You could have become Millionaire, Had you ever seen this most important thing in your stocks before buying!!!!!!!
You could have become Millionaire, Had you seen this most important thing
in your stocks before buying!!!!!!!
Most of us hear about so many parameters of Investing and mostly
technical parameters but eventually, this happens many times that we tend to
get so deep in micros that we forget MACROS
I will continue with my habit of coming on to the topics straight rather
round and round discussions.
Here, i will discuss five Niches of companies along with examples
that one should first see in stocks
while investing.
1) Government protected
stocks: you might have observed that there are many stocks where government
allows only certain players to be in those field and no new licences or
permissions given to other players. Government deliberately secured them from
any kind of competitions. You might have hardly heard several credit rating agency
other then CARE, CRISIL likewise COAL india, GAIL,IRCTC.
2) Second most important Niche
is large network companies that people and competitors find themselves helpless
to opt for any other options, Products of HUL big networks, Telecom player, finance
companies like Bajaj finance, HDFC.,Bluedart, LIC, Naukri.com,whatapp
3) Brand Niche : we come cross
some of big players in many field that it looks there are very inferior players
in front of them throughout the time their product came to existence Like
Nestle Maggie, Fevicol Pidilite,tata salt Brand and Network niche
4) Switching cost Niche”
Almost all IT companies TCS, Infosys they are adhered with big brands from so
long time that not only they are well accustomed with client requirements but
at the same time the hiring organisations will have huge cost to switch them.
Bajaj finance and Finserve too are example in this category
5) Low cost Niche: some of the
players have this particular niche that they fail competition by either
entering into market or they themselves make their positioning as low cost
player from very beginning. In current Era DMART is biggest case study to this
although it has subsided from its peak but still it’s most recommended
invest able share.
I have kept name of article
this because before entering into market for longer term if you have considered
these macro factors rather getting into micro, you must have become millionaire
by now as these stocks average return,CAGR, EPS dividend ,everything is good
Now need of the hour is this
that market is still open and we have to identify several such company who are
low in their current valuation but they fully fall in such Niches to give you
long term advantageous return, nevertheless we can’t deny other factors of
financials to be watched for.
Rail vikas Nigam ltd in current
valuation can be in category of such share, very cheap in price and totally
govt protected. It can be a value finder in log run, if government doesn’t
privatize railways.
I would like to hear from
all of you to write such ideas in comment box so that we can have discussion on
multi-beggars.
Professional services for
multi-beggars stock in longer term is welcomed and i can be reached via mail
for the same as vishsayshi@gmail.com.
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