How to identify next Infosys?

Where is next multibagger?

Well, it is not easy to find companies like Infosys which have actually changed lives of their shareholders but there are 10 parameters that can point out to next Infosys in the making:

1) Economy of scale
There should be huge opportunity size. Infosys was able to create so much wealth as IT was under penetrated in most of the big organisations.

2) Competitive Moat
Infosys had unique business model and had its own financial product Finacle which generated multi billion dollar revenues.

3) New Sector
Company should be in sector which has started growing only in recent past.

4) Relatively Low PE
If company is able to grow higher than its current PE , it means that PE is low and can be great investment opportunity.

5) High Revenue Growth
Company should have high revenue growth which indicates great demand for its products.

6) High margin than peers
High margin signifies superior quality of its products and strong moat.

7) Incremental profit growth
Higher EPS is due to incrementally growing profits.

8) Honest and Visionary management
Corporate governance is a big problem in our companies.Companies like Satyam and DLF spoilt the image of Indian companies.Honest management is one of the most important aspect which decides the fate of company.

9) High ROE and ROCE
High ROE( return on equity) and ROCE( return on capital employed) signifies that company is well managed and highly efficient in allocating funds.

10) Dividend Yield
High dividend show that profits are real and books are not fudged.


To get such ideas ,Please mail me at:

ankurjainraj@gmail.com


Thanks and Regards,
Stock Ideas Team

New Life time Highs as on Dec 31, 2014

Dear Readers,

I feel ecstatic to tell you that all of our stocks are performing exceedingly well.I am listing few of them who have hit new life time high.

1) Britannia [ NSE: BRITANNIA ]
    Recommended price : 880 Rs
    Current life time high Price : 1865 Rs
    Gain in percentage :  111 %

2) V Guard Industries [NSE: VGUARD  ]

    Recommended price : 487 Rs
    Current life time high Price : 1198 Rs
    Gain in percentage :  145 %

Few stocks have gained by 8 times, 9 times and so on.It is still good time to invest in markets.To become member and receive great fundamental picks , please visit:

http://ankurjainraj.blogspot.in/2014/06/stock-multibagger-ideas.html

Portfolio management services are also available.

Thanks and Regards,
Stock Ideas Team

New Life time high for many stocks from past recommendations

Hi All,

Following stocks have hit life time high recently:

1) Eicher Motors
2) Britannia
3) Sun Pharma
4) Amara raja batteries
5) Symphony
6) Avanti Feeds

There are many other stocks from our recommendations that have hit their all time high.All members will be updated whether to book profit or still hold them.We are doing regular check on all of them and updates will be sent as and when required.

For Past Performance of our recommendations please visit:

http://ankurjainraj.blogspot.in/2014/10/our-portfolio-past-performance-please.html


Thanks,
Stock Ideas Team

Dolly Khanna latest Portfolio as on November 2014

Ace Investor Dolly Khanna has a great portfolio comprising lot of companies.Well,those who are looking to build good portfolio can look into these stocks as well as investors like Dolly Khanna with track record of picking multi baggers is amazingly high.

Here is the list of stocks:

Why you should not invest in mutual funds

You can find lot of people giving advice that if you don’t have time to find stocks then it is better to do it through mutual funds. This is correct to some extent but problem arises when you start the process of choosing mutual funds. You can always buy top performing funds but there is always a clause mentioned “past performances may or may not sustain in future”. So you cannot buy mutual funds based on past performances alone.

We believe that one should not invest in mutual funds due to below reasons:

Portfolio of stocks

If you have a careful look at the portfolio of any leading mutual fund you will find that they have plenty of stocks and in most of the cases total number of stocks would be between 50-100.So even if one stock turns out to be multibagger it will not show any meaningful gain in the overall returns.I will explain this with an example:

Suppose Mutual fund ABC has 100 stocks and another portfolio XYZ has 15 stocks. 

Parameter	ABC Portfolio	XYZ portfolio
Total Portfolio Value (Rs)	100	100
Total Number of Stocks	100	15
Each stock average value	1 Rs	~7 Rs
New value of 1 Stock that becomes multibagger	10 Rs	70 Rs
New Portfolio Value say after 4 years	1 stock rises from 1 to 10 while others rises from 1 to 1.5  Total value: = (99*1.5) + (1 * 10) = 158 Gain of 58 %	1 stock rises from 7 to 70 while other rises from 7 to 10.5 Total value: =  (7*10) + (14*10.5) = 217 Gain of 117 % ( more than double from ABC portfolio)

So you can see that ABC portfolio owned by mutual fund and has 100 stocks gives return of 58% when one of the stocks becomes multibagger while XYZ portfolio with 15 stocks gives fabulous return of 117%

When there are too many companies in the portfolio there would be more chances of failure as great companies are few and only these few will ultimately become champions.

