High FII Holdings under Rs 1000:The management of a company is critical to its growth. Foreign Institutional Investors (FII) invest in companies based on their analysis and for short-term gains from the movement of stocks as well. High FII holdings imply greater trust in companies. This article will look at companies with a high FII holding of less than Rs. 1000.
Table of Contents
High FII Holding Stocks Under Rs 1000
High FII Holdings Stocks Under Rs 1000 #1: Max Financial Services Ltd.
Analjit Singh established the company in 1988 and incorporated it in 1989. Max Financial Services Limited (MFSL) is a subsidiary of the Max Group. MFSL, which focuses on life insurance, owns and actively manages an 87% stake in Max Life Insurance and has a joint venture with Axis Bank.
Axis Bank and its subsidiaries, Axis Capital Limited and Axis Securities Limited (collectively referred to as “Axis Entities”), became co-promoters of Max Life. The Axis Entities acquired a collective 12.99% stake in Max Life. Max Life has 397 branch units across India as of March 31, 2023.
Segments such as business investments and others generated revenue, accounting for 0.13% of total revenue and increasing by 6.62% year over year. Life insurance accounts for 99.86% of the total, a 0.73% increase year over year.
FIIs held 51.54% of the company as of September 2023, with Sumitomo Insurance holding 21.86%, New York Life Insurance holding 2.96%, Baron Emerging Markets Fund holding 1.40%, the Government of Singapore holding 2.07%, and New World Fund holding 1.26%.
The company’s revenue stood at Rs. 31,412.67 crore as against Rs. 31,187.58 crore in FY22, up 0.72%. The company’s net profits were Rs. 451.89 crore in FY22, up from Rs. 318.40 crore in FY22, a 41.92% increase. Profits have increased due to improved cost control and increased interest income from investments.
| Particulars | Amount | Particulars | Amount |
|---|---|---|---|
| CMP | ₹ 871.8 | Market Cap (Cr.) | ₹ 32,663 |
| EPS (TTM) | ₹ 14.67 | Stock P/E (TTM) | 66.33 |
| Promoter Holdings (%) | 6.52% | FII Holdings (%) | 51.54% |
| RoE | 13.5% | RoCE | 14.46% |
| Enterprise Value (Cr.) | ₹ 32,886.72 | Price to Book Value | 8.95 |
High FII Holdings Stocks Under Rs 1000 #2: Five Star Business Finance Ltd.
V.K. Ranganathan founded the company in 1984 in Chennai. Five Star has been dealing in specialized financial services. Customers range from small shop owners, flower vendors, maids, masons, and small and medium businesses, making it a microfinance company. The FSBF offers secured loans to micro-entrepreneurs and self-employed individuals for business purposes, asset creation (home renovation or improvement), or meeting expenses for significant economic events such as marriage, healthcare, and education.
The company operates in a single segment and only does business in India. In FY23, interest income accounted for 98.54% of revenue from operations, with the remaining 0.90% coming from fee income and 0.56% coming from net gain on fair value charges.
As of September 2023, FIIs held 50.22%, with Sequoia Capital holding 3.48%, TPG Asia holding 14.29%, Sirius holding 6.03%, SCI Growth Investments holding 3.78%, Fidelity Funds holding 1.91%, and Small Cap World Fund holding 3.08%.
Revenue for the company was Rs. 1,520.84 crore as opposed to Rs. 1,203.76 crore, a 26.35% increase in FY22. Net profits were Rs. 603.49 crore, up from Rs. 453.54 crore in FY22, representing a 33.06% increase on a standalone basis.
The increase in net profits is due to higher interest income and lower finance costs.
| Particulars | Amount | Particulars | Amount |
|---|---|---|---|
| CMP | ₹ 781.6 | Market Cap (Cr.) | ₹ 21,360 |
| EPS (TTM) | ₹ 24.06 | Stock P/E (TTM) | 30.32 |
| Promoter Holdings (%) | 31.30% | FII Holdings (%) | 50.22% |
| RoE | 14.84% | RoCE | 13.39% |
| Enterprise Value (Cr.) | ₹ 24,789.60 | Price to Book Value | 4.5 |
High FII Holdings Stocks Under Rs 1000 #3: CarTrade Tech Ltd.
