Who is Anil Kumar Goel?
Knowing some details about investor helps you correlate and understand his portfolio and picks better. So in every article I make a point to share brief detail about the Investor himself. This makes the article easy to follow as you can associated yourself with the person.
He is one of the biggest investor in Indian market and is know n to pick up quality stocks at low valuation time and again. He has long experience working in corporate companies and is a seasoned campaigner.
In this article we will see his stock picks and also discuss about interesting observations based on his stock picks and try to understand his investment strategy based on the companies he has bet on.
You can also get portfolio of top investors and mutual funds in below link.
Anil Kumar Goel portfolio stocks
Below is the list of companies he has invested in along with the sector these companies belong to. Sector knowledge will help us understand market areas he is bullish on.
|Dhampur Sugar Mills Ltd.||Sugar|
|TCPL Packaging Ltd.||Packaging|
|Samtex Fashions Ltd.||Textiles|
|South India Paper Mills Ltd.||Paper|
|Uttam Sugar Mills Ltd.||Sugar|
|Sri Lakshmi Saraswathi Textiles (Arni) Ltd.||Textiles|
|Dwarikesh Sugar Industries Ltd.||Sugar|
|KRBL Ltd.||Food Processing|
|Vardhman Special Steels Ltd.||Steel|
|Avadh Sugar & Energy Ltd.||Sugar|
|Sarla Performance Fibers Ltd.||Textile|
|Cosmo Films Ltd.||Plastics|
|Amarjothi Spinning Mills Ltd.||Textiles|
|Vardhman Holdings Ltd.||Finance|
|Sterling Tools Ltd.||Fasteners|
|Triveni Engineering & Industries Ltd.||Distillery|
|Austin Engineering Company Ltd.||Bearings|
|Thirumalai Chemicals Ltd.||Chemicals|
|O P Chains Ltd.||Trading|
|Majestic Auto Ltd.||Two wheeler|
|Srikalahasthi Pipes Ltd.||Pipes|
|Panama Petrochem Ltd.||Chemicals|
|Star Paper Mills Ltd.||Paper|
|K G Denim Ltd.||Textiles|
|I G Petrochemicals Ltd.||Chemicals|
|JBM Auto Ltd.||Auto Ancillary|
|Ador Fontech Ltd.||Electrodes|
|Shivam Autotech Ltd.||Auto Ancillary|
|Technocraft Industries (India) Ltd.||Steel|
|Punjab Alkalies & Chemicals Ltd.||Chemicals|
|Indsil Hydro Power and Manganese Ltd.||Minerals|
|Sanghvi Movers Ltd.||Engineering|
|Swelect Energy Systems Ltd.||Renewal Energy|
|GK Consultants Ltd.||Finance|
|Precot Meridian Ltd.||Textiles|
Interesting Points about Portfolio
Based on the stocks Anil Kumar Goel has picked for his investment we can clearly observe below patterns. This may surprise you and you may get forced to rethink your strategy of investing.
1. No IT or Pharma or Paints Stocks
This is indeed very interesting. IT and Pharma along with Paints are one of the best performing sectors in Indian stock market over the years. We have several multibaggers from these sectors.
Rakesh Jhunjhunwala also do not have a single Paints or IT stock but he does have Pharma stock in his kitty. All other major investors like Vijay Kedia and Subramanian P have some stock from these sectors.
But Anil kumar Goel does not have any stock from these three top sectors.
2. No Private Banks or NBFC or Insurance Stocks
Most of the eminent investors have either one Private Sector Bank or one NBFC (for example Housing Finance Companies) or Insurance or Asset management companies in their portfolio.
But Anil Kumar Goel does not resonant with them. He has different investment methodology in which he has not picked any stock from these three sectors. You will be surprised to know that not a single major investor have excluded all of them.
This also proves the point that there is no single way to make it big in stock market. You can earn money by being different also.
3. Sugar and Textiles are darlings
Now this is where things become very interesting. Above we mentioned how many top performing sectors were excluded from the portfolio. Sugar and Textiles are two cyclic sectors. They have period of dormancy and under performance and then sudden jump for quite a length period.
He has good number of Sugar stocks in his portfolio. The love for sugar stocks can be explained by cyclical nature itself. It seems he has accumulated them at low level and once the jump comes he can sell them at good gains.
One interesting observation is love for Textiles stocks in some investors. Subramanian P and Hitesh Javeri both have good number of textiles stock present in their portfolio. This same pattern is visible in portfolio of Anil kumar Goel as well.
This point have made me ponder on Why is that Textiles are favored by these eminent investors. I will dig into details of Textiles sector and try to come up with answer.
What Portfolio tells about Investment Strategy?
In this section we try to come up with some interesting observations based on the portfolio of eminent investors. The idea is to identify two or three top thinking patterns from the investment.
You can read these points about all the investors and then you can make your own plan and pick up the winning stocks.
1. Focus on Unknown Sectors and Companies
Anil Kumar Goel has picked stocks from virtually unknown sectors. Not many investors explore those sectors and invest in a company from that sectors.
Those sectors have under representation in terms of number of listed companies and also in terms of market cap. The sectors like Fasteners , Bearings and Renewal Energy have limited number of companies listed in them.
Among these sectors also he has not invested in top companies of this sector but instead he picked the smaller companies. This may be due to very reason that smaller ones have more chances of growing then the big ones. For examples in Fasteners sector instead of Investing in Sundaram Fasteners he picked up Sterling Tools.
2. Contrarian Investment Strategy
Sugar is not a sector where too many investors put their money. Some investors have invested in the sector but they pick generally one or two stocks.
But Anil kumar Goel have good number of Sugar companies in his portfolio.This is indeed taking contrarian view to some higher point. Whether his investment in Sugar stocks pay him well or not is a subject of debate but the faith he has put in the sector is astonishing.
This contrarian calls have proved very profitable for some investors. So you can develop a thinking to pick up stocks which are dumped by whole world and are cyclical in nature. This may be thought process of the ace investor.
3. Invest in Micro Caps Forget Small Caps
Majority of his investments are in Micro Cap stocks. There is no large cap stock or the Mid cap stock in his portfolio. The presence of Small cap stocks is also very limited.
So he believes in putting money in stocks which are still in early stages. They have not grown up to their potential and will turn into Small Cap or Mid Cap from Micro Cap in the meantime.
During this movement of stocks from Micro Cap to Small cap or Mid Cap will make fortunes for him. Note this one strategy is common in most top investors of the market.
Portfolio of Anil Kumar Goel will be very helpful to new investors. They can learn about new sectors and companies in those sectors. Even if you are not interested in any sector like Textile or Sugar then also you should just have a read about those sectors and try to figure out rational of investment in those sectors.
We will discuss portfolio of yet another top investor in next series of articles. So stay tuned.