Stock market analysis and stories by Divyansh Pokharna

Articles by Divyansh Pokharna

13 Jan 2025

Ashish Kacholia adds a cashew processing company to his portfolio in Q3FY25

Ashish Kacholia has added a new company to his portfolio in the December quarter while reducing stakes in four others, continuing his cautious selling trend from the previous quarter. He acquired a 3.8% stake in Aelea Commodities, a cashew processing & trading firm, with shares valued at Rs 23.4 crore. This SME company has surged by 69.9% over the past quarter, outperforming its industry by 90.9 percentage points.

Kacholia makes multiple portfolio changes in Q3FY25

Kacholia now publicly holds 41 stocks with a net worth of over Rs 2,848.7 crore. While Aelea Commodities was an addition to his portfolio in the December quarter, most other changes reported so far have been stake reductions.

The ace investor cut his stake in Awfis Space Solutions by 0.9%, and now holds 3.9%. Over the past year, the consumer services company’s share price has risen by 78.1%, outperforming its industry by 19.9 percentage points. Kacholia reduced his stake in the company for the third consecutive quarter.

He also reduced his stake in Walchandnagar Industries, an industrial machinery maker, by 0.6%, bringing it down to 2.6%. Trendlyne classifies this stock as an Expensive Underperformer. Kacholia further adjusted holdings in key sectors, reducing them to below 1%.

The marquee investor also reduced his stake in industrial goods manufacturer Raghav Productivity Enhancers from 2% to below 1% in Q3FY25. The company is categorized in the Trendlyne PE Sell Zone, indicating it is trading above its historical price-to-earnings ratio.

In addition, Kacholia lowered his stake in Updater Services, a commercial services company, from 1.5% to below 1%. The company, however, ranks well on the Trendlyne checklist, with a 65.2% pass rate, and appears in a screener for affordable stocks with strong valuation scores. Additionally, he purchased a minor stake in Aeroflex Industries during the quarter.

IPO

TREND | 13 Jan 2025

IPOs This Week: Eight Upcoming Listings, Four New Public Issues

By Divyansh Pokharna

The Nifty 50 nosedived sharply by 2.4% last week, weighed down by a downward revision in full-year GDP growth estimates, rising oil prices, and consistent FII selling amid reports of Human Metapneumovirus (HMPV) cases in India. The GDP growth forecast for FY25 is now pegged at 6.4%, falling short of the RBI’s 6.6% projection and the government’s 6.5-7% range outlined in the Economic Survey.

FIIs extended their selling streak, offloading equities worth Rs 16,854.4 crore during the week. Meanwhile, DIIs maintained a positive outlook, investing Rs 21,682.7 crore.

However, IPO activity remains steady - eight companies debuted last week, eight are set to list this week, and four other IPOs are opening for subscription.

Let’s take a look at fresh IPO activity

Eight new companies debuted on the bourses in the past week

The stock market saw eightIPOs debut last week, with six from the SME segment and two in the mainline category.

All companies except Davin Sons Retail list at a premium

Fabtech Technologies Cleanrooms, a medical equipment maker, debuted on January 10 with a 90% premium over its issue price of Rs 85. The Rs 27.7 crore IPO, a completely fresh issue, was oversubscribed 688.2 times, with the HNI category subscribing 1,974.4 times. Despite a 21.6% YoY decline in FY24 revenue and a 27.4% YoY drop in net profit, the IPO witnessed strong demand.

Indobell Insulation, an industrial products company, listed on January 13 at a 90% premium to its issue price. The Rs 10.1 crore fresh issue IPO was subscribed 51.5 times the total shares on offer.

Davin Sons Retail, a Delhi-based readymade garment manufacturer, received 114.8 times bids for its shares but listed at a 20.2% discount. The company plans to use the IPO proceeds for purchasing a warehouse, meeting working capital requirements, and general corporate purposes.

Three SME IPOs—Parmeshwar Metal, Leo Dryfruits & Spices Trading, and Technichem Organics—listed at premiums of 38.5%, 30.8%, and 4.2%. Parmeshwar Metal and Leo Dryfruits dropped 7.2% and 3.9% post-listing, while Technichem Organics rose 4.4%.

Two mainline IPOs, Standard Glass Lining Technology and Indo Farm Equipment, listed at 22.9% and 19.1% premiums, respectively.

Eight new IPOs are lined up for listing this week

This week will see the listing of eight IPOs, including five in the SME category and three in the mainline segment.

Delta Autocorp and B.R. Goyal Infra see strong HNI demand

Delta Autocorp, a 2/3-wheeler manufacturer operating under the ‘Deltic’ brand, garnered a strong subscription of 309X for its Rs 54.6 crore IPO, with HNI bids reaching 806.9X. The company manufactures and sells EV two-wheelers & three-wheelers and is set to debut on the NSE SME platform on January 14. Its post-IPO price-to-earnings (P/E) ratio of 24.1 is notably below the industry average of 35.8. (The post-issue P/E ratio is based on the issue price divided by post-issue EPS, calculated from annualized FY earnings as of March 31, 2024, as per the RHP).

Two additional IPOs, B.R. Goyal Infrastructure, a construction & engineering firm, and Avax Apparels and Ornaments, a textiles company, will also list on January 14 on the BSE SME platform. These IPOs were subscribed 109.9X and 247.2X, respectively.

Meanwhile, two IPOs opened for subscription on January 10—Sat Kartar Shopping, a pharmaceutical firm, and Barflex Polyfilms, a packaging company. These offerings received subscriptions of 3.5X and 1X by the end of Day 1. Sat Kartar will list on January 17, and Barflex is scheduled to debut on January 20, both on the NSE SME platform.

During the past week Quadrant Suture Tek witnessed strong subscriptions across different investor categories.

Quadrant Future Tek witnesses strong investor demand

Quadrant Future Tek, an electrical equipment manufacturer, attracted strong investor interest, with its Rs 290 crore IPO receiving bids for 186.7X the shares on offer. The company sells wires and cables, develops train control and signaling systems which contributes to the Indian railways' KAVACH project. The listing is scheduled for January 14.

In contrast, Capital Infra Trust, a roads & highways developer, witnessed lukewarm demand, with its IPO subscribed 2.8X overall. Notably, the QIB segment was subscribed 0.7X, while the retail category saw no bids. In FY24, the company's revenue declined by 38.7% YoY, and net profit fell sharply by 74.8% YoY. The IPO is set to debut on January 14.

Laxmi Dental, a healthcare supplies firm, launched its Rs 698.1 crore IPO on January 13, with listing set for January 20. The company offers custom crowns, clear aligners, thermoforming sheets, and pediatric dental products. It plans to use its IPO proceeds for debt repayment, purchase of new machinery, and capital expenditure for its subsidiary, Bizdent Devices.

Upcoming subscriptions: Four new offerings to open this week

Four IPOs are scheduled to open for subscription this week, all in the SME segment.

Rikhav and Landmark Immigration lead in terms of revenue growth

Rikhav Securities: This capital markets company, engaged in providing brokerage, investing, and banking services in India, is set to launch its Rs 88.8 crore IPO. The subscription window will open on January 15 and close on January 17, with the listing scheduled for January 22 on the BSE SME platform.

In FY24, the company recorded a significant revenue growth of 104.2% YoY and a net profit increase of 123.2%. The IPO proceeds will be utilized to meet incremental working capital requirements, fund capital expenditure for IT infrastructure, and address general corporate purposes.

Landmark Immigration Consultants: This travel support services company, specializing in global consultancy services, will launch its IPO of Rs 40.3 crore on January 16, closing on January 20, with the listing scheduled for January 23 on the BSE SME platform.

In FY24, the company experienced a 71.4% YoY revenue growth and a 150.7% increase in net profit. It provides education consultancy for students aiming to study abroad and immigration consultancy for various visa services, primarily targeting Canada.

The IPO funds will be utilized for setting up new branches, increasing brand visibility through advertising, pursuing acquisitions for inorganic growth, and addressing general corporate purposes.

EMA Partners India: This misc. commercial services company will open its IPO of Rs 76 crore on January 17, closing on January 21, and listing on January 24 on the NSE SME platform.

In FY24, the company’s revenue grew 34.8% YoY, while its net profit surged 364.8%. EMA Partners India provides specialized leadership hiring solutions to clients across various sectors, recruiting business and functional leaders globally.

The IPO proceeds will be used to enhance the leadership team, upgrade IT infrastructure, repay or prepay loans related to office premises, and for general corporate purposes and potential inorganic acquisitions.

Kabra Jewels: This gems & jewellery company is engaged in the retail jewellery business, offering a diverse collection of gold, diamond, and silver ornaments. The Rs 40 crore IPO will open on January 15, close on January 17, and will list on January 22 on NSE SME platform.

