RICH INVESTING iDEAS

  Again it's an alert - Stock Market is a Business   The Stock Market is not a place to Speculate and the stocks are not just numbers on Paper ! They are the value of a Business. We have the idea that if we buy or sell a share of the Stock Market that is all. But keep in mind that there is an industry behind it. Like how we are buying tomatoes and potatoes in the Vegetable market, we can see lot of things it are industry dependent.  Things like Agricultural land, Farmer, Cultivation, Labour cost, From Cropping to Harvest, then Harvest to Storage, Transportation, Pricing and Profits, more than Value added products are industry based. The same would reflected in the Stock Market for the stocks. This is the value what the world's Richest man and Value Investor Warren Buffett says,   “ I am a better investor because I am a businessman, and I am a better businessman because I am an investor.”  Generally, the value of a company or business is in its ability to gen...

Should you buy Finolex Cables ? Fundamental Analysis Finolex is a Company founded in the year 1958 by the Chhabria Brothers. Initially setting up a Small shop for selling the Electrical Cables, then moved to Manufacturing for Industrial Cables. They started their industrial unit to manufacture PVC insulated cables especially for the Automobile sector. On the rapid growth, the company went for the expansion and modernization in its segment. Finolex Industries Limited (FIL) was established in 1981 to manufacture Rigid PVC pipes and fittings for the Agriculture sector. In 1983, Finolex Cables were transformed into Public listed Company. The Company went in collaboration with the World's best companies in the field, it has expanded it's business to include Jelly Filled Telephone Cables, Optical Fibre and Copper Rod. Finolex has been a leading Manufacturer of Optical Fibre, Fibre Glass, Lighting and Electrical Switches Since 2000. In 2011, the company entered into a joint venture wi...

Castrol India's Net Profit of Rs.205 Crore - Q3CY20 Castrol India Limited is a part of Castrol Limited UK, which is a subsidiary of London based British Petroleum Company. The company is said to be the second largest manufacturer in the Lubricant Industry in India. Castrol India, which has more than 70,000 retail outlets across India, was listed in the Bombay Stock Exchange in the year 1982. The Market Capitalization of this Company is around Rs.10,800 Crore. The Debt to Equity is Zero, it is virtually a debt free company. The Interest Coverage Ratio (ICR) comes with 237 Times and the Dividend yield were at 5 Percent in the past fiscal. Promoter Holding was 51 Percent and there is no pledging of shares by the promoter side. Recently, the company announced it's third quarterly results of the current calendar year 2020. The Revenue stood at Rs. 883 Crore and the expenses of RS.595 Crore at the end of September quarter. The Company's Net Profit is said to be Rs.205 Crore. Comp...

10 Factors to read for the Fundamental Investing It takes patience in the long run to make money on Stock Market investing. At the same time, many of us lament that we had lost about 70-80 percent on investments due to holding a particular stocks for a longer period. This is about the wrong selection of Stocks and holding the bad one for a long way. Even if you had invested in Ten different stocks, not all the stocks will give you an immediate returns. Each stock will see it's own price cycle over a period of 5 to 10 years at different times. You do not want to be frustrated if you cannot get the right pitch, so better invest in a Good Fundamental stocks. However if some basic factors are explored in the pantry at the stock we bought or going to buy, that is all the work for us. Although the stock price of Good Fundamental companies does not rise in the near term, but it will fetch you good wealth or returns in the long run. Good Companies can be defined as Debt Free, Good Corporat...

Undervalued Stocks in 10 Different Sectors - Fundamental Analysis Although the Stock Market has recovered, the real economy has not yet recovered. In general, the economy and the stock market indices are two friends. At the same time, the level of simultaneous functioning is very low. When the economy collapses, it is hardly to say for sure that the Stock market indices would fall continuously. However, the impact of real economy would take place in the stocks for some time. Times can change if desired. In times of economic downturn, the chances of identifying good valuable stocks are also high. Here are few companies that are ready to satisfy the Basic Fundamental Analysis. The said stocks are based on Debt Free and undervalued by the Discounted Cash Flow(DCF) Valuation Method. It is noteworthy that the 10 stocks are picked from 10 different sectors. You too can explore these stocks with your Analysis and make an Investment Decision. ITC LTD SESHASAYEE PAPER PRODUCTS BHARAT SEATS GAND...

