My portfolio - Rajdeep

Q&A: Questions & Answers Portfolio Q&A
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Hi All,
I have been following VP for quite sometime. Came to know about this forum from the blog of Ayush. A big thumbs up to the VP team for the wonderful platform!! Have been trying to learn about investing from the likes of Ayush, Donald, Hitesh, Abhishekh and others :slight_smile:
I am putting forth my current portfolio for review and feedback. Any suggestions on the portfolio is welcome.

  1. Bharat Rasyan - 10% at 1340
  2. Canfin Homes - 15% at 138
  3. Emmbi Industries - 10% at 80
  4. Oriental Carbon and chemicals - 10% at 234
  5. JHS - 10% at 32
  6. BEPL - 10% at 35
  7. Innovative techpack - 10% at 74
  8. Filatex India - 10% at 68
  9. CCL products - 15% at 32
6 Likes
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Hi Rajdeep,

Can you also give your investment rationale behind your picks.

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Superb…

it will help us all if you can share your average holding period as well as the rationale when you picked them up.

Regards,'
Raj

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Awesome!! The portfolio build up must be at least 5 years now? Just one question as you picked up CCL just when it started its bull run in 2013? Do you think it has enough steam left? What was your initial target? Anything unique about the management or business you liked? Congrats once again for pf!!

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@raj1968, @sko5prasad

I have listed down my rationale for the stocks and the average holding period below. I have been trying to mold my investing style as a mix of undervaluation and growth (am still learning the same from this platform).

  1. Bharat rasayan - Holding period approx 1.5 years. I have always been bullish on the agri-pesticides/chemicals theme primarily because of the strong dependency of Indian economy on the agriculture sector. Strong improvement in financials due to product mix and debt reduction coupled with the potential of the sector and under-valuation got me interested in Bharat rasayan.

  2. Canfin homes - Holding period approx 4.5 years. Bullishness on the housing finance sector as a whole coupled with under-valuation and change in management (focus on growth and penetration) was my investment rationale for canfin homes.

  3. Emmbi industries - Holding period approx 1.5 years. The bet is on the growth of packaging sector - packaging needs for the agri sector in particular coupled with debt reduction, R&D focus, product innovation and management.

  4. Oriental Carbon and chemicals - Holding period close to 3 years. Insoluble sulphur industry growth climbing on the back of radial tyre industry (auto sector), expansion in new markets and sheer under-valuation are the key reasons for investment in this stock.

  5. JHS - Holding period of close to 1 year. Proxy play on Patanjali’s growth and bet on growth of own brands (still not visible honestly).

  6. BEPL - Holding period of less than 6 months. Strong financials particularly increasing OPM and negligible debt coupled with the increased use of ABS (hence growth potential for the company), JV with Nippong are the primary reasons for investment. Its still a study in progress.

  7. Innovative techpack - Recent addition to the portfolio. Proxy play to FMCG (particularly Patanjali and Dabar), improvement in OPM due to drop in crude and inorganic growth. Its also a study in progress.

  8. Filatex India - Holding period of approx 1 year. Clearly the management’s desire to move up the value chain (reflected in focus on higher margin products) prompted me to have a deeper look at the company after finding about through screener. Also when i saw Ayush’s name in one of the concall reports gave me confidence to track this company. Still a study in progress.Debt is still a concern here along with the pleding of shares by promoters.

  9. CCL products - Holding period of close to 4.5 years. Started investing in it as a short-term opportunity due to Vietnam plant aiding significant improvement in margins but then got attracted more towards it due to opportunities in the domestic coffee market and own brands.

6 Likes
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@sajijohn,

Yeah i started my investing journey in late 2012. Was lucky enough to come across VP platform. Actually didn’t have any initial target for CCL products but felt it could get re-rated due to the Vietnam operations commencement.
Most of the times i have tried to look for triggers to build my conviction in the companies. Initial portfolio comprised Wimplast at 168, La opala at 76, granules at 45, MPS at 110, PI industries at 130 and few others. Started off with around 20 stocks and slowly concentrated my holdings in the top performing ones.

I still feel that CCL has enough steam left with the management clearly trying to grow the brand and business. So holding on to it :slight_smile:

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Thanks @rajdeep77 CCL qtr result is bad. The OPM has come down to 18%. What is your view? My holding is 4.5% of the pf. I don’t have much MOS.

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@sajijohn The drop in OPM is definitely a concern. In fact last Could be an indicator of increasing competition/lower realizations. Need to hear out the management commentary to understand the reasons for significant drop in OPM. I would be waiting for a couple of more quarters for confirmation of the trend.

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Sharing my updated portfolio for review and suggestions. Sold off almost all my holdings in 2018-2019 period due to fund needs except Bharat rasyan. Started building portfolio again in 2020 around the market crash.The latest portfolio stands as shown below.

  1. Bharat Rasyan - ~20% at 1490
  2. Poly medicure - ~10% at 246
  3. Racl geartech - ~ 10% at 73
  4. Alkyl Amine - ~ 12% at 1522
  5. Polycab - ~ 8% at 695
  6. Chola finance - ~12% at 188
  7. Navin fluorine - ~10% at 1480
  8. Acrysil - ~12% at 89
  9. Balance ~6% includes tracking positions in Rubfila, Manali petrochem and Asahi Songwon. Kindly share your views and suggestions on the portfolio. Specifically I am trying to understand on how to diversify the portfolio in terms of sectors, growth/compounders as the market as a whole rose significantly before I could diversify.
3 Likes
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Your portfolio seems like perfect answer to folks who says “You can’t time the market.”

Very impressed by the portfolio as well as the price you paid for the portfolio.

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Frankly speaking, the idea was to take opportunity of the crash as these stocks were offering good reward/risk ratio. In hindsight it looks like timing the market but that wasn’t the intention.

I had been following this forum even after I had sold off most of stocks by 2019. Felt the risk of further downside was low but I also did not anticipate such returns in short-term.

Was looking for more importunities to diversify but due to the sharp rise of the market in the last year, I am bit unsure on how to diversify now.