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[Stock idea]: Look for companies that have planted Seeds of Growth

Dear Sir, Hope you are doing good and enjoying the interesting times. While the economy is going through slowdown, high quality stocks are trading at exorbitant valuations and a lot of other reasonably good companies are available at throwaway prices. Unless, you are from the group that justifies buying high quality low growth stocks at almost any valuations, you may find our latest stock idea and the thesis behind the same interesting. Just to be clear, we are only discussing…

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[Stock Idea]: Suven Lifesciences (NSE: SUVEN) – A business with lots of optionality

One of our investment theses is to look for businesses with very strong core operations and lots of optionality. By optionality, we mean Low-cost mistakes, with known maximum losses, and large potential payoff. The good thing about such cases is that while the downside is limited (if bought at the right price), the upside can be huge in case the company gets lucky with some of its projects. Based on the above theses we initiated a coverage on Suven Lifesciences…

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[Stock idea]: Manappuram Finance – 2nd largest Gold loan NBFC in India

Dear Sir, We have covered Manappuram Finance (NSE Code – MANAPPURAM) for our Premium members. It’s also part of our Model sheet. Since our initial coverage on the stock in Jul’17, the company has witnessed the worst of NBFC crisis in India and has emerged stronger. The company is primarily into short term gold loan business and on the back of positive ALM (asset liability mis-match) it could handle the crisis better. Currently, the company is doing well and unlike…

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