As of today, I did small reallocation among portfolio companies purely based on valuations
- Sold 1% stake in IEX (1% position size) and added that 1% to INOX Leisure (2% position size)
- Sold 0.5% stake in HDFC (3% position size) and added that 0.5% stake to NESCO (4.5% position size).
Updated portfolio is below.
| Companies | Weightage |
|---|---|
| HCL Technologies Ltd. | 6.00% |
| I T C Ltd. | 6.00% |
| PI Industries Ltd. | 6.00% |
| Power Grid Corporation of India Ltd. | 6.00% |
| Larsen & Toubro Ltd. | 6.00% |
| Ajanta Pharmaceuticals Ltd. | 4.50% |
| Kolte-Patil Developers Ltd. | 4.50% |
| Ashiana Housing Ltd. | 4.50% |
| NESCO Ltd. | 4.50% |
| InterGlobe Aviation Ltd. | 4.00% |
| Bajaj Auto Ltd. | 4.00% |
| Suprajit Engineering Ltd. | 4.00% |
| Lupin Ltd. | 3.50% |
| Manappuram Finance Ltd. | 3.50% |
| Housing Development Finance Corporation Ltd. | 3.00% |
| HDFC Asset Management Company Ltd | 3.00% |
| Reliance Nippon Asset Management Co | 3.00% |
| CARE Ratings Ltd. | 3.00% |
| Avanti Feeds Ltd. | 2.00% |
| Cera Sanitaryware Ltd | 2.00% |
| Infosys Ltd. | 2.00% |
| National Aluminium Co. Ltd. | 2.00% |
| NATCO Pharma Ltd. | 2.00% |
| Wonderla Holidays Ltd. | 2.00% |
| Maithan Alloys Ltd. | 2.00% |
| Cadila Healthcare Ltd. | 2.00% |
| Inox Leisure Ltd. | 2.00% |
| Indian Energy Exchange Ltd. | 1.00% |
| Biocon Ltd. | 1.00% |
| Ashok Leyland Ltd. | 1.00% |
| Cash | 0.00% |
Go up in the thread (somewhere) to read my thoughts about this, I have explained this in quite details.
I invest in companies that I understand, I dont take macro views and sectoral calls, unless a sector becomes very cheap (like residential real estate now, like pharma in 2019, like IT in 2017).
A better comparison for Alembic is Ajanta. Cadila is at a different growth stage, being much bigger than Alembic. I preferred Ajanta over Alembic because of their dominance in their Indian business, their diversified business line, their low exposure to US markets (as other pharma companies that I hold have lots of US exposure), and their debt free balance sheet.