Dhinakaran Portfolio


(Dhinakaran) #61

Got out of Yes Bank completely.


(Dhinakaran) #62

Added more KRBL. Actively watching out financial space since there are no financial stocks after exiting YES. Having a tracking position in Edelweiss


(Ajith) #63

May I know the reason for your exit in Yes Bank? Just to know the rationale.


(Dhinakaran) #64

@ajithganesan I have been holding to it for last 3 years. The NPA already started to kick in. Since the bank is predominantly lending to corporate, the probability of assets becoming NPA is more. Also the divergence from RBI is more concerning. Banking is a leveraged business. Any considerable NPA is a huge blow to the net profit.The provisions already doubled. It might be a rough road ahead. Adding to that, bank has good exposure to Fortis.
Since there are better opportunities out there, i decided to pull out. The bank may come out of this blip strongly. It is more of a decision owing to personal comfort. It has been more than 2X for me.


(Dhinakaran) #65

Deploying cash actively. Added more KRBL and Greenply


(Dhinakaran) #66

Added more KRBL and Alembic… This is how the portfolio stands.

Stock Name Allocation
KRBL 22
AVANTIFEED 13
PIIND 12
MOTHERSUMI 9
TATAELXSI 9
APLLTD 8
GREENPLY 8
EDELWEISS 5
AJANTPHARM 4
GARWALLROP 4
AMARAJABAT 3
CCL 3

(Kumar Saurabh) #67

@Dhinakaran Great set of companies buddy. Ine question, any specifuc reason for prefering grernply over centurply? Valuation or something else? Also, on historical performance, mgmt quality/integrity , future potential , whats your take on greenply vs centuryply. Disc: Hold small position in centuryply n hence interested from competitive analysis view


#68

@Dhinakaran,
How has your PF performed in the last year and 3 years both only equity returns and debt included weighted returns? I see that you are doing lot of churn (not suggesting it is a bad strategy) so curious.


(Dhinakaran) #69

I think enough of the discussion already available in value picker itself. I chose Greenply because i feel it is better valued. Point to note is the plywood demand is going to be subdued owing to sluggish real estate sector and the earnings will remain flat for sometime.


(Dhinakaran) #70

@drgrudge " I see that you are doing lot of churn (not suggesting it is a bad strategy) so curious." - On a lighter note, I think i need to go back in time and explain it to myself that it is :slight_smile: The whole thread is a record of what I did in stock markets from the initial days. Sadly, I don’t have any degree in finance, I was pulled in to stock market by moneycontrol.com. I used to buy every recommendation that appears in money control and initially it felt like making money was so easy. At some point of time I had around 50 companies in my portfolio. Then I started reading books on investing and interestingly i found value picker. I used this forum to document my Portfolio time to time. What ever churning you see here is because I started to go through the annual reports and then decided if I need to hold it or sell it to cut down the number of companies in the portfolio. Luckily i had good companies in the initial days (Like KRBL, Avanti, PI etc) and continue holding those companies. There are few companies that I got out because either it is a commodity (E.g - HPCL) or I don’t understand the business. PI did not move anywhere in the last three years and I am still holding to it since there is no change in the underlying business quality though there me temporary blips/near term headwinds.It was quite a learning experience and the portfolio is still work in progress. My recent exit, YES Bank is 2X and I am not clear on the whole NPA saga. As far as returns are considered, I am lucky enough to double my portfolio (Thanks to Avanti, KRBL etc). As far as debt fund is considered it has a CAGR of around 9%. Also I take NIFTY PE ratio as reference to find if the market is overbought or not. Based on it I will move money from Equity to Debt. Around 11K i sold sizable chunk of the equity and I was able to sell part of my portfolio at the peak. I redeployed the cash in the recent correction.So far it is quiet an amazing experience and I see a long long way to go :slight_smile: