Such tech glitches are not new, happens in every industry. ICICI Bank had more serious tech issue lately but why that bad news hasn’t went viral like the Kotak’s?

I strongly feel such events are being used to create negative sentiment in the minds of retailers. Even the recent sharp correction will make us feel that at what price we have bought the stock wasn’t good at all. The day it climbs up to our avg buying level we end up selling due to all such negative fabricated narratives. I think that’s all these market manipulators or operators want.

Agar muje (read DIIs/FIIs/Operators) koi stock 1800/1900 pe buy karna hai bcoz I know its worth 2500+ but retailers apni position chhod nahi rahe hai to kya kare? Create panic by making a mountain out of a molehill.

If Kotak bank has done something so wrong then why DIIs still increasing their stake every single quarter? Even you observe delivery percentage on NSE for Kotak Bank it is almost 60%+ every single trading day. Who’d be buying these much in bulk? Not many retailers I think. They’re frustrated bcoz of notional losses shown in their demat account.

Take it easy friends. This too shall pass! Focus on allocation to each stock such that they don’t move you too much.

PS – I too have highest allocation to HDFC and Kotak Bank in my pf. Yes, it pinches when stock falls much beyond we anticipate but that doesn’t make such businesses bad. As of now I am just holding these 2 stocks calmly, won’t do “revenge buy” as my allocation level beyond current point will not let me sleep peacefully.

ROA is calculated as Avg of assets/Net Profit.
Avg assets = (Last year assets on BS+ This years assets on BS)/2

You can use the numbers from the presentation, Avg assets around 5100 cr and PAT 119 cr, that will give ROA of 2.3%

One reason for lack of buying frenzy in Ugro capital could be that this stock does not figure in the broker funding list due to which punters, day traders etc are unable to play in this counter.

Only when the liquidity goes up along with market cap, ugro will become eligible for broker funding

My guess is that by January the stock price my go upto 750-800 and a bigger run in price will happen after that. So 2024 would be time to sleep for Ugro capital investors.

Another important thing is that the mngt has said that they have raised capital now to take care of any adverse market conditions later on. So that takes care of any election related surprise in June 2024 or a black swan event like Capital gains tax shocker in the coming budget or recesssion in US…etc. With additional capital locked in and branch expansion in place and interest rates expected to come down and ratings upgrade…its time for Ugro mngt and employees to run hard …run fast and deliver the promised 4% ROA & 18% ROE.

This makes Ugrocap a safe investment stock for next 2 years with a potential price target of around 1000

incidentally the long term chart pattern is more bullish. If there is a close above 350 by end of June quarter, then ugro becomes an excellent momentum stock too…it then makes a transition from being potentially bullish to being actually bullish.

Those who wish to buy more of ugro may wait for a weekly close above 290…till then its better to wait on sidelines.

AUM refers to the total market value of assets managed by a financial institution, including investments and deposits. Disbursement growth, on the other hand, pertains to the increase in the amount of money disbursed or lent out by the bank to borrowers. While AUM reflects the total value of assets managed, disbursement growth measures the bank’s lending activity and its ability to expand its loan portfolio.