Reliance Capital - Multibagger by Stallion Asset

Discussion in 'Stock Advisory Services' started by Nidhi Hingorani, Aug 7, 2017.

  1. Nidhi Hingorani

    Nidhi Hingorani Member

    Dec 7, 2016
    Likes Received:

    The Conservative Fair Value of Reliance Capital is 1111, using SOTP Method.

    Reliance Capital has 5 main Business'
    1. Asset management – Mutual Fund Business 51% Stake. IPO Soon
    2. Life Insurance – 51% Stake owned rest owned by Nippon
    3. General Insurance – 100% Stake Owned Reliance Capital. IPO Soon
    4. Housing Finance – 100% Stake Owned expect to be demerger. Demerger Soon
    5. Commercial Finance – 100% Stake Owned expect a turnaround here.
    6. Other Non Core Asset and Broking – Non Core expected to be Divested

    We value Reliance Asset Management at 7650 Crores, Life Insurance at 5175 Crores, Housing Finance at 3150 Crores, Reliance General Insurance at 3000 Crores, Other Ventures at 4,000 Crores. The Total SOTP Valuation of Reliance Capital is 28075 or 1111 per share.

    The Biggest Risk is Reliance Communication failure.