Hi -
I have looked at all of them but I did not want any more retail/ apparel exposure in my portfolio, so did not seriously consider. The below are my cursory thoughts.
- Why invest in Vedant (V) or Campus (C) at 70 times forward PE when Page (P) is available at 60 times? Metro (M), I believe is at 60 times. In my opinion these three are no where near Page’s quality. It’s very important to know if a company deserves such high valuations. It may as well, but there is no track record yet.
- I think there is a lot of narrative in Campus, I do not see any moat - opening trade narrative is active here I believe, just like hotels etc. There are dime a dozen in active footwear. It’s only a matter of time before the moat is eroded & valuations do not offer any scope of further re-rating.
- I prefer Trent (T) or Relaxo (once growth of 20% restores in Relaxo (R)) than the above three, any time - both are very expensive too. Anyway, I did not want to further invest in retail as Nykaa (N) & Page are already there.
- Vedant story is good but any retail company linked to fashion/ trends/ niche will get disrupted one day while a banian/ inner wear is a staple. Too niche. People probably won’t wear Manyavar jeans or Manyavar T shirt. There’s already a lot of competition there, so even in future, chances of Manyavar expanding to such categories & finding success is less.
Disclosure: Not invested in C,V, M, T, R but in N, P.
