We are dealing in pre ipo stocks, portfolio management services, instant loan, mutual funds, NCD, DMAT and insurance like life, health, motor and general insurance.
Value investing is a type of investment strategy in which investors act like bargain hunters looking for a deal. Value investors actively look for companies that are undervalued by the stock market.
When an investor finds a company they feel is undervalued by the market, they make their move to invest. But, to get to that point, the investor must be confident that the company will provide returns that outperform their current market valuation over the long term.
Finding The Intrinsic Value Of A Stock
Value investing may sound like a great strategy. After all, who wouldn’t want to buy undervalued companies for substantial investment returns?
But knowing what to look for in an undervalued stock is an important piece of the puzzle. As a value investor, you aren’t looking at the media when making your valuation decision. Instead, you're drilling down into the financials of a company to determine its intrinsic value.
Fundamental analysis of the company’s finances can illuminate the intrinsic value of a stock to investors that are willing to dig into the information. Although this will require some effort, it's a key component of successful value investing.
How To Get Started With Value Investing
Value investing can feel like bargain hunting in the stock market. If you can determine the true value of a company, you’ll know whether or not the current market price is accurate. Essentially, this presents the opportunity to buy stocks on sale.
1) They are one of the leading non-bank wealth management services firms in India that caters to a large spectrum of clients through a mix of advisory, distribution, and technology solutions. They are one of the few wealth management companies in India that cater to clients across mass affluent, HNI as well as the Ultra HNIs through various solutions ranging from personal service to technology and Robo-advisory.
They carry out their business through three business verticals, namely;
a) Private Wealth Management (“PWM”)-
They provide wealth management solutions to their clients which include facilitating client investments in various financial instruments including but not limited to, mutual funds, debentures, structured products, and equity derivatives for the purpose of investment strategies. PWM vertical caters to the Ultra HNI and HNI segments of the clientele. The revenue-generating activities include distribution of mutual funds, sale of financial products, and investment advisory fees.
b) Digital Wealth Management (“DWM”)
The DWM vertical allows them to build an economically feasible wealth management model for services to the mass affluent market.
c) Omni Financial Advisors (“OFA”).
OFA is India’s leading tech platform for IFAs to service their clients and grow their business.
2) They are part of the Anand Rathi Group, founded by Mr. Anand Rathi and Mr. Pradeep Gupta in the year 1994 with a focus on stock-broking services and subsequently, has expanded into a diversified financial services conglomerate in the country with a presence in segments, including non-banking financial services, wealth management, stockbroking, investment banking, and insurance broking. The Anand Rathi Group has expanded its geographical footprint and operates through 98 offices across India and the Middle East, which they service through business associates and representative offices/associate companies.
3) The Asset under administration (AuA) of the company has jumped from.15,489 crores to Rs.18,121 crore between the end of FY18 and FY19. The number of wealth strategists has increased from 199 in the previous year to 234 at the end of last year.
Guaranteed Return Plans: How investing online can earn you better returns
Amidst the fluctuating market scenario and low-interest-rate environment, people are in search of products with a promise of guaranteed returns. Over the last few years, there has been a significant drop in the interest rate offered by banks on fixed deposits which have put financial planning, especially of the middle-class Indian, at great risk. The rate reduction in interest given on bank deposits has greatly impacted the financial planning of millions of households.
For Indian investors, short-term market volatility is not a matter of great concern as they mostly prefer long-term investment products. The actual risk lies in falling woefully short of the required corpus for one-time expenses like a child’s education, marriage, or even own retirement. For unprecedented times like these, life insurance products that offer guaranteed returns are the best solution. It is always important to have clarity on the amount of return expected after a fixed period of time. Moreover, the life protection element under these products ensures that even if the policyholder dies, the dependents will always get the promised money.
Guaranteed Return Products
Considering the ongoing market scenario, the time is right for customers to understand and evaluate alternate investment options. One such category of products that customers must make a part of the investment kitty is Guaranteed Returns Plans that promise guaranteed returns, irrespective of the changes in market conditions and interest rates. Guaranteed Returns Plans come with a ‘life protection’ component that makes these plans better than the rest in the niche.
In comparison to bank FDs, guaranteed return products offer better returns on a tax-adjusted basis. Apart from a promise to give a fixed return, these plans also come with the guarantee of payout in case of the sudden demise of the policyholder. With these plans, there is nothing left to chance when it comes to accumulating an adequate corpus and providing financial protection to your family. A guaranteed return product also gives you an initial tax benefit, fixed and tax-free returns, and a life protection cover. When the life assured dies during the term of the policy i.e. before dating of maturity, proceeds under the policy are payable as a claim to the nominee.
