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Galactico Corporate Services Ltd (GALT)

BSE
Currency in INR
2.12
-0.05(-2.30%)
Delayed Data·

GALT Comments

Galactico is a buy. Buy at CMP. SL: 18. Target: 75. Add if the stock goes to around 10. But it's a buy if your risk appetite is normal. Galactico looking good on weekly as well as on daily charts. #Equalweight.
Seems like Galactico is going to 10. So, 10 to 30 is what the stock should trade in for few a months. 10 is quite inevitable given today's fall and given Quantitive Tightening these days.
It seems Galactico won't stop from here on. One should buy/add in dips. SL: 20. Target: 80. Add above 30 or play a martingale if the stock breaks down below 20 to go to go to 12-10 levels as discussed in earlier comments. EMH view often changes in with price behaviour. So, 20 is a double bottom on weekly charts. Whereas 10 would be double bottom on daily charts. Weekly charts more than often defy daily charts. So, Galactico is a buy around CMP. #Overweight. 30 is a horizontal top as well as 89-DEMA. Adding above 30 would be prudent and less risky as price reversal of higher high higher low as, professed in Dow Theory, will be confirmed. But active investors and whose risk appetite is normal should definitely buy Galactico around CMP. EMH changes on factors such as price behaviour and several other factors. Price behaviour itself changes. Right? So, I won't comment on such complex things. So, to conclude, to my mind Galactico is going to 30 and then to 80; and it's not going to 12-10.
So, a stock can easily retrace 100% of its move, the way Galactico started its move from 8-10 to 80 kinda levels. Investors should be quite confident to buy at 10-12 zone.
Exotics I'm; Club Taanaashaahs I'm. #Taanaashaahi.
I always play martingales on Galactico. That's how I buy transitions. I always play martingales on few a stock. Dishtv, PCJweller are the other two such stocks.
Galactico will sooner or later be my company. Let's see.
The second advice to Galactico management team is to get listed on NSE too. It will add liquidity to the stock. Retail guys, which form majority of outstanding shares of Galactico, always face liquidity risk in such stocks where one gets only 15 minutes to sell at around 80 and then circuit brings it down to an EMH of 10. The last and least recommendation is that if PPEs and thus hedging interest rate risks seem too tough for Galactico hedging team; Lathi Saahab should try and acquire smaller players in the listed space given this recession days. This will save turnaround time as acquiring other companies in the sector is as instant as pressing a button, whereas new PPEs will take much much much more time.
Btw, Lathi Saahab, if you read me on Investing.com, nice trending ADX those days! Work on P/B and ADX and you can be a Nifty stock in quite some time. You can outsmart all your competitors and rivals. I like Rivalry more than Synergies. Different people; different tastes. That's all. GN.
Below 10 I'll classify the stock as 'distressed equity.' And would advice retail investors to stay away from the stock, at least in the short to medium term. But it's Stock Markets. Anything can happen in Stock Markets. I mean price behaviour can change anytime. Most promoters too can't change price behaviour through split, dividend, buyback. OFS too can't change price behaviour.
Since Galactico is a Star and not a Dog or Question Mark or Cash Cow, and since P/B will be quite distressed when the stock comes to 10-12 kinda levels. Since it's quite Star given that market is growing, at least, even if market share of Galactico has increased or not. Stars are market growing with increasing market share. I haven't delved deep into market share of the sector. But since its almost a Star(packaged water business is market growing) given its revenue growth and NAV and such things(gaining market share) still needs be checked thoroughly. The smartest of investors and hedgers read the fine print; I talk transitions. So, at 10-12 levels Galactico is a buy. The good point is that Stars or 'almost Stars' don't run the risk of getting wound up in an economy such as India. So, even if 10 breaches on the downside, probability of it retracing back to 10 quite several times is very very figh. So, from a risk-reward perspective, 10 is a buy and a wonderful decoding of EMH. GN.
I should write these things do Galactico management team rather than to comment here on Facebook. But for readers here on Investing.com Galactico is a buy at around 10-12 levels. SL: Below 10-8. Target: 80-100. Maximum 5 years. I understand tezi of this bull run. Below 10 the stock may go to zero if management team and particularly CFO and hedging team of Galactico work on P/B. I buy business transitions; I'm Junior Taanaashaah Abdus Samad. So, managing cash to bring P/B down and also to generate further FCF and Future Cash Flow is all will take Galactico to be a Nifty Component over the long term.
