Data related to the changes in the stake that ace investors hold in companies is released every quarter. Market observers and retail investors closely follow these changes to know how these investors invest their money. While ace investor Dolly Khanna has increased her stake in an auto component stock, market mogul Vijay Kedia chose to stay put.
Dolly Khanna, a Chennai-based ace investor is known for picking lesser-known stocks that tend to overperform the market. Her portfolio is managed by her husband, Rajiv Khanna.
As per filings for the September quarter (Q2FY23), she has bought additional shares of Talbros Automotive Components Ltd, a small-cap stock. In the June quarter, (Q1FY23), she had a 1.1% stake in the company or 1,35,215 shares. Her stake increased to 1.2% in the latest quarter. Currently, she holds 1,50,215 shares in the company and her holdings are worth ~ ₹ 7.1 crores.
Another ace investor-Vijay Kedia also holds a stake in the company. As per the latest filings, he has not made changes to the holdings in his portfolio. He holds a 2.3% stake in the company, currently. In other words, he has 2,80,000 shares in the company, and his holdings are worth ~ ₹ 13.3 crores.
Talbros Automotive Components Ltd has a market capitalization of ₹ 581 crores. It has an ideal return on equity of 16.34% and an ideal debt-to-equity ratio of 0.30. Further, its stock is trading at a price-to-equity ratio (PE) of 12.40, which is significantly lower than the industry PE of 42.79. Therefore the stock might be undervalued and its price may increase in the future.
The company’s share price has risen by 61.42% in the past year. Further, it has given multibagger returns of 132.30% in the past five years. If an investor would have invested ₹ 1 lakh in the shares of the company five years ago, the value of their holdings would have been ₹2.32 lakhs today. Similarly, the same investment would be worth ₹ 1.61 lakhs, if the investment was made a year ago.
Written by Simran Bafna
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