Vijay Kedia and Dolly Khanna are two ace stock pickers you cannot let out of your sight. You have to track their every move like a bloodhound because they have the magical ability to unearth multi-bagger stocks out of thin air.
I reported earlier today of how Dolly Khanna has put her faith in a fast growing micro-cap called ‘Nandan Denim Ltd’.
Now, it is my pleasure to report that Vijay Kedia has put his faith in another micro-cap called ‘Aries Agro Ltd’. Vijay Kedia has bought 491,248 shares of Aries Agro Ltd in the March 2015 quarter. His investment in the stock stands at Rs. 5.69 crore at the CMP of Rs. 116.
Aries Agro is engaged in manufacture and sale of micronutrients and other nutritional products for plants and animals. It has a market capitalisation of Rs. 151 crore.
We don’t have to go far to understand the dynamics of Aries Agro because the wizards at HDFC Sec have already done all the hard work for us.
In a report dated 27th November 2014, HDFC Sec called Aries Agro a “value buy”. It pointed out that though the company has shown slow growth in topline and bottomline over the last few years, there are several “triggers” in place and that the growth could accelerate in the foreseeable future.
Wellworth Wealth Management has also conducted a detailed analysis of Aries Agro in its ‘initiating coverage’ report of December 2014. Wellworth has meticulously set out the numerous ‘triggers’ that are expected to send Aries Agro soaring into orbit.
In an earlier piece, I pointed out that Vijay Kedia is seeking to create a “diversified and balanced portfolio” by picking stocks from different sectors. Aries Agro appears to be an attempt in that direction. Only time will tell whether he gets the promised hefty gains from the stock.