Tribhovandas Bhimji Zaveri

[rmani84]

CMP: 225

Tribhovandas Bhimji Zaveri Limited retails jewelry products in India. The Company primarily sell gold jewelry and diamond-studded jewelry through its retails stores. Tribhovandas Bhimji Zaveri also sells other products, including platinum jewelry and jadau jewelry.

Tribhovandas Bhimji Zaveri is a decent bet in mid-cap space trading at a P/E of 23. It runs at a debt of 203 Crores with 2 Crores cash in hand which is pretty acceptable for a jewelry company. Revenues have risen from 439 Crores to 1385 Crores in the last 5 years. Profits have risen from less than 8 Crores to 57 Crores in the last 5 years. Profit margins have more than doubled from less than 2% to 4% in the last 5 years. Buy and hold for long term gains.

[ragamrrao]

Dear Mani
The total debt of Rajesh exports is Rs.3256 Cr. with Cash flow of Rs.7855 Cr. Revenues have risen from 8187 crore to 25683 crores in the last 5 years. Except in the year 2009 The profits are also consistent and have risen from 206 crores to 407 crores in the last 5 years. If we see the cash flows of Rajesh exports it is a zero debt company but in the case of TBZ debt to profit ratio is 3.5. My question here is why we are preferring TBZ and why not Rajesh exports? Why Rajesh export is trading at Rs.143/- and TBZ at Rs.225/-?