Monday, October 25, 2010


Niche plays are always catching attention of the investor fraternity and commanding premium over others in stock market in any country. Everybody is confident about Indian growth based on the hard working of middle class to attain better standard of living and their  changing style of spending. Similarly everybody in stock market is aware that today’s small caps and mid caps are tomorrow’s leaders, if it is backed by efficient promoters and scalable business models. Below I am presenting eight such stocks which are expected  to turn as future leaders in 5-10 year time frame .All these stocks are familiar to all of you and most of them are trading with sufficient volume and market capitalization. This is not a recommendation to BUY these stocks at current level , but keep this in mind and take the advantage of any market correction going forward to build a portfolio .Companies promoted only  by Indians promoters(or changing management in favor of Indians) are included in this list.


Experienced management ,undisputed leadership position , aggressive expansion through organic and in organic route  in a sector with huge opportunity is inviting attention to this MVAS player.

CMP                                       –             Rs .368
P/E Based on FY 2010           -                    40 X


Increasing awareness of public about their  health , Good brand Name,Rapid expansion to tier II cities are positive for this company .

It was earlier recommended at Rs.162/-

CMP                       -      Rs 223/-

P/E Based on FY 2010           -            50 X

No need of explanation for one of the  India’s largest Bio-Pharma companies .Successful commercialization of its oral insulin program is expected to change its fortune which is now going through Phase III of clinical trials.

CMP         - Rs.445

P/E Based on FY 2010           -            35 X

This integrated agri company is catching attention mainly due to the future potential of the industry in which it is operating , strong R & D , reputed brand name, aggressive expansion plans and health of its balance sheet.We have discussed about it many times here .For more details ,search the blog.

CMP   Rs.335

P/E Based on FY 2010           -    16 X      


It was one of the most successful IPO in last FY .The only pure listed company from the food service industry is the darling of FII’s and other institutional investors mainly because of the vast opportunities available in a highly populated country like India , backed by experienced promoters . Company is aggressively expanding its operations to countries like Sri Lanka ,Bangladesh ..etc. It also trying to clinch similar business relations  with some other  big brands of the west as in the case of  DOMINO’s.

CMP   Rs 507/-
P/E Based on FY 2010           -            92 X


India’s largest Non PSU oil producer is a hot subject among investors after the proposed takeover of  Vedanta  Group led by Anil Agarwal. The revival in world economies are expected to cause for a rise in oil prices and such an event will immensely benefit Cairn India.

CMP  Rs.335/-

P/E Based on FY 2010           -            60 X


A steady performer led by an able banker. The low density of banks in India is offering lot of chances for expansion of branch network. This new generation technology driven  bank will be one of the big beneficiary

CMP  Rs 370/-

P/E Based on FY 2010           -            24 X



Even if its previous attempt to become a global player by taking over Parkway Holdings  failed ,this health care provider is expected to grow exponentially under the leadership of young brothers in a sector with huge opportunity.

CMP     Rs 163/-

P/E Based on FY 2010           -            143 X--------------------------------------------------------------------------------------------------------
 Note :

If we follow the conventional methods of stock selection based on various valuation parameters ,none of the above may qualify for a BUY at present. But considering the opportunities available in these sectors where the mentioned  companies are operating and the ability of managements behind these companies may make wonders going forward . So keep an eye on these companies and try to catch them in any decent correction and keep for long term for wealth creation.


  1. Good morning value-pick sir,

    If you don't mind sharing, can you kindly tell which are the best 3 multibaggers you are betting on from here on. I think this information would be in benefit of most of the investors and ofcourse your stamp on these multibaggers will give us confidence to invest without giving a thought. Please please disclose your top three multibaggers.

  2. Dear Valuepickji,

    What is your view on JSW Energy? Do you see any potential in it?
    Please reply.

    Neeraj Sharma

  3. This post is really mind blowing.. Your r the real performer of indian stock market. Hats of to you.

    Your Admirer... sudhir raj

  4. I think kaveri looks cheaper and great future. desparate BUY at these levels.

  5. Neeraj

    For JSW Energy ,search the old post,no change in previous view

  6. Sudhir

    Kaveri is really a steal even at current level for investors with patience.

  7. Sir,
    I hope you will reply to my post regarding your three favorite multibaggers. I will await your response.

  8. Dear VPji,

    In your earlier post you had mentioned that
    "It also have another 1200 MW capacity plant under construction at Rathnagiri which is expected to fully operational by October 2010.Another 1080 MW capacity Lignite based plant is also under construction (Raj West Power) in Barmer, Rajastan which is expected
    to fully commissioned in the beginning of 2011".

    Could you please educate us on their present status? I feel that this should also go along with your preferred list of stocks. Where do you position JSW inter se among the eight?
    Please throw some light on this.

    Thanking you in anticipation,
    with warm regards and advance Diwali Greetings to you,
    Neeraj Sharma.

  9. Dear Jaimin
    All of the above are already trading at reasonable market cap,so don't expect multi bagger(if you mean it as more than 5X) type returns from these ones

  10. Dear Neeraj

    There is some delay in the commissioning of Barmer project .Unit II of 135MW of the 8X135MW Power Project at Barmer started operations in October.Unit I of 300MW of the 4x300MW Power Project at Jaigad, Ratnagiri started operations in September .As you are aware,due to the order of Environment Ministry, company forced to implement additional pollution control measures,hence the delay.

  11. Sir,

    I was actually asking for your favorite pick from the whole market currently and not from above mentioned list. I hope you will not mind replying and sharing the information.

  12. Jaimin,

    Not I will not,but I can't

  13. thankyou valuepick ji for your excellent blog
    hats off

  14. Thank you very much VPji,
    For the info.But you didn't answer part two of my query.

    Neeraj Sharma

  15. Dear VPJI,

    Could you please suggest some good dividend yielding shares which are safe to invest in?

    Thanks and Regards,
    Neeraj Sharma

  16. dear value ji

    one value pick at cmp , the probable multibaggar from your angle or point of view?

    please give one solid pick

  17. very nice and deep thinkink value packji
    best of luck investors

    bimal ur admirer

  18. Dear Sir,
    Is Onmobile global a buy at present levels around 200 for long term ?? Thanks Satyen

  19. Hi Sir
    Do you think Jubilant food works is over valued. I have bought at 530-00. Should i book full profit and re enter at low level? or should i hold it. I can wait for one more year.




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