The funds raised will be used for repayment of certain borrowings, meeting working capital requirements, and general corporate purposes. In FY24, the company’s revenue grew 34.3% YoY, while net profit rose 113.9% YoY.

Trendlyne Analysis released a IPO Note report for IPO on 30 Jun, 2025.

IPO

TREND | 06 Jan 2025

IPOs This Week: Eight Upcoming Listings, Seven New Public Issues

By Divyansh Pokharna

The Nifty 50 dropped marginally by 0.8% over the past week. According to the India Manufacturing PMI, India’s manufacturing activity declined to 56.4 in December, its weakest growth in 2024. This was due to slower growth in new output and orders.

FIIs extended their selling streak and offloaded equities worth over Rs 11,041.5 crore during the week, while DIIs maintained their optimistic stance and invested Rs 9,253.7 crore.

However, IPO activity remains steady as the new year kicks off - three companies debuted last week, eight are set to list this week, and seven other IPOs are opening for subscription.

Let’s take a look at fresh IPO activity

Three new companies debuted on the stock market last week

The stock market saw three IPOs debut last week, with one from the mainline segment and two in the SME category.

Unimech, Anya Poly see premium listings; Citichem debuts flat

Unimech Aerospace and Manufacturing, an industrial machinery manufacturer, listed on December 31 with an 86% gain from its issue price. The Rs 500 crore IPO was subscribed 175.3X, with the QIB category seeing a strong 317.6X subscription. For FY24, the company reported a 125% YoY increase in revenue and a 155% rise in net profit.

Anya Polytech & Fertilizers, a packaging company, listed with a 22.1% gain. The company is engaged in fertilizers, bag manufacturing, and environmental solutions, raising Rs 44.8 crore through a fresh issue. It saw a total subscription of 409.3X, with the HNI segment oversubscribed by 1,463.9X.

Citichem India, a commodity trading firm, listed at its issue price of Rs 70 on January 3, with no gains. The stock fell 1.4% during the day. For FY24, the company reported a 6% decline in revenue and a 208% increase in net profit. Citichem plans to use the IPO proceeds for capital expenditure, property acquisition, purchasing transportation vehicles and accessories, and general corporate purposes.

Eight new IPOs are lined up for listing this week

This week will see the listing of eight IPOs, including six in the SME category and two in the mainline segment

Technichem, Indo Farm, Leo Dryfruits see strong HNI demand

Technichem Organics, a specialty chemicals manufacturer, saw a subscription of 392.6X for its Rs 25.5 crore IPO, with HNI bids reaching 1,425X. The company is engaged in producing specialty chemicals, pigment and dye intermediates, & air oxidation chemistry and will list on the BSE SME platform on January 7. Its post-IPO price to earnings (PE) ratio of 20.2 is significantly below the industry average of 62.1. (The post-issue P/E ratio is calculated using the issue price divided by the post-issue EPS, based on annualized FY earnings as of March 31, 2024, from the RHP).

Indo Farm Equipment, a commercial vehicle company, and Leo Dry Fruits & Spices Trading, a food products firm, recorded subscriptions of 229.7X and 169.1X, respectively. Both companies saw HNI subscriptions exceed 500X. Indo Farm Equipment will list on January 7, while Leo Dry Fruits is set to debut on January 8.

On January 9, two IPOs, Parmeshwar Metal, and Davin Sons Retail, are set to list and have garnered subscriptions of 42X and 11.9X, respectively, by the end of Day 2. A medical equipment firm, Fabtech Technologies Cleanrooms, will follow on January 10 with a total subscription of 18.5X at the end of Day 1.

Indobell Insulation and Standard Glass Lining Technology, both other industrial products companies, will list on January 13. These companies opened for subscription on January 6. The industrial products industry has risen by 31.2% over the past year.

Upcoming subscriptions: Seven new offerings set to open this week

Seven IPOs are scheduled to open for subscription this week, including two in the mainline segment and five in the SME category.

All companies except Capital Infra see profit growth YoY in FY24

B.R.Goyal Infrastructure: This construction & engineering company is launching an IPO with an issue size of Rs 85.2 crore. The IPO will open on January 7 and close on January 9, with shares listing on January 14 on the BSE SME platform. The company specializes in constructing infrastructure projects such as roads, highways, bridges, and buildings.

In FY24, the company reported a 68.8% YoY increase in revenue and a 26.3% rise in net profit.

The proceeds from the IPO will be used to fund capital expenditure, working capital requirements, inorganic growth through acquisitions, and other strategic initiatives, along with general corporate purposes.

Sat Kartar Shopping: This pharmaceutical company specializes in Ayurveda healthcare, offering therapeutic and lifestyle products that promote a healthier lifestyle. The company is launching an IPO with an issue size of Rs 33.8 crore, opening on January 10 and closing on January 14, with a listing date of January 17 on the NSE SME platform.

The proceeds from the IPO will be used for an unidentified acquisition (in India or abroad), as well as for marketing, advertising, capital expenditure, and technology investments. In FY24, the company saw a 54.4% YoY increase in revenue, with net profit rising by 151.6%.

Avax Apparels And Ornaments: This textiles company, involved in wholesale trading and online retail of silver ornaments, is set to launch its IPO. The issue opens on January 7 and closes on January 9, with a listing date of January 14 on the BSE SME platform. The issue size is Rs 1.9 crore.

The company offers wholesale knitted fabric and a range of silver ornaments online, including rings, chains, and other jewellery, catering to major cities across India. The IPO proceeds will fund the company's working capital needs and general corporate purposes.

In FY24, the company reported a 50% YoY increase in revenue and a 99% rise in net profit.

Barflex Polyfilms: This packaging firm’s IPO opens on January 10 and closes on January 15, with the listing scheduled for January 20 on the NSE SME platform. The issue size is Rs 39.4 crore.

The company manufactures COEX films, laminates, and labels, producing flexible packaging materials for various industries, including FMCG, processed foods, adhesives, pharmaceuticals, cosmetics, and construction.

The proceeds from the IPO will be used to fund capital expenditure for purchasing additional plant and machinery, as well as for general corporate purposes. In FY24, the company experienced a 5.2% YoY increase in revenue, with net profit rising by 60.3%.

Delta Autocorp: This 2/3 wheeler manufacturer operates under the brand name "Deltic" and is engaged in manufacturing and sale of 2-wheelers and 3-wheelers electric vehicles (EVs). Initially focusing on developing electric 3-wheeler prototypes, the company aims to expand its EV offerings.

The IPO, valued at Rs 54.6 crore, will open on January 7 and close on January 9, with shares listing on January 14 on the NSE SME platform.

In FY24, the company saw a 0.8% YoY increase in revenue and a 60.1% rise in net profit. The proceeds will be utilized for establishing an electric three-wheeler fabrication and painting plant, new product development, working capital needs, and general corporate purposes, including offer expenses.

Quadrant Future Tek: This electrical equipment maker develops train control and signaling systems, contributing to the Indian railways' KAVACH project to enhance passenger safety and reliability. The company also operates a specialty cable manufacturing facility with an Electron Beam Irradiation Centre.

The Rs 290 crore IPO, is completely a fresh issue and will open from January 7 to January 9, with the listing scheduled for January 14.

In FY24, revenue declined by 0.7% YoY, while net profit increased by 5.8%. The IPO proceeds will fund long-term working capital requirements, capital expenditure for an Electronic Interlocking System, repayment of outstanding working capital term loans, and general corporate purposes.

Capital Infra Trust: This roads & highways developer, sponsored by Gawar Construction Limited, focuses on road and highway projects across 19 Indian states. Its sponsor specializes in executing projects for government bodies such as NHAI, MoRTH, MMRDA, and CPWD.

The IPO proceeds will provide loans to project SPVs for repaying external and unsecured borrowings, including accrued interest and prepayment penalties.

The Rs 1,578 crore IPO will open on January 7, close on January 9, and list on January 14. In FY24, revenue declined by 0.7% YoY, while net profit grew by 5.8%

Trendlyne Analysis released a IPO Note report for IPO on 30 Jun, 2025.

The Baseline

03 Jan 2025

Five stocks to buy from analysts this week - January 03, 2025

By Divyansh Pokharna

1. Ipca Laboratories:

Motilal Oswal maintains a ‘Buy’ rating on this pharmaceutical company with a target price of Rs 1,980, indicating a potential upside of 13.5%. Analysts Tushar Manudhane, Akash Dobhada, and Viraj Shah highlight that after a muted performance in the US over the past eight years due to compliance issues, Ipca Labs is well-positioned to revive its US business. This will be supported by new product launches, relaunches, stable pricing in its base business, and the integration of the Unichem business over the next 12-24 months.

Ipca Labs has received 11 approvals from the US FDA in the 12 months ending September 2024. While the company has already shipped products to the US, it plans to file 15-17 more products over the next two years. The company also aims to enter the Chilean market, where the drug authority accepts US FDA-approved drugs without extra testing. Unichem’s strong presence in the US will help speed up approvals in Chile, significantly reducing the time needed for market entry.

