Best Vijay Kedia Portfolio Stocks: Many investors keep a close eye on stock buys and sales of ace investors for ideas and inspiration. It is believed that beginner and experienced investors alike can put to use the research abilities of their larger counterparts.
India has multiple investors with crores of personal wealth invested in the stocks. In this article, we’ll look at the best Vijay Kedia portfolio stocks and see if they can be an interesting opportunity for us as well.
Who is Vijay Kedia?
Born in Kolkata, Vijay Kishanlal Kedia is one of the most prominent investors in India with a net worth of Rs 1,200 crore (approx.). He publicly holds 16 stocks in which his shareholding is more than 1%.
He got into the stock market at the early age of 19. The ace investors started trading in stocks but it didn’t bring him much results. Later, he moved to the financial hub of Mumbai to get more exposure and learning.
Around 2005, he came across Atul Auto, Aegis Logistics, and Cera Sanitaryware which went up more than 100 times in the next decade.
Vijay Kedia primarily invests in small companies which have medium experience but are eying large market share in the future. He calls his investment philosophy ‘SMILE’. Having read about the investor himself, let us now move forward to know the best Vijay Kedia portfolio stocks.
Best Vijay Kedia Portfolio Stocks
We’ll begin our study by briefly reading about the ace investor: Vijay Kedia. Next, we’ll move forward to study his best investment picks, their business and key metrics.
We’ll keep our analysis diverse, studying stocks from various industries from hospitality to auto ancillary. A list at the end puts together some more Vijay Kedia portfolio stocks. So without further ado, let us jump in.
Best Vijay Kedia Portfolio Stocks #1 – Elecon Engineering Company
|CMP||₹831||Market Cap (Cr.)||₹9,158|
|Promoter Holding||59%||Book Value||₹114|
|Debt to Equity||0.0||Price to Book Value||6.63|
|Net Profit Margin||15.6%||Operating Margin||22.3%|
An industrial and mechanical engineering company, Elecon Engineering was established over 7 decades ago in 1951. As of the present date, it is the largest industrial gear manufacturing company in India and one of the largest in Asia.
Elecon produces a broad range of material handling equipment, mining equipment, industrial geared motors and reducers and other products. Its handling equipments are used to handle cargo and movement of goods at mines, ports, etc. As for industrial gears, they are used in ships, steel plants, wind turbines, etc.
The Vijar Kedia invested company has a robust distribution network in place with 60+ and 100+ distributors & dealers in India and outside India respectively. Elecon has 10 sales offices helping it to fulfil demand in 75+ countries across the world.
Additionally, it has 4 assembly centres and a state-of-the-art production facility spread over 335,000 sq meters.
The ace investor holds 2,000,000 shares or a 1.8% stake in the equipment manufacturing company which is valued at Rs 8,471 core. Its net profit increased from Rs 70 crore in FY19 to Rs 237 crore in FY23.
Best Vijay Kedia Portfolio Stocks #2 – Affordable Robotic & Automation
|CMP||₹720.35||Market Cap (Cr.)||₹771.87|
|Promoter Holding||61.4%||Book Value||₹52|
|Debt to Equity||0.6||Price to Book Value||10.20|
|Net Profit Margin||2.9%||Operating Margin||6.7%|
Founded nearly two decades in 2005, Affordable Robotic & Automation Ltd. (ARAPL) provides automation solutions to automobile, non-automobile, general, and public sectors.
ARAPL provides warehousing solutions, robotic welding automation, and car parking automated solutions services including truck loading & unloading solutions, installation of robotic lines, ergonomic study, auto assembly stations, parking systems, and more.
The company counts big names such as Eicher, Volvo, TVS, Maruti Suzuki, Lodha, Hero and more as its clients.
Talking about the revenue segments of the company, automation is the largest division of the company accounting for 63.56% of the total income in FY23. Car parking was second, accounting for 35.55% of income share.
As per the recent shareholding data available, Vijay Kedia holds a significant 13.4% stake or 1,360,800 shares worth Rs 73 cr. The company currently has a market capitalisation of Rs 544 crore.
Its revenues increased from Rs 56 crore in FY21 to Rs 114 crore in FY23. During the same period, the company turned profitable with a nominal Rs 2 crore net profit against Rs 4 crore loss in FY21.
Best Vijay Kedia Portfolio Stocks #3 – Mahindra Holidays & Resorts India
|CMP||₹361||Market Cap (Cr.)||₹7,191.24|
|Promoter Holding||66.9%||Book Value||₹19|
|Debt to Equity||6.7||Price to Book Value||17.60|
|Net Profit Margin||4.6%||Operating Margin||19.1%|
Part of the multi-billion dollar conglomerate, Mahindra Holidays & Resorts India Ltd. (MHRIL) is the sixth-largest vacation ownership company in the world. Anand Mahindra-led Mahindra and Mahindra Ltd. holds a majority 67% promoter stake in the company which ranks as the top leisure hospitality company in India.
Mahindra Holidays operates 143 resorts and hotels taking the total key count to 5,005 rooms. Out of these 143 properties, 82 are located in the country giving the small-cap resort cap operator a pan-Indian presence.
