Tuesday, June 19, 2012

LIBERTY SHOES LTD - WEAR THIS SHOES


 











  
Liberty Shoes Ltd is the second largest shoe manufacturer in India – next to Bata – with a production capacity of 50000 pair shoes per day from 6 units.Its facilities located at Karnal (Haryana) Paonta Sahib (HP)  and  Roorkee ( Uttarakhand)  .  Company having wide marketing network consists of 150 distributors, 400 exclusive showrooms and over 6000 multi-brand outlets. Liberty also exporting its products to more than 25 countries across the world.Its main brands are Force 10,Mark Free,Fortune,Coolers,Senorita,Windsor,Freedom, Footfun..etc. After few years of slow growth now company is again showing signs of revival.On a sequential basis Liberty increased its sales substantially in last four quarters.It improved from Rs.72 Cr to Rs.97 Cr during this period. In the latest March quarter company posted a profit of Rs.1.8 Cr . Here an important point to note is that , there was an extraordinary one time expense of Rs.3.23 Cr provided in this quarter.If we exclude this amount  ,NP will be more than 500 % compared with last year same quarter and more than 100% from December quarter.Now company is planning ambitious growth ahead.It is decided to merge its retail subsidiary LibertyRetail Revolution with Itself .For the next 3 years company having plans for expansion worth Rs. 500 Cr .Methods for fund raising not announced so far but indicated the chance of P/E funding route.For the last one month, its share price move from Rs.90 level to Rs.125 /- But after shifting the stock to ‘T’ group , it now corrected sharply and trading around Rs.95/-. Medium to long term investors may consider an entry at this level.

26 comments :

  1. Dear Sir,

    Thanks for this recommendation. Have they officially announced to merge the retail arm or still it is a rumor?

    ReplyDelete
    Replies
    1. http://www.bseindia.com/stockinfo/anndet.aspx?newsid=89a375b2-8802-4484-a3f1-c4ca2d6197ea

      Delete
  2. Will you please give update on suzlon?

    ReplyDelete
    Replies
    1. Updates on FCCB repayment issue is available in BSE.If you are holding it and having some risk appetite , just hold for the time being.

      Delete
  3. Dear Mr.VP,
    Your picks are really hand picked for potential value.
    CMRL is one stock which is extremely performing well in spite of controversies.
    Could you pl suggest me about Zenith Fibre?

    ReplyDelete
  4. which one is better for long term investment between phillips carbon black and oriental carbon & chemicals....if i have to pick one, which one should i go with....

    ReplyDelete
  5. Dear Mr. VP,

    Thanks for another good pick. I have been following your page for quite sometime now and am very very impressed with the work you do. Thanks a ton for the good work you are doing for novice investors like us.

    I would appreciate if you could please help me with Punj LLoyd and Apollo Tyres. I am making huge losses and dont know what to do.

    Best Regards,
    Manish

    ReplyDelete
    Replies
    1. I don't like the management of Punj lloyed.Not tracking Apollo

      Delete
  6. Dear Mr. VP,

    Thanks from the bottom of my heart for the excellent work you are doing for retail investors by picking exceptional companies.

    Whats your view on Relaxo Footwear which is double the size of Liberty and also has good growth track record.

    ReplyDelete
    Replies
    1. Relaxo is already trading at a Market Cap of 4X to Liberty.

      Delete
  7. VULCAN ENGINEERS LTD has corrected deeply from your recommendation price! Is it good to hold it still?

    Sankalp

    ReplyDelete
  8. Dear Valuepick Sir,

    Will Simran Farms yield a good returns if invested at CMP?

    Your view will be of great help

    regards,

    Renuka

    ReplyDelete
  9. Dear VP,

    What is your view on Educomp on the latest developments happening.

    Regards

    Naveen

    ReplyDelete
  10. Sir,

    Based on broad guess, how would be the broad numbers of Liberty Retail? Do you think, the management would be fair towards minority shareholders of Liberty Shoes in merging the Liberty Retail. I'm not sure about the integrity aspect of the management of Liberty Shoes.

    ReplyDelete
    Replies
    1. I don't think this promoters are anti minority share holders.They distributed profit liberally when there was something to distribute , even upto 110 %in 2005 and bonus too.

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    2. Sir, I completely agree on this. Appreciate the response.

      Delete
  11. Can you please give your views on Gujrat Reclaim Rubber?

    ReplyDelete
    Replies
    1. Already covered,please search this blog

      Delete
  12. please give your views on D link India

    ReplyDelete
  13. Dear Sir,
    Very interesting and informative blog. I really appreciate it
    Thanks a lot for all the efforts u take to guide us. Please let me know ur valuable opinion on educomp. Can i invest 200000/- @ 23 in it for say 2-3 years to earn around 1 crore. or else could you please let me know in which company share should i invest in the amount to earn around 1 crore in 3 yrs time.

    Thanks and Regards
    Preeti

    ReplyDelete
  14. what is your view about empire ind.is it touch 25000 rs in long term as it has huge land assets in mumbai prime location and only 6 lakh share for public.due to land assets phoneix mills share touched 25000 rs in past time.is empire ind next phoneix mills.please comment on this.

    ReplyDelete

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