Portfolio is sluggish, stock recos are not doing well
Vijay Kedia‘s USP is his sincerity and honesty of approach.
Most people, whether Gurus or novices, are loath to admit that they went wrong in their stock picks or recommendations.
However, Vijay Kedia has no such qualms.
“Whatever stocks we have discussed in the past, all have not fared well,” he admitted fairly to the distinguished interviewing panel of Ayesha Faridi, Abha Bakaya and Nikunj Dalmia.
He also disclosed that he has dumped some of the stocks and is holding on to some.
“I quit Karnataka Bank a long time back …. Whatever we have discussed in the past on your channel, I am holding all those stocks …. Maybe I have sold a small portion of some of those stocks to buy some new stocks,” he stated.
Vijay Kedia’s latest portfolio looks as follows:
| Portfolio of Vijay Kedia as of 30.09.2019 | ||||
| Stock Name | CMP (Rs) | Nos of shares | Value (Rs Cr) | YoY Gain (%) |
| Sudarshan Chemical | 405 | 19,85,215 | 81 | 8.5 |
| Vaibhav Global | 833 | 7,00,000 | 58 | 28 |
| Repro India | 625 | 7,53,343 | 47 | 12 |
| Cera Sanitaryware | 2549 | 1,40,000 | 36 | 11 |
| Everest Industries | 297 | 7,65,000 | 23 | (34) |
| Lykis | 20 | 41,84,383 | 9 | (18) |
| Kokuyo Camlin | 71 | 10,10,000 | 7 | (37) |
| Affordable Robotic | 65 | 10,72,000 | 7 | (32) |
| Cheviot Company | 648 | 1,00,740 | 7 | (4) |
| Innovators Facade Systems | 31 | 19,99,432 | 6 | (50) |
| Yash Papers | 52 | 4,76,859 | 3 | (12) |
| Panasonic Energy | 151 | 93,004 | 1 | (38) |
| Total | 285 | |||
As we can see, Sudarshan Chemicals is the crown jewel of the portfolio with a massive allocation of Rs. 81 crore.
It is surprising that while other specialty chemical stocks are surging like rockets and delivering massive gains (see list), Sudarshan is sluggish.
Thankfully, Vaibhav Global brought a smile to Vijay Kedia’s face with a spirited performance and gains of 28%.
It may be recalled that Vijay Kedia has fondly described Vaibhav Global as the stock “he cannot take eyes off“. He has given 10 cogent reasons for his conviction in the stock.
Everest Industries and Kokuyo Camlin, both of which were recommended to us, have disappointed with losses exceeding 30%.
However, given the powerhouse credentials of both stocks, the under-performance may be temporary.
Cera Sanitaryware is in the limelight because Guy Spier, the accomplished value investor, has added it to his portfolio.
Guy Spier’s interest in Cera is a clear indication that the stock is deeply undervalued, has margin of safety and is on a multibagger trajectory.
SME Stocks
Vijay Kedia has also developed a penchant for investing in SME stocks.
He has two SME stocks in his portfolio, being Affordable Robotics and Innovators Facade Systems.
Both stocks are sluggish and have posted heavy losses.
According to some experts, SME stocks are “Hero ya Zero” stocks, meaning that they can be either “multi-baggers” or “multi-beggars“, but nothing in between.
SME stocks are too fragile..
A quarter is Enof for profits & losses to swing like a pendulum
Sometimes lightest doubt can collapse the house of cards
What went wrong with
Majestic Research ?— Abhay (@Horizon_Abhay) June 1, 2018
Yash Papers, new entrant in the portfolio
Vijay Kedia has added a new small-cap stock into his portfolio, namely, Yash Papers.
Apparently, the Company manufactures “compostible tableware” out of “sugarcane waste bagasse” and is likely to prosper in the crackdown against plastic.
Uttar Pradesh-based Yash Papers launched @chukitnow which makes tableware products from sugarcane waste bagasse. #Recycle #sustainable https://t.co/I94H2y7GSs
— YourStory (@YourStoryCo) December 13, 2017
Vijay Kedia’s allocation to Yash Papers is quite small at present.
Obviously, he will want the Company to prove its mettle before trusting it with more money.
If I have Rs. 5,000 Cr, I will invest in the same stocks
Vijay Kedia made it clear that he has full confidence in the stocks in his portfolio and that their under-performance is temporary.
“I am fully convinced if I have Rs 5,000 crore today, I will invest in the market right now,” he roared.
“Even if I am giving another chance, I do not think I will do something different or buy some other stock or sell the existing stocks. I am comfortable, I am okay with the stocks in my portfolio,” he added.
“I am 100% invested since last 30 years,” he added emphatically.
(Vijay Kedia flanked by Ramesh Damani and Raamdeo Agrawal)
Stay far away from ‘Bhangaar‘ stocks
It is well known that Vijay Kedia has been running a crusade to warn novices not to get trapped in ‘Bhangaar’ stocks.
He repeated the grim warning again.
“Last Diwali, I thought that maybe 90% of the stocks in the market are bhangar (junk). This Diwali, I think 95% of the stocks are coming into that category. It is very difficult to say when all these stocks are going to revive,” he said.
This Dussehra I remind myself of my own tweet that there are 4 caps. Large cap, mid cap, small cap and 'BHANGAAR CAP ' (JUNK CAP) and 90%stocks fall into the last category. Listen to my warning video of Oct. 2017.
Happy Dussehra. ? https://t.co/3sJHv3z5Hd— Vijay Kedia (@VijayKedia1) October 8, 2019
Bottom is in place. Time is ripe to search for “diamonds” in “trash”
Vijay Kedia opined that the severe price correction coupled with the reforms introduced by the Government is sending the signal that the market has made a bottom and that we can resume our buying activity.
The man who predicted a market crash in April 2018, says it’s time to search diamond in the trashhttps://t.co/PcgvaidZZC
— Vijay Kedia (@VijayKedia1) August 2, 2019
However, he did caution that we have to keep the long-term horizon in mind and not expect quick-fire gains.
“In the stock market, you can make money only if you hold the shares for 10 years or for five years. You have to extend your horizon a little further,” he advised, drawing upon his rich experience.
