Hii friends !!
Today's topic is based on the success story of the ever smiling and the humblest person
you will ever know Mr.Vijay Kedia.
Vijay Kedia started investing at the age of 14.He finds himself lucky to be born in a
family with a stock market background.He preaches the saying in
stock market, "The earlier you start,the better it is".He says
its good to lose money with smaller risks and learn then to make money with bigger risk
and earn.According to him stock market is a high risk,high gain
business.
He started his journey as a trader.He says "Trading is the hardest way of making easiest
money".Trading requires strict discipline and total concentration.You
must learn to cut your losses quickly.
Kedia was influenced by his friend S P Modi who had identified many multibaggers.He then
started investing in stocks recommended by Modi and eventually
it turned into his passion.Now his manin motive was to find mulibaggers
on his own.
His first big hit as an investment was Punjab Tractors which he bought at Rs.50 which later
multiplied 10 times in 3 years.
Later in 1990,with the help of his friend Sameer Kedia he came to Mumbai with Rs.1 Lakh
to try his luck in BSE ring.His first 2 years in Mumbai were
hard and troublesome.Finally in 1992-93,he got lucky to identify
ACC at Rs.300 which he sold at Rs.3000 within a year and bought his first house in Mumbai.That
gave him a lot of encouragement.
He is famous for buying mid-size companies.He gives utmost priority to management and business
growth. His famous quotes are,"Good managers in bad
business are better than bad managers in good business".An
investor should chase the story behind a business.
He advises to be prepared for a 20-25% fall in the stock price even if one is 100% sure
of its fair price. If a small management has fire in its belly
and cares for its reputation,it will make the investor big along
with the company.All big companies were once small.
Kedia wanted to buy huge stakes in companies
just like Rakesh but had no courage.Finally from the education
picked up from Rakesh Ji,he bought 5% stake in Aegis Logistics at Rs.20.The stock didn't
move for a year and Vijay got very disappointed.Luckily market
realized its potential and it moved to Rs.300 in no time.
According to him investing in 200 companies is not a thrill.Neither should you invest
everything in one company.He advises to have a 10-15 stocks
portfolio and have a time horizon of about 5 years as this is a
time every small company takes to become a medium company.He never has any exit plans,but
decides to exit when he thinks the valuation is unrealistic
or he finds some other better investment.
According to him dividend is not the only criteria to invest.Growth and scalability
is the top most criteria. He uses a bottom up approach which means he
focusses more on the comapny rather than the industry.Although he
keeps a track on the sector and quotes,"Growth is faster if the ship and wind sail in the
same direction".
He likes companies which are not very famous thus available at cheap valuations.Some of
his multibaggers are Atul Auto and Cera Sanitaryware.Lets discuss
about them in detail.
He bought Atul Auto a Gujarat based company at a very low valuation since the management
was unkown.But he saw the zeal in Mr.Jayanti Chandra to grow.In 2006,the
company launched 'Rear Engine' 3 wheelers.The product became a
great hit and the stock grew 7 times in 5 years.
He bought Cera at 6-7 PE valuation.The company was alreay growing at 10-12% annually and
paying a modest dividend.He sensed that the middle class would
have greater demand for Cera's products.He was right and the
stock went up more than 7 times in 5 years.He advises that the keys to assess quality of
managemnt is their past record and current practices.
You should always check if the management is ambitious to grow and the capability of
its team to deliver. His current portfolio holdings include :
Sudarshan Chemical Karnataka Bank
Cera Sanitaryware Repro India
Lykis TCL Packing etc
His total portfolio is now worth Rs.403 Cr.
Thank You!
Today's topic is based on the success story of the ever smiling and the humblest person
you will ever know Mr.Vijay Kedia.
Vijay Kedia started investing at the age of 14.He finds himself lucky to be born in a
family with a stock market background.He preaches the saying in
stock market, "The earlier you start,the better it is".He says
its good to lose money with smaller risks and learn then to make money with bigger risk
and earn.According to him stock market is a high risk,high gain
business.
He started his journey as a trader.He says "Trading is the hardest way of making easiest
money".Trading requires strict discipline and total concentration.You
must learn to cut your losses quickly.
Kedia was influenced by his friend S P Modi who had identified many multibaggers.He then
started investing in stocks recommended by Modi and eventually
it turned into his passion.Now his manin motive was to find mulibaggers
on his own.
His first big hit as an investment was Punjab Tractors which he bought at Rs.50 which later
multiplied 10 times in 3 years.
Later in 1990,with the help of his friend Sameer Kedia he came to Mumbai with Rs.1 Lakh
to try his luck in BSE ring.His first 2 years in Mumbai were
hard and troublesome.Finally in 1992-93,he got lucky to identify
ACC at Rs.300 which he sold at Rs.3000 within a year and bought his first house in Mumbai.That
gave him a lot of encouragement.
He is famous for buying mid-size companies.He gives utmost priority to management and business
growth. His famous quotes are,"Good managers in bad
business are better than bad managers in good business".An
investor should chase the story behind a business.
He advises to be prepared for a 20-25% fall in the stock price even if one is 100% sure
of its fair price. If a small management has fire in its belly
and cares for its reputation,it will make the investor big along
with the company.All big companies were once small.
Kedia wanted to buy huge stakes in companies
just like Rakesh but had no courage.Finally from the education
picked up from Rakesh Ji,he bought 5% stake in Aegis Logistics at Rs.20.The stock didn't
move for a year and Vijay got very disappointed.Luckily market
realized its potential and it moved to Rs.300 in no time.
According to him investing in 200 companies is not a thrill.Neither should you invest
everything in one company.He advises to have a 10-15 stocks
portfolio and have a time horizon of about 5 years as this is a
time every small company takes to become a medium company.He never has any exit plans,but
decides to exit when he thinks the valuation is unrealistic
or he finds some other better investment.
According to him dividend is not the only criteria to invest.Growth and scalability
is the top most criteria. He uses a bottom up approach which means he
focusses more on the comapny rather than the industry.Although he
keeps a track on the sector and quotes,"Growth is faster if the ship and wind sail in the
same direction".
He likes companies which are not very famous thus available at cheap valuations.Some of
his multibaggers are Atul Auto and Cera Sanitaryware.Lets discuss
about them in detail.
He bought Atul Auto a Gujarat based company at a very low valuation since the management
was unkown.But he saw the zeal in Mr.Jayanti Chandra to grow.In 2006,the
company launched 'Rear Engine' 3 wheelers.The product became a
great hit and the stock grew 7 times in 5 years.
He bought Cera at 6-7 PE valuation.The company was alreay growing at 10-12% annually and
paying a modest dividend.He sensed that the middle class would
have greater demand for Cera's products.He was right and the
stock went up more than 7 times in 5 years.He advises that the keys to assess quality of
managemnt is their past record and current practices.
You should always check if the management is ambitious to grow and the capability of
its team to deliver. His current portfolio holdings include :
Sudarshan Chemical Karnataka Bank
Cera Sanitaryware Repro India
Lykis TCL Packing etc
His total portfolio is now worth Rs.403 Cr.
Thank You!
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