FII and DII Trading activity – June 2020 The Stock Market has been on the rise for the past three months since the fall of March 2020. However this is said to be as a Warning Signal. There is a big gap between the Current numbers on Global Indices and the Economy. For the period of June 2020 on trading activity, there are 22 trading days in the month. Both the Foreign investors and Domestic investors were came as a Net Buyers for the month of June. This moment was also happened in the month of May 2020. The FII had bought shares of worth Rs. 1,55,215 Crore and sold shares of worth Rs. 1,49,723 Crore in the last month. So, the Net Purchase was said to be Rs. 5,493 Crore. On the other side, the Domestic Investors (DII) had a gross purchase of Rs. 1,00,174 Crore and the gross sales of Rs. 97,740 Crore. So, they came up with Rs. 2,434 Crore on Net Purchase for the month of June 2020. Out of 22 trading days in the said above month, the FII and DII had sold their shares (Net Sales) for 10 da...

5 Quick Things to do in the Market Crash - 2020 The Global Stock Market has risen rapidly from the Crash of March 2020. At the same time, the big question is whether the recessionary economy would recover faster. Most of the Listed Companies in India have reported their Q4FY20 earnings in the past two months. So, they are prepared to declare the Q1FY21 - quarterly results from the next month. While the Market predicted the economic downturn in advance and it was reacted before the Covid-19 Lock down. However the real Economic numbers are likely to come only on July and August 2020. Due to the Lengthy lock down, the Country's GDP could contract some and may be more. Inflation, Economic Growth - GDP, Industrial Production and Trade and Fiscal Deficit numbers would impact in the FY2020-21. The above said will drive the market in the upcoming weeks. Moreover the Global factors are also in the offing. However as a result of Optimism in the Market, it is mounting artificially. The real n...

Net loss of Rs.9894 Crore in Q4FY20 results - Tata Motors The Largest automotive company in the country, Tata Motors which is a part of Tata Group. The Total assets for Tata Motors have around Rs. 3.07 Lakh Crore and there are 82,800 employees serving in the Company. Established in the year 1945, it is one of the world's Top 500 Companies list. The Company is primarily engaging in the Manufacturing and Sales of Locomotives, Trucks, Vans, Bus Coaches, Four wheeler, Construction equipment and Military Vehicles. It is said to be a Market Leader in the Indian Automotive Industry. Post acquisition of Jaguar Land Rover (JLR) in the year 2008, the Tata Motors company had many challenges globally. Due to Policy changes in several countries, the JLR sales were hurt significantly. While the Domestic Sales for the Tata Motors had at good, but the Jaguar and Land Rover is losing. Tata Motors is seen as a Major Player in the EV segment in India, the company is also busy in its R & D. At the...

FII and DII Trading activity – May 2020 Most indices of the World Stock Market were up in April and May 2020, after the Biggest crash happened in the month of March. One can ask how the Stock Market is booming so rapidly in this current Economy. Yes, it's absolutely a Recession Period. If we look at the history of the World Markets in the Past, there has not been much investment inflows. And there is no other Government raised its debt to stimulate the Economy before 2008 Global Financial Crisis. Now, every country is looking to stimulate with a Huge Debt or Cash. Developed nations are interested to print more money (Risk is there) to promote their Country's economy. These are the positive things for the Stock Market. However the current boom is said to be a Bear Market Rally. Even if the Stock Market beats it's life time high in the near term, the Real Economy takes time from months to years to recover from the Current downturn. Currently, the Unemployment rate has increas...

Thyrocare Technologies - Net loss of Rs. 18 Crore due to Covid-19 - Q4FY20 Thyrocare Technologies involves in provide Quality Diagnostic services in the Health care Segment in India. Established in the year 1996, the company conducts Clinical tests and laboratories.  Currently, the Market capitalization for Thyrocare is Rs. 2800 Crore. Book value comes at Rs. 75 per Share. It is virtually a Debt Free Company, where the Debt to Equity stands at 0.03. The Promoters holding is said to be around 66 Percent and there is no pledging on Promoters Share holding. The Interest coverage ratio (ICR) is also comes with sufficient numbers, around 120 Times. For the Last five years, the Sales growth is up 20 Percent and the Compounded profit growth were at 15 Percent. The Return on Equity (ROE) for the Thyrocare is 19 Percent over the past 5 years. In Q4FY20 - quarterly results, the Company reported its revenue of Rs. 94 Crore. The Expenditure was Rs. 64 Crore in the said period. Rs. 44.33 Crore has ...

