Saturday, October 1, 2011


Enkei Wheels is de-merged from the erstwhile Enkey Castalloy Ltd. This company is a 35% subsidiary of the Japanese wheel maker Enkei Corporation .Its parent company having operations in more than 15 countries around the world and it is one of the prominent maker of wheels with specialization in Racing wheel.
This is only the second year of operations of the standalone entity and its operations are just stabilizing.At present ,popularity of motor sports is very limited in India compared with developed countries.But the chances are very high for rapid changes in motor sports sector in our country going forward. Company also producing alloy wheels for other automobile sectors like Car's and two wheelers .Since the sports vehicle sector is not enough developed in our country , at present Enkei is concentrating in 4 wheeler and 2 wheeler alloy wheels here.Major customers here includes Honda,Maruti,Hero Honda,Nissan,Toyota ..etc.Company is also supplying part of its production to its sister concerns outside India.Because of the higher interest rate in India and sluggish economies worldwide,growth of automobile sector is negatively affected now. But even in this not so good conditions ,with the strong support of parent company Enkei Wheels is improving its performance.Since the parent company is keen to develop business in India , possibility of a buy out and delisting  can't be ruled out in future.Currently promoters jointly holding about 72% of the total equity.For the full year ended March 2011, company posted a turnover of Rs.262 Cr v/s Rs.180 Cr and a net profit of Rs.27 Lac v/s a loss of Rs.9 Cr .This is not a stock to buy today and sell in near future but only for real investors who are willing to hold for long term.This FV Rs.5 stock is currently trading around Rs.64/-


  1. sir what do you thinkk about repro india it may exceed EPS estimate for this year due to weakning of rupees your comment.

  2. sir,
    Do you see any future for King Fisher Airlines in long run?

  3. Dear Valuepick

    May I know your views on Jindal Poly Films and Riddhi Siddhi Gluco Bio.

    Do you suggest switching from Jindal Poly Films to DFM Foods?




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