Slow Compounding

A Quite Update My stock portfolio remained intact, managed not to touch it. Mutual fund investment: No withdrawal. Reduced SIP amount in small cap mutual funds. Managed not to touch in amid the noise that the smallcap is in the bubble. As I reduced SIP, some money is getting staying in cash. I believe that opportunity would show up in a few quarters. Until that, I will try to remain. This is my action, no buy, sell or hold recommendations.

Abbott India Revenue up by 10% Expenses up by 7% Profit up by 18% Same-old-boring-story. Revenue growth will be okkk. Operating margin will increase. And profit growth will be ahead of revenue growth. This time, Operating Profit Margin (OPM): 25.5%. Last year, same quarter 24.9%. This business converts almost all of its profit into cash. So, CFO also increased by 18%. Invested. Biased. No recommendation.

Amine Story A lot of storyies have been spread over Amine sectors. Many people made good money and many lost. It is a cyclical business, we have repeatedly expressed the reason. The same we have done for glass line company. Balaji Anime published its results. Revenue down by 62% Profit margin collapsed from 27% to 14%. Typical signature of cyclicality. There is a good time to enter for this type of business and exit also. Similar is applicable for Rain Industries as well. A lot of beginners ask this question. I don't have money to invest. How do I make money. Well, if anyone is young, tracking business and learning through it is invaluable. Because knowledge also compounds. P.S. I never liked Aarti Industries for multiple reasons. In fact, we made a video on this. Listened to all concall from 2018. Now, I cannot keep my eyes off from this company. It is sitting on the top of my watchlist.

Sunteck Realty Recently, promoter groups started buying from the open market. It is happening when the Nifty Realty index is breaking out 16 years high. Obviously, there is some development in this sector that has not happened in the last decade. Yesterday, in an interview by Rajib Thakkar from Parag Parikh fund house, he was asked the same question. What were his views. He said that in the Long term, this sector failed to create wealth. So, he will take a pass. Putting a contradictory view on the same post. The idea is to observe and learn and learn. No need to buy the tickets to see the show. Learning is free.

Pidilite Revenue is flat (2% up) Profit went up by 35% Similar to the pattern that we have seen for Asian Paints. Sales are slowing down because of demand softening. Raw material price has dropped which is leading to profit growth.

PI Industries Revenue up by 20% Expenses up by 18% Profit up by 45% When the chemical and agro-chem sectors are going to the dark phase, PI Industries is doing well. Will wait to hear the concall.

Fun Fact Nifty 50 is still green in 1 year and 6 months. Over a month basis, it is down only by 4%. And a lot of chaos has spread that the market is going to hell. Those who are new, they may panic. But old folks know that up and down by around 10% is the normal texture of the market. Disclosure: No buying or selling as I think that nothing significant has happened yet.

Very important point from Bajaj Finance management. Page 4. Investors who are getting excited about microfinance space must read this.

Concord Biotech If you have read the report, try listing the risk...it will make you think clearly.

Venus Pipes Promoters' buying. Short report but read few a times to grab all the points.

Detail report on Concord Biotech. Once you read the report completely, you will need only an hour every quarter to track this business. And gradually, by tracking and learning, we can train ourselves to compound our knowledge.

Promoters' buying A retail investor must pay attention towards promoters' buying. Remember, promoters may sell for different reasons but buy for only and only one reason. "They see upside" If you observe carefully, promoters' holding of Galaxy Bearing has been increasing consistently. And for NRB bearing, promoters are buying in small quantities. Recently, in NRB Bearing, promoters have bought. SOM Distillery, promoters are buying extremely aggressively. Last week also, some activities were noticed. Disclosure: A very small position on SOM Distillery some times back. Could not increase the position for some reasons. No position in the other two businesses. No advice or recommendations please.

Sugar in a sweet spot. The industry has been transforming and can become a structural play. Those who are not aware, a good report to read...