Diversification

Mutual fund manager who owns fund believe that it is mandatory to diversify the portfolio in different sectors to de risk their portfolio. But in this process they choose non performing stocks as well. Due to this, mutual funds always give only average returns .Our aim should be to find stocks that can perform better over a period of time and hence become multi baggers.

Frequent buying and selling

You must have come across news that fund ABC has sold shares of Company A. After some time same mutual fund will buy the stock of same company. So this frequent buying and selling does no good to your portfolio returns.

Limitations of Fund Manager

Fund manager has several restrictions while deciding to buy any stock. Some mutual funds places condition that stock selected should have market cap above 1000 cr only.So even if fund manager finds a potential multibagger company but market cap is below 1000 cr then that stock is left out which means that a great opportunity is lost. Similarly there are other restrictions like volume, free float etc.

Also, Fund manager would like to put his money on the stock which is also in the buy list of his competitor mutual fund because if something goes wrong with the stock and every other mutual fund is in the same boat as he is then he can say to his boss that it happened with others as well. But if he dares to take different path and fails then he can lose his job since he is like any other salaried person who is appraised based on his fund performance and peer performance.

Maintenance charges

Moreover they will charge you maintenance fees ranging from 2-3 % which lowers net returns for an investor.An investor has to bear other charges like security transaction tax, transaction charges , Exit Load etc. as defined by SEBI.

A stock you don’t want to own

Suppose you come to know that stock x is not worthy enough to be in your portfolio and don’t want that stock in your portfolio and the same stock is there in your mutual fund then effectively you are also owning that stock until the mutual fund sells the same stock. To better control your portfolio it is advisable to own stocks which you have confidence and believe in the growth story of the company.

Redemption pressure

Mutual funds face redemption pressure time to time from investors and hence they are forced to sell even when they do not want, again effectively reducing your net returns.

For details regarding services offered and payments ,Please go to this page :

http://ankurjainraj.blogspot.in/2014/06/stock-multibagger-ideas.html

For any queries , Please contact me : ankurjainraj@gmail.com

November Recommendation Released and other updates

Dear Readers,

We are recommending  a company which has following advantages:

1) Huge growth opportunity

2) Market leader in its segment.

3) High ROE and ROCE.

This company can give huge returns if someone remains invested even for an year.It is highly recommended to all investors.

Our Past Performances are already generating huge returns for existing members:

Suven life sciences was recommended at 65 in December 2014 hits lifetime high of 236.7 on November 3, 2014 . 4x returns in less than a year!!!

A***c** was recommended in September 2014 on 121 has also hit life time high of 274. Return of 126% in flat 60 days!!. So if you have invested 25000 INR you are now in profit of 31500 INR which is more than 10 times of our 12 month subscription charges!!!
So you can easily recover our subscription charges very quickly and earn big profits as well.

Above recommendations still have huge potential in coming future as well.

For Past performance Please visit:

http://ankurjainraj.blogspot.in/2014/10/our-portfolio-past-performance-please.html

For details regarding services offered and payments ,Please go to this page :

http://ankurjainraj.blogspot.in/2014/06/stock-multibagger-ideas.html

For any queries , Please contact me : ankurjainraj@gmail.com

Best large cap stock to buy now- Free recommendation for all readers

Sun Pharma Merger with Ranbaxy is a Game Changer

Global Pharma Industry

The market size of the global pharmaceutical industry is estimated to reach US$ 1.2 trillion by 2017 growing at a Compound Annual Growth Rate (CAGR) of 3-6% and the emerging markets are likely to be the key growth drivers. Several factors like economic growth, demographic changes, transition in community health and policy responses and focus on healthcare funding are expected to lead to double-digit growth in the pharmerging markets.On the other hand, economic and healthcare austerity measures and the savings realized from the growing availability of generic drugs, following their patent expiry, may see developed markets record low single-digit growth.