Manudhane, Dobhada, and Shah expect a 52% CAGR in US sales for Ipca Labs over FY25-27, driven by improved process efficiency, new drug filings, and the integration of Unichem’s front-end operations. The company is also focusing on launching new divisions in high-growth therapies, such as cosmeto-dermatology and orthopedics.

2. Amara Raja Energy & Mobility:

Hem Securities reiterates its ‘Buy’ rating on this battery manufacturer with a target price of Rs 1,397. This indicates an upside potential of 16.2%. In Q2FY25, the company reported a revenue growth of 9.8% YoY to Rs 3,250.7 crore, driven by the lead-acid battery business.

Amara Raja Energy is focusing on cost reduction by increasing in-house manufacturing, with a tubular battery facility set to begin production by the end of FY25. Additionally, the company is improving lead refining operations at its Tamil Nadu plant, targeting a 2-3% improvement in lead recovery to reduce material costs.

The business is expanding its lithium-ion battery and electric vehicle (EV) charger segments, having already invested Rs 850 crore, with plans for further investment of Rs 500-600 crore. The company plans to invest approximately Rs 1,200 crore in FY25 for the Giga Corridor and lithium-ion projects, with additional investments planned for FY26 to expand advanced chemistry cell manufacturing.

Analysts mention that the investments in electric vehicle (EV) and energy storage system (ESS) batteries position the company for future growth and expect a CAGR of 18.9% in net sales and 19.9% in net profit.

3. Man Infraconstruction:

Axis Securities maintains a ‘Buy’ rating on this Mumbai-based construction company with a target price of Rs 280, indicating an upside of 11.3%. Man Infraconstruction (MICL) recorded Rs 670 crore in collections for H1FY25, up 44% YoY from Rs 465 crore in H1FY24. Its pre-sales for the period totalled Rs 900 crore, driven by projects like Ghatkopar One Earth and Atmosphere in Mulund. MICL has achieved about 50% sales in the Ghatkopar ‘One Park’ project, with a potential revenue of Rs 1,200 crore. The company expects another Rs 500 crore in pre-sales in H2FY25.

MICL sold 3.2 lakh square feet of carpet area in Q2FY25, and its upcoming project pipeline is seen as promising by analysts. Upcoming developments include projects in Vile Parle, Malabar Hills, Dahisar and Pali Hill. Analysts Eesha Shah and Preeyam Tolia said, "These projects are expected to contribute Rs 3,500-4,000 crore to the topline. The company will continue focusing on an asset-light development strategy, with joint venture (JV) and development management (DM) projects in the upcoming pipeline."

Shah and Tolia believe the company is in a launching phase after making several acquisitions and will start realizing benefits in the upcoming financial year. They also note that the asset-light model has led to the highest profit margins in the industry, and are expected to grow further.

4. APL Apollo Tubes:

Sharekhan maintains its ‘Buy’ rating on this steel products manufacturer with a target price of Rs 1,850. This indicates a potential upside of 16.6%. Analysts note that domestic steel prices have improved and stabilized after a recent decline. They expect Q3FY25 earnings to improve due to higher steel prices and growth in volumes. However, the near-term outlook remains weak.

APL Apollo’s current capacity stands at 4.3 million tonnes per annum (MTPA) and is expected to increase to 5 MTPA by FY26. The company plans to set up three greenfield units in Uttar Pradesh (1.1 lakh tonnes per annum or LTPA), West Bengal (2 LTPA), and Karnataka (3 LTPA), along with brownfield expansions of 0.9 LTPA. Analysts expect the structural steel tubes market to grow at a 12% CAGR from 2023 to 2030, reaching around 17 million tonnes by 2030.

The analysts project APL to achieve a revenue CAGR of 24% and a net profit CAGR of 33% over FY25-27. They highlight that the management is sticking to its sales volume targets of 3.2 million tonnes for FY25, with further growth to 4 million tonnes in FY26 and 5 million tonnes in FY27.

5. Torrent Power:

Geojit BNP Paribas upgrades its rating to ‘Buy’ on this electric utilities company with a target price of Rs 1,709. This indicates an upside potential of 11.1%. In H1FY25, the company's revenue grew 13.4% YoY to Rs 16,210 crore, and net profit surged 38.8% to Rs 1,492 crore. However, Q2 net profit declined 8.5% YoY to Rs 481 crore due to weaker renewable and thermal generation, and lower electricity demand caused by extended monsoons.

Analyst Arun Kailasan noted that the company recently raised Rs 3,500 crore through its first Qualified Institutional Placement (QIP), which was oversubscribed 4X. Investors such as SBI Mutual Fund, Capital Group, Norges Bank, and Kotak Mutual Fund participated. The issue price was Rs 1,503 per share, and proceeds will be used to repay debt and to fund corporate expenses.

Kailasan expects expansion plans for over 4.3GW of renewable capacities in the next 3 to 4 years. He also expects EBITDA to grow by 18% CAGR in FY25-27, supported by strong addition to renewables portfolio and net profit to grow at a CAGR of 23.8% over the same period.

Note: These recommendations are from various analysts and are not recommendations by Trendlyne.

(You can find all analyst picks here)

IPO

TREND | 30 Dec 2024

IPOs This Week: Three Upcoming Listings and Three Public Issues

By Divyansh Pokharna

After a downtrend following the US Federal Reserve’s careful remarks on future rate cuts, the Nifty 50 picked up slightly, with a rise of 0.5% over the past week.

Analysts believe persistent FII (foreign institutional investors) selling has weighed on Indian markets. FIIs sold equities worth over Rs 6,322.9 crore during the week, while DIIs invested Rs 10,927.7 crore.

Meanwhile, IPO activity remains steady as we head into the new year - eleven companies debuted last week, three are set to list this week, and another three IPOs are opening for subscription.

Here’s a look at the IPO activity scheduled for this week:

Eleven new companies made their stock market debut last week

The stock market saw eleven IPOs debut last week, with eight from the mainline segment and three in the SME category.

All companies except Carraro India list at a premium

Mamata Machinery, an industrial machinery manufacturer, listed on December 27 with a 146.9% gain. Its Rs 179.4 crore IPO was subscribed 195X. In FY24, the company reported a 15% YoY increase in revenue and a 61% rise in net profit.

Senores Pharmaceuticals, a pharma company listed with a 53.5% premium. Its Rs 582.1 crore IPO, subscribed 93.4X, included a Rs 500 crore fresh issue. The funds are allocated for investments in subsidiaries, capital expenditure for sterile injection manufacturing, repayment of borrowings, working capital requirements, and strategic acquisitions.

Carraro India, a commercial vehicle company, saw its Rs 1,250 crore offer for sale subscribed 1.1X overall, though the HNI and retail categories remained undersubscribed at 0.6X and 0.7X, respectively. It listed at a 7.5% discount.

Other mainline IPOs: DAM Capital Advisors, Transrail Lighting, Sanathan Textiles, Concord Enviro Systems, and Ventive Hospitality listed with moderate gains of 38.9%, 36.6%, 31.6%, 17.8%, and 11.4%, respectively.

Three SME IPOs debuted last week, only one company was listed at its issue price.

NACDAC and Identical Brains surge post strong debut

NACDAC Infrastructure, a construction and engineering company listed at a 90% premium on December 24 and has been hitting the upper circuit daily since. Its IPO, a fresh issue with no offer for sale, was subscribed 3232.8X overall, with the HNI category achieving a record oversubscription of 5237.1X. In FY24, the company’s revenue rose by 209.5% YoY, while net profit increased by 464.38%.

Identical Brains Studio, an entertainment company, saw its Rs 20 crore IPO subscribed by 506.1X. It listed on the bourses with a 75.9% premium and is currently trading with a 75.6% gain.

Newmalayalam Steel, a steel products manufacturer, listed at its issue price on December 27 but hit its 5% lower circuit thereafter. The IPO was subscribed 48.2X overall, with the QIB category at just 1.2X. The company reported a 15.8% YoY decline in revenue and a 28.9% drop in net profit for FY24.

Three new IPOs are set for listing this week

Investors can look forward to three IPOs listing this week – two in the SME category and one in the mainline segment.

Unimech witnesses strong QIB and HNI demand

Unimech Aerospace and Manufacturing, an industrial machinery company, received bids for 175.3X the total shares on offer, with the QIB category subscribing 317.6X. The Rs 500 crore issue is set to list on December 31. The company manufactures complex tools, mechanical assemblies, electro-mechanical systems, and components for aeroengine and airframe production. Its post-IPO price-to-earnings (PE) ratio is 51.6, which is lower than the industry average of 53.

