Themes for 2020

Here’s wishing everyone a great 2020.

Calendar 2019 proved to be a mixed bag with the indices touching new highs in the last month of December and a disaster for the mid-and-small cap stocks as they were hammered out of shape during the course of the year. And the good ones among them also suffered collateral damage. This also means that there was an opportunity to accumulate such gems gradually over the last year and wait it out for them to start bouncing back to their pre-crash levels. On the sectoral front, autos were the worst hit accompanied by real-estate. And among the auto sector, CVs have been the worst hit. Now the industry is pinning its hopes on the scrappage policy for old vehicles, which will lead to a demand for fresh vehicles, and the BS-VI emission norms from April 2020. For the PV segment, though there were a few bright sparks in the festive season, it is still too early to rejoice. The common theme impacting these sectors was of course the choking of fund supply from NBFCs which continued their dismal run from late 2018. And going by the current scenario, it doesn’t look that they are going to go anywhere in the next 6 months at least. The other noticeable thing among NBFCs was that the bigger ones were still stable with the likes of Bajaj twins – Finance and Finserv, as well as HDFC group stocks doing exceedingly well even in this gloom and doom situation. So the trend appears to be that the stronger ones will go from strength to strength while the weaker ones will either be gobbled up by the bigger ones or will just shut shop. We have seen the state of DHFL, SREI Infra which fall in the former category.

The note of caution however is that this index rally has been driven only by a handful of stocks and mostly from the BFSI space– RIL, HDFC, Bajaj twins, Kotak Mahindra Bank and the like, while the broader market is yet to revive, as seen by the state of mid-and-small cap stocks.

While the govt. has been doing its job with a series of moves such as regular rate cuts and reduction in corporate tax rates, not to mention a slew of other measures for NBFC and real-estate sectors, the effect of these is yet to be seen. It is seen that such macro-economic moves usually take time to play out over a couple of quarters at the minimum. So we will just have to wait for at least a quarter more to see the fruits of these moves, assuming no global disruption in the interim. The bright side for equities is a stale outlook on oil and commodities in general, low core inflation and a good monsoon. Things are also looking up for bad asset resolutions after the Essar settlement in NCLT recently.

While the supply side has been adequately catered to, it is the demand side which is a worry. And the govt. has hardly done anything in this area. Tinkering with personal IT rates in the coming budget in a month’s time could be a step in this direction, though how much this will really aid demand is a moot question.

The key theme in 2020 would certainly be Infrastructure, govt’s move towards increasing consumption and agri sector, which again covers everything from fertilizers, seeds, and tractors to small-ticket financial companies/NBFC which have a prudent model. These sectors would certainly benefit from the govt’s thrust in this direction. Also, there are some structural stories which have emerged in the last year such as Small Finance banks, Chemicals, Infrastructure etc. which should certainly merit attention.So this year’s stocks are based on the above themes. Let’s take a look:

Ujjivan Small Finance Bank (USFB)

A subsidiary of Ujjivan Financial Services, an MFI, this gave a blockbuster listing in excess of 50%, one of the key reasons being reasonable valuations. Even at the current price of sub-60 it has some steam left in a relative sense. A strong listing was expected after the saw hefty subscription of 166 times, becoming the highest subscribed IPO since January 2018. The category meant for QIBs was subscribed 111 times, NIIs 473 times, while the same for retail investors stood at over 49 times.

USFB's fundamentals look decent given its sustained growth in advances, improving asset quality, sound capital position and strong diversified geographic footprint. The company is customer-centric organization with multiple delivery channels. Also bank's pan-India presence along with gross NPAs being the lowest and having the second highest provision coverage ratio among the small finance banks in India, as of March 31, 2019 depicts strength in fundamentals of bank.

Going forward, overall outlook remains optimistic on USFB’s scope of business growth with well managed asset quality and higher provisioning resulting to higher return ratios comforting investors. The recent appointment of Nitin Chugh (ex-HDFC Bank Digital Banking Head) should aid the bank's liability and non-MFI asset profile. Analysts expect a price in the range of 80-100 over the next 1 year, which implies a growth of at least 33% over CMP.

Sudarshan Chemical Industries (SCI)

Speciality chemicals is that one space which was hardly affected by the global cues or liquidity crisis in last one year. The sector is thriving well and has given some tremendous returns during this year. The key triggers behind the sector rally were earnings growth and healthy domestic demand.Pune-based Sudarshan Chemical Industries is one such stock from this space.

