Stay calm, stand strong

It is the result season again. That means it is time to repeat the lesson: performance of a quarter does not matter. Do not sell because one quarter is bad or do not buy because one quarter is good. Look at it annually or even years together. Only then you can notice patterns and see whether efforts are being paid off. Aggressive accounting practices can give you a different look *cough cough, EKI Energy* but it will not last forever. Result season is the time to not panic.

Aprajita Anushree

Same thing as last quarter. 3 per cent revenue guidance, 3 per cent!

Aprajita Anushree

Other IT giants too haven't been doing that well. It's either profit or margin or both.

Aprajita Anushree

HDFC-HDFC Bank, ICICI-ICICI Bank, and now IDFC-IDFC First Bank. There were some small finance bank reverse mergers too. Banks just love reverse mergers.

Aprajita Anushree

Loss aversion is a dangerous behavioural flaw that many investors possess. Sell away when fundamentals become weak and don't seem to recover.

Aprajita Anushree

We have all been there. Take Coal India for example. Very good dividends but no capital appreciation at all.

Aprajita Anushree

Few stocks in which we have high conviction and which are available at a good valuation is way better than randomly accumulating stocks in the name of diversification.

Aprajita Anushree

Varun Beverages went from nothing to everything in the last few years, thanks to its deal with Pepsi. It is now the exclusive manufacturer and distributor of Pepsi in India and few other countries!

This article was originally published on July 21, 2023.