how many acres of jatopatra plantation this co. has and what their age or exactly when shall Jatopatra be plucked?? any idea....

Now take entry into
Emmson, and schrader duncans, Suven life sciences.
BGR and Transformer and Rectifiers India Ltd.
and you shall remember me lifelong
what scrips have suggested.
Jay Bhole...

Investors can take this as Buy Call. We can see multifold returns in this counter. GIEPL\\`s foray into oil rigs holds immense potential.

CMP: 86
Year High: 504
Year Low: 72
PE: 3.28
EPS: 24.43 (March 08)
Expected EPS: 30 (FY 09)
Sales: 102.36 Crores (June 08)
Equity MCAP: 127.76
Return on average equity: 35%
Debt/equity: 0.6
Net Operating Income per share: Rs 135 (March 07)… amazing

Some Key factors that are favoring gremach to become a money machine:

Drilling rigs - Addition of four onshore drilling rigs with plans to add 36 more in three-four years.

Coal Mines & Equiment Rentals - Acquisition of controlling stake in coal mines in Mozambique and the booming market for equipment rentals suggest good earnings prospects. There is a global shortage and crisis of hard coking coal and this will add huge value to the profitability of the Company.

Demand-supply mismatch - A demand-supply mismatches resulting in rising oil rig rentals. Rising rentals and better utilization levels have shrunk the average payback period for oil rigs.

NEPL - The increasing number of onshore blocks in each and every phase of the New Exploration License Program (NEPL) points to strong demand prospects. Drilling costs account for 20-25 per cent of the cost of developing an oil well and are showing an increasing trend in the earnings of company.

Great factor to consider:
MOU - Gremach has signed a MOU (memorandum of understanding) with Baoji Oilfield Machinery (BOMCO), subsidiary of China National Petroleum Corp for the delivery of 40 rigs, which includes 36 onshore and four offshore rigs.

Infra-Equipment business - Rose exponentially! The rental business of infra equipment has risen exponentially on the back of firm demand.

Entering into Coal Business - Gremach has taken a 75 per cent controlling stake in 11 coal mines in Mozambique. This region falls in the Karoo basin, which is recognized as a prime hard coking coal area in Africa. Gremach has incorporated a Singapore based SPV named Petrogrema Energy Pte Ltd. Gremach shall be making an investment of up to USD One Billion considering the vast global market potential in oil drilling business (subject to requisite RBI approval). This business proposal is considered highly profitable, with projected IRR 35% in the light of huge market demand for on shore and off shore drilling rigs considering unprecedented rise in crude prices. Infact, rig rental day rates for Off-Shore Rigs have risen by 13%, averaging to around $ 3 to 5 lacs per day. In the case of on shore rigs the payback period is estimated at 3 years. Several reputed Banks and other financial institutions have evinced keen interest to fund the above business Proposal / Acquisition.

The Financial Data - Impressive! Net Sales of gremach have grown from 347.38 million in quarter June,07 to 1023.62 million in quarter June, 08. Net profit has risen from 40.55 million in quarter June,07 to 121.31 million in quarter June,08. EPS for the same period has jumped from Rs. 2.66 to Rs. 7.97 in the current quarter. Sequentially, the EPS has grown from Rs. 6.16 in quarter March, 08 to Rs. 7.97 in quarter June,08. Net Profit margin has also gone up both sequentially as well as quarter on quarter.

Year High: Rs 504
Current CMP: 86

See its Client List…….. Very impressive
Larsen and Toubro Ltd.
VRCL Infrastructure & Projects Ltd
Gammon
JMC Projects Ltd.
Punj Lyod
LG E & CD – NCC JV
ACC Ltd.
Reliance Eng. Assoc. Pvt.
Madhucon Projects
Nagarjuna Constructions Ltd
Hindustan Cons. Co. Ltd.
Simplex Infrastructure Ltd.
Grasim
UP State Bridge Corp. Ltd.
IRCON International Ltd. (Govt.)
Afcons

The most esteemed infra players are the clients of Gremach. Really impressive clientele list.

Shareholding pattern : Good
A. Promoters: 55.68%
B. FII/MF/Banks: 16.36%
C. Total Public (including B): 44.32%

Risks: Delay in delivery of rigs or drilling projects. Downfall in rigs rental.
Conclusion: This counter can be bought for long term for multifold returns.

our adiviceis free it investor who has to take a call for this dark horse...

their are rumors in market that reliancewill buy out SPIC pramoters or will get equity stake in the co. in exchane of gas it will supply to SPIC.Cal sone body put somelight onthis.
I think good days for patient investors in spic are in sight. market cap of Just 200 crores but anyone who want to build urea capacity (new plant)of SPIC size/capacity will have to spend 15000 crores. So accumulate this gem with three years horizon. Price shall cross 100rs in three years.Daady of all fertilizer stocks....

BUY,BUY & Buy Never talk selling shares of this co. Blueeeest blue chip.
No matter what were world economy or crude is going one year price shall cross 2500 is sure...

What do you mean by live stock division? Animal healthcare or veternary division spin off??? is on card and in what ratio? share your information in toto...

whats new in that . This is called as lip service. Nothing beneficial for share holder. Has already drained useful resources in buying dead brands. No hope No future for this co....

Hello nslr......I also want to give your analysis a Five Star rating. Can someone tell me how to give ratings on moneycontrol? Thanks for such a good analysis of Gremach Infra. It is surely going to be a jackpot stock like Jai Corp. ...

very good analysis based on hard facts. good job nslr. Also kudos to Guru and Shruti who have always given the right facts to us small investors. I am thankful to both that they have suggested such a gem of a stock. My sources are also giving me very very high targets for Gremach Infra after it has struck Coking Coal in Mozambique which is considered to be Black Gold! Many thanks. God bless....

This is an excellent analysis of Gremach Infra, nslr. To further add to it is the latest good news of the company's find of Black Gold Coking Coal in Mozambique and the news of negotiating stake sale in Mozambique arm. These two latest happenings will put this stock in a UPward trajectory. Many Upper Circuits are due in Gremach. My two year target is 1000. Good Luck....

YES, animal healthcare division. They are unable to see the stable market and favourable govt policy to this sector. In recent suicides in Mah. not a single dairy farmer committed 'life'... this sector is evergrowing and full of funds... dumb Alembic guys sit in the office and keep ruminating.... like livestock ... large animals ! ...

what makes u so bullish. its a high risk type of stock, see its PE, that is the proof. instead, people willing 2 take high risk can buy ranbaxy for that matter at current levels instead of sun. sun is a good stock but is fully valued and current entry will be little risky. may be at 1000-1100 it is a very good entry point to go long for the long term. swamy. ...

Soon they should announce a centenery bonus to reward investors who have trusted them all through the times.... but their Livestock division is handled by duds. This segment is a goldmine but they seem to be possessed with the idea of cheap methods of promotion. Livestock division can be more rewarding if management intends to... ...