SCI, India’s largest pigment producer, appears to be back on the growth path due to its high revenue visibility from ongoing capacity expansion for specialty products.Its products are used in industries that make coatings, inks, plastics and cosmetics. In daily life, the pigments are used in the making of nail paints, skin creams, eye shadows, and pencils.

Pune-based SCI is investing around Rs 300-320 crore in the current year and about Rs 200 crore next year to expand its capacities, which will rise 40-50 per cent in the next three to four years. Existing capacity utilisation is north of 70%. Global chemical companies such as Clariant and BASF are planning to exit the pigment business, which is worth around $10 billion. Of this, organic pigment where SCI has greater presence accounts for half the total. SCI has 2% global market revenue share of the global organics pigment market, according to the company’s annual report. The exit of global biggies will help the company improve market share.

SCI is increasing focus on the high margin specialty pigment, the share of which has consistently risen the past five years. With the addition of new capacities, the proportion of the specialty business is likely to further improve. Growth of the specialty chemical business of SCI has outperformed the non-specialty business. Consequently, the company posted 12% revenue growth annually in the last decade. This trend is likely to sustain, with the company adding 25-35 new products every year. The total product portfolio has reached more than 400. Despite the industry appearing to be commoditized, given that every product is customized for every customer, it becomes an entry barrier for new players. In addition, costs are lower for the India-based manufacturer. The export share rose to 46% in FY19 compared with 39 % in FY13 as its global reach spread to 85 countries.

In 2018, many chemical companies in China were shut down due to growing environmental concerns. This led to an increase in the manufacturing of specialty chemicals in India to ensure an uninterrupted supply in the market.We have seen how chemical companies have given robust returns over the last few years, with the likes of Vinati Organics(~117% in the last year), SRF, the largest manufacturer of refrigerant gases in India (~78% in the last year) and Deepak Nitrite(another promising prospect from this space) turning multi-baggers. Whether SCI will follow this only time will tell, but it certainly is in their league as far as pedigree is concerned.

Ashoka Buildcon (AB)

An infrastructure development company, Ashoka Buildcon is engaged in building highways, bridges, power transmission and distribution infrastructure on EPC (engineering, procurement and construction) basis. The government’s thrust on infrastructure and road development projects are key triggers for the industry going forward and will help companies like AB.It has a strong track record, robust order book and well-funded BOT (build-operate-transfer) project portfolio.

With the rains now past, and as work gets going at the two recently appointed hybrid annuity and the recent additions, growth ahead is expected to be healthy. The balance sheet, too, is in shape to ensure growth doesn’t falter for want of funds. Delayed appointed dates, RoW issues for TOT and the monsoon-impacted Q2, made management lower revenue guidance from 25-30% to 20-25%. Margin guidance held at 11-12.5%, but FY20 is expected to be better on strong Q2.

With the lowering of corporate tax, the money saved would flow to the bottom-line, resulting in a huge bump in profits and hence the EPS. Thus the current market price doesn’t factor in the gains from above developments. Analysts are predicting a jump of 50% or more from current price levels if all the above growth factors play out as expected.

Reliance Industries (RI)

This is one giant which has woken up from slumber over the last 2 years, ever since Jio was launched. And this is one elephant which can certainly dance. After going nowhere for the last 5-6 years, all the pieces are falling in place for RI. It has already given a near-40% return in the last 1 year and certainly looks good for the trend to continue.

All the businesses which it had so meticulously nurtured are now flourishing and the result is there for all to see. Of course, deep pockets are always a bonus, but the way Jio disrupted the telecom market is a case study for B-schools. So much so that the Indian telecom market has now become an oligopoly of sorts with only RI and Bharti Airtel still standing and putting up a reasonable fight with Jio. Even a global telecom giant like Vodaphone has fallen by the wayside, in spite of tying up with another Indian stalwart in K.M. Birla.

And Reliance has a few more aces up its sleeve which it will unravel in the years to come and keep its investors in good spirits.

Firstly, it will spin off Jio into a separate digital company a la Alphabet of India. And most of its digital assets including the media and content will probably come under Jio’s banner. It won’t take too much trying to get a strategic investor into this to take care of futurefunding needs and growth.