Studds Accessories Ltd was incorporated in 1982 in Haryana, India with an initial capital of Rs.500 which now stands at Rs.9.83Crs.
Studds is the world’s largest and leading manufacturer and exporter of 2 wheeler helmets and accessories.
Studds manufactures more than 50 types of helmets catering needs of all kinds of customers across the globe. Besides helmets, it also manufactures motorcycle accessories i.e spare visor, luggage, gloves, helmet security guards, rain suits and eyewear, boxes, etc.
The company with its 2 major brands i.e STUDDS & SMK (premium brand). It manufactures all ISI-certified helmets.
Studds is one of the few companies in the international market whose facilities have been granted major safety certifications such as BIS certifications IS: 4151 (for motorcycle helmets) and IS: 2925 (for industrial helmets), ECE 22.05, and SLSI certifications, required for exporting its products to international markets.
Revenue Model
(a) The company sells a helmet in the range of Rs.825 to 2165 under the brand name Studds having a market share of 25% as of FY18.
(b) The company sells a helmet in the range of Rs.2300 to 9800 under the brand name SMK having a market share of 27.79% as of FY18.
(c) Apart from selling a helmet the company also in the business of Motorcycle Accessories like Jackets, Gloves, glasses, etc.
(d) 90% of the Revenue comes from the Helmet division and 10% comes from Motorcycle Accessories.
(e) 92.3% of the business comes from the Domestic Market and the rest 7.97% comes from exports.
Business Highlights
1. Despite challenges in the market Studds have performed well and the top line grew by 10.85%. Besides, growth in the top line, the operating EBIDTA grew at 41.16% and the PAT grew by 81.05% from the preceding year.
2. This year Studds has made significant investments to develop a world-class R&D facility, backward integration by manufacturing EPSL in the plant, with an endeavor to improve the quality of the products and meet stringent safety standards.
3. During the year, the company has stepped up efforts to improve relations with its dealers and distributors and it helped to significantly increase its market share. As of 31st March 2020, the network of 385 dealers is spread across the globe and 7 EBO’s in India.
4. This year the company has launched new products i.e. Titan Fiber, Titan Carbon, Sub Urban. They are planning to further bolster the segment with the launch of riding gear, jackets, armors, elbow guards, knee guards, and shoes.
5. This year company has sold 66.5 Lakhs (Domestic + Global) and globally has a Domestic market share in Two Wheelers helmets of 25.66%.
The company is the retail initiative of the reliance group and is central to consumer-facing businesses. In a short time, it has forged strong and enduring bonds with millions of consumers by providing them with an unlimited choice, outstanding value proposition, superior quality, and unmatched experience across all its stores, which has played a huge role in enhancing the Market share of the company.
The company has adopted a multi-prong strategy and operates a chain of neighborhood stores, supermarkets, wholesale cash & carry stores, specialty stores, and online stores and has democratized access to a variety of products and services across diverse segments for Indian consumers.
Deep insight into India’s economic, cultural, and consumption diversity drives the company’s vision in the retail universe. The operating model is based on customer-centricity while leveraging common centers of excellence in technology, business processes, and supply chain. More importantly, it has built a strong and unwavering foundation through its extraordinary people. The nationwide network of retail stores offers a world-class shopping environment and unmatched customer experience, benefiting the Reliance Retail Share Value.
(i) Reliance Retail is the retail initiative of the Reliance group and is central to consumer-facing businesses. It has in a short time forged strong and enduring bonds with millions of consumers by providing them an unlimited choice, outstanding value proposition, superior quality, and unmatched experience across all its stores.
(ii) Reliance Retail has adopted a multi-prong strategy and operates a chain of neighborhood stores, supermarkets, wholesale cash & carry stores, specialty stores, and online stores and has democratized access to a variety of products and services across diverse segments for Indian consumers.
(iii) Serving the food and grocery category Reliance Retail operates Reliance Fresh, Reliance Smart, and Reliance Market stores.
In the consumer electronics category Reliance Retail operates Reliance Digital, Reliance Digital Express Mini stores, and Jio stores,
In the fashion & lifestyle category, it operates Reliance Trends, Trends Women, Project Eve, Reliance Footprint, Reliance Jewels, and AJIO.com in addition to a large number of partner brand stores across the country.
