Chemfab Alkalis Ltd. Stock Research

Share this page On

Chemfab Alkalis Ltd. Detail

Chemfab Alkalis Ltd is in portfolio of Subramanian P. He is one of the top investors in India. It is a Chemical Company. As per the website Company claims to be first Company in India to introduce following

  • First to introduce and successfully implement Ion Exchange Membrane Cells for chlor-alkali industry
  • First to introduce Titanium Metal Anodes for Chlor-alkali industry

The key products of the Company are (as per Company website)

  • Caustic Soda Lye in two grades (33% & 48%).
  • Liquid Chlorine
  • Hydrogen Gas
  • Hydro Chloric Acid
  • Sodium Hypochlorite / Bleach Liquor

All the above products are free from Mercury and are environment friendly. The company started with 25 TPD capacity and now operating at 100 TPD capacity. It has target to achieve 200 TPD by revamping the factory. The plant is located in Kalapet Pudhucherry. The registered office is in Chennai.

Now lets look at performance of this company over the years.As per Dow theory of technical analysis price performance over a period of time reflects Company state.

READ  Leena Consultancy Ltd Stock Research

Chemfab Alkalis Ltd.  Stock Performance

Chemfab Alkalis Ltd stock performance 2018
Chemfab Alkalis Ltd stock performance 2018

The long term chart provides exact picture of Company performance. It is recently listed on Stock exchanges (Apr 2017) to be precise. Since less than 1 year price chart is available it is difficult to judge it based on price performance alone.

It debuted around 225 mark and with time gone to 150 odd levels. So in last 9 months company has not performed on exchanges. You need to remember that these 9 months were not good for Stock exchanges. After good run for last 3 years Indices started cooling off.

So you should not judge the Company based on the price performance for these 9 months.

Chemfab Alkalis Ltd. My Opinion

Chemfab Alkalis Limited is in Chemical sector. This is new hot sector of the market. There are too many companies listed in this sector. Each company produces different compound and there are too many compounds to deal with.

READ  Amco India Limited Stock Research

So despite too many companies being listed on Exchanges you really need to see if any of the Company compete with product portfolio of Company you are selecting for investment.

I am impressed with one fact about the Company. It is pioneer in early adopting new technologies and successfully using them for production. This is hallmark of a good Company

I would like to see it getting bit old on exchanges. It is important to know the time price decline gets flatted out and there is time for turn around. Right now company is going down slowly which is not good sign for investors.

Personally I am invested in Chemical Sector and do not want to increase the exposure further. In case you are interested then you can track the company by adding it to your stock watch list. That way you can keep close eye on the Company.


Share this page On

Leave a Reply

  Subscribe  
Notify of