Hidden Multibagger Stocks by Devendra (RA: INH000026488)
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Disclaimer: I am a SEBI Registered Research Analyst (RA: INH000026488). All stocks, market updates, and investment-related information shared in this channel are strictly for educational and informational purposes only.
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Smallcap : 3.7% down
Midcap : 2.5% down
Nifty : 1.2 % down
It has been one of the worst days in the share market, with 100% of investors' portfolios in the red. you're not alone.
๐ฅFII selling figure was lower yesterday, yet we saw significant declines in the small and midcap indices. This suggests that retail investors and high-net-worth individuals (HNIs) have started selling in panic. If today's FII selling figures are also low, it would further indicate that retail investors are panicking and selling their holdings. While there has not been a substantial drop in the Nifty, but small and midcap stocks are experiencing steep declines.๐ฅ
๐ฅ"Epack Durable" stock appears promising within the EMS (Electronics Manufacturing Services) sector. The stock is fundamentally strong, but the Q2 results have not been announced yet. Make your decision after reviewing the Q2 results.๐ฅ
This is for information pl..
๐ฅMarket outlook๐ฅ
The current market correction appears to be driven by disappointing Q2 earnings results. If these earnings fail to meet expectations, the market may enter a time-based correction to adjust for its high valuations. Over the past week, much of the selling pressure has come from major companies reporting weaker-than-expected Q2 results. In this overvalued environment, particularly for small and midcap indices, further correction expected to align stock prices with fundamentals.
I have mentioned several times that Public Sector Undertaking (PSU) stocks have likely peaked and advised exiting them. Since then, weโve seen a gradual decline in PSU stocks. Investors who purchased at the peak may find themselves trapped for a prolonged period, with many continuing to average down without realizing that PSU stocks could potentially return to levels from a year ago.
I have not given any new stocks in the past month due to anticipated FII selling, However, I did not expect such unprecedented levels of FII selling, which may even break records. Fortunately, this cautious approach has protected our capital, as many small and midcap stocks have declined. If i had given stocks during this period, we would likely be facing losses.
This situation highlights the need for caution whenever FIIs begin selling. Recently, we have invested in new sectors like jewellery and pharmaceuticals, and while these investments are still profitable, some of the gains have been eroded due to the overall market downturn.
October is expected to remain volatile due to continued FII selling. We saw a similar situation in 2022 when FIIs sold throughout the year, causing the market to underperform. Although DIIs injected capital into the market, FII selling did not stop until March 2023, which marked the beginning of the next bull run.
Itโs important to remember that while DIIs can prevent a market crash, a bull run requires FII buying. Without FII support, we cannot expect a significant rally, even with strong DII participation. Back in March 2024, I predicted the possibility of both price and time correction. At that time, FII selling was relatively low, and the market recovered strongly with DII support. This time, however, the scale of FII selling is much larger, and we need to watch carefully to see if the market enters a phase of time correction.
Many new investors have never experienced a time correction, which can be frustrating. People often enter the market expecting quick profits, and a prolonged time correction could test their patience. If the market does not recover this week, we could see it enter a time correction phase, where it remains in a tight range for an extended period.
The market must recover tomorrow; otherwise, we may see a time-based correction.
In the current declining market, where FIIs are selling at unprecedented levels, it is crucial to ensure that our stocks are not chosen at the peak of any sector cycle. Stock selection must be much more precise in such a market. If investors buy stocks at the end of a sector rally, those stocks may take years to recover to previous levels. Therefore, in this market, choosing the right stocks is absolutely essential.
Many stocks have crashed even after posting good results, which indicates that market expectations were too high. This month has seen the highest ever selling by FIIs. However, if our stock selection is strong and focused on emerging sectors, we can expect a sharp recovery in our portfolio once the market begins to rebound.
The small and midcap indices were overvalued, and that is why we are seeing more corrections in these segments. As I mentioned before, FIIs will likely continue selling throughout this month, so we may see a rally from next month.
In the current declining market, where FIIs are selling at unprecedented levels, it is crucial to ensure that our stocks are not chosen at the peak of any sector cycle. Stock selection must be much more precise in such a market. If investors buy stocks at the end of a sector rally, those stocks may take years to recover to previous levels. Therefore, in this market, choosing the right stocks is absolutely essential.
Many stocks have crashed even after posting good results, which indicates that market expectations were too high. This month has seen the highest ever selling by FIIs. However, if our stock selection is strong and focused on emerging sectors, we can expect a sharp recovery in our portfolio once the market begins to rebound.
The small and midcap indices were overvalued, and that is why we are seeing more corrections in these segments. As I mentioned before, FIIs will likely continue selling throughout this month, so we may not see a rally until next month.
Further crackdown in the small and midcap index... three days of continuous correction, which has affected our portfolio significantly.
"CG Power" a semiconductor stock, posted good Q2 results. However, since it operates in the semiconductor business, the impact of the results may not be as significant.
Small & midcap selling pressure continue...Just wait & watch before taking any new positions..
