- India's per capita packaging consumption is less than USD 15 against world wide average of nearly $100, hence there is a huge scope of business in this segment.
- The large growing middle class, liberalization and organized retail sector are the catalysts to growth in packaging.
- Food and Pharma packaging are the key driving segments. Since at present both the sectors are doing fine and hence we can see, uptick in the sector in the coming days.
- With an expanding middle class and rising income levels, the patterns of consumption are bound to change substantially and the demand for quality and convenience-based products will increase. Concurrently, the increased interaction with the developed world will considerably influence the aesthetic and quality norms of the Indian consumer and lead to better consumption standards. This is expected to stimulate greater consumption of branded products and increase the use of packaging.
Moreover, Uflex Ltd also has a Chemical division in the name of Uflex Chemical Division, ISO 9001 certified company, which established a US $ 6.5 million manufacturing facility at NOIDA (U.P) with ongoing technology transfer agreements with M/s. Color Converting Industries, U.S.A. and M/s. Sunkyong Industries Limited, South Korea-a Fortune 500 company. Uflex once revolutionized the Shampoo market by Optimizing Shampoo Laminate structure and introduced Multi (5) Track Form Fill Seal Machine - Sunsilk, Clinic Plus, etc. It also has a Cylinder Printing division which churns out, 35,000 cylinders per annum. The Book value of the shares of the company is Rs.178.96. I am looking at a target of Rs.129--132, in the next 45 days time frame.
Bartronics Ltd today touched Rs.25.90, before closing flat. The stock should be moving towards Rs.35-40, in the coming days, as most of the IT stocks are simply moving up, due to positive sentiments prevailing in this sector. The book value of Bartronics Ltd is Rs.158.66 and the scrip is trading at Rs.22.60, what a joke??!! When most of the IT stocks are shooting over the roof, I am surprised to see it roll between Rs.22 and Rs.26......!!
V2 Retail Ltd (Earlier, Vishal Retail Ltd) hit the buyer freeze in the mid afternoon trade, with good volumes before closing a tad below at Rs.10.77. Those who have still not taken position in the company, should enter it before it starts hitting upper circuits.
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