Vinay Sanghi has headed the organization since its inception in 2009. CarTrade Tech Ltd. is a provider of multi-channel auto platforms. Its brands include CarWale, CarTrade, Shriram Automall, BikeWale, CarTradeExchange, Adroit Auto, and AutoBiz. The platform connects new and used car buyers, dealers, OEMs, and other businesses to buy and sell various types of vehicles. The company provides a wide range of solutions for automotive transactions such as buying, selling, marketing, financing, and more.
In FY23, the company earned 42.21% of its revenue from website services and fees, 55.75% from commission and related income (which includes parking and registration fees), and the remaining 2.04% from the sale of used vehicles and other operating income.
FIIs hold 70.15% as of September 2023, which includes prominent investors such as Macritchie Investments – 16.33%, Highdell Investment – 17.38%, Goldman Sachs Trust and Funds (combined) – 3.58%, Kuwait Investment Authority – 1.44%, Bay Capital – 2.21% Taiyo Greater India – 1.98% and Prudential Assurance – 2.27%.
The company’s revenue was Rs. 363.73 crore, up 16.31% from Rs. 312.72 crore in FY22. Net profits stood at Rs. 40.43 crore as compared to a loss of Rs. 121.35 crore in FY22. The increase in net profits is due to lower employee benefit expenses and increased sales and other income, which were factored into the profit and loss statement to achieve profitability.
| Particulars | Amount | Particulars | Amount |
|---|---|---|---|
| CMP | ₹ 735.05 | Market Cap (Cr.) | ₹ 3,306.5 |
| EPS (TTM) | ₹ 11.08 | Stock P/E (TTM) | 69.19 |
| Public Holdings (%) | 25.33% | FII Holdings (%) | 70.14% |
| RoE | 2.51% | RoCE | 3.82% |
| Enterprise Value (Cr.) | ₹ 3,459.63 | Price to Book Value | 1.74 |
High FII Holdings Stocks Under Rs 1000 #4: 360 ONE WAM Ltd.
The company was founded in 2008 and was previously known as IIFL Wealth Management Limited. 360 ONE is a wealth management firm based in Mumbai, India. The company provides advisory services for equities and derivatives, commodities, wealth management, asset management, insurance, fixed deposits, loans, investment banking, GoI bonds, and other financial instruments.
Through a comprehensive range of tailored wealth management solutions, the company serves the highly specialized and sophisticated needs of high-net-worth and ultra-high-net-worth individuals, affluent families, family offices, and institutional clients.
The company had an AUM of Rs. 3,40,000+ crore as of 31st March 2023 and has a base of around 4 million customers.
Most of the company’s revenue in FY23 came from wealth management (72.71%), with the remainder from asset management (27.29%). Wealth management is flat year over year, while asset management is up 21.03%.
FIIs hold 61.88% as of September 2023, including Vanguard – 1.02%, BC Asia Investments – 24.75%, Bank Muscat – 2.01%, Rimco – 2.23%, Government Pension Fund Global – 1.12%, Smallcap World Fund – 7.96%, and Capital Income Builder – 5.28%.
The company’s revenue in FY23 stood at Rs. 1,974.66 crore as compared to Rs. 1,850.65 crores in FY22, an increase of 6.70%. Net profit in FY23 was Rs. 657.89 crore as compared to Rs. 577.74 crore, an increase of 13.87%. Improved cost control in areas such as employee benefits, fees, and commissions can be attributed to the increase in net profit.
| Particulars | Amount | Particulars | Amount |
|---|---|---|---|
| CMP | ₹ 636 | Market Cap (Cr.) | ₹ 23,062 |
| EPS (TTM) | ₹ 19.44 | Stock P/E (TTM) | 34.17 |
| Promoter Holdings (%) | 20.83% | FII Holdings (%) | 61.87% |
| RoE | 21.34% | RoCE | 12.12% |
| Enterprise Value (Cr.) | ₹ 24,771.03 | Price to Book Value | 7.29 |
High FII Holdings Stocks Under Rs 1000 #5: Max Healthcare Institute Ltd.
