moneycontrol India Stock of the Day (June 2023)
Bharat Electronics, Saregama, Paradeep Phosphates, Heritage Foods, Indian Hotels Company, ZF Commercial Vehicle, JK Paper, Sagar Cement, NTPC Ltd, DCB Bank, Max Healthcare Institute, EaseMy Trip, etc.
Indian stocks featured in their June Stock of the Day videos (from newest to oldest) and covered in this post include:
Page Industries, SJS Enterprises, Repco Home Finance, Bharat Electronics, Saregama, IDBI Bank, Paradeep Phosphates, Ami Organics, Heritage Foods, Indian Hotels Company, ZF Commercial Vehicle Control Systems India, JK Paper, Sagar Cement, NTPC Ltd, DCB Bank, Max Healthcare Institute, EaseMy Trip, Emami, & HG Infra Engineering Co
I have not heard of most of these Indian stocks (which fall into a variety of industries) and many do have elevated trailing or forward P/Es when compared to Chinese, East or SE Asian stocks. But India also has many local retail and institutional investors - meaning Indian stocks rarely trade at a discount.
To make your life easier, this post includes:
A quick description of the stock pick with links to the IR page and stock quote(s) on Yahoo! Finance.
A link to any Wikipedia page (for what it might be worth…)
The title of the moneycontrol Stock of the Day and their summary of what makes the stock pick interesting.
The embedded video (again, they are usually 4 minutes long).
Forward or trailing P/E and dividend yields linked back to the Yahoo! Finance statistics page.
The latest long term technical chart linked back to Yahoo! Finance.
And as always, this post is provided for informational purposes only (and to make your life easier by providing you with relevant information, links, and charts). It does not constitute investment advice and/or a recommendation…
Page Industries (NSE: PAGEIND / BOM: 532827) is the exclusive licensee of JOCKEY International Inc. (USA) for manufacture, distribution and marketing of the JOCKEY® brand in India, Sri Lanka, Bangladesh, Nepal, UAE, Oman and Qatar. Page Industries is also the exclusive licensee of Speedo International Ltd. for the manufacture, marketing and distribution of the Speedo brand in India.
The Company was set up in 1994 with the key objective of bringing the world renowned brand "JOCKEY®" to India. Its promoters are the Genomal family, who have been associated with JOCKEY International Inc. for 50 years as their sole licensee in the Philippines.
The company commenced operations in the year 1995 with the manufacturing, distribution and marketing of Jockey® products. As of March 2018, the company’s workforce numbered over 20,000 people with manufacturing operations spread over fifteen state-of-the art manufacturing complexes in Bangalore, Hassan, Mysore, Gowribidanur, Tiptur and Tirupur. Page Industries commands wide spread pan India distribution encompassing over 50,000 plus retail outlets in 1,800 cities and towns and has revolutionized the innerwear market by launching Exclusive JOCKEY® Brand Outlets across India numbering 470 as of March 2018.
Page Industries is set to take the premium “Jockey” brand across the Indian consumer family as it augments distribution reach (both via multi-brand as well as exclusive brand outlets) and enhances focus on the women and kids segment. The page has healthy growth plans over the medium term and is augmenting capacity. A strong balance sheet, robust return ratios as well as attractive valuations make it a good investment bet.
Trailing P/E: 71.60 (no forward P/E) / Forward Annual Dividend Yield: 0.66% (Yahoo! Finance)
SJS Enterprises (NSE: SJS / BOM: 543387) is one of the leading players in the Indian decorative aesthetics industry. They are a “design-to-delivery” aesthetics solutions provider with the ability to design, develop and manufacture a diverse product portfolio for a wide range of customers primarily in the automotive and consumer appliance industries. Their product offerings include decals and body graphics, 2D appliques and dials, 3D appliques and dials, 3D lux badges), domes, overlays, aluminum badges, in-mould label or decoration parts, lens mask assembly and chrome-plated, printed and painted injection moulded plastic parts.
SJS Enterprises is one of the leading design-to-delivery aesthetics solutions providers, serving the automotive and consumer appliance industries. With the increasing premiumization of automotive and consumer durable products, the company is poised to grow significantly. Further, its valuation is currently at a very reasonable level.
Trailing P/E: 26.73 (no forward P/E) / Forward Annual Dividend Yield: N/A (Yahoo! Finance)
Repco Home Finance
Repco Home Finance (NSE: REPCOHOME / BOM: 535322) is one of the leading housing loan finance company in India (mostly South India). It provides housing loans for the construction or purchase of homes; loans for the repairs, renovation, and/or extension of homes; loans for the purchase of plot for construction of a house; loans to non-resident Indians for the construction/purchase of house in India; loans against the mortgage of immovable property; and loans for the purchase and/or construction of non-residential and commercial properties. The company also offers loans for the construction/purchase of integrated buildings comprising residential and commercial structures; home loans to salaried individuals; and loans for construction on land owned by borrower's parents.
As of March 31, 2022, it operated through a network of 155 branches and 24 satellite centers located in Tamil Nadu, Karnataka, Andhra Pradesh, Telangana, Kerala, Maharashtra, Odisha, West Bengal, Gujarat, Madhya Pradesh, Jharkhand, Rajasthan, and the Union Territory of Puducherry.
Repco Home Finance is an established housing finance company in south India, with over 16 years of operations, especially in Tier 2 and 3 cities. Focus on niche, small-ticket, non-salaried home loans, generates higher spreads, but moderates credit quality of assets. The latest quarter witnessed better-than-expected sequential disbursals. Margins and asset quality has stabilised, aiding sustained return ratios. Company’s outlook for loan book growth is encouraging for the coming fiscal. The stock has sharply rebounded but still available at reasonable valuations.
Trailing P/E: 6.03 (no forward P/E) / Forward Annual Dividend Yield: 0.82% (Yahoo! Finance)