About Sun Pharma

Sun Pharma is amongst India's largest and fastest growing pharma companies. India and the US account for almost 80% of their business. In India, they are market leaders in six therapies, such as cardiology and psychiatry, with trusted brands and effective marketing teams. In the US, they are a fast growing generic company, with 250 products approved, and presence across dermatological and controlled substances. Their global manufacturing base spans 23 sites across continents. They are one of the largest spenders on generic R&D.

Earnings metrics of last 4 years

Recommendation

We recommend buying sun pharma at current CMP of 835 due to following reasons:

1) Merger with ranbaxy will atleast double the sales.Margins will not remain same as before but will show gradual improvement.

2) Synergy benefits will be huge.

3) Great management.

4) Sustainable price increases by Taro.

5) New products lined up from SPARC.

6)  Pipeline of 184 ANDAs including high-value FTFs

 Note: It should be able to give 40-50% returns in next 1 year 

Why should you invest in stocks – part 2

In previous part of this article we talked about why losses occur in a portfolio of an investor:

http://ankurjainraj.blogspot.in/2014/10/why-should-you-invest-in-stocks.html

Now we shall tell you some well known names that have given superb returns over a period of time. (Some of these have also been recommended to our members). All of these companies have created their own brand over a period of time. We have collected data of last 10 years in below table:

Company	Price as on 25 Oct, 2004	Price as on 25 Oct, 2014              (Current Price)	Percentage Gain	Current Value of 1 lakh which was invested in 2004 (Tax Free)	Value of 1 lakh if invested in Bank FD (Taxable as per your tax bracket)
HDFC Bank	81	896	1006 %	11.6 lakhs	1.93 lakhs
Hero Moto Corp	425	3110	631 %	7.31 lakhs
Asian Paints	29	652	2148 %	22.48 lakhs
Pidilite	15	416	2673 %	27.73 lakhs
Tata Consultancy services	281	2465	777 %	08.77 lakhs
Hindustan Unilever	123	758	516 %	06.16 lakhs
Nestle India	541	6009	1010 %	11.1 lakhs
Sun Pharma	44	810	1740 %	18.4 lakhs

1 lakh invested in a fixed deposit at 9% interest would have returned you 1.93 lakhs after 10 years (excluding taxes) while investing in blue chip stocks could have fetch you returns ranging from 7.31 Lakhs to 27.73 Lakhs as shown in above table. These are companies that are well known and not hidden gems. However such returns from these stocks might or might not be possible in future but there are other set of companies that are on their way to give similar returns in future as well.

“It is important to do savings but it is very important to save your savings”

As we all know that inflation rate as per government is around 9-10% but in reality it is much more than this which we can easily see when we go to market to buy vegetables, fruits, milk, pulses and other essential things whose prices are higher after every few months!!.

So if we have 100 Rs and invested in Fixed Deposit which will give me 109 Rs (9% interest rate)  at the end of year but due to inflation the real value at the end of year comes out to be 94 Rs considering inflation rate at 15%.So, effectively the real value of your savings is de growing every year!!.

Hence it is highly recommended that one should invest a certain part of portfolio from their savings in equities to generate real wealth over a period of time.

http://ankurjainraj.blogspot.in/2014/06/stock-multibagger-ideas.html

October recommendation released

Hi Everyone,

October recommendation is released to all members.
Stock caters to growing sector and had shown tremendous growth over last three years.
All other details regarding current PE, profit growth , earnings growth, opportunity size etc are sent in a separate mail.
CMP: 1675
No Targets.Hold till growth peaks out.

For details on services provided, Please visit:

http://ankurjainraj.blogspot.in/2014/06/stock-multibagger-ideas.html

Why should you invest in stocks?

“Ramesh beta, stock market is for gamblers. Nobody makes money by buying stocks. It is better to put money in savings account or in bank Fixed deposit. I had lost money and I don’t want you to lose money as well.”

Well above advice given by father to his son is pretty obvious as even his father must have lost money and hence same advice percolates to all future generations as well and worst thing is that they all follow the advice blindly. It would have happened that father didn't did his homework properly and that’s why he lost money but how come his son will also lose money if he don’t do what his father has done!!

So why we loose money?

Suresh bhai how is this stock? It is moving like a rocket...”  Sumit who calls himself an investor asks his friend.

Now his friend replies,” Ya Sumit there are rumours that company has bagged one big order through one of the government tender. I think it is good buy”.

