The Economic Times daily newspaper is available online now.

    Saurabh Mukherjea picks new smallcap citing 2 reasons, dumps multibagger

    Synopsis

    Team Mukherjea said that Vijaya has been able to gain a market share of around 20 per cent in Hyderabad and foray into other cities of Andhra Pradesh and Telangana in recent years. To make space for the diagnostic stock, the PMS sold multibagger Gujarat Ambuja Exports, which has jumped over 300 per cent in the last five years.

    Saurabh Mukherjea picks new smallcap citing 2 reasons, dumps multibaggerETMarkets.com
    Dalal Street's top fund manager Saurabh Mukherjea recently made changes to his smallcap portfolio and picked Vijaya Diagnostic Centre and dumped Gujarat Ambuja Exports.

    Shares of Vijaya Diagnostic Centre, listed on September 14, 2021, at Rs 542.30, have since then fallen around 30 per cent from their 52-week high of Rs 672.50.

    Mukherjea's team which runs Marcellus PMS fund said that there are two key competitive advantages of Vijaya:

    1) Integrated business model of radiology and pathology offers one-stop convenient solutions for clients. Furthermore, the extensive network of hubs and spokes built by the company in and around Hyderabad gives Vijaya an upper hand in corporate tie-ups and wellness packages as well.

    2) Vijaya’s quality edge over peers is attributable to its high-end equipment quality and the quality of the radiologists employed by it.

    Based on the above two factors, Team Mukherjea said that Vijaya has been able to gain a market share of around 20 per cent in Hyderabad and foray into other cities of Andhra Pradesh and Telangana in recent years.

    To make space for the diagnostic stock, the PMS sold multibagger Gujarat Ambuja Exports, which has jumped over 300 per cent in the last five years.

    "Gujarat Ambuja Exports had the lowest score in our position sizing framework for the portfolio and also ranked lower compared to Vijaya Diagnostic Centre," Marcellus said on the rejig in its Little Champs portfolio of smallcap stocks.

    In the last one year, the fund has outperformed its benchmark BSE Smallcap by delivering a return of 8.8 per cent as against the index's return of 7.3 per cent.

    (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)



    ( Originally published on Sep 28, 2022 )
    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more
    The Economic Times

    Stories you might be interested in