Why geodesic is not performing in the stock market? A big mystery. Look at the newsflows, the kind of developments that are happening in the company, most upbeet managing director etc. If the concall is the yardstick, then in next couple of years, geodesic will be in diffferent orbit altogether in terms of its visibility, sales, profit and followed by a much higher marketcap compared to its present pathetic figures.
If even in next two years, if it achieves 50% of its projected potential, that itself would be a spectacular climb up.
However, the problem with geodesic is its low visibility among indian investors including mfs hnis operators etc. The products and its potential is not at all understood by the investing community. This is evident from the very poor participation in their concalls. This must be addressed by the management. However, it is very encouraging to know that of late lot of right noises have been made by the management and it is a matter of time, the investing community will wake up and take notice of this `giant in making`. Until that time geodesic will be an enigma to all its present investors.
Dear Manju, Thanks for your phrase : " Giant in the making " . With Spokn and Geoamida, it is certainly on the road to being one. Here is my two bits worth.
I took out the details of 18th Dec. 2007, when I bought 500 shares of Geodesic at a nett price of 229.25. At that time, eps was 13.5 and p/e 17 . Now, in less than 2 years, eps has grown to 29, more than double. But p/e, which is an entirely a market driven value, and the company cannot do anything in it, has gone down from 17 to 3.4 . In fact, if the market gives the same p/e now as was in Dec 07, the share price would be nearly 500.
With heavy growth in sales & profitability due to come, share price cannot go anywhere but up. And when the rerating comes, I am sure that it would be so large that it would take everybody`s breath away. All that we have to do is be patient, let the management do its job, sooner rather than later, decent valuations will come back.
fds, if fiis come out to sell and the supply left only for retail to pick up, even Rs. 20 may be a high price. If many of them come to sell, price may come to low single digit. So there is no doubt on the downside risk, be it in this or in any other stock. We buy shares to participate on the upside, and so should be ready to face the downside too, if need be.
hello, see the fundamen. of this stock. i dont think that much downside is possible.it seems to be a good stock. is there any particular news? any way i am new in screening this stock. but till now what had see with the company`s balance sheet and P
Vivek,
Investment done based on good Knowledge abt company will surely give fruitful result. Everyday movement of share price does not mean anything.
If everybody has their stoploss fixed then evey one should have exited this stock when it was running towards 38. If u believe in any company, ups and down does not matter.
Just to update:
Yesterday NSE turnover was 11 Lacs and 83% was delivery based. Today around 2.40 pm the turnover is 12.50 Lacs. Request a learned boarders to please explain this.
The biggest long range investor of all times, Warren Buffett has said :
" Unless you can watch your stock holding decline by 50% without becoming panic-stricken, you should not be in the stock market."
At 40/20/10/5 , I might keep adding, if the underlying business stays as robust as now.
As you doubt many things about Geod, the call is yours to take. You don`t have to stay married to one company, there are many opportunities, and certainly some would be better than Geod.
even he said 50% and not 80%.
Anyway comatose sometimes you say you do not know much about company`s internals.
Sometimes you make predictions of rvenues and profits.
I just want to know when will you start feeling you have made a mistake in geodesic
Will it be when
1. Sales drop drastically
or
2. Profits drop drastcially
or
3. Stock price drops drastically
Just want to understand at want point
savvy investors like you will exit a stock
and move on
During recent times, All of these factors Sales, Profit and Stock price has fallen drastically for many of the stocks like DLF, Unitech, SUzlon, Aban Offshore etc.
Do you want to say all of these companies are worst all will not perform better?
| NIFTY 