Anya Polytech & Fertilizers, a packaging company focused on bag manufacturing, fertilizers, and environmental solutions, has launched a Rs 44.8 crore IPO. The issue has been subscribed 16.7X overall, with the retail category subscribed 41.3X. The IPO will be listed on the NSE SME platform on January 2, 2025. Post-IPO, the company’s PE ratio stands at 9.3, significantly lower than the industry average of 32.8.

Citichem India, a commodity trading firm, is closing its Rs 12.6 crore IPO on December 31, with shares listing on the BSE SME platform on January 3. The IPO received bids of 8.6X, with the retail category subscribing 14.8X. The company is involved in supplying organic and inorganic chemicals, bulk drugs, and food chemicals to the pharmaceutical industry.

*Note: The post-issue P/E ratio is calculated using the issue price divided by the post-issue EPS, based on annualized FY earnings as of March 31, 2024, from the RHP.

Upcoming subscriptions: Three new offerings to launch this week

Three IPOs are scheduled to open for subscription this week, including one in the mainline segment and two in the SME category.

Technichem and Leo Dry Fruits see strong profit growth YoY in FY24

Indo Farm Equipment: This commercial vehicle manufacturer, operating under the brands Indo Farm and Indo Power, specializes in tractors, pick-and-carry cranes, and other harvesting equipment. The IPO, valued at Rs 260.2 crore, opens on December 31 and closes on January 2. The shares are scheduled to list on January 7.

The IPO proceeds will be used to set up a new unit to expand pick-and-carry crane manufacturing, repay borrowings, and invest in its NBFC subsidiary, Barota Finance. In FY24, the company’s revenue increased only marginally, by 1% YoY and net profit rose by 1.5%.

Technichem Organics: This specialty chemicals company is engaged in manufacturing a range of chemicals including specialty chemicals, pigment and dye intermediates, and air oxidation chemistry. Its IPO is launching with an issue size of Rs 25.5 crore, a complete fresh issue. The IPO opens on December 31, closes on January 2, and will be listed on the BSE SME platform on January 7.

The IPO proceeds will be directed towards capital expenditure for setting up a new plant, “Plant 4,” repaying borrowings from banks and financial institutions, and for general corporate purposes.

In FY24, the company’s revenue decreased by 8% YoY due to a decline in its pigment, specialty dyes, and chemicals segments. However, net profit rose by 173% due to lower cost of goods sold.

Leo Dry Fruits and Spices Trading: This food products company is launching an IPO with an issue size of Rs 25.1 crore, a fresh issue. The IPO will open on January 1, close on January 3, and list on January 8 on the BSE SME platform.

This company specializes in manufacturing and trading a variety of spices and dry fruits under the brand VANDU, as well as frozen and semi-fried products under the brand FRYD. In FY24, the company’s revenue increased by 71% YoY, while net profit rose by 83%.

The IPO proceeds will be utilized towards working capital requirements, support branding, advertisement, and marketing activities, and for general corporate purposes.

Trendlyne Analysis released a IPO Note report for IPO on 30 Jun, 2025.

IPO

TREND | 23 Dec 2024

IPOs This Week: Eleven Upcoming Listings and Three Public Issues

By Divyansh Pokharna

Last week was a turbulent one for the market. The Nifty 50 dropped over 4.3%, following the US Federal Reserve’s cautious remarks on the pace of future rate cuts, and the outlook for the economy: “it’s like…walking into a dark room full of furniture,” he said, “you just slow down”. While the Fed reduced the benchmark rate by 25bps on December 18, it now projects only two cuts in 2025.

Analysts believe this hawkish stance may weaken investor sentiment, lower foreign inflows, and increase market volatility for India. FIIs (foreign institutional investors) sold equities worth over Rs 15,828 crore during the week. However, they have a positive outlook about India's long-term growth.

Meanwhile, IPO activity remains robust as the year nears its close - eleven companies debuted last week, another eleven are set to list this week, while three IPOs are opening for subscription.

Let’s take a look at the IPO activity scheduled for this week:

Eleven new companies made their market debut last week

The stock market saw eleven IPOs debut last week, with five from the mainline segment and six in the SME category.

One MobiKwik, Inventurus, and others witness premium listings

One Mobikwik Systems, a software company, debuted with a 57.7% premium on December 18. The stock continued its upward momentum, hitting a 20% upper circuit on its first trading day. Despite reporting losses in Q1FY25, FY23, and FY22, investors were undeterred and the company attracted a strong subscription of 119.4X for its Rs 572 crore IPO.

Sai Life Sciences, a pharmaceutical company, listed with an 18.4% premium on December 18, the lowest among this week’s mainline IPOs. The retail portion was subscribed 1.37X, contributing to a total subscription of 10.3X. Post-listing, the stock extended gains to 28.2%. The issue size of the IPO stood at Rs 3,042.6 crore.

Inventurus Knowledge Solutions, a healthcare services firm, listed with a 43% gain on its debut, which later rose to 50.9% on its listing day. The company is currently trading at a premium of 41.9%.

Vishal Mega Mart, a department stores chain, and International Gemmological Institute, a misc. commercial services company, listed with 33.3% and 22.3% premiums, respectively, but saw declines of 3.6% and 9.3% after listing.

Six SME IPOs debuted last week, only one listed at a discount.

Toss The Coin, Yash, and Hamps Bio soar post stellar debut

Toss The Coin and Yash Highvoltage both listed at premiums of 90% and are hitting upper circuits every day since their listing. Toss The Coin, a consulting services company, received total subscription of 952.6X, with the retail category subscribed 2,060.8X. The company has already surpassed its H1FY25 revenue compared to FY24. Meanwhile, Yash Highvoltage, a heavy electrical equipment manufacturer, attracted a 439X bid in the HNI category for its Rs 110 crore IPO.

Supreme Facility Management, a misc. commercial services company, listed at a 1.3% discount to its issue price of Rs 76. The IPO, with an issue size of Rs 50 crore, debuted on the NSE SME platform on December 18 and fell further to 15.3% post listing.

Hamps Bio, a food products company, listed with a 90% premium and rose further post-listing. Jungle Camps India, a hotels firm, also debuted at a 90% premium but saw a significant drop of 35.2% after listing. Purple United Sales, an apparel company, saw an initial gain of 57.9% and extended its gains to 82.5% thereafter.

Eleven IPOs are listing this week, mainline takes the lead

Investors can expect a packed week with eleven IPOs set to list – eight in the mainline segment and three in the SME category.

Mamata Machinery and DAM Capital see strong HNI demand

Mamta Machinery, an industrial machinery manufacturer, received the highest bids in the mainline category by the end of Day 2 of its IPO, which closes on December 23. The Rs 179.4 crore issue was subscribed 37.8X overall, with the HNI and retail categories seeing subscriptions of 50.2X and 51X, respectively. The company specializes in machinery for plastic bags, pouches, packaging, and extrusion equipment.

Four other IPOs set to close on December 23 also witnessed notable demand. DAM Capital Advisors, Transrial Lighting, Sanathan Textiles, and Concord Enviro Systems were subscribed 7X, 5.3X, 1.4X, and 1.3X, respectively, by day two. These IPOs are scheduled to list on December 27.

Meanwhile, three IPOs that opened for bidding on December 20—Senores Pharmaceuticals, Ventive Hospitality, and Carraro India, received subscriptions of 1.8X, 0.7X, and 0.1X, respectively, on their first day. These companies are expected to list on December 30.

Three IPOs are set for listing this week in the SME category.

NACDAC witnesses record HNI subscription, retail segment close behind

NACDAC Infrastructure, a construction and engineering company, received an impressive subscription of 1,976.1X the total shares available in its IPO, with the HNI category subscribed 5,237.1X. The Rs 10 crore issue is a complete fresh issue with no offer for sale. The company specializes in constructing multi-story residential, commercial, and institutional buildings. The company is set to list on December 24.

Identical Brain Solutions, an entertainment company, saw a subscription of 506.1X its IPO size of Rs 20 crore. The company operates in the movies and entertainment sector and is scheduled to list on December 26 on the NSE SME platform. Its post-IPO price-to-earnings* (PE) ratio is 15.7, significantly lower than the industry average of 58.2. The movies and entertainment industry has delivered a robust return of 194.4% in the past year.

Newmalayalam Steel, a steel products manufacturer, saw its Rs 41.8 crore IPO subscribed 5.5X by Day 2. The company manufactures galvanized pipes, sheets and tubes. The company intends to utilize its IPO proceeds for IT and technology upgrades, expanding a solar facility, constructing a new factory shed, marketing and brand-building initiatives.

*Note: The post-issue P/E ratio is calculated using the issue price divided by the post-issue EPS, based on annualized FY earnings as of March 31, 2024, from the RHP.

Upcoming subscriptions: Three new offerings are set to open this week

Three IPOs are scheduled to open for subscription this week, including one in the mainline segment and two in the SME category.

