This document analyzes the strategy and financials of investing in five individual stocks over three months. It discusses reasons for investing in HDFC Bank, Cipla, Tata Elxsi, Kotak Mahindra Bank, and Tata Consultancy Services. Key points mentioned include high earnings per share, debt reduction, sales and profit growth, management guidelines, and market confidence from buybacks. In conclusion, it emphasizes the importance of financial literacy, understanding price movements, and not underestimating the power of compounding when developing a portfolio.

1. INDIVIDUAL
PORTFOLIO
ANALYSIS

2. INTRODUCTION
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A portfolio is a collection of assets and investment
tools that are held by an individual, a financial
institution or an investment firm .It includes gold,
stocks, funds, derivatives, bonds, etc.
In this analysis we will discuss the strategy and
financials involved and reasons for investing in five
different individual stocks over a period of 3 months.
Things to keep in mind while developing a portfolio :
Keep your well diversified
Focus on companies with strong financials
Technical’s should also be considered for short
term investment
Recent collaboration, market news our new law/tax
regime can affect your portfolio
Value investing is the key for long term success

3. HDFC BANK

4. REASON TO BUY
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Purchased before the budget as I predicted capital infusion by
government in budget to tackle the NPA which turns out to be
true and leads to soaring in its price.
It has a P/E ratio of 21.33(high) which implies that the market is
optimistic about the growth of company and hence are paying a
premium or high price to buy the share.
Also, the company recorded an 18% jump in its net profit with a
gross NPA ratio at 0.81% which shows high standard for asset
quality with discipline credit risk management.

5. CIPLA

6. REASON TO BUY
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It has EPS of 27.74 as high earning per share depicts increase
in profits which shows its growth prospects and optimistic
future.
It has face value of Rs 2 and in last 5 years its price has risen
up to 47.79% which makes it a good long-term hold stock.
Cipla has shown positive net cash flow statements over the
last few years which shows its good working capital
management.
After covid it has been a perfect example of EIC framework
which make it more valuable in these times.
Also, the company total net debt has decreased from 2.55%
to 0.92% which again is a positive sign.

7. TATA ELXSI

8. REASON TO BUY
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Company sales growth in last 5 years has risen up-to 18.5% which
turns out to be increase in its net profit up-to 50.63% also the
company is known for its advanced R & D department which will
always help it to sustain in competitive Indian markets.
Tata Elxsi has zero debts and its free cash flow counted over 5 years
is over 600cr which made it one of the best company of Tata Group.
The company has 44.53% as its promoter holdings as it denotes that
the company is undervalued, and it has a potential to provide multi-
bagger returns.
Also, its recent collaboration for driver-less cars in India with foreign
automakers has made the market bullish which shows its price will
continue to rise in future.

9. KOTAK MAHINDRA BANK

10. REASON TO BUY
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Over the last three 3 years kotak Mahindra has grown its EPS(earning
per share) by 17% per year which indicates the increase in net profit in
these tough times.
FII’s has increased its shareholdings by Rs4000 cr which makes it
more bullish in the market
Its management has recently issued guidelines for stressed loans
and indicated that it will follow strict SOP’s in granting loans which is
the dire need of banking sector due to rise in NPA’s.
The company has a strong vision which we can see from its bold
statements which makes its one of the most reliable and safe
investment in private sector banks.

11. TATA CONSULTANCY SERVICES

12. REASONS TO BUY
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One should definitely invest in IT sector as it is the future of world
and TCS is recently been ranked as world’s most valueable IT
company
Company has announced its buyback of 5.33cr equity share which
signals the company’s confidence in its own operations & thinks
the share price is undervalued which is a positive sign.
Its healthy quarterly results in terms of net profit, interim dividend
and client concentration has caught the investors eye which means
that market will rewards its shareholders with premiums.
Company has seen increase in strong cash flow of Rs 9,900cr
which will ensure its smooth operation of its working capital
requirements.

13. CONCLUSION
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After investing over 3 months and in more than 10 stocks I can say that India’s
equity market has been growing like never before in last few years this is only
because of financial literacy among youngsters. Few learnings after this
analysis are:
Despite losses ,the value/price of stock will grow in long period of time
Never underestimate the power of compounding
Unexpected news or unrelatable news can affect your portfolio hardly
One should invest with his own knowledge or rationale not to blindly follow
expert’s advice
Movement of price has a pattern one should identify it for picking good
stocks in future
One should be aware of his surroundings or keep a eye on market to develop
your understanding

14. MY PORTFOLIO

15. THANK YOU