Untill you have concentrated bet, you wouldn’t be able to make it meaningful, there are risk associated with large bet hence valuation comes in picture, mostly turnaround, forgotten by markets or stocks sitting at cusp of growth triggers. You need some luck as well. Higest the safety of margin, higher the chances or capital protection if events not unfold as you thought.
I have done it repeatedly in last 7-8 years with 80% success rate. Its an art which requires lot of courage and patience, holding a rising large position is more problematic. I have done it with Vodafone Idea, Tata Motors, Shoppers stop, ABFRL, Latest Kalyan Jewellers, Started with 25K stocks in Nov 22 at 115, diluted 2K at 300, diluted 5K around 500, diluted 4K around 650, diluted 11K between 700- 750 as its too expensive for me now, holding 3K, will sell it again as Istock is discounting 2 year forward earnings and competition is heating up after entry of PN Gadgil, Novel Jewels, PC Jewel, Senco and other small IPO’s. This sector is avoid for me know.
Built up a large position in SAMHI hotels which is trading at 10 EV/EBIDTA own 90% of real state, discounted around 50% with marque brands like Merroit, IHG, Hyatt. Can’t lose much from here.
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