Everyone is optimistic about the Bull Run that we are seeing in Indian Markets, Sensex and Nifty.
So, the market managed to jump quite a bit in last 1 year just because of the hope that new MODI government brought. That was not the only case. The world economy even got better and the business outlook for India changed as well. As we know, there was a phase of Recession or 'Mandi' globally which affected even Indian markets due to slow decision making of the earlier government. So, is it really a BULL Run? Even if it is not, we finally are getting a great opportunity to buy the stocks that are really undervalued. after the new govt came, all the stocks surged and made the market little expensive and it was tough to find gem like stocks which was is my best hobby. When I started investing Big in market, it was before 3 years. I was so happy at that time because I could find the shares that were highly undervalued and I used to say, why cant this be bought at these levels? Some of the cases are Neo Corp. All I used to ask myself is why shouldn't I buy this? If I was unable to get any answer, I used to invest atleast some portion of my savings into it.
Then I kept buying shares that I felt were undervalued yet strong. Over 6-9 months year, my portfolio was not doing that great. There I could see that many people told me that I dont know how to choose the stocks. But then after 6 months, I saw one of my favorite stock Asian Granito shooted like rocket to make new HIGHs. I invested in Asian Granito at Rs 30.00. Everyone asked me what would be my target? I always used to say them that my target is not fixed. Reason? Because when I invested in Asian Granito at Rs 30.0, I felt that its true potential would be somewhere around Rs 150.00 but by the time the share reaches Rs 150.00 levels, the fundamentals will change further and then I will change my targets for even higher as the Industry P/E also changes with time. This is one stock I would buy even at levels of Rs 200.00 due to growth it has shown.
Similar was the case with IFB Industries. I knew its a pioneer company that has a great monopoly of washing machines all over the continent. I saw the company's strategy of capturing even the smaller markets. They also started with franchisee system and were very aggressive on it, because they had started IFB Points even in smaller cities (smaller cities because they opened in my city as well). One concept that I loved about IFB is their another marketing strategy of selling through website. They sold a whole appliances set to a new bride. Now, I know not everyone an afford it but surely many did. One of my friend got the same gift from his dad. I felt it was too undervalued at Rs 67.00. Also the monopoly could not be ignored. After some 6 months, it also surged and sky rocketed to levels I wanted.
So, finally I realized let the people say their stuff. I have gave nice and enough inputs in my research before buying though I was always open for discussion. I invested in many other picks with strong Fundamentals. I also started looking into opportunities where there was risk involved but if that risk is overcomed, the stock would fly real High, increasing little of my exposure to risk.
Then the market went UP after election results and I was clueless as to what to BUY. I used to invest in most of the stocks that were undervalued. After the market surged, I couldn't get any stocks that were really undervalued. So, I invested in stocks which I picked earlier and were still undervalued.
Now I have got a chance to buy the stocks that are undervalued due to correction. So, if you have missed the rally and are looking to invest the stock market, start investing in tranches so that risk is diversified.
Not a question whether its a BULL Run or not, we have stocks that are available cheap now after a long time.
Check my next post for the name of the stocks that are undervalued at the moment. Thank you for reading.
Happy Investing..!!!
