Coffee can investing Principles
company 10% growth for 10 years.
ROCE greater than 15% for years
Clean accounts,
Promoter holding & management
Mota or competitive advantage monopoly business
saurab Mukhhejea 14 stocks portfolio *
| Company | 10 years revenue growth compound | 10 Year ROCE | Market CAP cr | deb to equity ratio |
| Abbot India | 16% | 36.5% | 37592 | 0.07 |
| Asian Paints | 11% | 39% | 322712 | 0.11 |
| Bajaj Finance | 28% loan lending rate lowest NPA | 13% | 472747 | 10 year profit growth 28% |
| Berget pains | 12% | 27.5% | 74923 | 0.32 |
| Divis Lab | 18% | 29.6% | 74923 | 0.32 |
| HDFC Bank | 20% | 16% ROE | 856428 | 10 year profit growth 28% |
| HDFC Life | 21% | 28% ROE | 141798 | 0.07 |
| Kotaka Mahindra bank | 19% | 13% ROE | 384519 | 10 year profit growth 20% |
| Nestle India | 10% | 69.2% | 187798 | 0.07 |
| Page industries | 19% | 59.8% | 49000 | 0.11 |
| Pidilite | 11% | 35% | 137233 | 0.13 |
| Relaxo footwears | 13% | 26.2% | 33144 | 0.09 |
| Titan | 13% | 26% | 230181 | 0.81 |
| dr lal path labs | 21% | 39.1% | 30315 | 0.03 |
Note: Data screened on 1st january 2022, you can screen roce, revenue growth, etc filters at screener.in or tickertape.
Clean according most important
promoters are same community,
increased payouts to auditor
Invest in monopoly’s which ROCE
45%
-10% promoter lifestyle
Remaining 20% in the company, do it’s grow 20% cagr
ebitda/debt+equity= ROCE
Freecashflow= Return on capital – cost of capital
assume:
ROc= 45, COC=15
FCF =30, (2/3of 30%= 20% in back in the business.
10% promoter lifestyle
Stocks recommend invested by saurabh
divis lab, hdfc group (exited from hdfc amc), pidilite, asian paints, Berger paints, relaxo, parle, Britannia, alkylamines, Marico , Bajaj finance, Dr path labs,Nestle India
sector wise Monopoly’s with good roce
Chemical, financial, agro will grow in coming years.
Saurabh Mukherjea on PE Ratio
Earnings are same but price will increase or decrease reflect the pe ratio
Saurabh Mukherjea Recommended books
Zero to one by Peter thiel,
America growth rise and fall
The myth of capitalism
Competition for losers YouTube video
companies to avoid as per Saurabh Mukherjea
Business interests outside of the listed company
if business in invest in other company then is has no ability generate more profit in own company.
. Dividends vs Reinvestments
if company payouts high yield dividends then then reinvestment ratio reduces and growth effects
Remuneration of promoters
Promoter Shareholding
Read more at:
https://economictimes.indiatimes.com/markets/stocks/news/saurabh-mukherjeas-four-step-formula-to-pick-the-right-smallcap-stock/articleshow/92172091.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
