TraderRahulPal

Rain Industry will give Returns like Rain if you will invest now

Long
NSE:RAIN   RAIN INDUSTRIES LTD
Hello Everyone, i have brought a stock of carbon cement producer which has given neat and clean breakout of Bullish Triangle Pattern on weekly Timeframe. Cement sectors giants like acc and ultratech has given best qtr this time, seems this could be a game changer for cements stocks. if we talk about Rain industry it is trading now on high discounts from all time high.

Technical analysis:-

Price is above 200-DEMA
Stock has given breakout of Triangle pattern
Volumes are high in last 2 and half years.
MACD has given bullish crossover( I have not placed MACD indicator on chart)

About Company:-
Rain Industries Limited (RAIN) is a leading vertically integrated producer of carbon, cement and Advanced materials products. Headquartered in India, RAIN has manufacturing facilities in eight countries across three continents.

KEY POINTS
About
Rain is into transforming by-products of oil and steel industries into high-value carbon-based materials essential to numerous manufacturing applications and end products. The company is making a strategical shift from low-margin products to favourable product mix.

Manufacturing Capabilities
The company owns and operates a total of 17 manufacturing facilities which manufactures products for its 3 business segments. These facilities are established across North America, Europe and Asia.
Its current manufacturing capacities are -
Calcined petroleum coke - 2.4 MTPA.
Coal tar distillation - 1.3 MTPA
Advances materials production - 0.6 MTPA
Cement production - 3.5 MTPA

Co-Gen Power Capacities
It presently has a co-gen power capacity of ~175 MW from its 5 waste heat recovery plants & WHR steam plants. It also owns 4 flue-gas desulphurisation plants for co-gen power.

Carbon Products Segment (66% of revenues)
The company is the world's largest producer of coal tar pitch (CTP) and the second-largest manufacturer of calcined petroleum coke (CPC). It manufactures CTP and CPC through its wholly owned subsidiary Rain Carbon Inc. CPC accounts for 39% of revenues of the segment, followed by CTP (36%) and other carbon products (22%)

Advanced Materials Segment (26% of revenues)
The company leverages technology for the downstream transformation of a portion of its carbon output, petrochemicals and other raw materials into high-value materials that are critical to the specialty chemicals, coatings, construction, automotive & other industries. It operates manufacturing facilities in Belgium, Canada, Germany and Netherlands. Resins accounts for 40% of revenues of the segment, followed by petrochemical intermediaries (25%), naphthalene derivatives (18%) & engineered products (17%).

Cement Segment (8% of revenues)
The company produces cement through its wholly owned subsidiary Rain Cements Ltd in the region of South India. It manufactures and markets high-quality ordinary portland cement (OPC) and portland pozzolana cement (PPC) under its own 'Priya' Cement brand. It owns one manufacturing unit in Andhra Pradesh and Telangana each, and a packing facility in Karnataka. It has a base of 2,000+ registered dealers for distribution of its cement.

Market Cap
₹ 5,906 Cr.
Current Price
₹ 176
High / Low
₹ 184 / 140
Stock P/E
20.0
Book Value
₹ 253 (Very positive)
Dividend Yield
0.57 %
ROCE
17.1 %
ROE
19.8 %
Face Value
₹ 2.00
Industry PE
41.9
Debt
₹ 9,372 Cr. (Negative)
EPS
₹ 8.04
Promoter holding
41.1 %
Intrinsic Value
₹ 330 (Very positive)
Pledged percentage
0.00 %
EVEBITDA
5.60
Change in Prom Hold
0.00 %
Profit Var 5Yrs
10.7 %
Sales growth 5Years
13.2 %
Return over 5years
9.31 %
Debt to equity
1.10 (Negative)
Net profit
₹ 409 Cr.
ROE 5Yr
12.9 %
Profit growth
-76.9 % (Negative)

Disclaimer:-
Please always do your own analysis or consult with your financial advisor before taking any kind of trades.

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Thankyou.
Comment:
What a rally we have seen in Rain Industry,,,We have Achieved our 1st Target.. Now this will head towards our 2nd Target..Be ready to enjoy the Profitable rally.


Best Regards,
Rahul Pal
(Full Time Trader & Investor)

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