Sometimes back, I was talking to an Educator friend (who thinks Educator word is a better representative of his role than teacher) and our discussions turned towards the memorization problem of our education. When I asked him whether he understood the gravity of the crisis I realized that he did not even understand the concept of memorization. He was taking this in literal sense when the issue is relative (IQ vs Memory). So I gave him the example of my son-my 7 years old son who has almost 200 car toys and remarkably he remembers the source of each and…

I see people analyzing a company…they try to extract the gold from financial data, numbers…investing all their efforts on the financial data as if the figures of turnover, profits are generated in auto mode by some business entity. But no such entity exists…behind all these superlative businesses, giant economies is just one factor-Human factor. The figures we try to use to judge the worthiness of a business are nothing but a quantification of human efforts….and bad news is that even this quantification can’t capture the force behind human efforts-wisdom. It counts the money but leaves the velocity....human spirit, creativity and…

Last year when we picked Nelco Ltd (click here for earlier detailed post on Nelco ltd) it was still in transition mode and much action was pending for execution but we had the faith in Nelco keeping in view its strong technical capabilities, the scale of opportunity in Indian VSAT industry and its Tata parentage which ensured strong brand image and easy availability of capital/funds. And after 1 year the sky is getting clear. We picked it around 110-120 last time and it is now at 300 after one year and this is one of the best performer of my…

Stock investing is all about value investing i.e. picking a stock at a price which is much lower than its intrinsic value (real worth). And most people think that this real worth is basically a handiwork of financial analysis which calculates Real worth of a stock based on earning growth, balance sheet strength etc. But this is just post mortem. The most important factor in the value investing formula given by Sir Benjamin Graham was not the evaluation of these financial parameters but it was the mysterious “g” in his formula which was the most important factor in the valuation…

As we see our world is witnessing radical changes. We can easily feel that major shift is going to happen in our world. Development, innovation and improvement is a perpetual phenomenon and most of the times development follows compounding growth rate not linear because knowledge base of 10 things/aspects can’t promote 20 stories out of them but a base of 100 can create the scope for 50 new stories because the knowledge of many of these aspects will intertwine and offer more scope for something new and vast. And we are literally at that phase of growth…look at energy sector…

Lokesh Machines: It was shared earlier at 74 ( Click here for earlier post). At that time the company was in revival mode and as expected it has shown great improvement in results this year and it appears to be on strong recovery path. Machine tool industry will be one of the biggest beneficiaries of revival in manufacturing, Automation and Make in India initiative. This year its turnover is at 175 cr vs 132 cr, PBT at 7 cr vs 3 cr, a reflection of strong recovery and much better time ahead. Lokesh does not just make small machining tools…

These are the troubled days for Stock market especially for small and midcaps but these types of corrections are normal and serious investors do not lose their sleep over it. Indian economy is not doing that bad and there is still room for much higher growth if and only if Govt has the will power to move from projects to policy reforms; from slogans (Make in India, digital India) to the real ground work because I think Make in India is failing big time. Make in India was launched to make India a manufacturing power house and to provide jobs…

Click here , here and here for earlier posts on EID Parry and Sugar Sector. Sugar sector again is in the mess. The reason-as i have pointed out many times earlier is the flawed govt policies. They raise the FRP of the cane and every farmer is growing cane due to assured returns and we have excess (Unnecessary) production. Global sugar production is already in surplus. So Sugar producers need to pay higher FRP but sale price is lower inflicting double damage and our Govt is again trying to throw hard earned tax payer money for keeping the prices a…

Monte has given great set of numbers for Dec-17 quarter. Top line 355 cr vs 290 cr. PBT at 73 cr from 53 cr but if we exclude other income of last year then the same are 72 cr vs 44 cr. Great show. So far in this year for 3 quarters it has given a Topline of 560 cr vs 490 cr and PBT (Excluding other income) at 91 cr Vs 60 cr which ,for me, shows that its losses from summer-wear business are falling and it is growing fast. Not to forget that for past one year it…

Aditya Birla fashion and retail Ltd: As shared many times earlier, this one is my favourite and best pick in Indian fashion retail. For dec-17 quarter, it has posted great results; top line at 1862 cr from a715 cr but the real factor is that it has posted net profit of 35 cr from loss of 12 cr last year Q3. The main factor behind this is the performance of Pantaloons which has operating profits of 29 cr against loss of 6 cr last year. I am waiting for this transformation for long and it has happened now although i…