Indo Farm Equipment IPO Good Or Bad? Key Points to Consider Befor Investing.
Indo farm equipment ipo is opening for subscription from 31st december. Price band is set between 209-215 rupees pe share. As of now now grey market premiums of this ipo trading at 85 rupees per share which is 40% listing gains to be expect. Before going forward to apply on GMP basis, invstors should know about compnay operating model, financia health, debts on compnay & peer comparisons. this all metrics will help you to decide Indo Farm Equipment IPO Good Or Bad to invest. in this article we will look into all this metrics in detail.
How to Decide Indo Farm Equipment IPO Good Or Bad
| Point To Consider |
|---|
| Indo Farm Equipment IPO GMP trend |
| Indo Farm Fianancial Health |
| About Indo Farm Equipment Limited |
| Peer Comparison |
Indo Farm Equipment IPO GMP trend
as of today grey market premium of this ipo is 85 rupees per share which is about 40% gains over upper price band. also since a week ipo price is consistently increasing and day before opening it is steady at 85 rupees. this gmp shows decent and profitable opening of ipo as of today. but you should be aware that GMP prices are contineously changing in unofficial market. so you can not just reli on gmp trend.
Indo Farm Fianancial Health
| Metric | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 |
|---|---|---|---|---|---|
| Net Sales / Income | ₹352.46 Cr | ₹346.62 Cr | ₹330.87 Cr | ₹251.76 Cr | ₹231.78 Cr |
| Other Income | ₹1.01 Cr | ₹1.30 Cr | ₹0.26 Cr | ₹0.53 Cr | ₹1.85 Cr |
| Net Profit/Loss | ₹13.54 Cr | ₹12.17 Cr | ₹9.58 Cr | ₹5.68 Cr | ₹3.76 Cr |
since 2020 to 2024 revenue is increased from 232 crore to 352 crore, similarly profit is increased from 3.76 crore to 13.54 crore. it show compnay is stable and getting growth gradually which is neutral to positive sign. also compnay have debt of 270 crore which is slightly point of concern here. compnay going to use 50 crore to repay debts from ipo funds whisvh is again good sign.
About Indo Farm Equipment Limited
Indo farm equipment is founded in 1994, it is one of agricultral and construction machinery manufactures. Its headquarters in himachal pradesh, compnay build good reputaion in producing affordable machinery that very helpful to farmers and construction industry.
Product Portfolio
Indo Farm offers a good range of products that serve to agricultural and construction sectors:
- Tractors
- The company manufactures tractors ranging from 30 HP to 90 HP, ideal for a variety of farming applications.
- Their tractors are known for being robust, fuel-efficient, and easy to maintain.
- Harvesters and Combines
- These machines are designed to simplify harvesting and boost productivity of farmers.
- Construction Equipment
- Indo Farm provides cranes, backhoe loaders, and other heavy machinery for infrastructure projects.
Company Official Website – https://www.indofarm.in/
Peer Comparison
| Company Name | Revenue for Fiscal 2024 (₹ Cr) | EPS (₹) | NAV per share (₹) | RONW (%) |
|---|---|---|---|---|
| Indo Farm Equipment Limited | ₹375.23 Cr | ₹4.15 | ₹84.43 | 4.92% |
| Escorts Kubota Limited | ₹2,910 Cr | ₹92 | ₹830 | 11.44% |
| Action Construction Equipment Limited | ₹8,840 Cr | ₹27 | ₹10 | 30% |
Indo Farm Equipment IPO Details
| Terms | Details |
|---|---|
| Issue Size | ₹260.15 crore |
| Fresh Issue | ₹184.90 crore |
| Offer for Sale (OFS) | ₹75.25 crore |
| Price Band | ₹204 to ₹215 per share |
| Market Lot | 69 shares per lot |
| IPO Type | Book Built Issue |
| Listing At | BSE and NSE |
| IPO Opening Date | December 31, 2024 |
| IPO Closing Date | January 2, 2025 |
| Basis of Allotment Finalization | January 3, 2025 |
| Refunds Initiation | January 6, 2025 |
| Shares Credited to Demat Accounts | January 6, 2025 |
| IPO Listing Date | January 7, 2025 |
Indo Farm IPO Good Or Bad – Conclusion
| Point to Consider | Observations |
|---|---|
| Indo Farm Equipment IPO GMP Trend | Good GMP is a positive sign for short-term investment. |
| Indo Farm Financial Health | Financial health is slightly positive; debt is a point of concern. |
| About Indo Farm Equipment Limited | Good product range and years of experience. |
| Peer Comparison | Two big players are dominating this market. |
By considering above points this IPO is very Good for short term gains or say for listing gains. For long term those patiens waiting to grow the compnay and consider this as investment oppurtunity as early entry in this compnay shareholding.
Disclaimer – we are not intending to advise for financial investment in this ipo, your decision is your own do your resach or consult with certified financial adviser.
Pravin Bhosale
Since stepping into the world of trading in 2019, i have gained valuable experience navigating the markets, have knowldge in indices like Bank Nifty, Nifty IT, Sensex, Bankex, and Finifty. Also have sound knowldge about IPO industry & ipo process. our blog aims to make finance approachable, offering practical insights for readers to better understand and act on market trends.