Second ace up RI’s sleeve is its Retail business. Here too, it could very well turn out to be an Indian Amazon. Right now they are into brick-and-mortar shops in Retail, but Reliance Digital has an online presence and it won’t take too much for Retail to join it online, thus giving the Flipkarts and Amazons and such other e-commerce ventures a run for their money in India.

And lastly, monetising some of its refinery business which has now matured is certainly a great move. With another giant like Saudi Aramco by its side, this could be another masterstroke by Reliance.

With such an array of developments in the offing, valuations are not something one needs to look at currently. With a 1-lakh crore market cap and an EBITDA of about Rs 90,000 crore for the current year, there is an excellent margin of safety.

Induction of strategic investor in Reliance Jio and probably the IPO plans getting crystallised either for Jio or for Retail, will spell great news for investors. In fact, the 1-lakh crore market capitalisation can rise to about Rs 12,50,000 crore in the next one year and that translates into a share price of about Rs 1,900+ in the next year.

Camlin Fine Sciences (CFS)

Camlin is a micro-cap with a market capitalisation of only Rs. 925 crore.It is the world’s second largest manufacturer and marketer of food grade antioxidants TBHQ and BHA with plants in Italy, Guatemala (Central America) and China besides India, and subsidiaries in Europe, US, Brazil, China and Mexico which cover most of the global markets.Its product range includes food ingredients like Antox TBHQ, Antox BHA, Sweetener and API like Miconazole Nitrate B.P. / USP, Clotrimazole B.P. / USP, Amlodipine Besilate E.P etc.The other major players in this category which are CFS’ key competitors are Vidhi Specialty Food Ingredients and Dynemic Industries.

CFS has an SEZ facility in Dahej, Gujarat, which is a prime hub for chemical companies. The production of this plant is expected to start from Dec ’19 onwards, trial runs having already commenced, after much delays. The commercialisation of this plant will male CFS the 2^nd largest producer of HQ and Catechol in the world. This plant will come with multiple benefits (compared to its Italy plant) like

1)     10% higher yield

2)     improved product mix (i.e. 60% HQ vs. 45% there)

3)     much lower utilities cost, and

4)     process waste will be sold as by-product (unlike in Italy).

Additionally, the dependency on material from Italy plant will reduce the logistic cost and currency risk meaningfully. Besides this trigger, another factor is that the utilisation in its plants in China and Italy can be improved significantly.

What adds to the attraction is the attention CFS has recently caught. The latest sensational news is that Radhakishan Damani (owner of Avenue Supermart which runs the D-Mart grocery supermarket chain) has taken a fancy.The wily Billionaire has used his trusted investment arm, Bright Star Investments, to make the acquisition. He now holds about 1.5% in the company.This microcap company from the Chemicals sector has already more than doubled in the last few months  on informed buying and now we know who the buyer is. Analysts expect this to go around 50% more even from this level, if all the growth triggers mentioned above play out as expected.

Let’s now pause a bit to see how my last year’s picks did.

This time the performance has been much better than the disastrous Diwali one. And had it not been for the 2 scrips – Everest Industries and Parag Milk Foods, which cracked close to 50%, this portfolio would have done a lot better. Yet, thanks to Amber, this has managed to weather the battering the midcaps and small caps got during the year and did reasonably well in comparison. BSE Midcap and Smallcap indices are down 3% and 6.85%, respectively, for the year.

This is also a reality check on a mid-and-small-cap tilted portfolio. While this category is the fastest gainer, the fall is equally swift. Both the laggards above still have good potential in the years to come. Everest with its focus on building materials and Parag, the only Indian dairy company with branded products after Britannia which has some dairy products but is into multiple other things as well, and hence though a strong competitor in PMF’s products, may not be a fair comparison.

As I have said many times before, equity is a long term game with a holding period of at least 5 years (and much more in the case of mid and small cap stocks), if not more, to get any meaningful compounded returns. So it may not be really fair to compare YoY returns, especially for mid and small cap stocks, but serves as a periodic check as to how the selected companies are performing. This is especially true in current times when a lot of companies of which it was unthinkable to think that something could go wrong, are today in dire straits (DHFL being a prime example, and even Tata Motors, in spite of  the massive backing from Tata group).

 Here’s wishing all investors a very profitable 2020.

