Update: October 2018:
According to latest reports, some mid-cap stocks in Rakesh Jhunjhunwala Portfolio have lost up to 75% in 2018
A study on 27 stocks in his portfolio stocks shows that only three stocks showed a gain. These are FirstSource Solutions (up 51 per cent), VIP Industries (up 17.63 per cent) and Lupin (up 1.80 per cent).
All the other stocks have suffered negative returns in 2018.
Eight holdings in the portfolio of Rakesh Jhunjhunwala, namely, Mandhana Retail Ventures (down 75 per cent), Jaiprakash Associates (down 74.61 per cent), DB realty (63 per cent), Geojit Financial Services (61 per cent), Aptech (58 per cent), Prozone Intu Properties (58 per cent), DHFL (53 per cent) and Bilcare (51 per cent), have lost over 50 per cent.
A few other holdings such as Orient Cement, TV18 Broadcast, Prakash Industries, Man Infra Construction, Autoline Industries, Ion Exchange (India), Edelweiss Financial Services, The Federal Bank, Karur Vysya Bank and Delta Corp are down between 30 per cent and 50 per cent.
Bloomberg reported that there is an overall loss of Rs. 1300 crore. Dewan Housing Finance Corporation Ltd lost Rs 325 crore in just a month while Titan Company Ltd lost Rs 418 crore.
The value of the portfolio now stands at Rs. 9,272 crore.
Rakesh Jhunjhunwala Latest Portfolio, Holdings, Stock Tips, Net Worth, Bulk Deals 2018
The latest portfolio and holdings of Rakesh Jhunjhunwala as of February 2018 are as follows. The portfolio and holdings will be updated frequently because there are many stocks which are bought and sold.
Rakesh Jhunjhunwala’s portfolio and holdings in the quarter ended 31st December 2017
|Stock||Nos of shares held||Holding %||Networth (Rs crore)|
|Delta Corp Limited||20,000,000||7.48%||661.90|
|Dewan Housing Finance Corporation Limited||10,000,000||3.2%||521.15|
|Rallis India Limited||18,805,820||9.67%||442.50|
|Tata Motors Limited (DVR)||12,425,788||2.4%||336.73|
|Federal Bank Limited||34,733,085||1.80%||323.02|
|Edelweiss Financial Services Limited||10,000,000||1.1%||258.95|
|Karur Vysya Bank||22,462,288||3.09%||251.02|
|TV18 Broadcast Limited||44,560,000||2.60%||239.96|
|Geojit BNP Paribas Financial Services Limited||18,037,500||7.59%||171.81|
|Multi Commodity Exchange of India Limited||2,000,000||3.9%||147.18|
|Firstsource Solutions Limited||25,000,000||3.7%||109.25|
|VIP Industries Limited||5,215,000||3.7%||179.61|
|Agro Tech Foods Limited||1,717,259||7.05%||109.28|
|Anant Raj Limited||9,500,000||3.2%||55.86|
|ION EXCHANGE (INDIA) LTD.||800,000||5.5%||41.89|
|The Mandhana Retail Ventures Ltd||2,813,274||12.7%||40.51|
|Orient Cement Limited||2,500,000||1.2%||36.48|
|Prozone Intu Properties Limited||3,750,000||2.46%||21.19|
|Mcnally Bharat Engineering||2,311,349||4.3%||11.09|
|Net Worth as of 31st March 2017||13186|
The largest holding is Titan (Rs. 6,166.60 crore) followed by Escorts (Rs. 858.70 crore), Crisil (Rs. 763.66 crore) and and Lupin (Rs. 738.95 crore). The four stocks make up nearly half of the portfolio size.
The stocks are from various sectors such as pharmaceuticals, credit rating, travel and tourism, hotels, information technology, computer-related companies, packaging, construction and auto and auto ancillaries.
Rakesh Jhunjhunwala Net Worth
The net worth of Rakesh Jhunjhunwala presently stands at Rs. 13186 crore as of 31st December 2017. There are about 30 stocks in the portfolio. The bulk of the portfolio comprises of large cap stocks though there are also small-cap and mid-cap stocks in the portfolio.
Latest bulk deals of Rakesh Jhunjhunwala on NSE and BSE
Here are the latest bulk deals of buy and sell done by Rakesh Jhunjhunwala on the BSE and the NSE:
|Rajasthan Cylinders & Containers Ltd||Sell||03/Jun/2016||20,592||19.4|
|Rajasthan Cylinders & Containers Ltd||Sell||03/Jun/2016||20,476||20.0|
|Intellect Design Arena Ltd||Sell||14/Feb/2017||3,230,000||120.4|
Churning of portfolio to remove non-performers and increase performers
Over the past several years, the holdings of Rakesh Jhunjhunwala’s stocks have changed dramatically.
It is seen that the great investor likes to churn his portfolio frequently by getting rid of non-performers and increasing the holdings of the performing stocks.
There are several example of how the portfolio has been churned and the holdings have been trimmed.
