Retail still strong - safe with strong growth potential

Retail is still going strong. It is safe and having strong growth potentials. In today's market when Small Cap corrected by 2% and Large Cap by 1% then also V-Mart, Future Retail and V2 Retail could show very positive movement.

V-Mart, Future Retail and V2 Retail are all discussed on Facebook Page or Group.

V-Mart could get a place as blog post too. At that time (Jan 2017), it was quoting at Rs 500.CMP: Rs 1448.

Future Group was mentioned many times as group on Facebook Group. Retail as a theme also got the place on group few times to highlight the theme.
Future Consumer got the space a blog post later. At that time price was Rs 34. CMP: Rs 57. Think of Future Retail too. CMP: Rs 544.


V2 Retail I talked mostly at the D-Mart time and it has given good gain. Later I left this.

Facebook Group is fine for now but I may stop using that. So, better think of Facebook page for Value and Growth Stocks.

Recently few stocks mentioned on Facebook Group

Sintex Industries, Fiberweb (India), Edelweiss Capital, and V2 Retails. All these are doing good or waiting to do good.

Sintex Industries is mentioned at Rs 85 is above 105 now. Edelweiss is also 15-20% up. It and Sintex mentioned very recently.

Fiberweb (India) mentioned few months back but it is more than doubled. It is running from long and I was not very sure if it will run or wait for consolidation. Management is increasing capacity and products are doing good. Recently audit team came from USA for Wal-Mart order. All these updates are on Facebook. Now, stocks is not looking very sweet deal. But I may stay there.

V2 Retails I selected at the time of D-Mart IPO. V-Mart I blogged here is already up by more than 50%. V-Mart mentioned here was at very safe price that time.

Few more stocks were mentioned at Facebook group. But I won't give personal advice.

Updates about stock mentioned as blog post here are given on Facebook group.


I am not a registered stock adviser or analyst. All stocks mentioned here or at Facebook group are just a view and just discussion on social media. 

V-Mart Retail Store: Value and Growth Stocks

V-Mart Retail is in fashion retail in mid to small towns (Tier 2 and Tier 3 cities). It has expansion in 2016.

We have 136 stores across 116 cities in 14 states and union territories,with a total retail area of 11.48 Lac sq.ft (106694.21 Thousand Sq Mtr.). Our stores are located in prime states/cities such as Bihar, Chandigarh, Gujarat, Haryana, Jammu and Kashmir, Madhya Pradesh, New Delhi, Punjab, Rajasthan, Uttarakhand and Uttar Pradesh. We are among the pioneers in setting up modern ambiance stores or large retail malls across various small towns and cities like including Sultanpur, Ujjain, Motihari and more.

We primarily operate in tier II & tier III cities with the chain of “Value Retail” departmental stores. Our stores cater to the needs of the entire family altogether by offering apparels, general merchandise and kirana goods.

CMP: Rs 500,
PE: 41.4,
PB: 3.8.


Contribution of segment to total revenue :

• Apparels: 78%
• Non-Apprels:  14.2%
• Kirana: 7.5%

Shareholding:

• Promoters: 55.45%,
• FII: 0.02%,
• DII: 4.88%,
• Public: 9.46%,
• Others: 26.09%.

Shares in the hand of public are not big. Biggies has cornered big part in Sept, 2016.

Footfall: 113 Lakh in Apr-Sept, 2017 Vs 98 Lakh in Apr-Sept, 2016.

Store Count has increased in Tier 2 and Tier 3 cities

Stores has grown but sales growth has not happened according to the growth in stores. I think new stores would take time to give return but manpower cost etc has taken dent on profit. In festival season of Oct, these may have given good sales.

62% of total stores are in Bihar and UP. So, are both states going to do well! In Odisha store count is 10 and in Jharkhand 7. The Store count is out of 134 stores as of Sept, 2016.

How election affect fashion? It promotes buying or not! This effect, if any, can be for 1-2 months in Uttar Pradesh.

Eight new stores in July and Sept, 2016. Agra, Jammu, 3 in Odisha, one in Varanashi and two in West Bengal.

Long term price average in not far. It has not gained in past one year. Profit is down. Sales growth has happened but this year should be good on new pay commission and better farming output. Demonetization can affect it's Dec sales but that could be a time to load more shares.