Lets have a brief look at the subscription status of the company.
Qualified Institutional Buyers (QIBs): 0.00 times
Non Institutional Investors: 0.22 times
Retail Individual Investors (RIIs): 4.38 times
Total Subscription: 1.57 times
The best part is the full subscription came from RETAIL Investors or Insiders – 4.38 times.
No institutional Investors.
The IPO price was 72.
The current market price is 165.
More then double ! with huge volumes but nominal delivery volumes.
The company compares itself to multinationals like BASF, Clariant and Pidilite with a turnover of roughly 50 odd crores ! and wants a p/e of 19 but that was at the issue price of 72 !!
The closest peer is Omkar Speciality which is a better company coz the stock price is down 65% and available at a p/e of 4.
Ideally the stock should be at sub 50 levels but stock has doubled or more at 165 + will this be another bedmutha or thinksoft shekhawati or so on
The delivery volumes are almost greater then the issue size which is just 12-15% of the total volumes. So speculation says the stock is doing 10 times the issued shares
Bottomlime – Avoid the stock ! But its fun to watch such moves in boring markets