Hi, I will only comment on the business that I know of.
a) D-mart: Don’t get me wrong, its a good business but there is no way in which one could justify the valuations that it commands. The promotors have a huge stake in the business and valuations will change when that is not the case. The business castle is not really impregnable. I wouldn’t buy the business and certainly won’t short it either! The music will stop one day.
b) Adani green: I understand its a very small position, but once again richly valued beyond imagination. What it does have is certainty of revenues over the next 25-30 years, but those revenues (and the costs associated) with it are not inflation adjusted. Costs will increase with inflation but not revenues and hence depressed margins. (Disclosure: I do not know if the revenue contracts are inflation protected. I did not read that part of the document)
No matter how good the story is, the numbers should match.
Regards
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