I think you have heard about the debt news and share collapse of Shipping Corporation... I already hold 20+ at an avg of 100. What future you see in SCI?
ask by shri rajeev daniel ji.
1. rajeev ji SHIPPING CORPORATION OF INDIA LTD is a 10 rupee face vaue PSU stock.
2.promoter ( govt of India) hold 63.75 % stocks in SHIPPING CORPORATION OF INDIA LTD and FII hold 2.87% DII hold 20.40% so promoters and institutional holdings is good.
3.book value of SHIPPING CORPORATION OF INDIA LTD is 153.89 so this is a value buy at CMP of 69.
4. SHIPPING CORPORATION OF INDIA LTD is India best dividend paying company so this is the reason for mutual fund holding is near 20 %
5. stock give 5-6 rupee per year dividend in last few years.
6.debt/ equity ratio is 0.65 for SHIPPING CORPORATION OF INDIA LTD so i think this is not a high debt company.
7. so my view is positive for SHIPPING CORPORATION OF INDIA LTD , i have no any stock of SHIPPING CORPORATION OF INDIA LTD.
But why the share price fall drastically? I read that SCI procuring new vessels and all based on loans. Can SCI come up with that much income which can cover this debt?
ReplyDeleteyour news is right but w considr debt/equity ratio to calculate high debt if this ratio is blow than 1 , it means debt is not very high so in case of shipping corp this ratio is 0.65 in march 2011
ReplyDeletereason of price fall is baltic dry index , stock market is cyclic in nature and i think baltic dry index again make new highs aftr 2-3 yars.