Now Sumit goes ahead and buys the stock just on the basis of a rumour. We will spend hours to buy one cell phone analysing technical specifications like camera quality , screen size, RAM, operating system etc. but when it comes to stock we buy just on the basis of rumour.So that’s how most of us buy stocks. We usually buy when it is at a high price and then later sell at a lower price!! whereas smart investor does exactly opposite. Of course it is not possible to time markets correctly every time but we can surely maximise our returns by following appropriate strategy.

The most important thing is to identify stocks based on the fundamentals .An investor needs to spend lot of time and effort to dive deep into various parameters that are critical in discovering wonderful and rewarding stocks.Forget about losses,such stocks can give you multi fold returns and fulfil your aspirations.Some people argue that they don't have time and sometimes not enough knowledge to identify such stocks.For these people,I would strongly recommend to take help from an expert rather than investing based on rumour or half baked information.So if you have lost money in markets please identify real reasons for the same and start investing again.

Rakesh Jhunjhunwala bought stocks of company named Titan in 2001 around 2 Rs and now it is quoting at around 400  which resulted in gain of whopping  200 times. During this phenomenal run, market cap of Titan Company has increased from 300 crore to 35000 crore.

So if you have invested 1 Lakh in titan in 2001 it would have been 2 crores now in just 12 years.!!

Similar Return in a fixed deposit worth 1 lakh would have taken 62 years!!

So such stories are always present in markets and once these gems are discovered they turn out to be life changing events.

Rakesh Jhunjhunwala also let out one of his profound thoughts “In equities, the key lies in predicting what tomorrow is going to be. The tomorrows are going to determine the equity prices. We can’t see tomorrow; but we can anticipate tomorrow“.

For any queries/stock ideas please mail me at: ankurjainraj@gmail.com

Our portfolio past performance- please have a look

Hi Friends,

Below is the performance of our portfolio for period of more than 3 years.This is as a result of extreme hard work and painstaking effort put in by our team which has benefited our members immensely and they are able to grow their hard earned money over a period of time which can be seen from the returns of 8 times of their investment in some of the stocks.It gives us immense pleasure when our members share their joy with us.We will continue to help people and keep their trust on us as always.

For details regarding services offered and payments ,Please go to this page :

http://ankurjainraj.blogspot.in/2014/06/stock-multibagger-ideas.html

For any queries , Please contact me : ankurjainraj@gmail.com

Update:Eicher Motors

Eicher Motors maker of iconic ROYAL ENFIELD bikes and commercial vehicles was recommended on 11 Feb 2014 to our members at a price of 4421.Now the share is ruling at 11801 Rs !!! with a gain of 170 % within 8 months.
Stock is poised to scale 20000 - 25000 with next 6-8 months powered by the  launch of their first product in passenger vehicle space culminating from JV with Polar industries supported by the tremendous growth in the sales of RE bikes.

All members have already been informed to hold the stock and now informing the same to our blog readers as well.

Our Portfolio gives return of 52 percent year on year!!!

Our Portfolio comprising of 22 stocks has given a compounded return of around 52 percent in last 5 years which has beaten returns given by every mutual fund.Although Everyone other stock advisory services are only showing returns for last 1-2 years,we have used as 5 years as fair period for assessing our portfolio.Inspite of this,We have beaten almost all of them by good margins!!

Thank you for your association with us and believing us through that time and looking forward for our continued partnership with all investors.

Nifty below 8000 .What to do next!!

Dear Readers,

There was a huge fall in markets today due to fear of hike in interest rates by FED.
But these kind of falls gives a great entry point to enter in quality stocks already recommended by our services.So Please accumulate in small quantity now and after fall of 5 percent or more.

Ace investor Ramesh Damani gives some insights into equity investing which is must read for all investors or those going to invest.Below is the excerpt::

"Ramesh Damani: They will take someone's tip in the lift and put Rs 20 lakh in it and for a Rs 40,000 cellphone, they will research it for two weeks. 

Kalpraj Dharamshi: People look at that one number or the Nifty number and they decide everything about the market from that one number. 

I have some statistics over here which I would like to share. These are companies which you would not have heard of. Symphony. This makes air coolers. It has returned 94 times from the top of the bull market. It has doubled from March to now. So it is 180x. 

Mayur Uniquoters 40x till March, Zydus Wellness 25x, Relaxo Footware 17x, TTK Prestige 15, Eicher Motors 14, Page Industries 13. The numbers are really mindboggling when you go from the bottom of the index, as from March 2009 to date there are stocks which have gone up 120x. So, how do we educate people not to look only at the Sensex and go a little deeper or think more for themselves, invest with a longer-term perspective? How does one do that? 

