India focused Portfolio Advisory - Exp of 40+years, Das Capital Management and Advisors

Arun Thirumalai

India focused Portfolio Advisory - Exp of 40+years

Das Capital Management and Advisors

Das Capital is a research boutique with an aim to continuously map and plan the investment needs of investors focused on India. We have a six member research team with a combined experience of over 40 years as a part of our investment wing. Our team assisted in the setup of Premji Investments, which was one of India’s first family offices focused to managing Mr.Azim Premji personal wealth. We also serve as a research team to two Indian private equity energy funds “Small is Beautiful” and “KSK Emerging India Energy Fund”.

Equity Bottom-Up

Coromandel International / Equity Bottom-Up

<p><a href="https://www.smartkarma.com/entities/15305" target="_blank" data-smartkarma-citation="entities:15305:1">Coromandel International (CRIN IN)</a> is an agri-solutions company that is the 5<sup>th</sup> largest Agro-chemical company in the country. It is India’s largest private sector Phosphatic fertilizer company, India’s largest Single Super Phosphate (SSP) company, and India’s largest organic manure company. It is India's fourth largest agro-chemical manufacturer and has an R&amp;D base to create and refine its product offerings as well as a retail chain with over 800 stores to act as a one-stop-solution for farmers.</p>
<h2>Key Growth Drivers:</h2>
<ul>
<li>Strong Agri growth levers are driven by population growth, governmental policies, Indian soil composition, and nutrient deficiency. </li>
<li>Crop Protection segment has a growing export market as well as expiring agro-chemical patents present new market opportunities.</li>
<li>Branding as well as a growing retail chain fuel growth in the domestic markets. </li>
</ul>
<h2>Valuation:</h2>
<p><strong>Earnings Per Share is 22.57 in FY 17-18, 24.75 in FY 18-19E and 29 in FY 19-20E. P/E ratio is 23.33 in FY 17-18, 21 in FY 18-19E and 20.5 in FY 19-20E. EV/EBITDA is 13.69 in FY 17-18, 14.38 in FY 18-19E and 15.09 in FY 19-20E.</strong> The company is fairly valued given a high growth outlook, improving efficiencies and future market potential.</p>

Coromandel International (CRIN IN) is an agri-solutions company that is the 5th largest Agro-chemical company in the country. It is India’s largest private sector Phosphatic fertilizer company, India’s largest Single Super Phosphate (SSP) company, and India’s largest organic manure company. It is India's fourth largest agro-chemical manufacturer and has an R&amp;D base to create and refine its product offerings as well as a retail chain with over 800 stores to act as a one-stop-solution for farmers.
Key Growth Drivers:

Strong Agri growth levers are driven by population growth, governmental policies, Indian soil composition, and nutrient deficiency. 
Crop Protection segment has a growing export market as well as expiring agro-chemical patents present new market opportunities.
Branding as well as a growing retail chain fuel growth in the domestic markets. 

Valuation:
Earnings Per Share is 22.57 in FY 17-18, 24.75 in FY 18-19E and 29 in FY 19-20E. P/E ratio is 23.33 in FY 17-18, 21 in FY 18-19E and 20.5 in FY 19-20E. EV/EBITDA is 13.69 in FY 17-18, 14.38 in FY 18-19E and 15.09 in FY 19-20E. The company is fairly valued given a high growth outlook, improving efficiencies and future market potential.

Coromandel International: Doing the Fieldwork Before the Harvest.