The FII money flow chart indicates that FIIs have withdrawn a significant amount of capital from the Indian market, with South Korea is the next. The outflow from India is particularly unprecedented. Some of this capital has been redirected to Japan and China, though the FII flow data for China has not yet been released.
Ping me @devendra2006 for any queries..
๐ฅBelow news has caused all Investment Companies (ICs) and Investment Holding Companies (IHCs) to surge today, despite the overall weakness in the market.๐ฅ
๐Shares of holding companies, Pilani investment , Nalwa sons investment ,Vardhaman holding , SIL investment ,Tata Investment Corporation, Jindal Poly Investment & Finance, Zuari Industries and GFL Ltd, witnessed significant gains, with some rising as much as 20 percent intraday on October 21. This sharp rally comes in a volatile market ahead of the special call auction set on October 28 aimed at price discovery.
The upcoming special auction follows market regulator SEBI's initiative to improve price discovery for Investment Companies (ICs) and Investment Holding Companies (IHCs).
In April, SEBI proposed a framework to address the issue of these companies trading at a significant discount to their book value. By June, SEBI introduced a special call auction mechanism with no price bands for holding companies, targeting firms whose shares trade well below their intrinsic worth.
Holding companies, which typically do not operate businesses themselves, maintain stakes in other companies, primarily within their own group. There are around 70 listed holding companies in India, and these firms often trade at a substantial discount to their holdings' intrinsic value, creating potential for stock price appreciation.
The upcoming auction, scheduled for October 28, will include companies such as GFL Limited, Kalyani Investment Co Ltd, Pilani Investment & Industries Corporation Ltd, and Nalwa Sons Investment Ltd, among others.
FIIs have continued selling, but today the selling has drastically reduced, which is a positive sign. I expect the market to recover tomorrow with support from DIIs. Today, there was significant selling in the small and midcap indices, which were down by more than 1.5%. This has impacted our portfolio. However, there was not much decline in the Nifty index as DIIs absorbed the FII selling.I believe FII selling should gradually slow down, as they have sold at unprecedented levels this month, surpassing even the selling during the March 2020 COVID crash. I am confident that FIIs will return strongly next month, potentially leading to a sharp rally in the market. Until then, we may experience more market pain until the end of this month.Without DII intervention, our market could have declined more than it did during the March 2020 COVID crash. Additionally, the weak Q2 results from many large companies are impacting the market, as expectations were very high this time.
FIIs have continued selling, but today the selling has drastically reduced, which is a positive sign. I expect the market to recover tomorrow with support from DIIs. Today, there was significant selling in the small and midcap indices, which were down by more than 1.5%. This has impacted our portfolio. However, there was not much decline in the Nifty index as DIIs absorbed the FII selling.I believe FII selling should gradually slow down, as they have sold at unprecedented levels this month, surpassing even the selling during the March 2020 COVID crash. I am confident that FIIs will return strongly next month, potentially leading to a sharp rally in the market. Until then, we may experience more market pain until the end of this month.Without DII intervention, our market could have declined more than it did during the March 2020 COVID crash. Additionally, the weak Q2 results from many large companies are impacting the market, as expectations were very high this time.
The small and midcap index is down by more than 1.5%, leading to a significant drop in our portfolio today. This volatility is likely to persist, as FII may continue selling throughout the month. However, a market crash is unlikely due to strong buying support from DIIs (Domestic Institutional Investors).
Despite this, the level of FII selling is so high that DIIs alone may not be able to absorb it on a daily basis. The market will recover if DIIs can sufficiently offset FII selling. I expect the market to remain volatile this month, which is why I am not giving new stocks at this time.
It is crucial to predict future market movements based on FII and DII activity to avoid significant losses.
Today, only Finance/NBFC (Non-Banking Financial Company) stocks are showing an upward trend, while the overall market is experiencing strong selling pressure. Some of the Finance/NBFC stocks that are performing well include:
Pilani Investment
SIL Investment
Vardhman Holding
JSW Holding
BF Investment
Summit Securities
Nalwa Sons Investment
Aban Holding
Mahindra Scooters
Kalyani Investment
Authum Investment
Industrial & Prudential Investment
This is for informational purposes only.
Since the beginning of this month, I have been consistently stating that the market will remain range-bound or sideways due to ongoing FII selling. This selling may continue throughout the month. We can expect a market rally next month when FIIs become net buyers. Until then, we will need to endure the high volatility in the market.
" CG POWER " Semiconductor stock going to post Q2 result today.. Both " CG power & Kaynes Technology " continue to outperform..๐๐
" Kaynes Technology " Multibagger stock from semiconductor business strong performance in falling market.. ๐๐
"Shilchar Technology " "Multibagger Stock" heading towards its highest-ever return on our channel.๐๐
๐ฅFrom โน300 to โน7,500 : 2400% Gain in 2 years๐ฅ
Endi mavjud! Telegram Tadqiqoti 2025 โ yilning asosiy insaytlari 
