Please advice on my stocks

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

  1. Shiva

    Shiva New Member

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    Please advice what to do with Kaveri seed bought 200@724 a year back, I am long term investor but it is giving me -20% returns in a year :confused:. Same problem with Mayur Uniquoters. Please advice on both the stocks.
     
  2. Meenakshi Razdan

    Meenakshi Razdan Administrator Staff Member Moderator

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    Kaveri Seeds' appears to have lost the confidence of some large shareholders because the extent of selling is disproportionate to the quarterly results. The investors' presentation is very interesting. It spells out out the strong points of the company. Also, the stock is quite reasonably priced at a P/E of about 15x, debt-free and strong return ratios.

    Mayur Uniquoters is also a well-managed company though it has also under-performed the market in the last one year.

    It is not unusual for good companies to under-perform for short periods of time. The fact that it is so under-performing is not a cause of alarm if the fundamentals are still in place.

    I suggest you keep the stock market performance out of the mind and only focus on the performance of the business. If you read up the investors' presentation and the transcripts between the analysts and the management, you will get a clear idea of where the business is headed, what are the opportunities and the threats. This will help you develop conviction in the stock.
     
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