Equity Watch

Compucom Software shall take rapid strides in the next 5 years

Compucom Software ( CSL ) was founded in 1990 in New Jersey USA.It started its Indian Operations in 1994 in Jaipur, Rajasthan.The Co. opertaes in the following verticals:

1.Software Design, development and maintenance

2. IT Training and Education

3. e-Governance Initiatives

4. Resource Supplementation

5. BPO and Call Centre

6.Compucom Media, Jan TV

CSL has an equity of approx.Rs. 16 crores divided into 8 crore shares of Rs. 2 FV. Last 5 years the company has consolidated its position in Rajasthan , and because of Congress partisan politics against the Company whose MD Shri Surender K Surana is well known to be close to NAMO and active in local BJP circles , the company could not make  much progress .However now the things have changed and with a new vision of our PM and a very dynamic HRD  Minister Ms. Smriti Irani, Compucom is expected to take rapid strides in all the verticals its in..

(in Cr.) 2014 2013 2012 2011 2010
Income Statement
Revenue 70.50 71.28 69.95 71.03 59.35
Other Income 3.36 2.20 1.87 1.85 1.19
Total Income 73.86 73.48 71.83 72.87 60.54
Expenditure -39.69 -37.69 -29.62 -31.38 -27.31
Interest -3.37 -4.41 -5.28 -4.88 -5.42
PBDT 30.80 31.38 36.92 36.60 27.81
Depreciation -15.02 -18.43 -24.63 -21.26 -16.59
PBT 15.78 12.95 12.29 15.35 11.22
Tax -5.54 -4.26 -1.20 -3.32 -2.02
Net Profit 10.24 8.69 11.09 12.03 9.20
Equity 15.83 15.83 15.83 15.83 10.05
EPS 1.29 1.10 1.40 1.56
CEPS 3.19 3.43 4.51 4.21 5.13
OPM % 48.47 50.21 60.33 58.41 55.99
NPM % 14.52 12.19 15.85 16.93 15.50
Detailed Detailed Detailed Detailed Detailed
Consolidated Consolidated Consolidated Consolidated Consolidated
Segment

Company is sitting on a large land bank, the expected value of which is more than its present market cap of less than Rs. 100 crores @ CMP of Rs. 12.2. BV of the share is approximately Rs. 15 and D/E ratio of less than 0.2. Long term loans are coming down. Company’s latest AR is vary candid in giving out the bright future of the company.Management pays dividend every year and this year too 20% dividend has been paid.Promoters equity stake in the company is very healthy at 72.7% plus 3.3% in employee welfare trust..

Buy is recommended at CMP  ..

This report has been prepared solely for information purposes and the information contained herein may not be deemed to be an investment advice. Such information is impersonal and not tailored to the investment needs of any specific person. The information contained herein is not a complete analysis of every material fact representing any company, industry or security. The views expressed may change. While the information contained herein has been obtained from sources believed to be reliable, no responsibility (or liability) is accepted for the accuracy of its contents. Investors are advised to satisfy themselves before making any investments and should consult with and rely upon their own advisors whether and how to use such information in making any investment decision. Neither the author nor his firm accepts any liability arising out of use of the above information

Standard

3 thoughts on “Compucom Software shall take rapid strides in the next 5 years

  1. Mahesh says:

    Your arrow coated made me to buy duster car, made 20% charity. Immense gratitude to you sir. i will study this company, hope to make money in this too. NAMO link attracted me.

    Regards,
    mahesh

    Like

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