Unimech and Solar91 lead in terms of FY24 revenue growth

Unimech Aerospace and Manufacturing: This industrial machinery company, is set to launch a mainline IPO with an issue size of Rs 500 crore. The IPO will open on December 23 and close on December 26, with shares scheduled to list on December 31. The company specializes in manufacturing complex tools, mechanical assemblies, electro-mechanical systems, and components for aeroengine and airframe production.

The funds raised through this IPO will primarily be used to support capital expenditure for expansion, including the purchase of machinery and equipment. The company also plans to allocate funds for working capital requirements and repayment or prepayment of certain borrowings by its material subsidiary.

In FY24, the company’s revenue increased by 125% YoY and net profit rose by 155%.

Anya Polytech & Fertilizers: This packaging company is launching an IPO with an issue size of Rs 44.8 crore. The IPO opens on December 26, closes on December 30, and will list on January 2 on the NSE SME. The company specializes in fertilizers, bag manufacturing, and environmental solutions.

The IPO proceeds will be used to meet capital expenditure and working capital requirements for both Anya Polytech and its subsidiaries, including Yara Green Energy and Arawali Phosphate. In FY24, Anya Polytech’s revenue increased by 8% YoY, and net profit rose by 75%.

Solar91 Cleantech: This electric utilities company provides engineering, procurement, and construction (EPC) solar energy solutions. The company caters to commercial and industrial clients by helping them reduce power consumption through renewable energy systems. The company plans to use the IPO proceeds for investment in a subsidiary focused on solar project development as an Independent Power Producer (IPP), working capital requirements, and general corporate purposes.

It is launching an IPO with an issue size of Rs 106 crore, which opens on December 24 and closes on December 27, with listing on January 1 on the BSE SME platform. In FY24, Solar91's revenue rose by 14%, and net profit soared by 1060%

Trendlyne Analysis released a IPO Note report for IPO on 30 Jun, 2025.

The Baseline

19 Dec 2024

Five stocks to buy from analysts this week - December 19, 2024

By Divyansh Pokharna

1. Triveni Engineering & Industries:

Sharekhan maintains a ‘Buy’ rating on this sugar stock with a target price of Rs 582. This indicates an upside of 23.3%. Triveni Engineering & Industries (TEIL) has approved a composite scheme involving the merger of Sir Shadi Lal Enterprises (SSEL) with itself. Following this, the gear and defence business, Triveni Power Transmission (TPT), will be demerged and listed as a separate entity. Analysts believe that this restructuring will enhance shareholder value in the long run.

Both TEIL and SSEL are involved in the production of sugar and alcohol/ethanol. The proposed merger aims to consolidate all sugar, ethanol, and alcohol operations into one entity.

The demerged power transmission business represents 4.8% of TEIL’s total turnover. As of September 2024, the business had an order book of Rs 345 crore. The management is focusing on R&D to improve efficiency and meet global standards. They expect higher order bookings from the defense segment in the coming years.

Analysts are forecasting strong growth in the distillery business due to expanded capacity. They believe that higher minimum selling prices (MSPs) and rising international sugar prices will keep sugar realizations stable, leading to an improved EBITDA margin from 12% in FY24 to 12.5% by FY27.

2. Max Healthcare Institute:

Axis Direct initiates its ‘Buy’ rating on this healthcare facilities firm with a target price of Rs 1,315, indicating an upside of 10.2%. Max Healthcare is a leader in the Delhi-NCR and Mumbai regions, operating over 2,900 beds and holding a strong presence in oncology. Its oncology segment is valued at Rs 1,400 crore and holds nearly 20% market share. The company also has the highest average revenue per occupied bed (ARPOB) of Rs 76,000 and an occupancy rate of 75% compared to its peers.

Max Healthcare plans to add 3,000 beds to its network over the next three years, representing 70% of its current capacity. The company has already invested Rs 1,700 crore for capex. Analysts Ankush Mahajan and Aman Goyal estimate an additional investment of Rs 5,000 crore for this expansion and believe the company’s cash flow will be sufficient to cover the costs.

The company’s EBITDA has grown from Rs 332 crore in FY21 to Rs 1,806 crore in FY24, with the EBITDA margin increasing from 9.2% to 26.5%. Mahajan and Goyal write, “We expect the margins to remain stable in the range of 27-28%, as the new beds from brownfield expansions will take time to become operationally profitable.”

3. ICICI Bank:

Motilal Oswal maintains its ‘Buy’ rating on this bank with a target price of Rs 1,550, indicating a potential upside of 14.1%. ICICI Bank achieved a deposit growth of ~20% YoY in FY24, supported by its digital banking and extensive branch network. Analysts Nitin Aggarwal, Dixit Sankharva, and Disha Singhal highlight the bank’s focus on profitable growth, backed by a retail deposit-driven balance sheet. Despite competition on deposit rates, it manages rates to handle outflows, keeping its credit-deposit (CD) ratio at ~85%.

ICICI Bank has a comfortable current CD ratio and is focusing on monitoring its liquidity coverage ratio (LCR). Analysts highlight that the bank is working to maintain a healthy balance between giving out loans and attracting deposits in tough market conditions. They also see a strong potential for growth in fee income, particularly through transaction banking. Additionally, ICICI is reportedly exploring opportunities to expand its NRI segment.

Analysts Aggarwal, Dixit, and Singhal note that ICICI Bank is expected to maintain healthy loan growth, stable asset quality, and competitive return ratios. Margins may face short-term pressure due to potential rate cuts and rising funding costs. However, strong deposit inflows and a low CD ratio support its growth prospects.

4. Shriram Pistons & Rings:

Emkay maintains its ‘Buy’ rating on this industrial machinery manufacturer with a target price of Rs 2,950. This indicates an upside potential of 36.6%. Shriram Pistons & Rings’ (SPRL) subsidiary, SPR Engenious, has entered into an agreement to acquire a 100% stake in TGPEL Precision Engineering for Rs 220 crore. This acquisition will enable the company to expand its product portfolio beyond internal combustion engine (ICE) powertrains, and is expected to be completed by December 2024.

The analysts Chirag Jain, Jaimin Desai, Nandan Pradhan, and Omkar Rane note that TGPEL manufactures high-precision injection molds with two facilities in Uttar Pradesh. It has presence in both automotive and non-automotive segments (Electrical, Consumer Goods, Medical), with clients that includes Denso, Continental, Motherson, Havells, Polycab, Dabur, Gilette, etc. The acquisition strengthens SPRL’s diversification strategy into non-engine parts, following its previous acquisition of Takahata Precision India in February 2023.

Jain, Desai, Pradhan, and Rane believe the acquisition, though small (around 4% of SPRL sales), is important strategically and represents another step in diversifying away from engine parts. They expect revenue to grow 10% in FY25 and 12% in FY26.

5. Apeejay Surrendra Park Hotels:

IDBI Capital initiates a ’Buy’ rating on this small cap hotel company with a target price of Rs 245, indicating an upside potential of 31.1%. The company operates 34 hotels with 2,410 rooms across metros and emerging cities under five brands and has plans to expand to 61 hotels in over 45 cities, totaling 5,048 rooms by FY29.

Analyst Archana Gude highlights that ASPHL outperformed the industry with a 92% occupancy rate in FY24, significantly higher than the industry average of 70%. Its retail food and beverage brand, Flurys, has expanded from 19 outlets in FY17 to 95 as of H1 FY25, with plans to reach 120 by FY25 and add 40 stores annually. This asset-light and scalable business model is expected to improve ASPHL’s growth potential and overall business prospects.

Gude expects ASPHL’s net sales to grow at 11% annually from FY25 to FY27, driven by 8% growth in the hospitality segment and 32% in Flurys. EBITDA is projected to grow at 11% per year from FY24 to FY27, while profit after tax is expected to rise by 26% annually during the same period.

Note: These recommendations are from various analysts and are not recommendations by Trendlyne.

(You can find all analyst picks here)

IPO

TREND | 16 Dec 2024

IPOs This Week: Eleven Upcoming Listings and Nine Public Issues

By Divyansh Pokharna

Last week was a mixed bag for the market. The Nifty 50 declined by 0.1%. According to CPI data released on December 12, India’s retail inflation eased to 5.5% compared to 6.2% in October, in-line with estimates. However, persistently high food prices have raised concerns about potential delays in interest rate cuts by RBI. The new RBI Governor, Sanjay Malhotra, could mark a shift in interest rate policy nevertheless. Analysts expect the RBI to begin rate cuts at its next monetary policy review in February 2025.

Meanwhile, IPO activity has stayed strong in the last month of 2024 - four companies debuted last week, eleven more are set to list this week, while nine IPOs are opening for subscription.

We take a look at the IPO activity scheduled for this week:

Four new companies debuted on the bourses in the past week

The stock market saw four IPOs debut last week, with one debuting in the mainline segment and three in the SME category.

