Wednesday, May 14, 2014

My equity calls - one free service that you may be missing


I get a feeling quite a few of my readers do not know that I have a Private mailing list for equities. Whenever I buy or sell a stock, I share it with this Private mailing list for equities (I call it PMLE).

I believe that equity investing is not for everyone and hence, by design, I have reduced sharing my equity investing ideas through my blog where I primarily share investing ideas in all other areas such as Mutual funds, Real estate, Insurance, Gold etc.
So in case you are reading my blog and are already investing in equities (or are interested in equities) and did not get a mail from me today on my latest stock pick – please write to me at rajasekharan.sg@gmail.com and tell me to add your name to my Private mailing list for equities (PMLE).

 My stock investing style is long term based on fundamental analysis. Here is my stock portfolio performance as of today vis a vis the Sensex


Here is the mail that I sent today to my Private mailing list for Equities (PMLE)

Here is one stock that does not depend on Election results

I know most of us are waiting for election results now – looking at whether NDA will come to power without any outside support. If that happens, Bank stocks ( SBI, ICICI, HDFC bank etc) and Infra stocks  ( BHEL, L&T, ABB) are going to be everyone’s favourites as there is a good chamce that their prices will go up in a comparatively short period of time (less than one qtr).
Now here is a company that really does not depend on stable govt.
In the past two years, it has given me 132% returns (52% per annum) and I am happily holding it still, as I believe that it will continue to perform in the future. It's 10 year compounded average growth rate of  EPS (CAGR)  has been a whopping 40%. - which means the company's per share profits is growing at 40% per annum. It has an average Return on Equity for the past 10 years of 54%.  and the ROCE for the past 10 years has been 29% -both of which is very good. And the stock has been going up steadily (the key word is “steady”) – here is the graph and  you can see how "steady" has been the price climb.


The 2013-2014 annual results is yet to come but the past three quarters the performance has been superb and the company continues it’s upwards trajectory. 

The company is Page Industries.  A Bangalore based mid cap that is better known for it's brand JOCKEY

What I like about the company is it’s brand power and it's continuous efforts to grow the brand and the distribution. I have been watching it closely for three years now and I know some people who have dealt with the management of Page industries and as per them these folks are honest, trust worthy and surely they know their job.
I am further investing in it with a 3-5 year timeframe at the current price of around 6020 -6050. I believe it will give me 30% per annum returns and that is all that I am aiming for. I am not looking at multi-baggers. 
Here is my stock price projection calculations based on the past 10 year data -https://dl.dropboxusercontent.com/u/73601331/Page%20industries.xlsx