(iv) The operating model is based on customer-centricity while leveraging common centers of excellence in technology, business processes, and supply chain. More importantly, it has built a strong and unwavering foundation through its extraordinary people. The nationwide network of retail stores offers a world-class shopping environment and unmatched customer experience.
(v) Reliance Retail has emerged as the partner of choice for international brands and has established exclusive partnerships with many revered international brands such as Diesel, Superdry, Hamleys, Ermenegildo Zegna, Marks and Spencer, Paul & Shark, Thomas Pink, Kenneth Cole, Brooks Brothers, Steve Madden, Payless Shoesource, Grand Vision and many more.
Five-Star Business Finance Limited Unlisted Shares
Formed in the year 1982, Five Star is a non-Banking Finance Company (NBFC) with the Reserve Bank of India (RBI), specialized in providing financial services to address the needs of the unbanked, and unserved segment, funding the people who were perceived to be non-fundable. The customers include all the way from small shop owners, flower vendors, maids, masons to small and medium enterprises that form the backbone of India’s economy.
The focus area of the company is to strike its operations to more and more under-served self-employed and Small Business customers and help them access credit on reasonable terms by opening more branches in the semi-urban/rural areas. The company has one wholly-owned subsidiary called Five-Star Housing Finance Private Limited which was incorporated on 28th September 2015, registered with the National Housing Bank (NHB) as a non-deposit-taking Housing Finance Company (HFC).
Five Star provides Small business loans to meet borrower requirements for commencing new businesses, expansion of his/ her existing businesses, and settling any unorganized dues he/ she has taken to further their businesses. The loans are given based on the company’s evaluation of the borrower household cashflows coupled against the security of the borrower’s house collateral.
The typical loan ticket ranges between Rs 1 lakh to Rs 10 lakhs for a tenure between 24 and 84 months. The repayments are to be made on a monthly equated basis.
What makes Five-Star business robust
A) Mortgage property to give loans:
The company follows a business model, where lending to potential borrowers is secured by the twin factors of strong business income and emotionally attached property. The income of the borrower secures the loan during good times while the property mortgaged secures the loan during difficult times. The right combination of income and property has helped and continues to help the company maintain its asset quality even during difficult times like demonetization, implementation of GST, recent liquidity challenges, etc.
B) Robust Capital Structure:
Five Star has manageable leverage, leading to a healthy D/E ratio. Despite regulatory guidelines allowing for a much higher cap, the company never crossed 3.5 – 4x of leverage, which gives a lot of comfort to lenders.
C) Asset-Liability Mismatch:
The company over the years has maintained a steady Asset-liability mismatch. Many times to increase the Net Interest Margin of the company, the management tries to get loans for a shorter duration- which means at a lower cost and lend for long-term. This creates a problem during difficult times, and the perfect example is DHFL, where due to the Asset-liability mismatch, the NBFC with more than 1 Lakh Crores of loan book got burst.
MARTIN AND HARRIS LABORATORIES | LATEST SHARE PRICE & UPDATES
Company Overview
Martin & Harris Laboratories Ltd incorporated in 1996 at Gurgaon, Haryana is a part of “Apeejay Group”, India’s oldest and largest business conglomerates. Martin & Harris Laboratories Ltd is engaged in the manufacturing of pharmaceutical, medicinal chemical & botanical products. Besides the core business, it was undertaken the management of its funds through investment in different avenues fetching good returns i.e mutual funds, equity – quoted & unquoted, etc.
The company has its units located at Roorkee and UNA Himachal Pradesh. It is constantly taking steps to modernize and expand its manufacturing units to meet international standards.
Martin & Harris Laboratories Limited is a manufacturing arm of – One of India’s most well-renowned pharma companies. Walter Bushnell is also a part of the Apeejay Stya & Svran Group of companies.
Delite Infra is a wholly-owned subsidiary of Martin & Harris Laboratories Ltd. It is engaged in the business of Derivatives (F&O) trading, office rental income, investment income, and gain in the sale of shares.
Key Highlights of Martin & Harris
Book Value is increasing at a CAGR of 36% from the last 6 years.
Debt Free Company
PE multiple of 4 makes it the best choice to invest
Share Price of Martin & Harris is trading below the book value makes it attractive
2 new plants ensure future growth of the company
The company has its units located at Roorkee and UNA Himachal Pradesh. It is constantly taking steps to modernize and expand its manufacturing units to meet international standards.
The Company has been awarded “Best Innovative in process & formulation development” by the director-general of health service, ministry of the health & family welfare, Government of India. Has also received “Pharma Excellence Awards 2018” by apex industry chamber ASSOCHAM.
