First of all, you must familiarize yourself with Ashish Kacholia’s profile. He is a MMS from JBIMS and runs a firm known as “Lucky Securities”. He started his career with Prime Securities and later honed his skills at Edelweiss Capital. He is more popularly known as a co-founder of Hungama Digital along with Neerja Roy & stock wizards Rakesh Jhunjhunwala, Lashit Sanghavi and Hiren Ved.
One look at Ashish Kacholia’s latest portfolio will tell you that this savvy investor backs only winning stocks and that he bets big on them. Also, Ashish is a believer in the merits of a concentrated portfolio.
|Latest Portfolio of Ashish Kacholia & Sushmita Kacholia|
|Company||%Holding||No of Shares (in Lakhs)||Rs Crore|
Each of the stocks in Ashish’s portfolio is a super-duper multi-bagger. Gati is up 379% YOY, Neuland Labs is up 268% YOY & Ashiana Housing is up 154% YOY. eClerx is also a super-duper multi-bagger of the past though on a YOY basis it has given a return of (only) 58%.
Ashish Kacholia is also believed to have had holdings in MT Educare, Greenply Industries, Kaveri Seed Co and Marg.
Ashish Kacholia’s latest stock pick is JB Chemicals. In the quarter from April to June 2014, Ashish has quietly scooped up a chunk of 8,49,730 shares of JB Chem worth Rs. 13.68 crore.
Now, the question is why did Ashish Kacholia chose a Pharma stock in the first place and within that space, why did he choose JB Chemicals.
The answer to the first question is that in the great NAMO rally, Pharma stocks have under-performed their peers from other sectors and are available at reasonable valuations. This makes them an excellent buy at this point given their high ROE’s, stability and visibility of multi-year earnings. I have already covered this in detail here, here and here.
The answer to the second question is that JB Chemicals has been unfairly treated by the market over its Q3FY14 and Q3FY14 results. This has been covered in detail in my piece “Grab This Chance To Buy JB Chem Stock” where I have distilled the salutary advice given by Daljeet Kohli and Sharekhan on what to do with the stock.
So, JB Chemicals is a great buy at this moment because a couple of quarters of good results will send the stock rocketing high.
The other aspect that will bring you confidence is the fact that JB Chemicals’ largest shareholder is Ashish Dhawan of ChrysCapital. Ashish Dhawan holds a massive chunk of 81,79,608 shares worth Rs. 131 crore at the CMP.
Speaking for myself, I already have a nice little chunk of JB Chemicals in my portfolio. I am now encouraged to increase my holding in the stock.