Emerald Tyre & Dhanlaxmi Crop witness stellar listings

Emerald Tyre Manufacturers, an auto tyres company, debuted on the NSE SME platform with an impressive 90% premium on December 12. The Rs 49.3 crore issue received an overwhelming subscription of 488.5X, including a remarkable 734.8X in the retail category. The auto tyre industry has grown by 6.8% in the past month.

Nisus Finance Services, a financial services company, listed on the bourses on December 11, delivering a 25% listing gain. Its current gain stands at 50.8%. The IPO saw robust demand, with a total subscription of 177.6X, including an impressive 592X subscription in the HNI category. In FY24, the company’s revenue grew 3.7X YoY, while net profit surged 7.6X.

Dhanlaxmi Crop Science, an agricultural products company, attracted total bids of 565X for its IPO, including a record HNI subscription of 1,722.9X. The company’s revenue in H1FY25 nearly doubled compared to its FY24 revenue. It debuted on December 16 with a strong listing gain of 90%.

Property Share Investment Trust, a realty firm, set its issue price at Rs 10,50,000, targeting HNIs, corporates, and institutional investors, with a minimum investment requirement of Rs 10 lakh. The IPO received a QIB subscription of 0.1X and other investor subscriptions of 4.4X, with no participation from HNIs. It listed at its issue price on December 10 but declined by around 1% shortly after.

It’s a busy week ahead with eleven IPOs set for listing

Investors can expect a packed week with eleven IPOs set to list – five in the mainline segment and six in the SME category.

One Mobikwik and Vishal Mega Mart see strong QIB demand

One Mobikwik, a software company offering prepaid digital wallets and online payment services, has seen the highest subscription for mainline IPOs this week, with a total subscription of 119.4X. The company’s IPO, with an issue size of Rs 572 crore, is set to list on December 18.

Department stores company Vishal Mega Mart has received total bids of 27.3X and a significant QIB subscription of 80.8X. The company, which offers a wide range of products including apparel, groceries, electronics, and home essentials, is set to list on December 18. With an issue size of Rs 8,000 crore, its post-IPO price-to-earnings* (PE) ratio stands at 69.2, below the industry average of 113.6.

Sai Life Sciences, a pharma company, has received total bids of 10.3X for its IPO, with an issue size of Rs 3,042.6 crore. The company is scheduled to list on December 18. Meanwhile, healthcare services company Inventurus Knowledge Solutions has garnered a subscription of 52.7X, with an issue size of Rs 2,497.9 crore, and is set to list on December 19.

The International Gemmological Institute, a misc. commercial services company that certifies and grades diamonds, gemstones, and jewelry, has received low demand on day 2 of its IPO, with a subscription of just 0.7X. The IPO, closing on December 17, is set to list on December 20.

During the past week, Toss The Coin, Jungle Camps and Purple United witnessed strong subscriptions across different investor categories.

Toss the Coin, Jungle Camps lead in terms of subscription rates

Toss the Coin, a consulting service specializing in Go-To-Market (GTM) strategies for B2B tech companies, led SME IPO subscriptions this week, receiving a remarkable 952.6X overall and 2,060.8X from retail investors. With an issue size of Rs 9.2 crore, the company offers services like branding, content creation, and customer success management. Its PE ratio post-IPO is 14.8, below the industry average of 31.8. The company is set to list on December 17.

Jungle Camps India, a company operating wildlife camps, hotels, motels, inns, and other hospitality services across India, has seen strong demand for its IPO with total subscriptions of 460X and an issue size of Rs 29.4 crore. Post-IPO, the company’s PE ratio stands at 31.1, significantly lower than the industry average of 65. The company is set to list on December 17.

Supreme Facility Management, a provider of integrated facility management services including housekeeping and corporate food services, received bids for 25.7X of its shares. Post-IPO, the company’s PE ratio stands at 19.6, below the industry average of 56.

Other companies receiving notable demand include Purple United Sales, an apparel and accessories company, which saw a 148.9X subscription for its Rs 32.8 crore IPO, is set to list on December 18. Yash Highvoltage, a heavy electrical equipment firm, received 169.2X total subscriptions, with HNI subscriptions at 244.5X. The company, with an issue size of Rs 110 crore, is set to list on December 19. Hamps Bio, a food products company, attracted 186X subscription for its Rs 6.2 crore IPO and will list on December 20.

*Note: The post-issue P/E ratio is calculated using the issue price divided by the post-issue EPS, based on annualized FY earnings as of March 31, 2024, from the RHP.

Upcoming subscriptions: Nine new offerings are set to open this week, mainline dominates

Nine IPOs are scheduled to open for subscription this week, including six in the mainline segment and three in the SME category.

Most companies witness revenue growth during FY24

Transrail Lighting: This heavy electrical equipment and engineering company focuses on power transmission and distribution, along with manufacturing lattice structures, conductors, and monopoles.

The company is launching a mainline IPO with an issue size of Rs 838.9 crore to meet incremental working capital requirements, fund capital expenditure, and address general corporate purposes. The issue opens on December 19 and closes on December 23, with shares set to list on December 27. In FY24, the company reported a 30.2% YoY increase in revenue and a 116.8% rise in net profit.

DAM Capital Advisors: This capital markets company is set to launch its Rs 840.3 crore mainline IPO, a complete offer for sale, on December 19 and close on December 23, with listing scheduled for December 27.

DAM Capital Advisors Limited, an investment bank in India, provides financial solutions in investment banking (ECM, M&A, PE, structured finance advisory) and institutional equities (broking and research). In FY24, the company’s revenue increased by 114% YoY, while net profit surged by 713%.

Mamata Machinery: This industrial machinery manufacturer, specializing in machines for plastic bags, pouches, packaging, and extrusion equipment, is launching a Rs 179.4 crore mainline IPO, entirely an offer for sale.

The issue opens on December 19 and closes on December 23, with the listing scheduled for December 27. The company serves the packaging industry with tailored manufacturing solutions. In FY24, the company’s revenue grew by 14.8% YoY, while net profit rose by 60.5%.

Sanathan Textiles: This textiles company, a polyester yarn manufacturer and global supplier of cotton yarn, operates through three business verticals: polyester yarn products, cotton yarn products, and yarns for technical textiles and industrial uses.

The Rs 550 crore mainline IPO, launching on December 19 and closing on December 23, aims to repay borrowings, invest in its subsidiary Sanathan Polycot Private Limited, and fund general corporate purposes.

In FY24, the company’s revenue decreased by 11% YoY, while net profit dropped by 12%. The listing is scheduled for December 27.

Concord Enviro Systems: This non-electrical utilities company provides global water and wastewater treatment solutions, including zero-liquid discharge (ZLD) technology.

The Rs 500.3 crore mainline IPO opens on December 19 and closes on December 23, with the listing scheduled for December 27. The IPO aims to fund capital expenditures for its greenfield and brownfield projects in the U.A.E and Vasai, respectively, along with investments in subsidiaries for working capital, debt repayment, and technology growth.

The company saw a 46% YoY increase in revenue and a 655% rise in net profit during FY24.

Ventive Hospitality: This company operates in the hotels industry, focusing on luxury hotels and resorts for both business and leisure segments. As of September 30, 2024, it has 11 operational assets in India and the Maldives.

The Rs 1,600 crore mainline IPO opens on December 20 and closes on December 24, with listing scheduled for December 30. The proceeds will be used for the repayment and prepayment of borrowings, including interest payments, and investments in step-down subsidiaries. The company will also allocate funds for general corporate purposes.

The company has reported inconsistent financials, with a net loss of Rs 137.8 crore in H1 FY25, Rs 66.8 crore in FY24, and Rs 146.2 crore in FY22, though it posted a profit of Rs 15.7 crore in FY23.

NACDAC Infrastructure: This construction and engineering company specializes in civil and structural construction, including multi-story buildings, steel structure works, housekeeping and manpower supply, and bridges (FOBs and ROBs). It also undertakes related civil, structural, and electrical works.

The company is launching an IPO to address working capital needs and general corporate purposes. The issue, valued at Rs 10 crore, opens on December 17 and closes on December 19, with shares set to list on the BSE SME on December 24. In FY24, the company reported a 209.5% YoY increase in revenue and a 904.4% rise in net profit.

Identical Brains Studios: This entertainment company will open its Rs 20 crore IPO on December 18, with the issue closing on December 20. The shares are scheduled for listing on the NSE SME platform on December 26.

The company specializes in computer-generated visual effects (VFX) services for films, web series, TV series, documentaries, and commercials. The IPO proceeds will fund the renovation of its Andheri office and studio, the establishment of Colour Grading Digital Intermediate (DI) and Sound Studios, new branch offices in Andheri and Lucknow, facility upgrades with new computers and software, and incremental working capital needs.

