Vivek Gautam Portfolio


(Prodipto Mondal) #182

MARKET LOT 2500… very very high


(kapildhaka) #183

@vivek

I know MRSS. They were a vendor to my previous employer. As far as I remember, they were quite quick and professional and looked like someone who were eager to get a bigger pie of the business.

Neilson is a $15Bn market cap company and it seems that there is a huge runway for market research growth in India.

However, the only problem is with scalability. I am not sure how effectively they would be able to compete with giants like Neilson though.

Dis. Tracking; but lot size seems to be on higher size for such small company.


(seeankur) #184

How do you buy MRSS… I have sharekhan and when I tried to search, I did not find MRSS… Anybody could tell me how can we buy shares in that segment…


(Akshay) #185

I began my career at AC Nielsen, and worked there for a few years. While I was in the Qualitative research team, I did on several occasions interact with Mr. Panchal - who at the time was heading AC Nielsen Retail, at off-sites and on a couple of projects.

He was the blue eyed boy of the company while I was there and hugely respected, not just within the company but with clients as well. While I can’t say I knew him well, whatever I did interact with him, he came across as extremely sharp and driven (as one would expect). What is interesting to note is that even at that time 2004-2005 ish he was very keen to introduce new forms of technology to MR and was constantly looking to improvise and make MR processes more robust.

I remember one conversation where he constantly talked about keeping the customer at the core of whatever we did and how we needed to ensure that all output had a focus on client problem solving -

In terms of the industry per se - the negatives you laid out are bang on

  1. Receivables were always a problem - and by the end of it a large part of our time was spent in chasing up outstanding!
  2. Brand name at least for the bigger boys goes a long way - This because research and credibility go hand in hand. As a result breaking through established relationships is very difficult and if Nielsen were to launch similar/ competing products it is going to be a tough ask competing with them at least for the big names.
  3. Similar to an ad agency a research agency that has partnered with a brand and worked with them for several years understands the brand and its working inside out. This understanding is formed after years of working together and hence an agency becomes almost a custodian for the brand - and there exists a steep learning curve for a new entrant. This means that the newbies get the smaller/ less intensive projects (ad checks/ product tests etc.)
  4. Competition in that space is intense…However that being said , Tech seems to be a differentiator for MRSS and what little I read they seem to be breaking up the status quo (much needed in this industry) which means things can get interesting from here.

Disc: I have not read up on MRSS - just glanced at their website and hence my thoughts are extremely off the top based on whatever I have experienced.
Not invested


(sta) #186

Sir,
How do you go about the process of applying in ipo. Like finding which ones to invest in, research and application. I am a novice with no idea of ipo. Thanks in advance for any help.


(Vivek Gautam) #188

Many thanks for your very useful inputs. Getting such valuable insights from an industry veteran of many years is what makes VP a special forum. MRSS is soon going to list its newly allotted FPO shares maybe on Tuesday.

Akshat could you start a new thread on MRSS and keep on giving inputs there. Could you find more about Raj Sharma & Punit Bhatia the other 2 co founders of MRSS ? The opp size seems very large for MR in India. Could you give more inputs on what constitute digital MR or incipient MR? Seems a fascinating new field.


(Akshay) #189

Definitely Vivek - Allow me some time to read up some more on MRSS so that I can understand their value proposition as well as find out a little bit more on the other promoters and I shall do the needful.


(kapildhaka) #190

Seems like people are taking a notice of this thread. Stock is up 20% today.


(Vivek Gautam) #191

MRSS trading today at 146 vs firm allotment for retail investors at 114 n minimum lot size of 1200 imply 36K profit per application. Once it lists at main BSE it could move to next orbit. Views invited


(Raj) #192

A counter view:
Post dilution in best case scenario it will give Rs. 7 as EPS for FY17. Why should one give it a 20 PE on a forward basis? It’s a microcap whose fortune will fluctuate hence giving it a hefty premium may not be justified.

Btw…new buyers must be aware that there is a lot of marketing being done by MRSS to promote it among the shareholders. They send a Diwali gift to all shareholders. After receiving the gift I sold off whatever little I had.

