Showing posts with label multibagger. Show all posts
Showing posts with label multibagger. Show all posts

Saturday 9 March 2019

Which stock is a Multibagger in NIFTY 50?

Which stock is a Multibagger in NIFTY 50? 

InterGlobe Aviation :
InterGlobal Aviation (the parent company of IndiGo airline) is one of the most efficient low cost carriers (LCC) with a market share of 40 percent in the Indian aviation sector.
IndiGo passenger traffic grew by robust 31 percent CAGR versus industry growth of 15 percent CAGR, over FY14-FY18. Going forward, expanding market presence through fleet addition and firming up its regional connectivity plans augurs well.
https://www.wealthbuildup.com/IndiGo’s fleet comprise of 15 percent more fuel efficient models which will cushion its margins and market share even at times of higher oil prices.
In the long-term risk related to volatile oil prices is likely to come down. We remain constructive on IndiGo given RoE of 40 percent, efficient operations and strong balance sheet.


NBCC :
NBCC is a Navaratna Enterprise engaged in project management consultancy (PMC), Engineering Procurement & construction (EPC) and real estate business. Current order backlog of Rs 80,000 crore provides strong visibility for the next 5 years.

We expect execution to ramp up in coming quarters as Rs 10,000cr worth redevelopment project started at ground level with an execution period of 2years. NBCC is at sweet spot considering its huge order book, limited competition and expertise in executing large projects.
Big projects like Pragati maithan (Rs 2,500cr), Irrigation project in Maharashtra (Rs 1,000 cr), redevelopment of Nauroji nagar (Rs 2,500cr) started with an estimated execution period of 24 months. Given strong earnings outlook and executional capability we continue maintain a Buy rating for the stock.

Escorts:
Normal monsoon and more state subsidy for doubling the agricultural growth will continue to drive demand for tractors for FY19. EL's expanded portfolio & technology upgrades in tractors have resulted in improved numbers both in existing and newer geographies.

Revenue from Construction equipment and railway segments will continue to reflect sizable improvement in FY19. We expect revenue and PAT to grow by 15 percent/23 percent CAGR over FY18-20E factoring 13 percent YoY growth in the tractor sales and 18 percent in Construction equipment.

We expect EL to trade at a premium valuation of 25x (FY20E EPS) given its strong earnings outlook & massive government push for road infra projects.

Ashok Leyland:
Ashok Leyland (AL) is the second largest commercial vehicle manufacturer in India to witness numerous tail winds like government road infra spending, strategy of defence and Electric vehicle.
AL's growth in the higher tonnage vehicle was 247 percent on a YoY basis post the implementation of overloading ban in some northern states. The industry is likely to witness a demand of 600-700k vehicle if 15 year ban is enforced across the country.

AL holds 95 percent market share in this category (35.2t- 40.2t) and will be a direct beneficiary. We expect AL’s revenue to grow at 17 percent CAGR over FY18-20E- factoring 13 percent volume growth in M&HCV and 23 percent in its LCV business.

Saturday 5 January 2019

What are today's stocks that can become multibagger in future?

What are today's stocks that can become multibagger in future?


There are numerous multibagger stocks however I don't know from which Industry you need to know, consequently I will confine myself to 4 - 5 stocks crosswise over different Industries.


Stock 1: Upper Ganges - Sugar Industry

The stock was at Rs. 36.8 on October 1, 2015 and it hit a high of Rs. 508.35 on 29th July 2016, giving an arrival of 1281% of every a traverse of 10 months.

Stock 2: Malu Paper - Paper Industry


The stock was at Rs. 9.8 on 30th March 2016 and starting today (Oct 11, 2016) the stock is at Rs. 35.40, giving an arrival of 261% out of a traverse of 7 months.

Stock 3 - Century Extrusions - Aluminum Industry


This stock was at Rs. 2.15 on second Sep 2016 and starting today (tenth Oct 2016) it is exchanging at Rs. 7.57, giving an arrival of 252% out of 40 days!!!

Stock 4 - Kakatiya Cement - Cement Industry


This stock was at Rs. 100 on seventeenth Feb 2016 and went ahead to hit a high of Rs. 599 by fifteenth May 2016, giving an arrival of 500% of every 90 days !!!

Stock 5 - Electrotherm - Engineering Industry


This stock was at Rs. 32 around Jan fifteenth, 2016 and went ahead to hit a high of Rs. 188.25 a week ago (seven day stretch of Oct seventh 2016), giving an arrival of 488% in just 9 months!!!

Expectation I have given you enough cases on the multibagger stocks in 2016. In excess of 275 stocks have hit 52 wk lows and 52 wk highs in a traverse of 10 months, inside this year (2017). Stunning year of profits for some financial specialists…

Alter 1: Key to progress: Research, research and more research… . I experience money related proclamations, news declarations, segment viewpoint, financier reports, patterns in light of regularity (eg; due to great rainstorm, provincial stocks did well), administrative endorsements and issues ( incase of pharma), govt. mediation (like MIP for steel organizations, capital mixture for banks).

I do this for 5 - 7 stocks day by day and in the event that I discover something intriguing, at that point I watch the stock execution for up to 14 days, at that point go to work computing the characteristic estimation of each stock, contrast it and current value, see the profits conceivable on the off chance that I can contribute.

In the event that the characteristic esteem - current cost is > 30% then I contribute for long haul, in the event that it is under 30% then I exchange those stocks.

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