DIMO article on alleged fraud

duke · 1 DIMO article on alleged fraud Sat Mar 26, 2011 10:04 pm

duke

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http://www.thesundayleader.lk/2010/09/19/pulling-the-wool-over-%E2%80%93-dimo-style/
(be aware this is an old article)

what do you think of this? low PE ratio is directly because of the car sales and because indian cars don't give a massive profit margin it was all in the luxury car sales. tata batta, lokka or future nano if occurs etc. wouldn't give a huge profit margin. how many indian cars is it worth to cover the profit margin of a benz.
also i've heard brokers give only 60% value as credit for DIMO shares.

Slstock · 2 Re: DIMO article on alleged fraud Sun Mar 27, 2011 4:40 am

Slstock

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@duke wrote:http://www.thesundayleader.lk/2010/09/19/pulling-the-wool-over-%E2%80%93-dimo-style/
(be aware this is an old article)

what do you think of this? low PE ratio is directly because of the car sales and because indian cars don't give a massive profit margin it was all in the luxury car sales. tata batta, lokka or future nano if occurs etc. wouldn't give a huge profit margin. how many indian cars is it worth to cover the profit margin of a benz.
also i've heard brokers give only 60% value as credit for DIMO shares.

Check the official reply given by DIMO below to these negative articles by sundayleader. As you said this is old news.

http://www.cse.lk/cmt/uploadAnnounceFiles/6151284466390_694.pdf

tubal · 3 Re: DIMO article on alleged fraud Sun Mar 27, 2011 7:26 am

tubal

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This is indeed an old story. I think it's fully discounted.

What I find more interesting is how come a BMW X1 which for 28,000 dollars upwards is available to permit holders at 25,000 and the BMW 3 which is 35,000 upwards is also available for the same price. Wonder why people buy Corolla or Lancer when they can get a BMW for the same price.

smallville · 4 Re: DIMO article on alleged fraud Sun Mar 27, 2011 8:10 am

smallville

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@tubal wrote:This is indeed an old story. I think it's fully discounted.

What I find more interesting is how come a BMW X1 which for 28,000 dollars upwards is available to permit holders at 25,000 and the BMW 3 which is 35,000 upwards is also available for the same price. Wonder why people buy Corolla or Lancer when they can get a BMW for the same price.

U cant compare Toyota corollas for Luxury range in BMW or anyother manufacturer.. Ppl go for Toyotas mainly for the ease of maintanence cost. Parts are cheaper most of the time.. Though its not giving u the ride comfirm in terms of a BMW/Benz, its fairly balance compared with price, spare parts, value, etc...
The other thing in SL is; Toyota is the numer 1 in second hand value.. and also the car prices are appreciating due to high vehicle tax n imports (though this has been reduced now, an avg person cannot buy a corolla yet Wink

)
So if you buy a luxury car today, in a year or two u'll have to sell it for half price, but toyotas u'll be able to sell 1-3Lakx less the most..

Slstock · 5 Re: DIMO article on alleged fraud Sun Mar 27, 2011 9:13 am

Slstock

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@tubal wrote:This is indeed an old story. I think it's fully discounted.

What I find more interesting is how come a BMW X1 which for 28,000 dollars upwards is available to permit holders at 25,000 and the BMW 3 which is 35,000 upwards is also available for the same price. Wonder why people buy Corolla or Lancer when they can get a BMW for the same price.

For a average person there maybe a many reason for a to go for a toyota than bmw. Maintainence costs, fuel economy, second hand market liquidity , second hand value( smallville mentioned) are some that comes to mind.

tubal · 6 Re: DIMO article on alleged fraud Sun Mar 27, 2011 11:05 am

tubal

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Sad to see duke once again getting negative reps for making unpopular comments. However as I mention in my previous post, This news item can by and large be ignored.

Slstock, Smallville, Thank you very much for your input. The point that I was primarily trying to get across is how come BMWs are selling for the same price as Corollas (for permit holders) and there isn't anything in the papers about it yet?

Anyway, i think prestige has missed the bus. While in most countries the question of whether or not BMWs are better than Mercedes is like a religious debate, here majority people buy these bands for prestige.

I am sure you too have seen the ridiculous image of persons getting chauffeured, and travelling in the rear seat of a BMW 3, and the equally ridiculous image of people driving a Mercedes S when they should be getting chauffeured. All those people have gleefully bought Mercedes of late, that's why DIMOs profits are so good.

Rajitha · 7 Re: DIMO article on alleged fraud Sun Mar 27, 2011 12:16 pm

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@tubal wrote:Sad to see duke once again getting negative reps for making unpopular comments. However as I mention in my previous post, This news item can by and large be ignored.

Lol you should check out my credit clearing replys! I think so far I only have gotten about - 20 rep or so from those 2 articles for pointing out the truth!
thank God this many idiots did not had voting rights when I posted about CARS group going to make loss for this quarter compared with the last! Unless I would be about -10-15 rep by now!

silentsahan · 8 hmmmmm now you can say anything , girls are here. Sun Mar 27, 2011 4:04 pm

silentsahan

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@smallville wrote:

@tubal wrote:This is indeed an old story. I think it's fully discounted.

What I find more interesting is how come a BMW X1 which for 28,000 dollars upwards is available to permit holders at 25,000 and the BMW 3 which is 35,000 upwards is also available for the same price. Wonder why people buy Corolla or Lancer when they can get a BMW for the same price.

U cant compare Toyota corollas for Luxury range in BMW or anyother manufacturer.. Ppl go for Toyotas mainly for the ease of maintanence cost. Parts are cheaper most of the time.. Though its not giving u the ride comfirm in terms of a BMW/Benz, its fairly balance compared with price, spare parts, value, etc...
The other thing in SL is; Toyota is the numer 1 in second hand value.. and also the car prices are appreciating due to high vehicle tax n imports (though this has been reduced now, an avg person cannot buy a corolla yet )
So if you buy a luxury car today, in a year or two u'll have to sell it for half price, but toyotas u'll be able to sell 1-3Lakx less the most..

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DIMO article on alleged fraud

1 DIMO article on alleged fraud Sat Mar 26, 2011 10:04 pm

duke

2 Re: DIMO article on alleged fraud Sun Mar 27, 2011 4:40 am

Slstock

3 Re: DIMO article on alleged fraud Sun Mar 27, 2011 7:26 am

tubal

4 Re: DIMO article on alleged fraud Sun Mar 27, 2011 8:10 am

smallville

5 Re: DIMO article on alleged fraud Sun Mar 27, 2011 9:13 am

Slstock

6 Re: DIMO article on alleged fraud Sun Mar 27, 2011 11:05 am

tubal

7 Re: DIMO article on alleged fraud Sun Mar 27, 2011 12:16 pm

Rajitha

8 hmmmmm now you can say anything , girls are here. Sun Mar 27, 2011 4:04 pm

silentsahan

9 Re: DIMO article on alleged fraud

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