I haven’t come across any company which fits the criteria exactly in the present bull market.
Among smaller cos, I find expleo solutions(mnc it co) very interesting and am invested in it.
if the current quarter results r good then the future looks very bright considering its low valuations.
i am have started reading about ugrow capital thanks to our vp forum
Majestic auto inspite of being fundamental
ly okay just refuses to move (no investment presentations are put up by the company)
they are in the process of acquiring a office building in bombay
i will post more details after the latest result
Its been a miss for me but I am still holding.
i have come to the realization that my small cap and Midcap picking skills are poor while my strength lies in buying large caps whenever they face temporary crashes or large crashes (I started buying wipro at rs 185) or undervalued mnc midcaps ( I started buying abb power at rs 1000)
I have also realized that while I was spending time in 2020 trying to find the next multibagger, large caps like tcs, kotak, asian paints and dmart smoothly doubled (almost ) and I could have earned fantastic returns with a lot less headache in these stocks.
now this is important because I can invest a huge amount in tcs or Asian paints or a hdfc life but I have to think twice to invest a huge amount in a small cap.
size of the bet matters a lot, even if my relatively small bet in a small cap goes up 400% it will be wayless than the amount I earn in my large cap investment doubling.
Ofcourse I can say all this because I have the benefit of hindsight.
so now I follow a strategy of buying into temporary falls of well discovered high quality high pe large and Midcap stocks which show strength during a market correction
for eg Balakrishna industries at rs 1580 used to show a lot of strength(cmp above 2000) during market down days, asian paints(cmp above 2800) used to show strength at 2380 during market down days
also I buy sensex etf, nifty junior etf, nasdaq etf, hangseng etf and now the new one fang etf whenever they crash.
i try to buy on market down days or if the particular high quality high pe stock is down on that day, for eg titan recently at rs 1420 or escorts recently at 1120, godrej consumer at 660 sometime back
or hdfc life today at rs 667
also in these high quality companies I make staggered investments and buy more if they fall further (I definitely take into account the quarterly results - for eg did profit booking in abb power bcoz i felt result wasnt that great)
the important thing with high quality companies is that u can do occasional profit booking if u feel the stock has run up too much inspite of average results but one should never sell the original investment. the good quality high pe (consistently high since many years fall relatively lesser in a market crash and the first to rise when the bull run starts for eg dmart )
i said this bcos u r new to the markets
averaging down is the easiest in the index etf if one has a philosophy of never selling the index etf at a loss