Force Motors

CMP : 800
Expected Target Price in 1 Year : 1150-1200

In past company was known as Bajaj Motors. If you past track record up to 2010. It was not well.

Currently In 2009 German Company "Man Force Pvt Ltd" picked the 30% stake and also started providing Technology to force motors. In 2011 again It picks up 21% stake in Force motors. recently 2014 again picks up 5% more stack in this company.

This company has launched "Force One" in SUV segment. They have taken Amitabh Bachchan as Brand Ambassador. This product sales rising day by day. recently they have launched Force Gurkha. This model will similar as Mahindra Thar. They are in to commercial vehicle manufacturing.

Currently they have tied up with BMW. They will be doing Assembling for BMW cars which imported by
BMW on india sale. Force motors is going to invest 1000 crores in next four years. I am quite confident about company's future prospects

They are selling Traveller (School Bus, Ambulance), Trax, Tractors under balwan brand. Before 1 year ago company has sold one land with 1100 crore. They have paid debt of around 900 crores.

This company has sales of around 2000 crores +, Current Market cap of company is 1050 Crores. Which means stock can upside potential of around 100%. But keeping reasonable expectation stock should give 50% return.



Disclaimer : I bought force Motors at 445 Rs on 15 July 2014. Almost I got 80% return within 1 Month

Britannia Industries

CMP : 829
Expected Price(1 Year) : 1200
for 2 years (1500)
for 3 years (2000)

Britannia is market leader in biscuit business. It is having 38% market share in india. In last five years Britannia has launched several new products like Bakery products, Dahi, Buttermilk, ghee & some snacks.
Now it is coming in high growth trajectory again.This last year margins are expanded 4% to 7%. It is huge plus and company will get benefited from it.

Biscuits

Britannia Little Hearts

The company's factories have an annual capacity of 433,000 tonnes.^[3] The brand names of biscuits include VitaMarieGold, Tiger, Nutrichoice Junior,Good day, 50 50, Treat, Pure Magic, Milk Bikis, Good Morning, Bourbon, Thin Arrowroot, Nice, Little Hearts and many more.

Tiger, the mass market brand, realised $150.75 million in sales including exports to countries including the U.S. and Australia, or 20% of Britannia revenues in 2006.

In a separate dispute from the shareholder matters, the company alleged in 2006 that Danone had violated its intellectual property rights in the Tiger brand by registering and using Tiger in several countries without its consent. Britannia claimed the company found out that Danone had launched the Tiger brand in Indonesia in 1998, and later in Malaysia, Singapore, Pakistan and Egypt, when it attempted to register the Tiger trademark in some of these countries in 2004. Whilst it was initially reported in December 2006 that agreement had been reached, it was reported in September 2007 that a solution remained elusive.^[20] In the meantime since Danone's biscuit business has been taken over by Kraft, the Tiger brand of biscuits in Malaysia was renamed Kraft Tiger Biscuits in September 2008.

Britannia initiated legal action against Danone in Singapore in September 2007.The dispute was resolved in 2009 with Britannia securing rights to the Tiger brand worldwide, and Danone paying Rs220 million to utilise the brand.

Dairy products

Dairy products contribute close to 10 per cent to Britannia's revenue. Britannia trades and markets dairy products, and its dairy portfolio grew to 47% in 2000-01 and by 30% in 2001-02. Britannia holds an equity stake in Dynamix Dairy and outsources the bulk of its dairy products from its associate. Its main competitors are Nestlé India, the National Dairy Development Board(NDDB), and Amul (GCMMF).

Joint venture with New Zealand Dairy

On 27 October 2001, Britannia announced a joint venture with Fonterra Co-operative Group of New Zealand, an integrated dairy company from procurement of milk to making value-added products such as cheese and buttermilk.Britannia planned to source most of the products from New Zealand, which they would market in India. The joint venture will allow technology transfer to Britannia. Britannia and New Zealand Dairy each holding 49% of the JV, and the remaining 2 per cent held by a strategic investor. Britannia has also tentatively announced that its dairy business would be transferred and run by the joint venture.

The authorities' approval to the joint venture obliged the company to start manufacturing facilities of its own. It would not be allowed to trade, except at the wholesale level, thus pitching it in competition with Danone, which had recently established its own dairy business.

Zydus Wellness

CMP : 503
Time Horizon : 1 Year+

2 Year ==> 1000
10 Year ==> at least 10X ==> atleast 5000 Rs.


Zydus wellness is cadila group of company. They are into health & life care segment. The company is having sugarfree as main product. It is artificial sugar company and company is having 92% market share in this category. company enjoys 25% net margin which is very good as compare to any FMCG Company.

This company has also launched some other products
1) Nutrilite (low calary butter)
2) Everyuth brand Skin care Products
3) Acti life drink for Adults

The company is having their own R&D center. It continue to research for new products. This company is having unique products like sugarfree & nutrilite. It has very good potential in coming years.

Aurobindo Pharma

Current Market Price : 209
Target : 300
Time Horizon : 1 Year

2 Year ==> 700
5 Year ==> 1800

Aurobindo Pharma listed in stock exchanges in 1995. It has presence more than 100 countries. it has a presence in key therapeutic segments such as neurosciences, cardiovascular, anti-retrovirals, anti-diabetics, gastroenterology and cephalosporins, among others.

This company has three research and development facilities in india with around 16000 Square meters.This company has around 650 scientist(35 scientist with phd)