Radhakishan Damani, the name synonymous with India’s retail giant DMart, is a master player in the Indian stock market. Currently holding 13 stocks with a net worth of Rs 161,187 cr as per trendlyne.com, his investment strategy and stock market acumen have made him one of India’s wealthiest individuals. Damani is one of the Warren Buffett’s of India recognized for his value investing approach, focusing on long-term growth and sustainable business practices.
He was also the mentor of ace investor, late Rakesh Jhunjhunwala.
No wonder everyone from big institutions to individual investors, watches his every move. So, when he stays invested in two less known microcap companies, in a market where everyone’s chasing quick gains, it demands attention.
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What does he see in these companies that others don’t? What’s piqued the interest of this seasoned investor? Let’s look at these stocks to see if we can find the answers.
Advani Hotels & Resorts (India) Ltd – AHRIL
Incorporated in 1987, Advani Hotels and Resorts India Ltd is in the business of luxury hotels and owns and operates the Caravela Beach Resort, Goa; an independent, 201-key, 5-Star Deluxe golf resort on the Arabian Sea, designed by the world-famous architects Wimberly Allison Tong & Goo (WATG).
With a market cap of Rs 540 cr, Damani has held 4.2% of AHRIL worth Rs 22.6 cr at least since March 2016 (since records were available), per Trendlyne.com.
Let us look at the financials of the company to see we can find out what has caught Damani’s interest,
The company’s sales were at Rs 27 cr for FY21, which jumped to Rs 105 cr in FY24, which is a compounded growth of 57% in 3 years.
In the 3 quarters for April 2024 to December 2024, the company has already recorded sales of Rs 75 cr.
When it comes to net profits, AHRIL has seen nothing short of a resurrection. From losses of Rs 4 cr in FY21, to net profits of Rs 25 cr in FY24..
That could be one reason why Damani has continued interest in the company.
To add to it, the EBITDA (earnings before interest,
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