MHRIL has a different model from a usual hotel and resort operator. It sells annual memberships to people under which it provides guaranteed stays to its 2.9 lakh members. The company specifically targets leisure travel customers through its Club Mahindra brand.
It earned a net profit of Rs 114 crore in FY23 on a revenue of Rs 2,517 crore generating a high return on equity (RoE) of 36% for its investors. The ace investor holds a 1% stake or 2,055,000 shares of the resort company worth Rs 69 crore.
Best Vijay Kedia Portfolio Stocks #4 – Precision Camshafts
|CMP||₹239||Market Cap (Cr.)||₹2,288.21|
|Promoter Holding||65.3%||Book Value||₹75|
|Debt to Equity||0.1||Price to Book Value||3.15|
|Net Profit Margin||4.2%||Operating Margin||10.2%|
Established in 1992, Precision Camshafts Ltd. (PCL) is a leading camshaft manufacturing company in India with a global footprint expanding to 17 countries. It has diversified production operations with 2 plants, 4 foundries, 4 machine shops, and 2 additional plants.
In addition to its strong presence in India, Precision also has two plants in Germany and Netherlands. It has expertise in manufacturing a wide variety of camshafts such as chilled cast iron, ductile iron, hybrid, and assembled.
The auto ancillary company also supplies key injector components, balancer shifts, speciality prismatic components, electric drivelines and more to the world’s prominent OEMs and non-automotive customers.
Its portfolio of clients includes some of the most renowned companies such as Bosch, Mercedes-Benz, Royal Enfield, Tata, Ford, Suzuki, Audi, IKEA, H&M, and more.
This Vijay Kedia portfolio company has also developed an electric mid-size bus and has entered into an agreement to supply electric commercial vehicles to various government and non-government institutions.
Vijay Kedia owns a 1.2% stake or 1,100,000 shares in the business valuing his stake at Rs 26.1 crore in this small cap auto components company with a market value of Rs 2,273 crore. It reported a net profit of Rs 46 crore on sales of Rs 1,080 crore in FY23.
Best Vijay Kedia Portfolio Stocks #5 – Talbros Automotive Components
|CMP||₹1,046.5||Market Cap (Cr.)||₹1,310.06|
|Promoter Holding||58.4%||Book Value||₹261|
|Debt to Equity||0.3||Price to Book Value||3.32|
|Net Profit Margin||8.6%||Operating Margin||13.5|
Founded in 1956, Talbros Automotive Components Ltd. is an auto ancillary company engaged in the manufacturing of gaskets, forged & machined parts, chassis, rubber hoses, heat shields, exhaust hangers, suspension parts, and more.
Its products are used in two-wheelers, four-wheelers, light & heavy commercial vehicles (LHCV), agricultural machinery, and industrial equipments.
Talbros supplies its products to leading OEMs and equipment manufacturers across the world. Harley Davidson, Honda, Hyundai, Kirloskar, Rolls Royce, Tata and Volvo are some of its marquee clients.
It has formed three joint ventures: Nippon Leakless Talbros, Marelli Talbros Chassis Systems, and Talbros Marugo Rubber to offer a diversified range of products to its customers.
Talbros earned a net profit of Rs 56 crore in FY23 on sales of Rs 647, the highest ever in its history. As a feather in its cap, it has been consistently profitable for more than a decade. The stock currently trades at a P/E of 19 and offers a good return on equity (RoE) of 18%.
List of Top Vijay Kedia Portfolio Stocks
We are almost at the end of our article on the ‘best Vijay Kedia portfolio stocks’. The table below puts together the names covered above and some more.
|Company Name||CMP||Holding Value (Cr)||Industry|
|Tejas Networks||₹847.65||₹278||Telecommunication - Equipment|
|Elecon Engineering Company||₹835||₹151||Engineering - Industrial Equipments|
|Atul Auto||₹373.4||₹143||Automobile - 2 & 3 Wheelers|
|Vaibhav Global||₹376||₹111||Diamond & Jewellery|
|Affordable Robotic & Automation||₹720.35||₹73||Engineering - Industrial Equipments|
|Mahindra Holidays & Resorts India||₹360.35||₹70||Hotel, Resort & Restaurants|
|Repro India||₹852||₹68||Printing & Publishing|
|Patel Engineering Company||₹56.2||₹57||Construction - Infrastructure|
|Neuland Laboratories||₹4,012||₹56||Pharmaceuticals & Drugs|
|Sudarshan Chemical Industries||₹494.9||₹50||Dyes & Pigments|
|Precision Camshafts||₹238.05||₹27||Auto Ancillary|
|Talbros Automotive Components||₹1,046.5||₹13||Auto Ancillary|
As we conclude our study of the ‘best Vijay Kedia portfolio stocks’, we can say that the investor has expertise in identifying companies which can emerge as market leaders in their industries with significant market share.
While some companies have been coming out with stellar results, some of his picks are still in a recovery phase and trade at cheap valuations.
Do you think is it wise to invest in underperforming stocks of any ace investor in the hope of multi bagger returns in the future? Or are even ace investors prone to mistakes? How about we continue this conversation in the comments below?
Written By Vikalp Mishra
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