Thursday, March 10, 2011

GACL - ON A CYCLICAL DOWNTURN.. Buy now to ride the upturn

GACL current M.Cap is 800 Cr., while if we adjust its M.Cap for its investment in other Gujarat PSU's ( worth approximately 750 cr.), the business is available for just 50 CR. (0.5 x profits). You wont get a better time to buy GACL. Even caustic soda prices seem to have bottomed out. As the textile /leather/paper industry pick up pace in Inida, caustic soda prices should firm up.

Summary of GACL Holding 
Investment                             No. of  Shares            Price  per  share   Value
GIPCL23,088,98090207.8
GSFC150000037055.5
IDBI3188001504.8
GSPC2154320080172.3
GCPT114900001011.5
TOTAL451.9