Rakesh Jhunjhunwala's Portfolio December 2009

Message

  Company

               Quantity

     Price

  Value

  Wts 

  PE

  Mkt 

   31.09.09

  30.12.09

  29.03.10

  Rs cr

   %

  Cap

  Titan industries

  3538734

  3860861

  1827

  647

  21.53

  51

  8110

  Lupin

  3173335

  3252835

  1636

  519

  17.29

  25

  14555

  Crisil

  550000

  550000

  5200

  286

  9.53

  25

  3757

  Aptech

  15706503

  15706503

  171

  269

  8.94

  16

  800

  Nagarjuna Const.

  14900000

  15150000

  158

  235

  7.84

  24

  4050

  HOEL

  7822916

  7272416

  236

  185

  6.15

  81

  3088

  Praj Industries

  15726624

  14476624

  87

  137

  4.56

  13

  1593

  Karur Vysya Bank

  2568724

  2041224

  462

  119

  3.95

  8

  2494

  Bilcare

  2002925

  2002925

  590

  118

  3.94

  19

  1330

  Rallis india

  760888

  803088

  1220

  93

  3.09

  18

  1582

  Punj lloyd

  5040000

  3790000

  175

  88

  2.94

  20

  5825

  Geojit

  18000000

  18000000

  37

  67

  2.22

  17

  820

  Agrotech
  Foods

  2003259

  2003259

  251

  50

  1.67

  26

  612

  VIP Industries

  1263000

  1263000

  254

  32

  1.07

  18

  718

  Geometric Software

  4515000

  5315000

  65

  29

  0.98

      -

  400

  Prime
  Focus

  882500

  882500

  240

  21

  0.71

      -

  308

  Viceroy
  Hotels

  4750000

  4750000

  41

  19

  0.65

  -

  148

  Zen
  technologies

  900000

  900000

  177

  16

  0.53

  5

  158

  Kajaria Ceramics

  2502642

  2502642

  59

  15

  0.49

  19

  434

  Autoline Industries

  1251233

  1251233

  110

  14

  0.46

  16

  134

  Provogue

  1900000

  1900000

  49

  9

  0.31

  17

  555

  JB Chemicals

  1251650

  1251650

  73

  9

  0.30

  8

  617

  ION
  Exchange

  650000

  650000

  138

  9

  0.30

  20

  176

  MidDay
  Multimedia

  2250000

  2250000

  27

  6

  0.20

  60

  141

  Infomedia

  1506062

  700177

  29

  4

  0.15

      -

  143

  Alphageo

  125000

  125000

  204

  3

  0.08

  11

  104

  Rishi
  Lazer

  380000

  380000

  58

  2

  0.07

      -

  30

  Vadilal
  Industries

  200000

  200000

  78

  2

  0.05

  8

  48

  Dwarikesh
  Sugars

  450000

  0

  Total
  value of the disclosed Portfolio (Rs crores)

  3003

Colors in blue represent stocks where holdings have
gone up and in red represent stocks where holdings have gone down.

 Piquant
Observations:                          

·  
His top 5 holdings account
for 65.13% of his portfolio and his top 10 holdings account for almost 86.5% of
his portfolio. 

·  
The average Market cap the portfolio is around Rs 1758 crores
and the average PE is 22 times trailing. These are as per the Money control
website.

·  
There are several companies with high trailing PEs in the
portfolio  Makes one think the usefulness
of an absolute PE based Investment strategy.

·  
Companies like Titan, Crisil, and Praj where Rakesh Jhunjhunwala
has made most of money are sector leaders. Karur Vysa Bank has been a
multibagger for him but as Buffett professes one need not buy the biggest Bank
to make most of the money.

·  
All the companies where Rakesh Jhunjhunwala has made most of his
money started as mid/small caps and later grew with time. But the ones with the
smallest market cap Vadilal Industries has done nothing. This indicates that
small market cap is necessary but not a comprehensive tool for creating a
multibagger. 

·  
The underlying theme in the portfolio remains domestic consumption (Titan), Infrastructure
(Nagarjuna Construction and Punj Lloyd) , Pharma (Lupin and Bil Care) and
financial Services (Crisil and Karur Vysya Bank.)

·  
It is hard
to find a cyclical or commodity stock in his portfolio. 

·  
Unlike the general investor none of these stocks are large caps in
the true sense of the definition. Of Course he could be holding future
positions in large caps but the point that I am trying to make is money is made
in small and mid caps only. The notional losses that
an investor can suffer are also the highest in these stocks. It is very
important for an investor not to convert these notional losses in actual losses
by selling the shares in despair. 

·  
Most of these stocks are
being held for over 5 years. Companies like Titan, Pantaloon Retail fall in
that category. Others like Crisil are being held for as long as 10 years. –
Clearly Time and not timing is the key to these markets. 

·  
Almost all these companies
are looking at a huge external scale of opportunity whether it is a Titan
or a Pantaloon a Nagarjuna Construction or Lupin the sheer size of the
addressable market is humongous. – Morale of the story “See the Bigger
Picture”. 

·  
These shares are held by Rakesh and his wife Rekha Jhunjhunwala
and form a part of his disclosed portfolio. He could be holding more shares
through companies, trusts, proprietary accounts which are not in the public
domain. The details have been procured from BSE India.com and are from
companies where he holds more then 1% stake.

·  
To know more about investing legends see the section World's greatest Investors.

Edited by basant - 05/Jul/2010 at 8:07pm