On Thursday, for the first time since January 29, 2018, records get high on the Nifty. Sensex also crossed 37,000 marks.

It is a bit tough to calculate short term but for long-term India’s emerging market is raising in the best economy at the global level.

According to the observation, investors are not going to run away from India, even if government changes. At least, for the next 5 years, India is going the best place in the economy.

The reality is among Nifty,10 stocks delivered 10 % kind of returns, while 20 stocks fell more than 20%.

“Companies which have high quality and durable business always buy in the trouble.”

For example, Jubilant Foodworks franchise, which faced big trouble 1.5-year ago. Looking at the first quarter FY19 results, which showed that all troubles are behind,” Jubilant Foodworks would be selective in the consumption space that has a long way to go. But after taking over by  new  and brilliant Chief Executive Officer Pratik Pota, who focused on the same thing product and delivery and we can see the results now.”

Symphony reported a  40% fall YoY in revenue on a standalone basis but it is still upward on the stock. Air conditioner and air coolers are not even half penetrated market in India. So they remain positive on the stock but that does not mean they are negative on Voltas.

Also, Rajiv Bajaj of Bajaj Auto is very clear on his targets after listening to his speech while addressing shareholders in the Annual General Meeting last week.

“Its core return ratios are far better than FMCG companies. It has a strong product mix, sales mix and has seen a fantastic revival in three-wheeler space. So for the Bajaj, margin going from 19.5 to 17.5 for a quarter or two does not matter.”

Ashok Leyland has been going through some trouble due to likely increase in truckload capacity but nothing wrong with the management and structure of the company.

Even we can see Havells has beautifully managed the business and now with buying Lloyd company entered into air conditioner business also, the underpenetrated category. Lloyd reported 40% growth on a like-to-like basis.

Havells’ return ratios are at around 40 %, so we sees growth for the next 10 years in the company as it is the leader in every segment which they are in.

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