What will be next 10x. or 100 x multibaggers stocks

Discussion in 'Ask A Query About Your Stock Picks And Portfolio' started by kharb, Sep 14, 2015.

  1. kharb

    kharb Well-Known Member

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    All successful and eminent investers had their multibaggers .We all are in search of our 100 x multibaggers..Now I invite all members to research and write their future super duper 100 x multibaggers or at least 10 x multibaggers.I request all members to let it be a very serious exercise so that all of us can benefit from right identification.It should be preferably upto maximum three stocks.Please take your own time .This thread is only for serious discussion and expression of ideas.Stocks discussed here are not recommendations to buy .Investers are specialy requested to stay away from buying or discussing weak ideas .Only compnies of top qualty fundamentals with strong and competent strong permoters and stable growth compnies at reasonable prices need to be discussed.Information here will be of general nature and need to be confirmed further for accuracy.
     
    Last edited: Oct 6, 2015
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  2. Srouta Mukherjee

    Srouta Mukherjee Well-Known Member

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    Excellent idea. I was thinking on same lines. I will give it thought and post my ideas later. :)
     
  3. shakti khanduri

    shakti khanduri Active Member

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    Good proposal,but before that focus should be on parameters to be applied for selecting multibaggers-i.e. market cap, sales growth,debt lavel, financial strength , time duration etc.
     
  4. bholu

    bholu Active Member

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    dear kharb ? time frame ? maybe you should be the first off the block
     
  5. Sumanta

    Sumanta New Member

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    I am Bullish on Fortis Helthcare, Coral Lab.
     
    Last edited: Sep 15, 2015
  6. Sanjay Kumar

    Sanjay Kumar New Member

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    My pick is Snowman logistics
    Reason: I think the cold storage business will explode in the coming years and snowman being the only listed player will take advantage of that.
    So this must be a 10 bagger, if not 100 bagger.
    Please feel free to share your thoughts
     
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  7. Srouta Mukherjee

    Srouta Mukherjee Well-Known Member

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    Agreed that logistics space will grow fast. The space has TCI, GATI, Gateway Distripark and so many other players. But you are right that cold storage is a specialty of Snowman Logistics.
     
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  8. Rahul Arora

    Rahul Arora Member

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    Mangalam drug....complete turn around story...available at sale price now...waiting for approval of few major drugs from W.H.O...which may be done latest by Dec'15....strongly thinking of some acquisition. .may b within next 2-3 months, some announcement may come...promoter increased stake recently...reduced pladging..all links r available in moneycontrol..plz xplore, if u think worthy...m bullish n invested
     
  9. Rahul Arora

    Rahul Arora Member

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    Another one from same sector is jubilant life science...again a turn around story...last qtr result was superb.....this qtr also xpected to b in d same line...even in this carnage, stock price is hovering near its high...showing its strength n in strong hands ..a gd result in nxt qtr will propel d stock to another orbit...
     
  10. Srouta Mukherjee

    Srouta Mukherjee Well-Known Member

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    I think Wonderla Holidays is a unique play with a moat.

    Report By Angel Broking

    New amusement park at Hyderabad to boost footfalls: We expect Wonderla Holidays to report a healthy growth in footfalls (~18% CAGR over FY2015-17E) with it setting up a new amusement park in Hyderabad, which would be operational in FY2017. The company also has plans to venture across other parts of India to cater to a wider audience. In its first year of operation in Hyderabad, we expect the company to achieve ~7 lakh footfalls with lower utilisation of ~19%. Going forward, we expect the company to be able to report strong footfalls growth on back of increase in utilisation. Further, we expect the existing parks in Kochi and Bengaluru to post a ~4% CAGR over FY2015-17E. Moreover, the company has a proven track record and is expected to consistently increase its average realisation (realisation CAGR of ~10% over FY2009-15). The company is expected to incur strong cash flows and achieve higher assets turnover due to lower capex requirement, as most of the rides are manufactured at the in-house plant. Huge potential for F&B segment to grow: Apart from ticket sales, the company also generates income from food and beverage (F&B) sales, and product sales at its amusement parks, which contribute by almost 25% to the company’s total revenue. As per a report by CARE Ratings, global amusement parks draw 60-65% of their revenues from other segments (non-ticket sales). Since FY2009, the company’s revenue from other segments has increased from 15% to 25% and we expect such contribution to rise further. Company to benefit from higher occupancy rate at Wonderla Resort and turnaround at the operating level: Over the last three years, Wonderla Resort’s occupancy rate has increased significantly from ~30% to ~45%. Also, Wonderla Resort has turned around at the operating level in FY2015. Increase in footfalls at the Bengaluru park is likely to further boost growth for Wonderla Resort. Moreover, we expect occupancy rate as well as profitability to rise, going forward. Outlook and Valuation: India’s young demographic profile and increasing discretionary spends are expected to benefit the entertainment industry in the country. Also, the addition of a new park in the company’s portfolio and expected increase in contribution from other segments like F&B, resort, etc will drive growth for the company, going forward. Further, the company has negative working capital and negligible debt on its balance sheet. With the company’s stock price having corrected by 20-22% from its all time high, the company now poses as a good buying opportunity in our view. At the current market price, the stock trades at a P/E of 21.3x its FY2017E EPS. We initiate coverage on the stock with a Buy recommendation and target price of Rs322 (25x FY2017E EPS), indicating an upside of ~17% in the stock price from the present levels.