Dolly Khanna Portfolio as on Sept 2014

Dolly Khanna Portfolio

Ace Investor Dolly Khanna has a great portfolio comprising a lot of companies.Well,those who are looking to build good portfolio can look into these stocks.It can be highly rewarding to follow investors like Dolly Khanna who have awesome track record of picking multi baggers.

Here is the list of stocks:

Updates on June 2014 recommendation: Arvind

Arvind recommended at 220 on June 25,2014 Refer below link:

http://ankurjainraj.blogspot.in/2014/06/july-multibagger-idea-arvind.html


It is now trading at 319.Investors are advised to book partial profits (50%) and hold the remaining and wait for my updates on email.

For more details and subscription to stock ideas/portfolio management services please mail me at:

ankurjainraj@gmail.com

New Recommendation released to paid subscribers

This company is in new sector and has lot of products to cater to various industry segments.Company focuses on R&D to keep pumping innovations into the market.With growth rate above 100% for last 2 years company is set to grow leaps and bound in near future.....
Company: Arrow Coated [BSE: 516064]
CMP: 121


For more details and subscription to stock ideas/portfolio management services please mail me at:
ankurjainraj@gmail.com

Avanti Feeds:Update

Recommended at 750 on July 22, 2014 ,  it is currently trading at 1250 with a gain of 66.6 % within 1 month !!. Already invested guys are advised to hold.
It can be a great consumer story over next few years.I will keep all members updated with the stock updates.



For subsciption services please contact:

ankurjainraj@gmail.com

Stock Idea:- Eicher Motors

Buy Suven Life Sciences again for more gains

Suven Life sciences was originally recommended on 18 Oct 2013 at price 51.6 which translates into whopping 265% gains within 10 months.

Those who have bought please hold and new investments are also encouraged at cmp.

About the company
Suven Life Sciences, in the business of design, manufacture and supply of Bulk Actives, Drug Intermediates & Fine Chemicals, catering to the needs of global Life Science Industry, is committed to provide customers with products fulfilling customer's needs and expectations.
 It is India’s only focused NCE player developing an exciting pipeline in the CNS space.

For stock ideas please contact:

ankurjainraj@gmail.com

Stock Recommendation: Dolly Khanna buys into Avanti feeds

Avanti Feeds:

Avanti Feeds has, to its credit pioneering effort and service for over two decades in development of prawn culture, processing and exports with its state-of-art shrimp and fish feeds and processing plants.

Hallmark of Avanti is constant upgradation of aquaculture technology bringing latest developments in the field to the doorstep of the Indian aquaculture farmer.

Avanti Feeds Limited stands as a leading provider of high quality feed, best technical support to the farmer and caters to the quality standards of global shrimp customers. Avanti is proud of a long list of loyal customers from USA, Europe, Japan, Australia & Middle East.

With a Current PE of 8.95 at Price 750 with good dividend yield it is a must buy for investors.

Dolly Khanna , investor with some highly performing stcoks to her kitty already has bought 1.1% shares or 91200 shares in the quarter ending June 2014.I think its right time to buy Avanti feeds when it is supported by well researched investors like Dolly.

For subsciption services please contact:

ankurjainraj@gmail.com

July MultiBagger Idea ARVIND

June MultiBagger Deepak Nitrite

Headquartered in Gujarat - the chemical hub of India, Deepak Nitrite is a multi-division and multi-product company with manufacturing facilities at Nandesari and Dahej in Gujarat, Roha and Taloja in Maharashtra, and at Hyderabad in Andhra Pradesh.

Instituted as a fully indigenous sodium nitrite and sodium nitrate plant in 1970, Deepak Nitrite has today grown into a 700 million US dollar global group.

A global supplier of choice, we build enduring relationships with leading chemical majors offering a spectrum of ingredients used for multiple applications and in multiple geographies. Our capabilities include manufacturing of high-value specialty products either based on our own end products or developed especially for our users.

Deepak Nitrite aggressively works towards adopting the principles of responsible chemistry and stands among 18 Indian companies to be accredited with Responsible Care certification - towards global environment, safety and health management.

Stock MultiBagger Ideas

For any queries , Please contact me : ankurjainraj@gmail.com

* We only suggest stocks.Investment decision is entirely on your own risk.
( as per SEBI rules )