So, the secret of a great management, and particularly investing and hedging team is to allocate cash smartly to tackle headwinds and risks. I understand investing in PPEs can prove to be expensive on books given this Quantitive Tightening by Fed. But to my mind, it's just interest rate risk and can ban be easily hedged through interest rate options and swaps if not through simple futures or forward interest rate instruments. I guess, I should write these things to management team rather than to comment here on investing.com.
So, Galactico can manage their P/B by investing in new PPEs or so(Companies active business), and by acquiring assets, particularly equity and equity options as they have great 'embedded value.' So, CFO Saahab should allocate some 20 crores into new investment plans through PPE or so; and some 10 crores on acquiring financial assets such as equity, Equity options. Etc. This capital budgeting of some 30 crores can easily be de-risked by risk budgeting of some 3 to 30 lacs or so. The company will still have some 8 crores in cash which is quite acceptable by long-term analysts seeing Galactico's otherwise volatile Cash Flow over the past recent years. I'm a real long-term investor. I buy for 200 years or if I've acquired such companies. I buy for 200 years; I buy business transitions. I buy for 200 years, I'm #Socialism_vs_Capaitalism.
A smart investor institutional investor will never buy such high P/B.
Jo bhi hai. 10-12 will be a good entry point as it will be a double-bottom too, on carts. So, if one buys around 10-12 and books around 80-100, the stock nevertheless, is still a 5-10 bagger if you buy at CMP. 10-12 levels is value, CMP is price. Understand the difference between price and value is all it takes to be a good investor. After all it's the difference between price and value game where EMH comes in. Since there is no headwind for the company is a Star and Galactico as a sector is recession-free such as education sector is in India. Below 10, Galactico can go to zero because instituinal and particularly capitalist institutional investors would never buy such high P/Es. Unless those investors are fool.
So, P/B can be easily managed by increasing asset base. So, Galactico management team and especially CFO Saahab need work on growing asset base. Since Galactico is into business of hedging too, CFO Saahab and management team can easily grow asset base by buying ATM/ITM options in beaten down global bluechip names around these recession days. I work on new formulae for solving drawbacks in VaR philosophy and on finding a solution to Volatility Smile and Skew in the context of BSM . I hope I'll win a Nobel Prize for this sooner than later. These are real complex calculus and distribution and distribution, I don't wanna get too deep into such things. So, P/B can be easily managed by increasing asset base. Otherwise it will be a cyclical trend for some around 10 years atleast from around 0-20 to 80-100 given standard deviations and all. Afterall the problem with such high P/B is that investors always sleep with this feeling of this company getting wind up someday or go for solvency or so.
10-12 kinda levels will be a good entry point since it's in circuit pahse. But the stock going below 10 Levels, if anything else apart from astronomically high P/B goes wrong with business. CFO Saahab need work on P/B. Or to my sense, It may just another cyclical trend. Being Alpha and Star alone don't create secular trends. So, unless CFO Saahab works on P/B, to my sense it may just turnaround to be a cyclical trend, which is quite rare for this a Star and Alpha given India's growth story. To be a Nifty component CFO Saahab and management team needs mull on P/B. I oversee a thousand global stocks. I'm Junior Taanaashaah Abdus Samad by my nickname.
Though being Star and Alpha will get this risk created by P/B mitigated. But it will take a decade or may be longer. In my career of 14 years in markets, I have never seen such high P/B.
Everything's fine with fundamentals. But P/B is 'astronomical' at of around it's all-time high of 80. Management need work on this to be what they call 'Alpha' and 'Star' Galactico is Alpha as well Star. Management team is good. But being Alpha and Star alone cannot make the company a real long term, say for 5 to 10 years, 'buy and sleep' stock. Nor can being Alpha and Star alone can create secular trend for the stock. So, P/B management team need work on P/B. So, being a shareholder and have recommended to few a friends and relatives, my friends too hold Galactico; so being I and my friends shareholder, I recommend Galactico management team to work on P/B. Since it's an Alpha stock P/B is a very serious risk to investors. In my career of investing and trading and thus fundamental and thus my technical and derivatives research and analysis career. I hope management team reads my comments on Investing. So, P/B will again be astronomical of around 80 when stock reaches around 80.
Next target?
it's a gem stock 💖 buy and hold short term target 80, 100, it's biggest strength is this is not a circuit to circuit moving stock🚀🚀
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