    Report By Karvy:

    Wonderla is one of the leading amusement parks in India and industry is expected
    to grow at CAGR of 20% in the next five years. Wonderla revenues are expected to
    grow CAGR of 29% during FY15-17E and EBITDA to grow at CAGR of 29.5% during
    the same period. Wonderla is currently trading 20.1x FY17E EPS & 11.1x FY17E
    EBITDA and we value the company at 25x FY17E EPS and arrive at target price of
    Rs.320 with an upside of 21% for holding period of 9-12 months with “BUY” rating.
    Indian consumer discretionary stocks are currently trading at 29x FY17E EPS and
    global amusement park players in Asia & USA are trading at 20x & 19x FY17E
    EPS respectively. Considering the high topline growth and highest EBITDA margins
    among it’s global peers, we feel the stock has potential on long term investment.
     

    Attached Files:

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  11. dineshkapoor27

    dineshkapoor27 Active Member

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    Im just wondering why no one is interested in buying in the infra story. India is supposed to invest huge money in Infra (> 1 trillion dollars). I bet that in the next 20 years, infra companies with specializations in power T&D, roads, ports is going to be the next 10 baggers if not 100 baggers. Proxy plays like cements, housing and infra finance companies (like IDFC, DHFL etc.) also seems huge opportunity. My bets are IDFC, DHFL, Kalptaru Power, KEC Intl, IDFC, DHFL, Adani transmission and Adani ports.
     
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  12. Biju

    Biju Member

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    Wonderla is not performing in terms of stock price last one year, rather it went down from 348 to 241 and quoting 275 now. Don't think it wont breach 290 in near future !!!
     
  13. iTiku

    iTiku New Member

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    My recommendations based on unique business models or benefited by current macro trends in next 3 years : 1. Power grid ( why : Smart cities will need smart grids/ India growth need electricity . Unique model with assets light 2. Nalco ( why lowest producer, aluminium cycle shorter and currently at lowest point , make in India focus particularly hardware/ defence needs lots of aluminum, can be a target for disinvestment) 3 piramel enterprise ( why business model at early stage , unique track record and cash rich )

    Note :the above stock I am investing as SIP for long term
     
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  14. Carl Icahn

    Carl Icahn Active Member

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    In my view Infra stocks should be avoided because (i) the orders are awarded on the basis of being the lowest bidder and so the margins are wafer-thin, (ii) the return ratios are consequently low, (iii) the working capital requirements are high as they have to spend and raise bills on the government which may take several months to be cleared. Also infra projects are dependent on the state of the economy.
     
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  15. Srouta Mukherjee

    Srouta Mukherjee Well-Known Member

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    Can you decide whether stock is Good buy or bad buy depending on price movement??? Sir, pl see fundamentals of stock. It is A UNIQUE PLAY With MOAT. Nobody can set up another wonderland park in same area. :)
     
  16. Srouta Mukherjee

    Srouta Mukherjee Well-Known Member

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    AGREED 100%. Avoid Infra Buy Pharma :)
     
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  17. dineshkapoor27

    dineshkapoor27 Active Member

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    @Carl Icahn while I agree that the margins have been quite small and payments are delayed. But you can be damn sure that infra will be built. Imagine the size of infra which has to be built. 100 smart cities, 100,000 km highways, ports, shipyards, railways etc. Even if you don't want to invest in infra companies, you can invest in infra and housing finance companies or even cement companies. Look at the valuations of really good HFCs and top infra companies and compare them with Pharma majors. Base effect will definitely kick in in Pharma. IDFC, DHFL, LIC Housing finance, Sagar Cement, India Cements are going to go big in the next 5-10 years. Pharma is good, but its already so expensive. While there might be 10x bets there, mine is more contrarian bet.
     
  18. dineshkapoor27

    dineshkapoor27 Active Member

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    One other play which can be quite interesting is media and entertainment. Seems quite undervalued bets there. With the digital media consumption and mobile smartphone boom, I think the potential there is huge! I am betting on bollywood exposure (content and movie theaters) and digital advertising plays too!
     
  19. Fun_Da_Mentalist

    Fun_Da_Mentalist Active Member

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    Shilpa Medicare, IDFC
     
  20. kharb

    kharb Well-Known Member

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    In my view with interest cost going down,some highly leveraged but profitable companies with strong business model and competent management may benefit.Which can be those sound companies ,who on basis of reduction of interest cost can show significant improvement in profit.Pl find out and discuss,as interest saved will directly go in profit .Those will benefit more than Banks and NBFC as has been projected.But that company must have been financed in Indian rupees preferably by Indian banking system.
     
    Last edited: Sep 30, 2015
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