Posts in category Value Pickr
VIP Industries : Luggage (15-07-2024)
In my view huge inventory built-up is a big issue for VIP, which will be difficult to resolve. On one side they have hard luggage capacity constrain, on the other side there is soft luggage inventory pile-up. Even if they are able to liquidate part of inventory over next few quarters, it will hit margins. They seems to have messed up in building soft luggage capacity when demand is mainly in hard luggage segment. This also impacts financial flexibility and management bandwidth, which would get diverted from growth to resolving issues.
In such situation, Safari should get dual benefit of industry growth and significant capturing of VIP’s market share. While Q1FY25 might be soft due to adverse weather and lesser weddings, Safari seems to be in advantageous position from medium to long term perspective.
Disc: I am not SEBI registered Advisor/Analyst. Invested is Safari; hence, my view may be biased. I am not suggesting any investment action. The information provided above is for education purpose only.
Hitesh portfolio (15-07-2024)
Dear Hitesh ji,
Thank you for your valuable insights.
I have come across information from various sources indicating that market cap and the size of the opportunity are critical factors in identifying multibagger stocks. According to the Motilal Oswal study, it suggests that stocks achieving 100X returns typically have a initial market cap ranging between 500 and 1000 Crores.
I am curious about the role of market size in determining multibaggers. For example, Chola Investment, with a market cap of 1 lac crores, aims to expand its loan book tenfold over the next decade which may result in multifold returns. Given the significant market opportunity in the NBFC sector, how does the company’s large market cap impact its potential for achieving multibagger status? (I am not asking company specific inputs however, to understand the bearing of market cap on future return, I cited this example)
If initial market cap is indeed crucial for achieving multibagger returns, what would be the ideal range to target for investment?
Furthermore, I would greatly appreciate your insights on which sectors or industries you believe the next multibagger opportunities will emerge from. Your perspective would be highly valuable to us.
Thank you for your insights.
Mangalam Organics Ltd. – A promising Pine chemistry story (15-07-2024)
Camphor prices picking up
Landmark Cars – Listed premium Car dealership in India (15-07-2024)
Hello, the company had a very weak Q1FY24 so on that low base would have expected Q1FY25 to be good but the recent share price performance has been particularly poor. The Long-term thesis of Landmark seems to be appreciated by investors but in the interim it seems to face share price decline. happy to hear any thoughts?
Sterling & Wilson Solar Ltd. – Will the Sun Keep Shining? (15-07-2024)
This Is Great. I went through concall and the management stated that they would try to further bring down or stabilize overheads and thus operating leverage should kick in. Overheads should stay in 330-380 Cr Range
Selecting a broker (15-07-2024)
Guys, if you are using Zerodha, have you noticed they have removed a feature in holdings: filter by “smallcase” “kite”. Do you like this?
I used the feature extensively and didn’t see the need to remove it… Small annoyances like this can accumulate apart from occasional tech snags…
Eco Recycling Limited (Ecoreco (15-07-2024)
Opportunity size is quite big. Execution is the key
Disclosure – invested recently
Oriental Carbon and Chemicals Ltd (15-07-2024)
Insoluble sulfur is primarily derived from petroleum-based raw materials, such as industrial and common sulfur. The price of insoluble sulfur is therefore linked to global crude oil prices
Smallcap momentum portfolio (15-07-2024)
I was checking the std. Dev. Values…almost value of every script is slightly different…
What to do ?