Glodyne: the multibagger

Between Feb and August 2009, Glodyne increased from 160 to nearly 800, ie 5 times. It is but natural that it now takes a breather, consolidates around 700, before continuing its upward march to 500. ( exbonus)

My estimate is that by August 2010, the market should discount the FY2010 eps of 50+ by 25 times, giving a price of 1500.

CONSPIRACY OF SILENCE

As I had noted last year, once again there is a conspiracy of silence against Glodyne in the financial media. Each agency which had been consistently recommending Glodyne , like telefolio, Reliancemoney etc is silent, after its q1 result. Perhaps the well heeled, deep pocketed investors are accumulating the stock and have used their influence to silence the media while they accumulate it.

I am expecting the buy recommendations along with fresh targets , to appear in the media soon , as the date for announcement of q2 results approaches. This time the q2 results will include results from NREGA project as well as results of Broadllyne. It would be interesting to watch the results.

Glodyne : growing by leaps and bounds

As expected, Glodyne has performed very well. Mreover it has proved its investor friendliness by declaring a 42 % dividend and a 1:1 bonus. It has also entered into the education field by acquiring Broadllyne. It appreciated to 403 exbonus ( 806 cumbonus) before investors rushed to book profits. Still, the volumes are not sufficient to indicate a crash in the rice. Rather, I think manipulative forces might be at work, trying to hammer the price to enable their entry at a lower price.

The future outlook is bright. The q1 eps is around 10.25. If the performance continues on this track, we can expect a 50+ EPS for 2010.Aided by a few more acquisitions in the current year and by some more investor friendly announcements, like a 40 to 50% dividend for FY2010 and a stock split or another bonus could take the scrip to 1500 by sept 2010.