Hi
If you are looking for more details, kindly visit SINOMETAL.
I would recommend going through the beginning of this thread and you will be able to understand the reason for the rise. It was a once in a lifetime kind of opportunity and was primarily sourced from the Raw Material Shortage and Graphite Closure of capacity over the years.
There are six or seven companies in the world Outside China that produces GE but the overall demand supply is not in favor currently.
Also I am not sure whether the current COVID Scenario is going to drive Steel Demand , if any the effect will be negative
To put it simply, we need the following
All the three happened a couple of year back that led to the surge but I am seeing anything similar.
Bottomline: The Company may look cheap in terms of Cashflow / Assets etc but there is no tailwind pushing the business growth . If I have to chose between Valuations or Tailwinds , would always recommend the tailwind
The last thing here is we didnt saw a great Cashflow allocation when there is a windfall for the company in and . A critical aspect of a great company is Capital Allocation and I havent seen any trend here or yet to spot one
Disclaimer: Pls use your judgement and do not take above as a buy or sell recommendation. I am not currently invested in this stock and my views may be biased
If you are looking for more details, kindly visit Graphite Electrodes supplier.
Graphene is hyped like crazy for multiple applications&#; Not just for batteries.
see here Graphene - All You Need to Know
problem is that no one knows how to manufacture in commercial scale yet&#; Lot of lab based try outs and proofs have happened.
This is an interesting company - https://generalgraphenecorp.com/ &#; Graphite India has picked up closed to 46% stake in this company first and then they also recently increased stake again. Dont remember the total stakes the company holds now.
PS: This is a totally new world , with lot of ifs and buts on technology. Chance of success is weak as well&#; However, looking at Graphene Corp&#;s progress in last 2 years - they have figured out a way to mass produce sheets &#; not sure who is their customer for trials&#;
Desclosure : Invested in recent fall of stock as it was available very cheap&#;
Q2 -22 results update: Decent progress in line with what is happening in the Steel sector globally. Key points:
Next quarters are looking promising, as excluding China all key markets are showing signs of recovery and growth in steel consumption. Graphite has 3 plants, two in India and one in Germany. Both Europe and India have promising outlook for steel demand in , driven by infra, auto and manufacturing growth. The global steel demand will see a further increase by 2.2% to 1,896.4 Mt. Source: Worldsteel Short Range Outlook October - RECYCLING magazine
Graphite India is zero debt and cash rich company, with cr in cash (Q2 -22 balance sheet). It is allocating this money to diversify in the Graphene technology. It is all set to acquire 46% stake in General Graphene Corporation, a US based company which has developed a breakthrough proprietary technology which would allow them to produce large area, low cost graphene sheets in industrial volumes for commercial applications.
That said until then, Graphite is going to remain at the mercies of business cycles.
Valuation wise, it is at 17.47 EV/EBITDA. Quite undervalue when compared to HEG which is at 66.9 EV/EBITDA.
Disclosure - Not invested. But interested in understanding how this cycle works. Particularly its correlation with pick-up in steel demand. Theoretically, its growth is a 2nd order derivative of steel demand. That said, there is a displacement happening towards EAF technology in steel industry, particularly in China.
Did you know that there are two ways to make iron? The blast furnace method and the electric arc furnace method. The electric arc furnace method recycles used iron scrap by melting it in an electric arc furnace. It is the graphite electrodes inside the furnace that actually melt the iron. Graphite has high thermal conductivity and is very resistant to heat and impact. It also has low electrical resistance, which means it can conduct the large electrical currents needed to melt iron. In recent years, graphite electrodes have been made even more efficient: they can now conduct even higher currents and more power. Using the expertise collected over a century of innovation, Tokai Carbon has developed the world's biggest electrodes. They measure 32 inches (about 80 cm) in diameter and are 3 meters long. Tokai Carbon's graphite electrodes are made to last, making them a trusted name in the industry.
Contact us to discuss your requirements of mgo c brick manufacturer. Our experienced sales team can help you identify the options that best suit your needs.