Wednesday, December 29, 2010

Shri Ashtavinayaka Cine Vision

1.  Two greatest hits of the year - Golmaal 3 and Dabaang - come from this distributor. Dabaang was real big. What happens- A stock runs up from 9 to 40. And then suddenly it drops to 8 with 3 crores pending sell order still. Many retail investors hav eburnt their fingers. what is the reason? Why..


2.     If you see the insider trading in the company you will be shocked. Maximum trading is by an entity Dahlia traders. further search indicates that , the propreiter of this agency is Dhillin Mehta, the CMD of SACV. Why would the owner of a company doing well want to dump / buy his stock at such regular interval> is he running the company or playing the market

3.  In 2007, the company issued FCCB at a conversion price of 8.9 per share. Obviously, when the stock was at 40, these holders would prefer to convert to equity. A total of 130 crores shares were then issued. And dont forget, a magnanimous bonus was announced in the middle. I stopped doing calculation seeing the number of zeroes that would bloat up the equity on conversion and obviously, this would affect the EPS and the CMP would adjust to the PE of the sector. Is it any wonder that the stock today is a falling knife.. Where it finds support is any ones guess. So like their movie.... Run Bhola Run.. keep away for some time

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