Guyz,
I have been tracking this stock for quite some time.I totally agree with many of your views that this is a operator driven stock.It is evident as last week one day there were no buyers and the next day there were no sellers.Do you think any stock with genuine investors interest can have this kind of pattern?
Also look at the announcements company makes.It informs exchange at least once in a quarter that it has acquired some xyz company in abc country.hmm
Now the big news that they are demerging the company and make 3 entities by April 2007.Teledata Informatics,Teledata Marine Solutions (phew) and Teledata Technology Solutions.This they say will further enhance their business.Something very interesting to note about this announcement is that they say for every 100 shares of Teledata Informatics that you own you will get
100 shares of Teledata Informatics
50 shares of Teledata Marine Solutions
50 shares of Teledata Technology solutions.
They say face value of each share would be 2Rs.Which means the current face value of 10Rs would be 2Rs after the demerger(Phew).So by the end of it you will have only 300 shares as opposed to 500shares(If face value is made 2 then 100 shares should be 500 shares after the demerger isn't it? where did rest 200 shares go? This is the corporate announcement that company released to both NSE & BSE.Strange isn't it?)
Well finally to the question that I have been asking myself.How can all these be fake when company has such a good balance sheet?Having a book value of more than 50 Rs and P/E ratio of less than 3 is just incredible for a technlogy stock.This is precisely the reason I bought 10000 shares @ 9.75
I checked with few of my borkers.They said even they were wondering why the stock didn't go up.They told me that they came to know that management is not reliable and company and products are kinda fake.I still do not understand this as if they show good balance sheet they will have to pay the taxes.
One thing for sure.No doubt in my mind that it is operator driven.Be carefull while you invest.
Best Regards,
Abhi