Disc: No holdings now but keeping it in my watch list.


(Changu Mangu) #193

One big buy of 25K Shares yesterday of MRSS by one Amit Arora. Research “Amit Arora NSE” and you will find his blog. I too noticed it yesterday after I saw the bulk deals and that seems to be the only reason for the spike in price. On first look, the financials of MRSS seem to be turning positive just prior to this purchase; but need to study it further and in detail, then maybe a 10-20% price change will not mean much.


(Vivek Gautam) #194

Amit Arora is a v smart stock picker and discoveror of many small cap gems. His buying in MRSS is a v positive sign . A good thread has been initiated on MRSS here on VP. I am holding on to all my allotments of MRSS

Laurus labs to list on Monday ie 19 Dec 2016. A co to watch out for.


(Changu Mangu) #195

Thanks Vivek. I have been reading this forum for years now, but registered only recently. The fact that I can map my personal research to get instant input from long standing investors like you make my joining the forum suddenly make me realize it’s worth much more. It would have taken me ages to know more about Amit Arora or his background otherwise. I thought he is an operator :slight_smile: Best Regards.


(Vivek Gautam) #196

I had converted Sonata into Ajanta pharma 18-20 months back which gave better returns.One factor was comparatively poor allocation in Sonata. I am not tracking Sonata offlate but it gives decent dividend & the new MD seemed very good.


(Vivek Gautam) #197

I have recently bought into CPSE ETF with listing gain perspective but still holding on to them.PE was 11 ,5% retail discount & 4% dividend yield. tailwinds also seem to be there due to firm crude prices.Modi govt has professionalized PSUs under honest competent ministers & CMDs.

Last year I had also bought REC @ 80 when dividend yield itself was 8-9%,PE was 3 & PBV of 0.5.Besides valuation bet was also on Piyush Goyal the CA & LLB gold medalist minister.Besides Manappuram REC gives fat dividend in my portfolio. Story remains intact in REC imho.

As told earlier holding on to all my NBFCs holdings in worst of DeMo times.Glad that homework done and conviction paid.


(Vivek Gautam) #198

In the meanwhile Laurus Labs touched 585 & Dilp Buildcon 283.


(Vivek Gautam) #199

Dilip Buildcon now touches 334. Seems lot of activity happening in road construction sector and this good executioner being noticed by market.


(Vivek Gautam) #200

REC touches 175 ex bonus .This on top of Rs 5.5 final dividend & Rs 7 interim dividend after buying in July 16 @ 80 Rs mainly as fixed income investment portion of PF due to high div yld…

Valuation still cheap & performance still improving.New MD Dr Ramesh is said to be v dynamic & getting good outputs from his employees.

Other picks have also performed nicely.

Any view of PFC where erstwhile MD of REC Rajiv Sharma has now moved as MD.???

Mr Sharma is a power sector specialist having worked only in power sector since beginning of his career . valn are v cheap giving good MOS & bet is on Piyush Goyal again the best performing minister of Modi.


(Vivek Gautam) #201

I booked profit in CPSE ETF @28 vs allotment of 25.11 & converted it into [email protected] which was cum dividend of 7 Rs.

Problem with CPSE etf was that you may not like some scrips added there. So took advantage of retail discount of 5% plus rise in NAV n then convert it into best scrip u like amongst the 10 comprising the etf which again was REC for me.

Piyush Goyal is selecting most dynamic n hardworking MDs for sure in PSUs operating in power sector.Dr Ramesh IAS MD REC seems to be another such personality. Follow him on twitter.Rajiv Sharma MD PFC seems again one such person.

I have again applied in recently closed cpse etf but discount was only 3.5% .

Shankara building seems to be another interesting IPO which came at reasonable valuation as as per Nirmal Bang EPS of 25 & 31 being projected for fy 17 & 18.As it was heavily subscribed lets wait for listing.Unique retail store play in building material segment founded by a first gen IIM passout promoter.


(sushilkc) #202

Vivek Ji, REC has run up quite significantly in last few months. How do you see it at the current valuations? Also will appreciate if you could share your thoughts on PFC v/s REC… do you see more value in PFC considering current valuations ?