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Monday, January 30, 2017
KALLAM SPINNING MILLS LTD (530201) :- BUY
Today we are discussing Textiles sector stock for short to medium term investments
KALLAM SPINNING MILLS LTD
Kallam Spinning Mills Limited is one of the largest producers of spun
yarn for the knitting and weaving industries in the Andhra Pradesh.
Offering a diverse product line to fulfill demands of customers
worldwide, we have perfected our spinning processes by applying
state-of-the-art automated technology and innovation to every phase of
our yarn manufacturing process.
Headquartered in Guntur, Kallam Spinning Mills Ltd. was founded in
1994 by a group of managing partners with a desire to build a high
quality yarn manufacturing company.
While Kallam is a relatively young company in terms of textile firms,
the management team of Kallam Spinning has many years of experience in
the yarn manufacturing field. Starting with one open-end spinning
facility in Guntur, the company, since its inception, has grown into one
of the largest producers of 100% cotton and cotton-blend yarns in the
Promoter holding 47.93% stake in company, Kallam spinning posted 131 cr top line and 6.34 cr bottom line in latest half year ended 2016-17 ( last full year net profit was 5.91 cr ) half year company posted 9.25 EPS and stock trading just 7.2 PE forward. Around 300 cr top line company tading just 91 cr market cap !!! book value of kallam spinning is 109 stock trading just 1.22 times its book. (Company fixed record date for stock split face value 10 to 2 on Feb 2 2017) so investor can buy this stock @ current price and hold for short to medium term in their portfolio it will give decent return. Stock trading only in BSE @ 130 level.
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