This dream stock is Saregama India. Rajen Shah explained that Saregama India is a custodian of 50 percent of the music produced in India over the last 60-70 years. It has a marketcap of just Rs 135 crore. With the advent of 3G and 4G and DTH, license fee of companies which own rights of quality music should substantially move up, he predicted. The result is that Saregama has over the last two years turned profitable and reported good earnings.
Rajen emphasized that there is a floating stock of hardly Rs 25 crore. 60 percent of Saregama’s equity is held by the management and 20 percent is held by six entities. The floating stock in the market is very low and a sudden jump in EPS could see the stock moving up very sharply Rajen said.
Any takers for this dream stock?
Only Buyers in NSE and BSE.
Yes, Saregama hit 20% upper circuit both yesterday as well as today.