Stock Market Investing in India using value investing approach
Aditya Mehta is a serial entrepreneur and investor. He is an alumnus MBA from the University of Sheffield, United Kingdom with a Major in Finance and Strategic Management. Aditya has over ten years of experience in the Stock market and Marketing. He helps investors and companies on sustainable business models in the start-up arena. He is a registered SEBI independent Research Analyst.
EquityLion aims to provide valuable and timely stock market recommendations based on value investing principles as defined by Warren Buffet, Benjamin Graham, and many other successful investors. Our purpose is to save your time and effort by providing a thorough analysis of companies along with a recommendation for investment decisions. We firmly believe that every Investment decision should have a “margin of safety” attached to it based on in-depth analysis to reduce the risk of investing in equities. Our sole purpose is to assist you as an investor to make the right decision in the Indian stock market.
EquityLion is an Independent research analysis firm. Research and recommendations are unbiased and honest. Another factor which differentiates us from other experts is that we don’t earn any brokerage fee, or benefit in any way from the purchase or sale of shares of any company. We completely focus at all times on providing you the highest quality of stock recommendations without any conflict of interest or Bias.
Quality over quantity: A limit of maximum two stock recommendations a month is set to maintain quality. Good analysis requires the considerable amount of time and expertise. Nothing is more important to us than our research quality and integrity.
EquityLion follows the value investing approach in our all our articles, research reports, and stock recommendations.We approach investing by pursuing two types of opportunities in the Indian Equity Market.
Value Investing Approach for Indian Equities:
This Approach entails finding undervalued stocks where the intrinsic value of the company is below its market price. The intrinsic value is arrived at by analysis of the replacement value and earning power of assets in the future.
To estimate intrinsic value various factors are taken into consideration. The factors include financial situation of the company , industry structure , growth rates , Indian Economy , government regulation, management track record and quality of management , competitive advantages of the enterprise , margin of safety , financial history of the company , business model followed by the company , sensitivity analysis , investment time-frame , catalysts on the horizon to close gap between value and market price , consumer preferences , technology disruption if any , etc.
Value Investing Approach for Arbitrage
Arbitrage means the simultaneous buying and selling of securities, currency, or commodities in different markets or in derivative forms to take advantage of differing prices for the same asset. An arbitrage opportunity arises out of Buy-backs, mergers, and acquisitions, demergers, and corporate spin-offs.