Daljeet Kohli of IndiaNivesh Securites has recommended the following multibagger stocks for investment in his interviews to Sonia Shenoy and other anchors of CNBC-TV18:
(i) Coal India:
We have a positive view on Coal India for quite some time. It qualifies for both as a trading stock as well as an investment stock. For the kind of production uptake that they are looking at, the growth in numbers is very much visible. What they did not do in the last many decades, in the last 1-2 years, they have shown that kind of growth. The memorandum of understanding (MoU) that they have signed with the government of India from 500 million tonne to one billion tonne, that is also encouraging.
Even if we say that Coal India do not go up to one billion tonne, they will go to 700-800 million. That itself is good enough for their growth. So, fundamentally, there is a strong reason to buy. Every time they need money, every time the stock will go up, they will come out with 2-5 percent dilution and you will see this pressure building up. So, what we advise our clients always is that whenever this news starts coming in and the stock goes down, that is the time to add and when, in between there is a clean period when company is working purely and when the stock moves only on fundamentals, that is the time when you sell.
At around Rs 250-300, every level we have been entering and exiting at maybe 5-10 percent upmove. Maybe at this time, it can go back to Rs 310 or something, that is the time when you will buy and again, you will sell it at Rs 350-360. So, you can use this opportunity for trading activity, but in your core portfolio, some portion should always be there because for the next 3-5 years, you can continue making good compounding return on this stock.
(2) Zee Learn and Tree House have the concerns on the corporate governance right from the beginning. So, it is not the first time that they have shown this kind of attitude towards investing community, but it has been there for quite some time. That was the reason why we never liked it and therefore, we never ventured into these stocks at any point of time.
Though education is a good theme to look at, but monetisation of that is very difficult in India and especially with the kind of mindset from the promoters, you should avoid these stocks. So, we very clearly have avoid view on these stocks and we will remain out of these stocks. Therefore, there is no need to calculate whether 1:1 is good or whether 1:5 was good or whatever it was.
(3) J Kumar Infraprojects has fallen so much, so probably all the negatives have already been factored in from Rs 400 odd levels, it has come to Rs 100 plus now. So, makes sense to look at this stock although we do not cover formally, so no buying recommendation as such, but probably most of the negatives have come into the stock price.
(4) Adani Ports and Special Economic Zone:
We are quite positive on Adani Ports and Special Economic Zone. It is a good play on the India infrastructure story as well as with these quarterly numbers, we have seen that there was a big concern whether growth in volumes will come or not and that has shown up there. So, it is good.
The management of Adani Ports and Special Economic Zone has cleared that problem of inter-party transaction, etc., so that also is very investor friendly. The stock has potential to move from 10-12 percent from here. We do not have a rating on the stock, so no target price, but we like Adani Ports.