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Showing posts from October 26, 2011

Stock Story IV

Price of this share is almost half of the cash balance in its books. It has a twenty years history. It built itself from nowhere to being the fifth largest in the sector by acquiring assets /companies, some at distress. When the sector was enjoying rich valuations it sold off to a MNC and is now sitting on more than 10,000 Crores on its balance sheet. When the world is facing the problem of leverage and excess debt, here is a company with surplus cash, awaiting opportunity to invest in assets in distress. Markets presently dislike the company because it sold off / does not know where to invest /is investing in unrelated areas. But is this not the goal of all investing, sell at peak and buy at distress levels. When market-men are obsessed by minute by minute tickers, When bulls become bears in hours if not in days. Here is a company which buys nourishes and sells businesses and awaits opportunities In the mean while it also makes money for its investors. Would y...