Hi there, really impressed with your concept-based investing style.
I want to say that the google sheet you shared has error cells where i dont get to see the references, can you please share the current sheet again. it would of great help for studying.
Thankyou in advance.
Keep up the good work.
Momentum ranking for the week ending 22nd March 2024
The portfolio has recovered in the last two trading days.
In terms of change, PAISALO would have gone out and EMUDHRA would have come in.
However, I will not be making any rebalance this week. This coming week is a truncated week with Monday (25th) and Friday (29th) being holidays. In addition, the Microcap250 index will be rejigged end of next week.
I will plan rebalance considering that event also for week beginning April 1st.
Established players in the pipe industry have good OPMs. Also, the opportunity size is bigger when compared to the ‘Building Products’ business. Currently, they aspire to reach 2,000 Cr. topline in the next 4~5 Yrs. Since outsourcing is not an option for this line of business, capex is unavoidable. After a certain scale, improving OPM will be the focus and possible due to inhouse mfg. In my opinion, entry into the pipe segment was/is a good business decision. However, they shall prune retail and CAB segments at the earliest. Established players in CAB product lines fight hard on the basis of pricing, making uninspiring OPMs.
Disc: No position. All the above are personal opinions.
4300-4500 double SPA, this was earlier 4500-4899.
**The Sugar Love Story of Sir Shadi Lal Enterprises and Triveni Engineering: **
Can Two sugar birds in the same region will be spouses after SEBI approval ?
“This is to inform you that ,Triveni Engineering and Industries Limited (TEIL) in terms of the SEBI (SAST) Regulations have acquired 13,35,136 equity shares of face value of INR 10 each of Sir Shadi Lal Enterprises Limited (“Target Company”) on March 11, 2024, through an off-market transaction pursuant to a share purchase agreement dated January 30, 2024, which was the underlying transaction for the open offer launched by TEIL for further acquisition of 13,65,000 fully paid-up shares of face value of INR 10 (ten) each of the Target Company (“Open Offer”)”
The Sugar Love story: Sir Shadi Lal Enterprises Limited was established as a Corporate Body in the year 1933 under the name **“The Upper Doab Sugar Mills Limited” by the “Rt.Hon’ble Sir Shadi Lal”, with a cane crushing capacity of 600 TCD per day at Shamli, Distt. Muzaffarnagar (U.P.). The Company has been constantly modernizing its plant & machinery in stages by adopting the latest technology and presently working with a cane crushing capacity of 7500 TCD per day.
Shamli Distillery , unit was installed at Shamli, Dist. Shamli (U.P.) in the year 1945 with an installed capacity of 12.00 KLPD. Subsequently, the capacity was increased in stages as detailed below to reach its present level of 100.00 KLPD.
**Why Triveni is showing sugar love with Sir Shadi Lal: Understand the valuation of Sir Shadi Lal, **
Part 1:
The No. of outstanding shares: 52.50 Lacs / 0.5250 Cr
Current Market price: 306.40/-
Mcap: 0.5250 X 306.40 = Rs 160.86 Cr
Part 2:
Recommendation on the Open Offer, as to whether the offer is fair and reasonable: The IDC has reviewed the PA, the DPS, and the LOF.
The Committee believed that they may seek external professional advice in order to provide appropriate recommendation on the open offer. The Company had invited bids from the Merchant Bankers and it was mutually decided to appoint Sundae Capital Advisors Private Limited, a SEBI registered Category | Merchant Banker, to assist the IDC. Sundae Capital has provided an Independent professional Advice on the ongoing open offer dated March 16, 2024. The report has suggested two different values for the Equity Shares of the Company using two separate criteria, Sundae Capital mentions the price as per Asset Approach is Rs, 1221.70 and as per Market Approach is Rs. 541.13. In terms of Regulation 8(1), IDC may take into consideration highest off the two Values and base their recommendation accordingly. Two Committee Members out of Three members of IDC is off the opinion that the price of Rs. 1221.70 is a fair price for the Equity Shares of the Company.
Now from Asset Approach: 0.5250 X 1221.70/- = Rs 641.39 Cr
And from Market Approach: 0.5250 X 541.13/- = Rs 284.09 Cr
So , Story is continue and wait and watch!!!
@krishnasristy I don’t rebalance the midcap or large cap pfs every week.
I rebalance the Nifty 50 based pf once a month (on the 1st of the month) and the midcap based pf once in 15 days (on 1st and 16th).
These are just some of the rules that I have set for myself.
Typically, I end up changing one or two stocks during these rebalances.
Whats your typical churn every week in a Large and midcap momentum portfolio?
@krishnasristy I am not sure about insane returns, but clearly I have seen that you can make a decent amount of money. With the evidence of over 15 months, I have seen that the pf is able to catch the trend quite well.
@krishnasristy If you invest in an MF or a ETF, it depends on the underlying portfolio. If the rebalancing is done at 6 months interval, you may lose quite a bit waiting for the next rebalance. Investing and then moving out – not sure if you can time it that well either.
It also depends on the universe. If your universe is the same as the ETF or the MF, then you can simply follow it. But if your universe is different, it is incumbent upon you to do the tracking.
If you are transacting via a discount broker, you save straight away on brokerages. You will still have other statutory costs, but on an overall basis it will reduce the returns marginally only.
I do this over the weekend only and hence time is not an issue.
No doubt one can make insane returns if one has the time and skill to capture the trend and move into it with meaningful allocation.