They came into existence upon the demerger of the Facor Group in 2004.”He further added, “The company operates in a sector, which is highly cyclical. We have seen a company like Ferro Alloys make humongous amount of profits during the boom cycle and also make heavy losses when the cycle turns negative. From that perspective, the margin of safety and risk management in these kinds of stocks becomes very important.””Second is, this company does not have any captive source of raw material supply or power supply, which are two critical input costs as far as the ferro alloys industry is concerned.
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