Sitting on healthy profit with investing requires deep technical analysis, research, and discipline. One needs to keep high patience and knowledge to convert a seed into fruit.

Despite the recent sell-off in midcap and smallcap stocks, those who perform on conviction ideas are earning profit and growth with the huge return.

An investment of Rs 1 lakh in HEG or Indiabulls Ventures on August 17, 2015, would have become nearly Rs 24 lakh on August 17, 2018. Graphite India would have converted the same investment into Rs 15 lakh in the same period.

Graphite electrode maker HEG recently reported a net profit of Rs 770 crore for June quarter after reporting Rs 8.43 crores loss for the same quarter a year ago. Graphite electrodes are used to melt scrap in electric arc furnaces (EAFs) to generate new steel.

Indiabulls Ventures posted 95%  year-on-year rise in consolidated net profit at Rs 87.72 crore for June quarter compared with Rs 44.99 crores reported for the corresponding quarter last year.

Minda Industries Q1 quarter, The auto component maker posted a 77.46 % rise in June quarter consolidated net profit at Rs 80.50 crore compared with Rs 45.36 crore reported for the same period of last financial year.

It has expected Minda Industries top line to rise with a CAGR of 28 % over FY18-FY20E led by the consolidation of group companies under MIL, product innovation, growing customer base and upcoming ventures.

Indiabulls Integrated Services multiplied investor wealth by 45 times over the past 3 years. The scrip jumped from Rs 12.20 on August 17, 2015, to Rs 559.70 on August 17, 2018. It means an investment of Rs 1 lakh in the stock 3 years back would have become over Rs 45 lakh today.

With better capacity utilization and benefit of operating leverage, we expect EBITDA margins to inch upwards to 12.8 % in FY20E from 11.9 % in FY18, supporting 28 % earnings growth CAGR over FY18-20E.

Get The Latest Stock Updates, Equity Tips, Share Market Tips, Stock Market Tips, Intraday Tips  @ Investelite Research

Leave a Reply