In FY24, the company achieved a 150.7% YoY increase in revenue and a 231.5% rise in net profit, reflecting strong financial performance.

Newmalayalam Steel: This iron & steel products manufacturer, based in Kerala, India, specializes in galvanised pipes, tubes, and sheets. In FY24, the company’s revenue decreased by 15.8% YoY, and net profit dropped by 28.9%.

The Rs 41.8 crore SME IPO opens on December 19 and closes on December 23, with listing scheduled for December 27. Proceeds will fund IT/technological upgrades, solar facility expansion, civil construction for a new factory shed, marketing, brand building, incremental working capital, and general corporate purposes.

Trendlyne Analysis released a IPO Note report for IPO on 30 Jun, 2025.

IPO

TREND | 09 Dec 2024

IPO Watch: Upcoming Listings and Public Issues

By Divyansh Pokharna

The Nifty 50 has gained over 2% in the past week, despite GDP growth hitting a seven-quarter low of 5.4% in Q2FY25. Analysts believe the weak data was already factored in after earlier corrections and subdued corporate earnings. Global market momentum and an RBI policy aligning with expectations have boosted overall sentiment. The Reserve Bank of India kept the repo rate steady at 6.5% at its meeting on December 6 but cut the CRR (cash reserve ratio) by 50 bps to 4% to boost liquidity in the banking system.

IPO activity has picked up pace as 2024 comes to a close - eight companies have debuted this month, with three more set to list next week and ten IPOs opening for subscription.

Here’s a closer look at the IPO activity scheduled for next week:

Eight new companies debuted on the bourses in the past week

The stock market witnessed the listing of eight IPOs in the past week, with seven debuting in the SME segment and one in the mainline category.

Recent IPO listings enjoy strong gains across the board

The mix of SME and mainline IPOs highlights diverse investor responses influenced by companies’ financial health, market trends, and subscription levels.

Rajesh Power & Services, an electric utilities company, surpassed FY24 revenue within the first half of FY25. Net profit increased by 6.4% during H1FY25, accompanied by a 60 bps improvement in EBITDA margins. Rajputana Biodiesel, a non-electrical utilities company, achieved record demand with retail subscription at 968.9x. Its stock trades at a 144.4% premium to its issue price. Similarly, C2C Advanced Systems, a defence company, also trades at a 142.4% premium, backed by total subscription of 116.6x.

Suraksha Diagnostic, a healthcare services company, saw overall subscription of 1.3x, with retail at just 0.9x. The company has inconsistent financials, with revenue falling 17.6% YoY in FY23, however, recovering in FY24. The IPO, being entirely an offer-for-sale, may have contributed to limited enthusiasm among investors. Abha Power & Steel, a steel products company, listed at a 9.2% premium over its IPO price of Rs 75. However, the stock quickly dropped 5% within few minutes of listing, hitting the lower circuit on the exchange.

Apex Ecotech, a non-electrical utilities firm, listed at a 90% premium but is now trading at an 71.1% premium. Ganesh Infraworld, operating in the construction and engineering industry, debuted with a 90% premium and is currently trading at a 89.5% premium. Agarwal Toughened Glass, a construction materials company, listed at a 25% premium and is now trading at a 24.9% premium.

Three SME IPOs are set for listing this week

Dalal Street will witness significant action in the SME segment this week, with the listing of three IPOs scheduled to debut.

Nisus Finance and Emerald Tyres see strong HNI demand

Nisus Finance Services: This other financial services company is set to list on the BSE SME index on Wednesday, December 11, following an impressive overall subscription of 177.6 times. The company provides financial services for corporate clients, including transaction advisory, fund and asset management, private equity, venture debt, etc., and is raising Rs 114.2 crore through its IPO.

The HNI segment recorded a notable subscription of 592 times the shares available in this category. Post-IPO, the company’s price-to-earnings* (PE) ratio is 12.9, which stands below the industry average of 50.6.

Emerald Tyre Manufacturer: The auto tyres company’s IPO concluded its bidding on December 9, with a strong subscription rate of 488.5 times on its closing day. The shares are slated to list on Thursday, December 12 on NSE SME index. The company, operating under the brand name ‘Greckster’ specializes in manufacturing, supplying, and servicing a diverse range of tyres. The IPO has raised Rs 49.3 crore.

Post-IPO, Emerald’s PE ratio is 15.1, notably lower than the industry average of 28.8, positioning it as a competitively valued player in the tyre manufacturing segment.

Dhanlaxmi Crop Science: This other agricultural products company focuses on developing, producing, processing, and selling seeds for various field crops and vegetables. The IPO, which opened on December 9, is scheduled to list on December 16, 2024.

The issue size of this SME IPO is Rs 23.8 crore. On its first day, the IPO received a total subscription of 17.2 times, with retail subscriptions accounting for 40.6 times. Post-IPO, the company's price-to-earnings (PE) ratio stands at 5.5, significantly lower than the industry average of 26.8.

*Note: The post-issue P/E ratio is calculated using the issue price divided by the post-issue EPS, based on annualized FY earnings as of March 31, 2024, from the RHP.

Action-packed week ahead with ten new offerings

Ten IPOs are scheduled to open in the second week of December, including five in the SME segment and five in the mainline category.

Most companies witness revenue growth during FY24

Vishal Mega Mart: This department store company offers a wide variety of products including apparel, groceries, electronics, and home essentials. As of September 30, 2024, it operates 645 stores across 414 cities in 28 states and two union territories.

Vishal Mega Mart’s IPO opens for subscription on December 11 till December 13. The three-day offer includes a one-day bidding window for anchor investors on December 10. The company has shown significant financial growth, with revenue rising by 17.4% and net profit increasing by 43.8% between FY24 and FY23.

This mainline IPO will be an offer-for-sale (OFS) of shares by the promoter, Samayat Services LLP, with no fresh equity issuance. The company aims to raise ~Rs 8,000 crore through this offer. The price band for the IPO is set at Rs 74–78 per share, with a minimum lot size of 190 shares. Retail investors must invest at least Rs 14,280, while HNIs are required to invest Rs 207,480 for 14 lots (2,660 shares).

Sai Life Sciences: This pharmaceutical company focuses on researching, developing, and manufacturing small-molecule new chemical entities, offering customized services to biotech firms and global pharma companies.

The company plans to raise Rs 3,042.6 crore through its mainline IPO, with a price band of Rs 522–549 per share and a minimum lot size of 27 shares. The issue will open for bidding on December 11 and close on December 13. The shares are set to debut on the stock exchanges on December 18.

The proceeds from the IPO will be used for repayment or prepayment of certain borrowings and general corporate purposes. The company reported a remarkable 729% YoY growth in net profit to Rs 83 crore in FY24 and a 20% YoY increase in revenue.

One Mobikwik Systems: This internet software & services company specializes in fintech solutions, offering prepaid digital wallets and online payment services. The company aims to raise Rs 572 crore to fund growth in its financial and payment services businesses, enhance investments in data, machine learning (ML), and artificial intelligence (AI), as well as allocate capital expenditure for its payment devices segment.

The mainline IPO will open for subscription on December 11 and close on December 13, with shares expected to list on December 18. The IPO is priced at Rs 265–279 per share, with a lot size of 53 shares.

The company has demonstrated revenue growth over the years, recording a profit of Rs 14.1 crore in FY24. However, it reported losses in Q1FY25, FY23, and FY22.

Toss The Coin:This is a marketing consulting firm specializing in Go-To-Market (GTM) strategies for B2B tech companies, offers services like branding, content creation, website design, social media campaigns, and customer success management.

The company plans to raise Rs 9.2 crore through an SME IPO to fund capital expenditure for developing a Microservices Application, opening new offices, and addressing working capital needs. Its net profit declined by 38.4% YoY during FY24, driven by higher employee benefit expenses, despite a 2.5% increase in revenue.

The IPO opens on December 10 and closes on December 12, with shares listing on the BSE SME index on December 17.

Purple United Sales:This apparel and accessories company’s flagship brand, Purple United Kids, offers clothing and footwear for children aged 0 to 14. The company aims to raise Rs 32.8 crore through its IPO to fund new store openings and working capital requirements.

The company has shown strong growth, with revenue increasing by 67% YoY and net profit surging by 223% in FY24. The IPO will be open for subscription from December 11 to December 13, with shares set to list on the NSE SME index on December 18.

Jungle Camps India:This hotels company operates wildlife camps, hotels, motels, inns, guest houses, holiday homes, health clubs, catering houses, and restaurants across India. The Jungle Camps India IPO, a book-built issue worth Rs 29.4 crore, will open for public subscription on Monday, December 10, and close on Thursday, December 12. The shares are set to list on the BSE SME index on Tuesday, December 17.

The company aims to use the funds raised through its IPO for project development at Sanjay Dubri National Park, renovations at Pench Jungle Camp, investment in Madhuvan Hospitality’s Mathura Hotel Project, and general corporate purposes.

