I am starting to build a portfolio of stocks which are for life time holdings. Right now I am starting with just one stock, however, as and when i will have suitable investment opportunities, the same will be added along with investment research.
- Majesco - 100% Holding
Average Price - 530 (I started building position when stocks was 600 and increased investment to recent levels of 350. Anybody interested in investing can surely take a position around 400 to 450 levels)
- Currently in top 3 software companies for Insurance Products
- Cloud computing is game changer with massive revenue potential
- IBM Partnership a massive opportunity - IBM currently processes approx 1 billion policies per year. Partnership success will open doors for massive gains.4
- Very low switching of clients once they are on Majesco Platforms.
- Business model will unlock investor wealth creation once it crosses 150 - 200 million mark.
- Gross Profit margins of 45 - 50%
- Europe is still an untapped market
- 9 Billion US Market, approx 19 billion European market.
- Insurance market almost immune to economic macro fluctuations.
- Company market shares will change based on performance, however, insurance software developers will see overall growth.
- Stable revenue once any client has integrated Majesco systems.
- Any acquisitions will boost revenues.
- Available at 80% discount to peer valuations of Guidewire.
- Insurance market is almost unaffected by any global termoils in Life and Annuity segments.
- Strong USD boosting INR revenues.
All can comment freely.
This thread will be 100% Work in progress. Investment ideas will be added as and when opportunities emerge.
A seperate thread is already existing in forum for Majesco analysis.