Erratum: Dizzy Valuations

Educomp Solutions...A content provider to the education sector is being valued at Rs4000+ . I don't know why or what makes people cuff up so much money to buy a single share of Educomp solutions. The company is NOT new and may have demonstrated its mettle in the education sector but it still does not deserve such High valuations . Clearly a right example for "Too quick to rise , to quick to attain correction . "

Dizzy Valuations

Educomp Solutions...A content provider to the education sector is being valued at Rs4000+ . I dont know why or what makes people cuff up so much money to buy a single share of Educomp solutions. The company is new and has yet to demonstrate its mettle in the education sector. clearly a right example for "Too quick to rise , to quick to fall. "

KS oils ...........Screaming bargain

Peter lynch would call this stock A screaming bargain. A stock having book value of Rs 85 and selling less than it . Add to it its eps is Rs 25 . bloody hell......
This means that if one were to sell of all its assets ...........at Rs 85 ( its book value ) the cost of the entire company would be Rs 18700 million . But the market was pricing it at Rs 77 ( 16940 million Rupees ) .Now that is a sweet price for a hostile take over .


KS oils is in a relatively simple business to understand, Thus conforming to buffets ideal of "Scope of competence " .


As per me the stock that comes nearest to KS oils valuation is Mtnl . which was also priced close to its book value. But the only issue with mtnl is its eps is a bit low.
But still a good price to enter the stock.