An excellent researched article, far superior to the one published by SOIC. I wish you had also included the competitors and their performance in a more detailed manner to decide whether it is investment worthy. Another missing part was the TAM (Total Addressable Market) for IDAs product profile. But a fabulous article on the whole . Cheers
Very well studied and explained in detail the company as compared to reports published by ICICI securities or any other. You have done lots of efforts in putting such article on one company and I wish you come out with more companies where you see more potential to grow due to "Atma Nirbhar". It is good practice not to put any target price as you have explained us the business. Your reply on comment on Management is excellent and well explained. If Mr.Jain want to remain in Stock Market with his image and goodwill he will do it with improving numbers rather than other tactics. Well explained the comment as past is not future and not necessarily repeated. How do I know about publishing your next such detailed Article ? Can I by subscribing through Email ? All the best for your article by educating investors.It seems you have passion for writing such detailed article?
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Hi Ankush ..Appreciable work done man. That's great! Even I did research on this company and I was wondering from where do we get Capitalized Cost of R and D ? Like for FY 21, R and D cost is 93 Cr. which is shown as expense in the Pand L and 112 Cr. is Capitalized where did you get the figure of 112 Cr.? Please provide reference for this number (112 Cr.) If possible. Thanks in Advance
Arun Jain is repeatedly pulled up by SEBI for fraud insider trading in the shares of Intellect design arena. Moreover, he was put in jail for cheating an Indonesian Bank in 2003
Hi, I have come to understand that there are couple of instances of insider trading cases on Arun Jain, settled recently and also in Polaris. What is your research stating on the management, as my sense Management pedigree & integrity is the top most filter for stock investment. Appreciate your opinion on this subject. Thanks
So analyzing management is the toughest part of stock analysis. Judging a person in-person is difficult and we as analysts are trying to judge a person virtually, which is even more difficult.
There are so many promoters about whom I have heard bad things, but their companies have done extremely well and continue to be so called quality stocks in the markets. When I came to market, everyone used to say that Vaibhav Global's promoter is chor and tell the story about arrest. But the same people are now buying Vaibhav Global. And the company is a part of portfolio of some of the most respected investors in India like Vijay Kedia and Bharat Shah.
I have realized that judging the management is not something that can be done very well atleast from a stock's perspective, that too based on news, stories, past actions etc.
Even Rakesh Jhunjhunwala has been involved in insider trading cases, that does not means he makes his money of such private info. He is still the best investor in India.
Similarly, Mukesh Ambani was recently dragged for insider trading. And everyone would have heard stories of Reliance as a group doing fancy stuff with their stock from Dirubhai's days. But look at how well Reliance has done.
And since I can't judge this well, I don't consider the same as a big input into my decision making unless and until there is a clear case of fraud etc. My focus is primarily on business model & opportunity. If that checks out, then in most cases I am looking to invest, unless & until I see some major red flags on other aspects like Management etc.
In cases like that of Intellect, where there is some ifs & buts around Management history, execution capabilities etc in such cases I only invest if the opportunity is massive, because risk is relatively higher here, both from actual execution on the business side and on the market's acceptance side.
Dear Ankush,
An excellent researched article, far superior to the one published by SOIC. I wish you had also included the competitors and their performance in a more detailed manner to decide whether it is investment worthy. Another missing part was the TAM (Total Addressable Market) for IDAs product profile. But a fabulous article on the whole . Cheers
From CA Mahesh Vora,Mumbai
Ankush Agrawal,
Very well studied and explained in detail the company as compared to reports published by ICICI securities or any other. You have done lots of efforts in putting such article on one company and I wish you come out with more companies where you see more potential to grow due to "Atma Nirbhar". It is good practice not to put any target price as you have explained us the business. Your reply on comment on Management is excellent and well explained. If Mr.Jain want to remain in Stock Market with his image and goodwill he will do it with improving numbers rather than other tactics. Well explained the comment as past is not future and not necessarily repeated. How do I know about publishing your next such detailed Article ? Can I by subscribing through Email ? All the best for your article by educating investors.It seems you have passion for writing such detailed article?
Thank you Mahesh Ji for your kind words.
You can subscribe to the blog for regular updates on the posts. Option for the same is available towards the very end of this post itself as subscribe button.
Ankush Ji, I have already subscribed as you can not write comment without subscribing.
Hi Ankush ..Appreciable work done man. That's great! Even I did research on this company and I was wondering from where do we get Capitalized Cost of R and D ? Like for FY 21, R and D cost is 93 Cr. which is shown as expense in the Pand L and 112 Cr. is Capitalized where did you get the figure of 112 Cr.? Please provide reference for this number (112 Cr.) If possible. Thanks in Advance
Hi Sunil, you can find these details in their quarterly presentations.
Can you please share some reference also. Thanks in advance.
https://www.intellectdesign.com/investor/presentations/Intellect-Q4-FY21-Investor-presentation.pdf
Thanks Brother
Wow.. that was better than SOIC article.
Really loved the article sir
Thanks for putting this hard work and hours of research into such a beautiful way
Sir you have very well explained business of intellect design arena..
Please can you also analyse another IT company mastek
Arun Jain is repeatedly pulled up by SEBI for fraud insider trading in the shares of Intellect design arena. Moreover, he was put in jail for cheating an Indonesian Bank in 2003
no information on mr jain , his overall journey in IT industry & his character etc
An exhaustive analysis. Thanks.
Great effort... Thnx
Iam waiting for this article. Thanks a lot
Great article..very detailed. Appreciate your presentation of data...very attractive.
Wish to see many such articles and maybe any update on the thesis (positive or otherwise)
Hi, I have come to understand that there are couple of instances of insider trading cases on Arun Jain, settled recently and also in Polaris. What is your research stating on the management, as my sense Management pedigree & integrity is the top most filter for stock investment. Appreciate your opinion on this subject. Thanks
So analyzing management is the toughest part of stock analysis. Judging a person in-person is difficult and we as analysts are trying to judge a person virtually, which is even more difficult.
There are so many promoters about whom I have heard bad things, but their companies have done extremely well and continue to be so called quality stocks in the markets. When I came to market, everyone used to say that Vaibhav Global's promoter is chor and tell the story about arrest. But the same people are now buying Vaibhav Global. And the company is a part of portfolio of some of the most respected investors in India like Vijay Kedia and Bharat Shah.
I have realized that judging the management is not something that can be done very well atleast from a stock's perspective, that too based on news, stories, past actions etc.
Even Rakesh Jhunjhunwala has been involved in insider trading cases, that does not means he makes his money of such private info. He is still the best investor in India.
Similarly, Mukesh Ambani was recently dragged for insider trading. And everyone would have heard stories of Reliance as a group doing fancy stuff with their stock from Dirubhai's days. But look at how well Reliance has done.
And since I can't judge this well, I don't consider the same as a big input into my decision making unless and until there is a clear case of fraud etc. My focus is primarily on business model & opportunity. If that checks out, then in most cases I am looking to invest, unless & until I see some major red flags on other aspects like Management etc.
In cases like that of Intellect, where there is some ifs & buts around Management history, execution capabilities etc in such cases I only invest if the opportunity is massive, because risk is relatively higher here, both from actual execution on the business side and on the market's acceptance side.