Hitesh portfolio


(James Sebastian) #2977

Hi @hitesh2710 ji, are you still invested in KCP ? What’s your view on recent results Q4 18 and Q1 19 ?


(Bikram11206178) #2978

Hi @hitesh2710 , I want to buy some stock in SIP mode . What are the factor we need to consider ? Can I go with the quality large cap or can i go with the quality mid cap ? . If we are buying stock like Bajaj finance , then do we need to analysis if company can grow at the same pace after 2 to 3 year ?
Thanks


(Hitesh Patel) #2979

@james_kerala, I had exited kcp some time back during the meltdown in small-midcaps. Havent tracked q1 fy 19 results. I think around 100 it could remain a value pick but in absence of results coming through I gave up on this one. The regret was of not having sold when the stock which is a typical cyclical had gone up to 160 odd levels from the buy range of 100-110.

I think in cyclicals partial profit booking atleast needs to be done after a sharp run up while remaining hopeful of higher targets in remaining position.


(Hitesh Patel) #2980

@Bikram11206178

If u are planning for an SIP in stocks its better to make a basket of a few stocks and follow it. Try to find out companies with big opportunity size and good managements. Since its an SIP valuations might take a backseat as SIP would cause price averaging. My choice of companies would be from good quality companies in financial and consumption space.


(Yatharth) #2981

Hitesh ji, How would you rank, in your own perception, the following companies in terms of quality and good future returns? Maruti, Pidilite, Titan & Asian Paints. I want to do SIP in all 4 but higher allocation to the company better in terms of expected annual cagr. Kindly advise.


(Hitesh Patel) #2982

@Yatharth

I would rank the list of stocks as follows

Asian Paints – dominant player which dictates pricing power.
Pidilite – Hardly any competitor has emerged after all these years to challenge Pidllite.
Titan – It can continue to grow by launching newer products and moving on to newer categories.
Maruti… Ranked last because its position can be offset quickly by a great product from a competitor.

All four remain great companies. Ranking will differ from person to person according to his thought process. I would also like to add HDFC bank to the list. For me it would rank in the top two list. Money will always remain a great raw material till mankind survives. Its form may change from notes to plastic cards to digital payments but I think HDFC bank will remain relevant in all forms of currency.


(Rohit) #2983

Sir , how do you choose when comes to investing in such great companies because they always looks expensive in terms of valuations and hardly have any significant corrections. Do you buy them on SIP basis or any other strategy you follow for buying such stocks.

I remember buying Pidilite few years back @140 rs and sold at a small profit @170 due to my ignorance. Since than I am waiting for correction in it. But never got any such opportunity.


(Yatharth) #2984

Thank you, Hitesh ji. Highly appreciate. As I may possibly not need the money back from my investments in equity, it was essential to take your mature and sage advice. You have replied wonderfully even though I did not specify the investment time horizon.


(Hitesh Patel) #2986

@Rohitsharma

Nowadays with dissemination of information and knowledge because of the power of internet, great companies are always recognised early. And hence they no longer remain cheap. The downside to this is that a lot of not so good companies also get labelled as great companies. These are companies having a good time due to favorable market conditions and these market conditions often last a few years. But some kind of headwind often comes around for these companies and these suffer multiple contraction which for investors is often a painful learning lesson. We have a lot of recent examples of such multiple contraction in case of Ajanta, Mayur, Kaveri, Avanti etc. The way to differentiate is to look at the variables that can affect these businesses. If one finds that these are out of control of even good managements then they should not be placed in list along with great companies.

Coming to truly great companies since these are well recognised by markets they will remain expensive. But once or twice a year there are market meltdowns and these are times when one needs to keep the list of such companies and buying levels ready. Ideal thing is to prepare this list during normal phase of markets so that one is not biased by fear rampant during bear markets. Having this list helps one to act decisively. The other thing it helps in is it prevents in looking at other companies which are not so great and hence have corrected a lot as compared to the great companies. Focus has to be on the companies in the list. Inspite of such a list I get entangled with some not so good companies during market corrections.:slight_smile:

If correction is not coming, one can do SIP kind of buying. Or else buy these companies and assume these would not provide returns for a few quarters after which your compounding can begin.


(Sagar Bhadury) #2987

@hitesh2710 Hiteshji Do you track Symphony? Can this get a place in your list of great companies.


(Hitesh Patel) #2988

@sagarbhadury

Symphony essentially remains a one trick pony with focus solely on air coolers. Hence it would not make it to my list of great companies as the concentration risk of the product would be too much. I would rather prefer multi product companies like havells, whirlpool etc.


(vivekvikramsingh) #2989

Hi Hitesh,

Just keen know your sequence for great companies among listed one, for me its

1> Asian Paint- Based on their product quality they can ask for premium on price from end user. Stared operating in Home décor :- Modular Kitchen under SLEEK ---- Bath fitting under ESS-ESS
2>Gruh Finance- Value of lowest ticket size for Home Loan and efficient Management.
3>Havells- Based on their product quality they can ask for premium on price from end user. This company have changed its gears, along with excellent hold on home electrical segment, now moved in White Goods as well.
4>Bajaj Finance- Innovation in NBFC and Value of EMI cards and Consumer Finance.
5>For no five I am bit confused what to keep
I- HDFC Bank- Great private sector bank with good management and transparency.
II- Pidilite - Have good mote with product portfolio like Fevicol ,Dr Fixit , M-Seal and Fevi-Qick.
III-Page Industries- sailing on quality product and brand Value.

Other than this I would like know you view on 3M( Scotch-Brite and many Automotive products with good quality and demand), Although this company have excellent product portfolio. Can this be a one of great company?

Regards,
Vivek Vikram Singh


(Hitesh Patel) #2990

@vivekvikramsingh

Regarding the sequence of great companies what I answered earlier was based purely on subjective assessment of the companies. It will vary from person to person and thats the beauty of the markets.

I think you have broadly listed the companies in the right order but practically speaking if one were to create a portfolio of such great companies it might make sense to buy all of them rather than bothering about where they fit in in terms of ranking.


(atul1082) #2991

Sir,
How do you see the current Q1 results of vip ind, capital first and Titan?


(bharat19) #2992

I have initiated a thread on VIP few days back. It is in consumption space and have good market share. Have you seen the thread ? Are you tracking it @hitesh2710 Sir.


(atul1082) #2993

I find the current results to b v good.But wanted Mr. Hitesh and other boarders opinion on huge contingent liability, you mentioned.


(Hitesh Patel) #2994

@atul1082

I dont track titan, vip or cap first.

Transport Corp of india a co i track and own has come out with excellent numbers.


(shikhar mundra) #2995

Can u please put up your presentation at the valupickr top contributor meet?


(VIKKY.CUTE) #2996

sir
your view and call of first source solution post reults


(indirachitra) #2997

Hitesh ji in the steel sector value wise one company PRAKASH industries ltd is hitting the screen there is a separate thread for that also.
Seems plaqued by the coal block case and pledge other wise the promoters have shown resilience one of a kind in steel sector.
Can you please kindly throw some light on this.
Regards
Indira