The company was incorporated in 2001. The company operates 17 healthcare facilities (3500 beds) in the NCR Delhi, Haryana, Punjab, Uttarakhand, and Maharashtra.
85% of the bed capacity is in Metro/Tier 1 cities. Max Healthcare, in addition to hospitals, operates a homecare and pathology business under the brand names Max@Home and Max Labs, respectively.
Abhay Soi, Chairman and Managing Director of Max Healthcare, promotes and leads the company. The current amalgamated company was formed following the acquisition of 49.7% of the former Max Healthcare Institute Limited by Radiant Life Care Pvt. Ltd. and the subsequent amalgamation of Max Healthcare with Radiant. The amalgamated entity took Max Healthcare Institute Limited as its name. Before the merger, Radiant was run by Abhay Soi.
The company reports its revenue under one segment known as healthcare facilities including primary, secondary, and tertiary care facilities and they operate only in India. In FY23, their revenue from healthcare services was 96.03%, drugs and pharmaceutical supplies were 2.34%, and other operating revenue (ancillary activities, service exports, sponsorship, and educational income) was 1.63%.
FIIs held 60.38% as of September 2023, with the Government of Singapore holding 7.16%, New World Fund holding 6.60%, Smallcap World Fund holding 5.10%, GQG Partners holding 2.55%, and the Monetary Authority of Singapore holding 1.36%.
The company’s revenue was Rs. 4,562.60 crore in FY23 as compared to Rs. 3,936.55 crore in FY22, an increase of 15.90%. Net profits stood at Rs. 1,103.51 crore as compared to Rs. 605.05 crore, up 82.38% YoY. The increase in net profits is due to a reduction in interest costs as well as a deferred tax effect.
| Particulars | Amount | Particulars | Amount |
|---|---|---|---|
| CMP | ₹ 732.4 | Market Cap (Cr.) | ₹ 69,767 |
| EPS (TTM) | ₹ 10.19 | Stock P/E (TTM) | 66.87 |
| Promoter Holdings (%) | 23.76% | FII Holdings (%) | 60.38% |
| RoE | 12.62% | RoCE | 14.57% |
| Enterprise Value (Cr.) | ₹ 64,948.45 | Price to Book Value | 8.44 |
List of Some of the High FII Holdings Stocks Under Rs 1000
| Stock Name | CMP | Market Cap (Cr.) | FII Holdings (%) |
|---|---|---|---|
| Delhivery Ltd. | ₹ 440.65 | ₹ 29,320 | 65.50% |
| One97 Communications Ltd. | ₹ 764.45 | ₹ 49,148 | 60.92% |
| Redington Ltd. | ₹ 180.75 | ₹ 14,036 | 56.25% |
| PB Fintech Ltd. | ₹ 1,029.9 | ₹ 41,131 | 43.97% |
| AU Small Finance Bank Ltd. | ₹ 631.55 | ₹ 47,352 | 41.61% |
| Ujjivan Financial Services Ltd. | ₹ 570.95 | ₹ 7,094.99 | 36.47% |
| UPL Ltd. | ₹ 535 | ₹ 41,891 | 33.56% |
| Sona BLW Precision Forgings Ltd. | ₹ 605.05 | ₹ 34,004 | 33.35% |
| Subros Ltd. | ₹ 676.85 | ₹ 4,646.42 | 32.74% |
| HDFC Life Insurance Ltd. | ₹ 574.1 | ₹ 1,37,115 | 30.52% |
Conclusion
As we near the end of the article, the FIIs invest through their analysis and decisions. They believe the stock is undervalued or the business is buoyant based on their assumptions and valuation. Make sure to do your research before investing and understand the risks and returns associated with investing in any company.
What do you think about these companies? Mention some companies with high FII holdings and good business and financials under Rs. 1 000. Let us know your views in the comments section below.
Written by Santhosh
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