapolating the past performance and allowance provided on workable factors. The summation of these two values present and future will determine the price at which the company will trade in the near future. One thing is for sure the value of this baby is too too high from the current price level and it has miles to go to before it reaches there.

[Faster 2b Fury]

Thankyou Shoumik for Insightful views. This new forum has been very enriching.

can you clarify or give your insight regading what is said in money control forum that BCG is shell company.

[Shoumik]

The shell companies are typically private limited companies which are used for money laundering and are used to siphon off the money avoiding taxes to the government.
These companies are formed but have little or no activity of their own. Most are dormant and occasionally spring to life for doing illegal activities. Lately the Modi government has acted severely on these companies and de registered almost all such illegal and dormant companies. They have also black listed the directors of such companies and banned them from taking management roles in other working companies. These people cannot access the capital market to raise fresh capital .
Here with BCG the case is completely the opposite and not a single aspect about the company hints that this is shell company.
The reasons for the anti thesis is mentioned below
1. Why would this so called shell company turn public and put itself under the surveillance of various powerful and autonomous bodies like Sebi, Registrar of Companies, Banks from whom they have raised loans, various stake holders of a listed company like investors ,FII’s , stock exchanges , government, its business sundry creditors etc etc..
2. Why is this so called shell company paying rs 168 crores taxes to the tax authorities.
3. From where is this so called shell company bringing the money to pay such large taxes .
4. It is perfectly ok if this so called shell company was avoiding taxes. But they are paying and with full compliance to the law of the land.
5. If no business is happening for what they are paying taxes.
6. If no business was happening why are the auditors signing the balance sheet year on year and taking a risk of disqualification from the government and getting black listed.
7. Why is this so called shell company keeping offices and staff all round the world. It could have bluffed about those. But this so calied shell company is maintain a office in India as well. This is very easy for us indian investors of the company to find out.
8. Many are in touch with the employees of this so called shell company and have received learnt about it business.
9. How many shell companies are maintain a website and exposing themselves. This so called shell company has one.
10. Why is Daum fighting for money with this so called shell company and from whose funds this so called shell company brought Lycos inc.
11. How did this so called shell company stood tall before the court of law that too in front of us lawmakers and emerged victorious without the judge not having any qualification from them that this is a shell company.
12. Why did the foreign investor like sansar , oak etc invest in this so called shell company.
13. Why is the ceo of this so called shell company arranges for the concalls and Agm’s of this so called shell company.
14. How come the business of this so called shell company increasing day by day.
15. Why is this so called shell company providing with company specific information to the BSE and NSE and these foolish guys are uploading that information on their official site and face humiliation and disgrace.
16. Why are the managements of this so called shell company such highly qualified. Did they earn such high qualification and perform illegal activities to bring disgrace to them and their families at such a mature age.
17. Why has the promoter of this so called shell company bestowed with awards and honorary chair to match his stature . Are people of his town are so naive to honour a evil person without him earning respect for what he has done and capable of delilivering in future.
18. Finally to so called shell company has given dividends for 4 years continuously to its share holders in the past before Daum set in.

[Shoumik]

Meager price performance till now is different thing altogether but teaming the company to be a shell company is not done.
This company is a diamond in a shell and not a shell company.

[Bitran]

Shoumik sirji, where were you all these years? Really enjoyed reading your posts.keep posting 🙂

[kpal]

I have never seen such articulate & authentic write up. Mr Shoumik is an ace. My heartfelt appreciation for your posts. Pls keep posting. We require more of you on the forum.Request forum fellows to follow him in all earnestness.

[Shoumik]

politics and stock price manipulation are both the art of the possible.
While there was extreme pessimism and mis information spread to fine tune the downward trend of prices of this stock, the upward journey has just begun. We have somewhat disrupted their plans and the value unlocking will gather speed and won’t take much time to reach to a respectable valuation. There will be some skepticism on the way up which can be used as an golden opportunity to load up the truck, but rest assured all the stake holders will be rewarded to the brim.

[Jay]

Thanks for all genuine responses which is quite helping LT investors like me. I was in the concall trying to ask about receivables but could not. Have sent email to IR.

Also admin, this forum will also soon become a place to abuse if below abusive and fake investors are not removed. Thanks.

Topgun
Rakesh Jhunjhunwala
Pretty woman

[Sobha]

Shoumikji, Your posts are wonderful. Thoroughly enjoyed. Thanks others also for developing the much needed debate..

[Shoumik]

In stock market the information regarding small unknown companies are hard to come by and no one tracks such companies who seem to have non investor friendly management, have pledged their shares , are caught in litigation , have changed name over, has been a small cap since eternity, whose price performance has been poor and still worse the price has been at penny levels, All the factors suggesting a buyer, don’t buy me i am worthless and have no value whatsoever . Also the circumstances suggests to a trapped investor, what a mistake you have done by having me in your portfolio. Better sell and move on rather than face possibility of complete loss.
The pathetic factors are made up so as to hide the jewel inside of a dark room so that nobody can make out its real worth and purchase it. On the other hand the people who have purchased it feels suffocated and miserable sitting with it in that dark room and are egar to leave this ghost and run away.
The facts and the information flow are deliberately kept opaque so that nobody can see through it and find the jewel and its shine.
This happens all the time and there is nothing new here , the ways and means may differ from one stock to other which have become multibagger in the past.
The operators pray and thrive on thie situation created and start to build up on their position robbing all the poor misinformed stake holders caught in pathetic situation.
To know more , for the second time for sake of our new members, i am suggesting them to kindly take some time to watch two you tube videos of Nitin Bhatia by names Multibagger stocks Asafalta Ka Karan and the second one by the name contrarian nivesh Multibagger ki seedhi.
These two videos will give you a better insight of the situation here.

From my next post we shall embark upon a very interesting journey to find out the value for BCG.
I shall present before you the facts and you can then yourself make out what this company is worth .

[Spamfortress]

Awesome Shoumik. That was some really cool insights on BCG. A standing ovation is in order, here. Thanks for spreading the light, whoever you are. Yeh dil maange more. Please keep ’em coming!

[Author]

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