Thread by @SkCapitalist

#TamilNadu Petro Products..
1. Company is primarily engaged in the manufacturing and sale of petrochemical products Linear Alkyl Benzene (LAB), Caustic Soda, Chlorine and its derivatives...
2. 80% of revenue comes from LAB which is used in washing powder and cleaning products

3. Improvement in demand for these cleaning products is visible going ahead.
4. LAB is a commodity chemical where supply demand is currently at par but keep an eye on import policies..
5. Company has stabilized margins and they have shut their loss making unit

6. Promoter holding has stayed constant over the last 6 quarters, FII's have increased stake and no mutual fund holdings in the company.
7. OPM is 7-9%; Debt to equity is 0.15 & P/BV is 0.65 so valuations are very attractive. ROCE has zoomed from -ve in 2016 to 19% in 2019.

8. As on March 31, 2019
the company does not have any long term debt outstanding, working capital borrowings constitute the total debt.
9. Closest listed competitor is Galaxy Surfactants which trades at a P/E of 28 whereas TN Petro is @ 4.39.

10. Sales growth in 3 years is 21.13% & Profit growth in 3 years is 58.68% with PEG Ratio of 0.15. Company has also started paying Dividends another good sign of stabilizing operations.

I personally feel the company is highly undervalued and if it continues with the same performance the stock should double from here.

@threadreaderapp unroll.
Please add any other points if you feel.