The company reported a 38% YoY revenue decline in FY23 due to increased employee benefits and other expenses, despite achieving a 44% growth in revenue during the same period. In FY24, net profit surged by 700%, showing substantial improvement.

Supreme Facility Management: This misc. commercial services company provides integrated facility management solutions, including housekeeping, cleaning, disinfecting, staffing, and corporate food services for businesses.

The company aims to raise Rs 50 crore through its SME IPO, which opens for subscription on December 11 and closes on December 13. The shares are scheduled for listing on the stock exchanges on December 18.

The funds raised will be used for working capital requirements, pursuing inorganic initiatives, and general corporate purposes. During FY24, the company saw a 7.9% YoY increase in revenue and a 33.8% YoY rise in net profit.

Yash High Voltage: This heavy electrical equipment company specializes in manufacturing and distributing transformer bushings. The company’s production unit is in Vadodara, Gujarat and has an annual capacity of 7,000 bushings. Yash Highvoltage will open the issue on December 12 and closing on December 16. The shares are set to list on December 19 on the BSE SME index.

The funds raised will be utilized for setting up a new factory to produce Resin Impregnated Paper (RIP) and Resin Impregnated Synthetic (RIS) transformer condenser graded bushings. In FY24, the company reported a 20.4% YoY growth in revenue and a 5.6% rise in net profit.

Inventurus Knowledge Solutions: This healthcare services firm provides administrative support to healthcare enterprises, including clinical support, medical documentation management, virtual medical scribing, and more. The company helps doctors and healthcare providers by handling their paperwork and administrative tasks.

The upcoming IPO, with an issue size of Rs 2,497.9 crore, will open on December 12 and close on December 16, with shares listed on December 19. This mainline IPO will be an offer-for-sale (OFS) of shares by the promoter, with no fresh equity issuance.

In FY24, IKS Health achieved a 75.3% YoY revenue growth and a 21.4% increase in net profit.

International Gemmological Institute: This misc. commercial services company is a globally recognized organization specializing in certifying and grading diamonds, gemstones, and jewelry. IGI provides independent grading reports that assess the characteristics of stones using internationally recognized standards, covering attributes like color, cut, clarity, and carat weight.

The company plans to use the funds raised from its IPO to pay the purchase consideration for acquiring IGI Belgium Group and IGI Netherlands Group from the promoter, along with general corporate purposes. The offer size is Rs 4,225 crore.

For the nine months ending in CY24, the company reported a revenue of Rs 619.5 crore, compared to Rs 648.7 crore in CY23.

Trendlyne Analysis released a IPO Note report for IPO on 30 Jun, 2025.

The Baseline

05 Dec 2024, 02:45PM

Five stocks to buy from analysts this week - December 05, 2024

By Divyansh Pokharna

1. Aadhar Housing Finance:

ICICI Securities maintains a ‘Buy’ rating on this housing finance company with a target price of Rs 550. This indicates a potential upside of 24.8%. Analysts Renish Bhuva, Chintan Shah, and Palak Bhatt highlight the company’s strong focus on geographical diversification. Unlike many mortgage players, where over 30% of assets under management (AUM) come from a single state, Aadhar Housing Finance (AHF) stands out with no single state contributing more than 15% of its AUM.

The company’s AUM stands at Rs 22,800 crore as of September 2024 which is among the highest in its listed peer group. AHF’s management reported minimal borrowings from the National Housing Bank (NHB) in H1FY25 but expects significant borrowing in H2FY25, which is likely to keep the cost of funds (CoF) in the range of 8.1-8.2%.

Bhuva, Shah, and Bhatt note that AHF strategically targets the salaried segment beyond tier-2 cities, focusing on low-ticket loans under Rs 15 lakh. Aadhar’s early entry into underserved markets and focus on the formal salaried segment has helped its lending business. They expect AUM to grow at a CAGR of 20.8%, reaching Rs 31,046.2 crore by FY26.

2. The Ramco Cements:

ICICI Direct maintains a ‘Buy’ rating on this cement & cement products manufacturer with a target price of Rs 1,130, indicating an upside of 8.6%. The Ramco Cements is primarily based in South India, with around 84% of its cement capacity located in Tamil Nadu and Andhra Pradesh, while the remainder is in the East. The company added 4.6 million tonnes per annum (MTPA) of capacity between FY23 and H1FY25, bringing its total capacity to 24 MTPA, with plans to expand to 30 MTPA by FY26.

The company’s volume growth declined by 0.6% YoY in H1FY25, impacted by elections, monsoon, an extended heatwave, and pressure on cement prices. However, analysts Vijay Goel and Ankit Shah expect a recovery in sales volumes in H2, driven by capacity additions and stronger demand in key markets such as Tamil Nadu, Karnataka, and Andhra Pradesh. They believe that Ramco’s focus on expanding capacities at existing locations will support its market share growth.

The company has monetised Rs 376 crore of non-core assets during September-October 2024, aiding debt reduction and to support Rs 1,200 crore capex planned for FY25. Goel and Shah project a 12% revenue CAGR and a 64% net profit CAGR over FY25-27.

3. Lloyds Metals and Energy:

Anand Rathi initiates a ‘Buy’ rating on this mining firm with a target price of Rs 1,260, indicating an upside of 17.8%. Lloyds, the only iron ore miner in Maharashtra, holds around 157 million tonnes of extractable iron ore. Analysts Parthiv Jhonsa and Prakhar Khajanchi note that the company’s Surjagarh mine, awarded through an allocation route, exempts it from paying a premium to the government, making it one of the most cost-competitive miners in India.

Lloyds Metals and Energy is establishing integrated steel facilities in Ghughus and Konsari, set to begin operations between FY27-29. The company is also constructing a 10-million-tonne, 85km slurry pipeline between Hedri (pumping station) and the Konsari plant. This pipeline is expected to deliver benefits from FY26 and will save around Rs 600 crore annually when fully utilised.

In Q2FY25, Lloyds’ revenue grew by 25% YoY to Rs 1,364.4 crore, surpassing Trendlyne’s Forecaster estimates by 12.5%. However, its EBITDA margin declined by 130 bps to 24.9%, but analysts remain positive about margin growth. Jhonsa and Khajanchi said, “The company’s strong presence in Maharashtra and the development of integrated steel plants are expected to improve margins. Additionally, the construction of a slurry pipeline is likely to further drive up the EBITDA margin.”

4. Hindustan Unilever:

Motilal Oswal reiterates its ‘Buy’ rating on this personal products company with a target price of Rs 3,100, indicating an upside potential of 25.8%. In Q2FY25, the company reported a revenue growth of 2.1% YoY to Rs 16,145 crore, driven by the home care and beauty & wellbeing segments.

Despite a muted quarter for FMCG overall, analysts Naveen Trivedi and Tanu Jindal highlight that the company has a pipeline of innovative products in skin care and home care, aimed at capturing additional market share in the premium segment. The company is focusing on offering more premium products in beauty & wellbeing (B&W) and foods & refreshments (F&R) segments. HUL has a vast distribution network of 9 million outlets. Its Shikhar app services 1.4 million outlets, handling 50% of traditional trade demand.

The analysts said, “The company remains focused on volume-led growth, complemented by low single-digit price hikes to offset raw material pressures.” HUL has achieved 30% ecommerce CAGR over the past three years.

Trivedi and Jindal note that the company aims for strong turnover growth by increasing volume, offering premium products, and changing its portfolio in B&W and F&R. They expect a CAGR of 7% in sales, 8% in EBITDA, and 9% in net profit over FY25-27.

5. Anant Raj:

Emkay initiates a ‘Buy’ rating on this realty company with a target price of Rs 925, indicating an upside potential of 28.1%. In Q2FY25, the company reported a net profit growth of 75.7% YoY to Rs 105.6 crore and revenue rose 54.3% to Rs 512.9 crore.

Analysts Ashwani Sharma, Harsh Pathak and Chinmay Kabra note that the company owns 220 acres of land, with approximately 120 acres of land yet to be developed. Also, the company has around 101 acres of land bank in Delhi which has a development potential of around 12 million square feet (msf), supporting its ability to launch new projects. The company plans to increase its data center and cloud capacity to 307 megawatts (MW) in the next 4-5 years, up from the current 6 MW.

Sharma, Pathak and Kabra expect multifold growth in this segment, driven by digital adoption, 5G expansion, better optic fiber networks, and government efforts on data protection. They project residential sales to grow at a CAGR of 18%, reaching Rs 4,600 crore. This, they say, will drive collections to grow at a CAGR of 39%, reaching Rs 2,630 crore between FY25-27, leading to a strong cash flow for the company.

Note: These recommendations are from various analysts and are not recommendations by Trendlyne.

(You can find all analyst picks here)