VST Tillers LTD@ 815rs, a stock for investors

 
Company Profile & Brief about company products:

 VST Tillers Tractors Ltd. was set up in the year 1967 by the VST Group of organisations, a notable extremely old business house in South India. The author of the gathering was Sri.V.S.Thiruvengadaswamy Mudaliar who begun with humble beginnings under the VST and Sons pennant in the year 1911. The gathering assembled its standing through retailing of oil based commodities and circulation of Automobiles in Karnataka and Tamil Nadu. Farm vehicles are additionally being showcased under "FIELDTRAC" brand in different business sectors of European Union gathering the most recent EU guidelines. It has best in class plant at Malur and Hosur close to Bangalore in India and at Mysore for accuracy segments. The items are supported with contemporary testing and R&D office fulfilling severe Global guidelines.

 VST Tillers Tractors Ltd. was advanced by VST Motors as a joint endeavour with Mitsubishi Heavy Industries Ltd, Japan. The organization is presently the biggest producer of Power Tillers in India. Today, the VST family holds 51% of the value in the recorded organization that has recorded steady development and has given superb re-visitations of its investors. VST SHAKTI is India's No 1 brand in Power Tiller (strolling Tractor) in India presented more than fifty years prior. A pioneer in conservative four - wheel drive work vehicles at first presented as "VST Mitsubishi", has now extended its quality under the brand "VST SHAKTI" with scope of minimized and rural Tractors. With eye on worldwide freedom, the organisation has extended its quality in excess of 20 nations longer than 10 years and set up itself as a most favoured brand for the minimized work vehicles.

 The List of Company Products:

 Power Tillers

Tractors

Rice Transplanter

Power Reaper

Rotary Tillers

VST GroTech Solutions

Power Weeder

Attachments

Engines

Spares and Lubes

Precision / Auto Components

Company Updates:

 VST-Shakti, and sent to completely different items of the planet, as well as the USA. VST Tillers Tractors could be a piece of the VST cluster. Joins are assembled/sold underneath the Kukje Sakti name, in participation with Kukje of Asian country.

 In 2009, VST created three, 758 farm vehicles and nineteen, 068 tillers.[2] In 2010, VST started grouping a farm vehicle for Sonalika International to advertise outside of Asian country as a Solis marked farm haulier. MHI-VST Diesel Engines personal restricted could be a joint endeavour organization for building diesel motors that was created in Mysore, Asian country in 2007.[4] The organization gathers Mitsubishi Diesel Engines models up to twenty four.1 kW (32.3 hp) and provides spare elements.[5] VST Tillers simply claims regarding three.5% of this organization. The new plant, with AN introduced limit of thirty six,000 farm haulers ANd created at an expense of Rs.70 crore, would be formally initiated on April twenty five , decision maker B. C. S. Iyengar aforesaid, giving subtleties of the four-wheeled drive twenty two HP farm haulier sent as these days.

 Mr. Iyengar, tending to squeeze individuals here on Mon, aforesaid the selection to unite the farm haulier activities at Hosur was to primarily satisfy the developing business would like for power turners by creating area at the Whitefield Road plant here. Aside from higher framework at Hosur, Another rationalization was urban centre turning into an extravagance for trade, he said, adding that everything from pay rates was fastened to the IT space. The plant of VST Tillers Tractors was the solitary grouping unit on the Whitefield street with the world remodelling into searching centres and IT edifices. This viewpoint had not incomprehensible  the thought of monetary backers WHO required the organization to maneuver out of urban center and gain by the land price of the nineteen.5 section of land plant. On whether or not this was being thought of, Mr. Iyengar answered within the negative, but additional the choice could not be precluded whole. The organization, whose item vary incorporates a eighteen.5 HP four-wheeled farm truck, includes a plant in Mysore wherever key elements like driving rod, chamber block and interfacing bar area unit created.

 VST Tillers Tractors, a bit of the VST bunch, denote a turnover of around Rs.600 large integer in 2013-14, and is coping with a 26-HP vehicle which will be an item for small and negligible ranchers. It sold 7,400 units last financial, in an exceedingly market whose size is assessed around thirty, 000 units, as well as Chinese imports. The organization, hoping to sell ten,000-12,000 units this year, desires the general public authority to grant improved support, to ranchers, for created in Asian country smaller than usual farm vehicles.

 Personal view on company stock price and future growth:

 Today VST Shakti has become number 1 brand of India in tiller segment. Today company is the leader in the agri equipment sector having product range of Power tillers, Tractors, Engines, rice transplanted etc. VST tillers are trading at lowest valuation due to the bad patch of the company in the past. The management commentary is very positive  for future growth of the company. Agriculture equipment sector and Tractors will always be in  focus point. The govt has also focus on the agriculture sector or related themes. This is Debt free company. Manufacturing of Farming Equipment and Tractors. If anyone can buy at this price level then we may see multibagger returns in coming years. The share holding pattern of promoters is also giving me comfort level for making investment in this company. The financials are also sporting. The products of the company will always in demand. The agriculture sector play vital role in the economy growth of the Country. The govt also offer subsidies for such kind of businesses. What else we need to discuss about this company. I think It has huge potential. This is a investment grade stock and as per my view it should be into the portfolio. Try to check the change in the circumstances or financials of the company if you want to hold this stock for years. But once you will get the given targets then try to book the profit as well on higher levels

I will not be surprised if this company share price will be traded at price levels of 

  1000rs, 1050rs, 1100rs, 1150, 1200rs +  in Short term 

 Medium term tragets : 1500rs 

 Long term Targets:  2000rs +

Disclaimer: 

It is my personal view on the stock. Please do your own research before making any investment. My view on the stock may differ from others. Company profile data may have collected from company website.