For example, the holding in Alphageo was sold because it was felt that the adverse price movement of crude oil would put a lot of pressure on the stock.
At the same time, the holding in Titan Industries was increased because it was felt that the jewellery sector had bottomed out and the jewellery stocks had reached attractive valuations.
Another example is Aurobindo Pharma. Rakesh Jhunjhunwala has been periodically increasing his shareholding in Aurobindo Pharma to take advantage of the rapid growth in the Pharma sector and in the Company. He has added more and more of the stock to the portfolio as his confidence in the performance of the Company increased.
Delta Corp is also an example of how Rakesh Jhunjhunwala has been steadily holding the stock because he feels that there is great potential in the stock to deliver massive returns to shareholders if the gaming laws in Daman are changed to favour gambling and casinos.
How to find Multibagger stocks
A detailed study of Rakesh Jhunjhunwala portfolio conducted by Mint has thrown up some startling facts:
(i) The average period for which Rakesh Jhunjhunwala is holding stocks in his portfolio is 3.44 years. There are nine companies which includes Crisil, Titan and Lupin where the holding period is for 10 years or more. The stocks in 15 companies have been held for periods ranging from five to ten years.
(ii) The average returns from the stocks held for the longest period have also been the highest. The average absolute return on stocks held for at least 10 years is very high at 3,271.52%.
(iii) There are several multibagger stocks which have contributed to the steep gains in the portfolio.
(iv) Stocks like Lupin (13,855.7%), Crisil (5,588.6%) and Titan (8,272%) are the major multibaggers in Rakesh Jhunjhunwala portfolio.
(Stock Picking Mantra)
One of Rakesh Jhunjhunwala’s recent buy is Aptech, a software company. On 10th August 2016, he bought 7 lakh shares of the company at an average price of Rs 91.62 per share.
Aptech is engaged in providing IT training services. It reported a consolidated net profit of Rs 0.46 crore in Q1FY17. This was down by 83.80 per cent as compared to Rs 2.84 crore in Q1FY16. Aptech’s consolidated net sales increased by 18.57 per cent YoY to Rs 57.92 crore during Q1FY17 against Rs 48.85 crore in Q1FY16. The consolidated operating profit of Aptech was down by 50.66 per cent year-on-year to Rs 2.99 crore during Q1FY17.
Jhunjhunwala is believed to have bought Aptech because he believes that the worst is behind the company and that its prospects can only improve from hereon. There are also rumors that there will be a takeover bid for Aptech in the near future.
Best stocks to buy
If one is selecting the best stocks to buy from Rakesh Jhunjhunwala portfolio, it is better to choose the mid-cap stocks from the portfolio.
Dewan Housing Finance (DHFL) is an excellent stock to buy now because it is quoting at a low P/BV and has great prospects ahead.
Another stock which is a good buy now is Tata Motors DVR. Tata Motors is Rakesh Jhunjhunwala’s favourite stock. The stock has very good potential because of CV market and JLR (Jaguar and Land Rover).
Intellect Design Arena is also a good stock to buy because of its innovative approach in technology product making.
Ramesh Damani has also recommended Intellect Design Arena (formerly known as Polaris).
In addition to Rakesh Jhunjhunwala, even Ramesh Damani holds Intellect Design Arena in the portfolio.
Karur Vyasya Bank, Aurobindo Pharma and MCX are also very good stocks to buy now because they have a strong growth prospects and are quoting at reasonable valuations.
Several brokerages like IndiaNivesh, Angel Broking and Nirmal Bang have recommended Dewan Housing Finance (DHFL) as a good stock to buy now.
Rare Enterprises is Rakesh Jhunjhunwala’s proprietary trading concern. All trading and investment activity is carried out through Rare Enterprises.
“Rare” is derived from the names of “Rakesh” and “Rekha” jhunjhunwala.
Rare Enterprises has a number of smart fundamental investors and traders in its books. The expert stock picker on the fundamental side is Utpal Sheth. The expert trader on the trading side is Atul Suri.
Atul Suri is a self-taught trader. He is an expert in stocks, mutual funds, commodities and more.
Address and phone numbers of Rare Enterprises
+(91)-22-66590100, 66590125 +(91)-9920837731 +(91)-22-66590110 151-155, Nariman Bhavan, 15th Floor, Nariman Point, Mumbai – 400021 (Map)
Rare Enterprises Careers
Rakesh Jhunjhunwala and Rare Enterprises occasionally have vacancies for research analysts and traders whom they seek to employ. Candidates are required to have good command over spoken and written English. They should have a friendly personality and be able to communicate well. The careers here can be enriching from a monetary and an intellectual standpoint.
Rakesh Jhunjhunwala Tips are offered occasionally whenever it is felt that an opportunity arises to buy a stock which is fundamentally strong and is quoting at reasonable valuations.
In the past, Rakesh Jhunjhunwala has given a number of stock tips like Titan Industries, Geometric, Bilcare, Tata Motors, Aurobindo Pharma and DHFL.