Diwali Dhamaka 2019

Here’s wishing everyone a great Diwali and a prosperous new year ahead. After the carnage witnessed in mid-cap and small cap stocks over the last year (which worsened over the last 6 months), the market appears to be stabilising. Though the rise in indices has largely been due to their large cap nature, where this category has done reasonably well, there are some mid-caps which have either been news driven or were beaten down way too much along with the market churn, much more than was warranted, which have regained some of the lost ground in the last few weeks.While it is true that this category of stocks has always traded at a premium to the market at most times, everybody was taken aback by the severity and impact of the fall ranging anywhere from 10% to 90% in some cases.

There were some major market-shaking events since last Diwali – the cascade effect of IL&FS default on the entire NBFC space, the govt’s quirky budget announcements of taxing the super rich (of which foreign investors form a significant part) and the US-China trade wars which had a global impact which cascaded to Indian markets. The IL&FS fiasco cascaded into an overall liquidity crunch so much so that the source of funding for NBFC practically dried up and some like DHFL have gone belly-up and others like Piramal Enterprises have halved from their year-ago levels. The sell-off in mid-caps and small-caps also happened in no small measure due to SEBI which launched the re-categorisation exercise based on market capitalisation. This led to a number of mutual funds selling off their disproportionate holdings of mid-cap and small-cap stocks across schemes to bring them in line with the SEBI mandate and their schemes’ categorisation as per the new classification. This couldn’t happen overnight and their effect was felt over the next few months.

While the govt. has rolled back the tax on super rich and has tried to reverse the tide by announcing corporate tax cuts, which will boost the bottom lines of quite a few companies significantly in these trying times, the key question of when the demand will again come to its pre-churn levels or even increase from those levels is a moot question.

And this has provided a window of opportunity, and a quite wide one at that, to grab some of the quality mid-caps at attractive prices, which will lay the foundation for compounded growth in times to come. After all, equity is considered, and has proven in no uncertain terms, to be a long-term game meant only for the patient ones. The current times are certainly testing this theory to the full.

The mid and small caps which have crashed over the last year are the very stocks which will bounce back with a vengeance once the environment becomes benign, or at least there are no negative signs. This will not be a broad-based rally like the bull run of the 2003-08 and will only reward the ones which are in sectors with positive outlook and/or have cleaned up their acts either on the management side or the business side.

As always, the focus should continue to be on companies with quality management and good corporate governance practices. Also, some of the companies have been beaten down for reasons other than their performance and this can only change once the non-technical parameters are sorted out. Following are some of the companies either in nascent sectors which are poised for growth in the coming years, or have suffered collateral damage in the market meltdown.

Nippon Life AMC (NLAMC)

I had recommended this earlier as well, and now post management change (Nippon Life buying out Reliance stake), there is all the more reason to go for it.

In the MF industry, the penetration has certainly been significant. Even in times of a weak market when the indices fell by a few thousand points, the SIP book has remained stable. For NLAMC, the retail AUM has now reached 55% of its total. The ADAG group issues which haunted this stock earlier are now behind it with Nippon Life taking full control of it. Now the focus will be on improving business fundamentals. After being on top for some time few years back, due to management and group issues, this company had to let go of its top ranking and had slipped from its former #2-3 rank in the MF industry. It is now in a position to regain its lost stature in the next 1-2 years.

There are only 2 listed AMC in the market and HDFC AMC commands a premium over reasonable valuations, So NLAMC is in the right position to reduce this gap and provide great returns. This is a structural story and hence will continue a compounded growth over the years to come. It should be considered as a portfolio stock to be held for years to come to see the real benefits of growth for a sunrise industry. A similar thing happened in the Paint industry where only Asian Paints, a pedigreed stock, ruled the roost not too many years back. In the last 5 years, Berger Paints and Kansai Nerolac have given eye-popping compounded returns, way ahead of Asian Paints, just because people only looked at the leader and not the next few below it who were snapping at the leader’s heels. And the market expanded favourably to give the next in lines an opportunity which they grabbed with both hands. The same could well turn out to be true for NLAMC.

Aditya Birla Fashion & Retail (ABF&R)

Another pedigreed stock from the AB stable, this too has had a hammering over the last year or so from the levels it enjoyed earlier.