6 Steps to create an Investment Portfolio Before investing your hard earned money (Monthly pay or Business) in any investment product, there are four key elements that you have to mind. They are the essentials of an Investment Opportunity. Needs and Wants Financial Goals Goal Period or Investment Duration Expected returns (Interest rate) % Simply putting your money in a Bank Deposit account or blindly investing in Equity - both will hurt you in the long run. One should consider the said above four elements to stay invested. For example, if Mr. X have a Financial Goal to buy a new house after 5 years. So, his wants or needs are considered here as, 'New House'. Generally, it is a Financial Goal. The Goal Period is about 5 Years. Finally he or she have to find the appropriate investment avenue to reach his 5 Years Financial Goal. On common, one should take less risk in a shorter period and take a moderate to high risk in the longer term to fulfill his Financial Goals. ...

FII and DII Trading activity – April 2020 The Indian Equity Market, which was fallen down around 23 Percent in the month of March 2020. The Economic Slowdown was happening in the past 18 months, added more with Covid-19 and it leads to Economic Recession. It was noteworthy that the Nifty50 climbed about 15 Percent in the month of April 2020 - So called, Bear Market Rally. One can remember that there was a lock down throughout the month of April. There is No Sales or Zero Sales for the Automobile Companies in the month of April 2020 domestically. Therefore the Indian Equity Market has fluctuated over the past one month without any basis. The April month rally in the Stock Market considered as a Small boom, following a Big Fall. As per the April 2020, there are 18 trading days in the said month. Both Foreign Investors and Domestic Investors were the net sellers in the end of the period. The FII had bought shares of worth Rs. 1,22,483 Crore and sold shares of worth Rs. 1,27,691 Crore. So,...

Ambuja Cements - Q4FY20 - Quarterly Results The Mumbai headquartered Ambuja Cements, which was started in the year of 1983. Initially, the company was founded as Gujarat Ambuja Cements Limited and later renamed as Ambuja Cements Limited. Currently, the World's Largest Cement Manufacturer Holcim has acquired 62 Percent Stake in Ambuja Cements. The Current Market Cap of Ambuja Cements of Rs. 34,200 Crore and the Book value is around Rs. 116. The Price to Earning ratio is trading at 16 times. Ambuja Cements Limited is a Debt Free Listed Company, where the Interest Coverage Ratio stood at 25 Times. So, there is no near term issue about Loans. Already, we know that the Promoters holding is around 62 Percent. There is no Pledging on Promoters Holding. The Current Market Price (CMP) is trading at 1.50 Times on its Book Value. Recently, the company announced its Q4FY20 - Quarterly results. On March 2020 Quarterly Report, the Revenue is said to be Rs. 6,250 Crore. The Expenses are Rs. 5,058...

Healthy Dividend Yield Stock - National Aluminium Company - Fundamental Analysis National Aluminium Company (NALCO India) is a Public Sector Company headquartered in Odisha, India. The Company is also seen as the Navratna CPSE of the Govt of India. It's business is based on Aluminium Production - Bauxite Mining, Aluminium Refining, Smelting and Casting. It is also engaging in the Power Generation, Rail and Port process. NALCO India is said to be the country's Largest Company in the Aluminium Industry and the world's leading supplier with the low cost production. It is worth noting that the revenue are also came from Exports. The Market Capitalization of the company is around Rs. 6,300 Crore. The Book value is at 55 rupees. The Current Stock price to earning (PE) is said to be 20 times. The Current market price to book value is attractive, which is less than a time. NALCO India is generally a Debt Free company, where the current debt to equity ratio were stood at 0.01. Inter...

Tech Companies Quarterly Results - Q4FY20 The Quarterly Financial Results are in the trend for the Q4FY20 - Listed Companies. TCS, Infosys and Wipro are the Tech Companies were declared their Fourth Quarterly results for the Fiscal year 2019-20. For Wipro Ltd, the revenue was said to be Rs. 15,750 Crore and the Operating Profit was Rs. 3,119 Crore in the Q4FY20 report. The Profit before tax (PBT) was Rs. 2,966 Crore and the Net profit were stood at Rs. 2,326 Crore. The said above revenue was little higher than the same quarter of Previous fiscal year. At the same time, the Net profit fell about 6 Percent in the Q4FY20. The Sales growth has been increased by 6.5 Percent over the past 5 years. Similarly, the Compounded Profit growth were also up by 3 Percent in the Last five years for WIPRO Ltd. The Return on Equity were stood at 18.75 Percent over the 5 years period. However the Stock price has fallen 34 Percent over the past one year. The Tata Group - TCS were also announced its earnin...

