Very nice to hear that you invest fully into equity , just like me. Recently i was doubting this approach, as everybody is talking of proper asset allocation and gold, debt etc. I thought, am I being more aggressive and will it boomrang on me, if market goes down. Whether i should invest into other asset classes too, as all experts, fund managers also prescribe this. If possible.kindly shed some.more light on this to reinforce my thesis.
Posts tagged Value Pickr
Mudit’s Portfolio (Passively Active) (21-11-2023)
My best performed stocks have been polycab, KEI, Apl Apollo, Astral, Titan , Trent , Chola.
So as I observed, proxy to infrastructure theme, cables wires construction steel and retail premium shopping can be thought of as major themes.
Mudit’s Portfolio (Passively Active) (21-11-2023)
stellar returns @Mudit.Kushalvardhan 
what are the top 3 reasons/ideas that you’ll attribute this to? would love to learn. thanks!
How to do Valuation of Holding companies? (21-11-2023)
Holding Companies have been moving up recently I think in respect to Sebis possible new proposals as listed in this article…
Mudit’s Portfolio (Passively Active) (21-11-2023)
I have generated 95% PF returns on annualized basis, main USP 25% of PF holding in Kalyan Jeweller from 110 levels.
What is your real return? (21-11-2023)
If you are considering USD depreciation, then the inflation has to be also in USD terms. Uniformity of currency to be maintained while evaluating inflation.
In the long term, near 4% real return is what is expected in stock, i.e., passive funds (including US market). Check out the book “Stock for the long run” by Jeremy Siegel. India’s performance is almost same to that of US in index investing, if adjusted against inflation/currency depreciation.
You have to consider dividend. It is a major part of total return over long term. Taxes have to be also considered.
Other than equity, all other asset classes return real negative after taxes. Hence, I don’t invest anything other than equity and for short term needs (less than 5 years) I hold in cash / liquid funds.
Krishca Ltd : A SME offering steel strapping Solution (21-11-2023)
Some Additional points from concall
As per the management there are four types of steel strapping Regular, medium, high and ultra high tensile steel strapping.
The new production line that the company is making, is for all three types + ultra high tensile steel strapping. As old production line can only make regular, medium and high tensile steel strapping but not ultra high.
As per the management, industry is shifting toward ultra high tensile steel strap. As they are venturing into new product. The only question is, does this will improve their margins in the future?
They also mentioned, in steel strap they already have 10% market share according to their estimates. They are also guiding for 30% of market share in steel strap.
A minor correction on excellent analysis done by @hunter is that they are guiding for 50% above revenue coming from packaging not the market share.
Krishca does not have pricing power, so the entire growth will be lead by volume growth when it comes to steel strapping. But the packaging contracts has better and stable margin when compared to steel strapping. This can cushion some of the fluctuation in margin because of steel prices.
For the future I think three things needed to be tracked –
- Capturing more market share in steel strapping space.
- Focusing more on export for both steel strapping and packaging contracts.
- Packaging contracts contributing more than 50% in revenue.
If these three points can play out well. Krishca is looking like an excellent investment opportunity in my opinion.
*Disclaimer already invested
Tata Investment Corporation: Unusual discount to NAV (21-11-2023)
Here is one interesting tweet discussing the possible reasons for the suden upmove in Tata Inv
https://x.com/iKrishnaAppala/status/1726574056936513797?s=20
Hope you find it helpful
dr.vikas
Best Agrolife – Think Big, Think Best! (21-11-2023)
Ignoring the obvious red flags present, such as, aggressive accounting practices, increasing receivables, headwinds in the agrochemical industry, depleting margins, recent IT raids, I would still like to look at certain positives. All views and opinions welcome.
- Management confidence in achieving 20% Ebitda margins
- Continuous launch of new products that are expected to contribute to margins in H2FY24
- Plans to explore opportunities in SE Asia, Middle East and Africa
- Acquisition of Kashmir Chemicals (to meet growing demand)
- 20 years patent for its subsidiary
- Capex for backward integration
Also, reading the concall transcript has given me a little bit of confidence in the management and a belief that the company is possibly headed on the right path.
The stock is currently in a free fall and my thesis may be wrong but I feel the business model is strong and fundamentals are expected to improve next quarter or maybe 6 months onwards.
KPIT – CASE (connected, autonomous, shared, electric) – Focused Automotive Play (21-11-2023)
At a price target of 940 we are looking at a FY’24 PE of ~50 – which is almost half the current valuation. Additionally, management is upbeat on growing revenues at 25-30% CAGR going forward. Don’t understand these absurd price targets especially when they say the price target is because they don’t have a nuanced understanding of what KPIT does 