After integrating Pantaloons with itself, ABF&R is planning an aggressive store expansion of Pantaloons’s Lifestyle stores. It has plans to expand to 400+ such Lifestyle stores and 60+ Pantaloon stores. From its earlier avatar of a premium apparel maker (post Madura Garments merger), ABF&R is now in a position to straddle multiple price points in the apparel chain from low-cost to premium branded clothes, and these stores will reflect that. Pantaloons is expected to improve store productivity and margins with a higher focus on private labels and a higher mix (above 80%) of margin-accretive fashion products.

Another emerging segment which this company is tapping is that of innerwear. Page Industries is the only listed branded premium innerwear maker currently and enjoys premium valuations due to this. This segment gives ABF&R a good way to improve its margins due to the premium products in this segment that it can market. This segment has been growing well for it in the last few quarters and giving some competition to Page Industries, though there is still some distance between the 2. It is aiming to expand in the women’s inner wear segment (with already significant presence in men’s inner wear – growing at 50-60% annually). This, coupled with cost efficiency drives in the brands business, is expected to improve the EBITDA margin in the coming years.

This company enjoys a high RoE, strong FCF generation and should continue to show strong growth in the coming years.

Currently quoting at about 204, it can easily provide a 20-25% upside from here.

Zee Learn

The education sector has seen great interest from investors post the much-hyped acquisition of Euro Kids, Euro Schools, Kangaroo Kids and Billa Bong High chain by the marquee global PE fund KKR. Market sources believe that the deal was inked at around 2000 Cr Enterprise Value which translates to an EV / EBITDA multiple of 20 given the estimated Euro chain EBITDA of around 100 Cr p.a. Using the same methodology, Zee Learn is likely to be valued at an Enterprise Value of 4000 Cr given that its EBITDA this year is likely to be around 200 Cr as per market estimates. If the above deal goes through then the Zee Learn share price may get re-rated around 3-4 times from the current lower levels that it has been languishing for the last few months. Also, this deal may be one of the largest ones in the recent past. Blackstone had also invested in the Test Preparation major, Aakash, recently at an Enterprise Value of around 3500 cr which may get surpassed by the Zee Learn deal if it goes through. 

Zee Learn is a diversified Education Company with its network having multiple offerings from Pre K, K12, Higher Education, Test Prep, Tutorials, Vocational, Skilling, Manpower & Training and Digital Education. 

Zee Learn has grown its turnover and EBITDA at more than 50% CAGR in the last few years. It is has more than 4 Lakh students and 50K teachers/staff in its network. Its Brands include market leaders like Kidzee (Asia’ largest Pre K chain), Mount Litera (India’s top three K12 chains), Mahesh Tutorial (leading Test Prep & Tutorial chain) and Robomate. The Zee Learn Network has a massive pan India presence with more than 3000 schools / centers present over 800 plus cities which collect revenue of around 2000 Cr p.a. 

Currently quoting 50% below its 52-wk high, in spite of rising 45% above its 52-wk low, it can still give good returns considering the situation Zee promoters find themselves in.

Finolex Cables (FC)

Finolex Cables is the third largest manufacturer of electrical and telecommunication cables and also polyvinyl chloride (PVC) sheets for roofing, signage and interiors in India. It counts among its strengths a diversified product portfolio, wide distribution reach, backward integration to manufacture key cable components like copper rods and its cash and carry business model due to higher B2C mix.

The domestic wire and cable market is growing 10-12 percent p.a. and the current market size is estimated in excess of Rs 52,000 crore. Polycab is the largest player with a double-digit market share. Havells, Finolex and KEI follow with an almost equal share of 5% each.

FC has 5 manufacturing plants across India and 28 depots to service its 800 distributors catering to 4000+ dealers. It also has JV with foreign companies such as Sumitomo of Japan for EHV cables, marketing JV with Corning of US for optic fibre technology and technical collaboration with NSW of Germany for cables for submersible pumps.

In recent years, the company has diversified to change from being a cables company into an electrical products company (a new term FEMG for Fast Moving Electrical Goods such as electric switches, LED lights, fans and such). It is banking on its wide distribution network and brand recall in this initiative. The company first entered the electrical switches and lighting segment, leveraging its widespread distribution network in the country, and then introduced switchgears, fans and water heaters. New products within FMEG sector grew by more than 10% y-o-y each in FY19, albeit on a low base. Considering the intensely competitive market in this segment, it is treading cautiously in this area.

