The portfolio of Chennai-based Dolly and Rajiv Khanna, who have a reputation of spotting value in small and midcap space, increased or decreased their stake in as many as 14 companies. The stocks of these firms have fallen up to 26 percent since October.
Most stocks in their portfolio (mostly mid and smallcaps) gave positive returns in past 4 months, starting October. As of January 24, 15 companies are a part of their portfolio as per declaration of shareholding pattern by the firms. 9 out of the 15 names gave positive returns while the rest 6 fell 5-26 percent in the past 4 months.
This is not the complete portfolio as we have collated a list of those stocks in which the duo hold more than a percent stake as per January 24 shareholding data. Their portfolio would also include other companies in which they hold less than a percent stake as well.
The duo is counted as one of the top Indian analysts in the fraternity of value pickers. Rajiv Khanna, who started investing in equities in 1996 with an initial investment of Rs 1 crore is now worth over Rs 750 crore, according to some reports.
Dolly and Rajiv Khanna have a knack of spotting multibaggers and know when to book profits and increase stake in companies offering value after correction.
Out of 15 companies which have declared their shareholding pattern for the December quarter, Khanna reduced stake in as many as six companies including Rain Industries, Ruchira Papers and Manappuram Finance.
The duo reduced their stake below 1 percent in three companies, namely Selan Exploration Technology (down 23 percent since October), Srikalahasthi Pipes (which was trading flat), and Sterling Tools (which registered gains of little over 1 percent in the same period).
Dolly Khanna increased her stake to over 1 percent again in Associated Alcohols and Breweries to 1.03 percent at the end of December 2018 quarter, according to BSE shareholding data. The duo entered the company for the first time in 2018.
Associated Alcohols & Breweries is a leading producer of domestic liquor, and an efficient manufacturer of global brands. The proportion of revenues from proprietary brands is expected to increase from 8 percent in 2016-17 to 20 percent by 2020.
In 1989, it was incorporated as a public limited company and has been the leading supplier of IMIL (Indian made Indian liquor) to the government of Madhya Pradesh. For 2018-19, they have eyes set on 5 more states — Pondicherry, Kerala, Goa, Maharashtra and Chhattisgarh, according to the company website.
On the increasing side
Dolly Khanna has increased her stake in 8 companies from the list of 15, including Nilkamal (which fell 22 percent from October till date), followed by NR Agarwal Industries (which was down 18 percent), and Tata Metaliks (which fell 11 percent in the same period).Disclaimer: The above report is for information only and not necessarily buy or sell ideas. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.