We are coming towards the end of first month of 2010. The market is into correction mode, and it is rather sometimes good to see market correcting, especially when you have ready cash to deploy into equities (the multibaggers, if you chose the right one).Well, that's what our team of technical analysts have been suggesting, to keep 30-40% of your portfolio into cash and they have been bang on correct.
In our earlier post, we made public "Business Insight - Nov 2009" recommendation "Sumeet Industries ltd (Code 514211)" for everyone to create long term wealth, and here we are again coming out with yet another "Business Insight - Jan 2010" recommendation, only for our paid subscribers. The company has experienced a complete makeover off-late. Certain calculations, revenue guidance by the management and our own in-depth analysis makes us believe that the company is poised for multi-fold growth in the next 2-3 years.
The theme for “Business Insight – Jan 2010” is turnaround, coupled with sustainable growth. It is said that turnarounds seldom happen. However it is so true that if you get a hold on to a turnaround situation at an early stage, huge appreciation can be expected of your investments. One can get such companies at huge discounts as many remain oblivion to the fresh developments that may have happened in the due course of time.
We at MPS believe that It is always wise to look for the opportunities while everyone else is ignorant about them. To be able to witness capital appreciation in your investments, you need to tap the opportunities before others get their hand on the same. However, you need to ensure that you chose the right one, because many bad cases with an improvement in performance might appear prospective turnarounds, but they do not turn out that way, with the end result being minority shareholders making losses. This is where you need an in-depth analysis, along with concrete facts supporting your conviction.
Some details on our "Business Insight - Jan 2010" pick.
The company selected has been recording good numbers for the last many quarters. While most other companies recorded a slump in sales and poor numbers during 2008-09, "Business Insight - Jan 2010" witnessed almost 80-90% increase in turnover and more than 60% improvement in bottom-line over previous year. The results for 9 months ending Dec'09 have been in line with our expectations with and a QOQ improvement in numbers. We expect the company to witness a more than 300% increase in bottom-line in the next 2 years, over 2008-09 figures.
At present, the valuations commanded by the company are not in line with the industry standards, and this is primarily because it is out of everyone's sight. However a marked improvement in performance will be noted, and so good numbers coupled with re-rating of valuations shall create a multibagger out of the same. One can very well expect a 10-12 times return in next 24 months (a detailed explanation of the same is provided in the report).
At the end I would like to say that one has to recognize when the right place, right people and the right time fuse and take advantage of that opportunity. There are only few opportunities out there, don't miss them. You can't sit back and wait for ever, time is running out, grab it fast, who knows the opportunity in hand might change your life for ever.
In our earlier post, we made public "Business Insight - Nov 2009" recommendation "Sumeet Industries ltd (Code 514211)" for everyone to create long term wealth, and here we are again coming out with yet another "Business Insight - Jan 2010" recommendation, only for our paid subscribers. The company has experienced a complete makeover off-late. Certain calculations, revenue guidance by the management and our own in-depth analysis makes us believe that the company is poised for multi-fold growth in the next 2-3 years.
The theme for “Business Insight – Jan 2010” is turnaround, coupled with sustainable growth. It is said that turnarounds seldom happen. However it is so true that if you get a hold on to a turnaround situation at an early stage, huge appreciation can be expected of your investments. One can get such companies at huge discounts as many remain oblivion to the fresh developments that may have happened in the due course of time.
We at MPS believe that It is always wise to look for the opportunities while everyone else is ignorant about them. To be able to witness capital appreciation in your investments, you need to tap the opportunities before others get their hand on the same. However, you need to ensure that you chose the right one, because many bad cases with an improvement in performance might appear prospective turnarounds, but they do not turn out that way, with the end result being minority shareholders making losses. This is where you need an in-depth analysis, along with concrete facts supporting your conviction.
Some details on our "Business Insight - Jan 2010" pick.
The company selected has been recording good numbers for the last many quarters. While most other companies recorded a slump in sales and poor numbers during 2008-09, "Business Insight - Jan 2010" witnessed almost 80-90% increase in turnover and more than 60% improvement in bottom-line over previous year. The results for 9 months ending Dec'09 have been in line with our expectations with and a QOQ improvement in numbers. We expect the company to witness a more than 300% increase in bottom-line in the next 2 years, over 2008-09 figures.
At present, the valuations commanded by the company are not in line with the industry standards, and this is primarily because it is out of everyone's sight. However a marked improvement in performance will be noted, and so good numbers coupled with re-rating of valuations shall create a multibagger out of the same. One can very well expect a 10-12 times return in next 24 months (a detailed explanation of the same is provided in the report).
At the end I would like to say that one has to recognize when the right place, right people and the right time fuse and take advantage of that opportunity. There are only few opportunities out there, don't miss them. You can't sit back and wait for ever, time is running out, grab it fast, who knows the opportunity in hand might change your life for ever.
To Know more on the same, Please Call 09886736791 (Sandeep Jain, IIMA, Senior Associate) or E-mail to Info@hbjcapital.com
- Team MPS
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