The interesting thing is that it owns 32% in Finolex Industries, the pipe-maker, which is expected to have a good run given the demand for PVC pipes on the back of govt's drive for water schemes and housing for all. This makes it still cheaper on the valuation front. And the fact that it has consistently enjoyed double digit margins in this competitive industry speaks a lot for the management.

Currently it is quoting at 380 close to its low of 335 and has seen a 52-wk high of 540. Considering govt’s focus on affordable housing, chances for growth are high and it should get back its growth trajectory pretty soon.

Spencer Retail (SR)

This is a new kid on the block in the listed retail space after KB’s Future Retail and Tata’s Trent.

Though this got listed only in Jan ’19, it has been around for 10 years now. It had stores in tier-2 metros such as Pune and in less expensive ones like Chennai.

The Indian organised retail market appears set for a stellar run, with its size likely to triple by FY25 as per a recent research report by Motilal Oswal. While the industry is undergoing constant disruption, one thing has remained steady – consumers’ affordability is on the rise and aspirations are growing more than ever. This trend particularly bodes well for food & grocery (F&G) and apparel categories.

Though the demand exists, all is not rosy yet in terms of financials for the retailers and it has taken quite a while for them to get their maths right. Consider this - Trent Hypermarket, which has been around for around 16 years, saw losses widen to Rs 90.50 crore in FY18 from Rs 52.49 crore in FY17 partly on store rationalisation costs. Again, not able to sustain prolonged losses which accumulated to 712 crore at the end of FY17, Shoppers Stop sold Hypercity to Future Retail for 655 crore in October 2017. Godrej’s Nature’s Basket, a premium supermarket chain, with outlets across 2000-6000 sq ft, has been around since 2005 but is still floundering.

Spencer’s managed to break even at the EBITDA level for the first time in FY18 after the parent company took over its debt of Rs 280 crore. The smaller debt helped the company to narrow its net loss to Rs 30 crore compared with a net loss of Rs 108 crore in FY17. And in the first half of ’19, it has shown a positive PBT of 5.2 cr. SR added 19 stores this year, most of which are doing well.

Management plans to accelerate the pace of store additions, increase the share of private labels and apparel with the recently launched value apparel brand 2Bme and ramp up omni-channel presence.

Similar to insurance and AMC business, though Retail has been around for close to a decade or slightly more, this is still a sunrise industry. It has taken 10-15 years for the established biggies such as Tent and Future to get their act right, but the advantage that SR has is that it has seen all the mistakes the others have done over the years and also some of its own. It therefore is in a position to grow judiciously within its means.

Post its demerger from CESC, SR listed in Jan ’19 at a price greater than 200, and is currently quoting at 78. Given time, this will surely provide great returns, albeit at a measured pace, at least initially. One thing which should be remembered but almost 90% of the people forget, is that your returns in the market are determined at the levels you buy the stock. If you had bought Reliance in the first week of January 2008, you still have not made any money in Reliance Industries. For 9.5 years, you have been just preserving your capital but if you had bought Reliance in the third week of October 2008 or the first week of March 2009, you would have made great returns.

Before concluding, let’s look at how last year stocks have performed:

  

	Market Cap class	Price last Diwali (Rs.)	Price this Diwali (Rs.)	Gain/Loss (%)
Yes Bank	Mid-cap	216.00	52.15	-75.86%
Maruti Suzuki	Large-cap	7135.45	7457.50	4.51%
Max Financial Services	Mid-cap	392.85	404.65	3.00%
GNA Axles	Small-cap	392.40	251.45	-35.92%
Godrej Agrovet	Mid-cap	530.05	506.45	-4.45%
Total		8666.75	8672.20	0.06%

So from last Diwali, the portfolio is practically flat. Considering the carnage in mid-caps and small-caps over the last 6 months and the performance of the indices of both these categories, mid-cap indices fell 3-7% and small-cap 10-11%, the performance of this mid-cap heavy portfolio should count as a reasonable one, though that may not be something to be proud of. Maruti Suzuki and Max FS were the only 2 stocks which kept their heads above water. Yes Bank (asset quality and promoter issues) and GNA Axles (M&HCV auto sector slow down) were the ones hammered badly. However, in the light of recent developments, I am still positive on both of these and given some time, a year or two, they should get back their mojo, barring unforeseen circumstances beyond their control.

The current set of stocks is also from mid-cap and small-cap categories and considering that they have already been hammered to rock-bottom, the only way for them could be up.

HAPPY MUHURAT INVESTING.