FII and DII Trading activity – March 2020 It was a bad time or bad days for the Global Equity Indices in the month of March 2020. Due to the Economy Slowdown for the past one - two years, the Covid-19 has also added the the Economy Crisis and hit the Stock Market Indices down - It's simply a Crash, but not a little correction. The Stock Market Indices suffered a major downturn in the March 2020. This fall is similar to the 2008 Global Financial Crisis, but with a different perspective. At the end of March, the Foreign Institutional Investors were the Net Sellers of the month. The Stock Market in India has been trading for 21 Days in the said above month. The Foreign Investors bought a shares worth of Rs. 1.54 Lakh crore and sold shares of worth Rs. 2.20 Lakh Crore. So, they are the Net sellers with an amount of Rs. 65,816 Crore in the month of March 2020. On the other side, the domestic investors had bought a gross purchase of Rs. 1.57 Lakh crore and sold shares of worth Rs. 1.02 L...

How was the Nifty PE in the 2008 Financial Crisis ? The National Stock Exchange's Nifty50 Index PE (Price to Earning) was 19.52 on Last Friday - 27th March, 2020. Earlier in that week, it was 17.15 on PE was a buying opportunity for the Stocks - 23th March, 2020. One of my investment buddy, Mr. Dev Asish, the Founder of Stable Investor ( He is a SEBI Registered Investment Advisor (RIA) ), had posted an article few years before about the guide to investing in Stock Market based on Nifty PE Ratio . Don't take the above instruction as an Investment advice. However this Price to Earning (PE) ratio of Nifty50 gives some insight into the Equity Market. That is, when you analyze a bunch of stocks with Good Fundamentals and you are planning to decide to buy that stocks - Now it's the time to look at the Nifty PE, whether i buy it today or later. While the Global Indices has claimed that the Covid-19 is currently taking place, but the Global Stock Market has been at peak for the p...

Important things to do as an Equity Investor - Global Economic Crisis Fear Instead of saying that the Global Stock Market Indices fell due to the Coronavirus attack, the Panic of the news is actually down to the Stock Market. This is not just for the Equity Market, but for the Common Economy. It can be said that the Economic Recession Fear of the past two years has now settled. The Global Economic news over the past few months has been the Brexit Deal, Crude Oil, US-China Trade war, US-Iran War Panic, Automobile Sales, Global Warming, China's Debt, the Covid - 19 and the Saudi Oil war. In addition, changes in the state's new policies, Recent Domestic amendments, Slowdown in GDP, Unemployment rate and the recent scenario in the Indian Banking System. Although the average human in the nation does not understand the exact reason for this, in fact the economy has affected them alone. After Globalisation, if there is a problem in the United States, it will affect India and if our Co...

FII and DII Trading activity – February 2020 The Country's GDP stood at 4.7 Percent in the October - December 2019 quarter, according to the official report last week. This is the lowest level in the last seven years. The Country's economic growth which was 7.7 Percent in the early 2018, has started to decline. Global Economy conditions are not favorable for the current January - March Quarter. Economic growth will be slower in the March 2020 quarter than in the December 2019 quarter. Most of the Automobile Companies have experienced a spike in their February Sales. There is a possible of downturn in the upcoming months due to uncertainty. Over the past two months, many people have died in China due to Coronavirus - Covid - 19. The impact is spreading rapidly in other nations as well. Due to Globalization, the above said factor will affect the state policy too. Even it will hurt a small country that is somewhere. The Foreign Institutional Investors (FII) had a Net Sales of Rs. ...

Attractive Stock - Thyrocare Technologies Ltd - Fundamental Analysis The Company was started in the year 1996, making the business with the Preventive Care Laboratories. India's First laboratory automation was happened in Thyrocare. The Founder of this company, Mr. Velumani, Ex-Scientist of BARC, India. Currently, the Market Cap is around Rs. 3,300 Crore. The Book value is said to be Rs. 75 and the Current Market Price is trading at Rs. 612 per share, which is 8 Times more than the Book value. Promoters holding of 66 Percent and there is no pledging of shares by the Promoters side. Debt to Equity stands at 0.03, which is a healthy one for the Value Investors. The Interest Coverage Ratio(ICR) is at 140 Times. At the end of September 2019 quarter, the Reserves are Rs. 344 Crore in the Company Balance Sheet. For the FY2018-19, the Company's revenue was Rs. 370 Crore and the expenses are Rs. 222 Crore. The PBT was Rs. 147 Crore and the Net Profit was declared as Rs. 95 Crore. The E...