Recent IPOs

I took a quick look at the RPP Infrastructure Prospectus. Looking at the Risk Factors, Crisil
Rating, business concentration & valuation, I am not excited to apply for
this IPO. The PE is about 21 & I would watch out for SP Tulsian's analysis
of this IPO. One thing I like about his analysis is reference to
comparative valuation of the company, that's pretty helpful. His prediction
on Bedmutha has come out accurate. The stock has been hitting lower circuit
for several session & no price for guessing that now it will trade below
its issue price.
Since the grey market for RPP indicates a premium of about 3k for a full
application, we may still apply from just one of the account. I would also
like to test out the hiked limit of Rs. Two Lakhs for investment in Retail
category, just to see how it works.
Gravita India listing turned out pretty good. So we did not hit the bulls
eye, but never mind :)
Coal India is holding at around 320 when there is this carnage happening
all around. Am very tempted to buy Coal India at this level & I can see 10%
upside potential easily when markets rebound or say two quarters down the
line. I am aware that this is richly valued currently with a price of 280
or so more appropriate keeping in mind the comparative valuation of Coal's
global peers. However, what I am hopeful is about sustainable growth. What
we sold during IPO averaged 341 so again tempted to reverse the trade &
this will ensure that some profit is booked & we retain this for long term
as well :)
Regards,
Rohit