Close call companies
Industries where competition between the biggest profit gulper and the second biggest is a close call
By Mohammed Ekramul Haque | Oct 12, 2015
There are also industries where intense competition drives sector dynamics. This section looks at those industries where competition between the biggest profit gulper and the second biggest is a close call.
In the case of two-wheelers, for instance, while Bajaj and Hero MotoCorp battle it out - taking 50 and 42 per cent of the industry's profits respectively - Honda is sneaking up behind them. These three players also gobble up most of the sector profits.
In the power electric-equipment segment, it is the public sector versus the private sector, with industry mammoth BHEL taking 42 per cent of industry profits. German power major Siemens is not far behind, taking home 36 per cent of industry profits.
Travel services firm Thomas Cook, with a 48 per cent industry profit share, is in a tough fight with its arch rival, Cox & Kings, which follows it closely behind with 42 per cent share of industry profits. These two companies also take away most of the organised profit share of the industry.
The following table shows some close-call companies across various industries.
CLOSE CALL: The first and second players take near equal share of industry profits
|Motherson Sumi Systems||34585||33.74||1292||26.01|
|Tyres & allied||47472||3513|
|Cox & Kings||2556||39.13||90||41.69|
|* Financial data as of June 2015; Rest all data as of March 2015|
Are you missing an opportunity to invest in great stocks at low valuations? There are thousands of listed companies in India and yet only a handful that are worth investing at a particular time and at a particular price.
Our equity team has sifted through hundreds of companies and selected stocks that you should invest in. This list now has 37 stocks on it, and new ones are being added every month. Thousands of our members are using stagnant equity markets to buy great stocks at low prices. Membership of Value Research Stock Advisor is available at a 40% to 60% discount. Learn more and become a member