No prior Financial or Fundamental knowledge is required. Just come with an Open Mind dressed with Common sense to realise how uncommon it really is !
“Oh God,give me strength & defend me from my friends, I can take care of my enemies” ~ Voltaire
Workshop Conceptualised & Conducted by
GAURAV A PARIKH
Indian Equity ~ (St)Ripping Annual Reports ~ Bullshit or Badass
Are you yet Alive in these Markets ! where clearly the obvious rouge ones were enemies you have stayed away from but shockingly the seemingly good fundamental stocks you have invested in have back-stabbed bad making a mockery of any favourable Value vs Price assessment done in the past !
It’s been a market meltdown of frightening proportion across the Board, except in a few ,visibly an (un)lucky 13 that constitute high weightage in the Sensex & Nifty that has kept these Indices alive at 38000 & 11000 yet
The ‘Fun’ in ‘Fun’damental Stock Stories too has vanished with Equity Portfolios showing strong depression in almost all stock selections across sectors & Market Cap segments
Company Annual Report ~ Can we yet revere it as the Bible or Bhagvad Gita or Quran for Company Performance !?
Never judge a Book by it’s Cover.We’ve seen the Annual Report sabotaged, painted & tainted by sub standard supervision , monitoring & assessment ,intentional or otherwise, by Banks & other Lending Institutions, Statutory & Internal Auditors , Regulators & Credit Rating Agencies.
Nexus & Vested Interests have vitiated the norms of Disclosure, Transparency & Accounting & Valuation Treatment that are prescribed. Relying on Mandatory Reviews & Compulsory Credit Ratings of the Company is no longer a given. As is relying too on Promoters, Management & expert opinions & recommendations of brokers, research analysts & equity advisors that yet continue to proliferate especially on stock channels with inflated views that sadly reach out to influence hundreds of thousands of viewers.
The prescribed mandatory adoption of Indian Accounting Standards (Ind AS), especially Ind AS 115 on Revenue from Contracts with Customers has impacted Revenue Recognition significantly with retrospective effect.
Consequently Valuation perspectives have been affected & rapid de-rating has caused a fast downward spiral in share prices.What looked ridiculously cheap at a PE of 9 now looks risky at a PE of 4 when all four legs of an equity table,Valuation,Liquidity.Sentiment & Momentum turns viciously south ! ~ There are no Buyers even for PE 2 opportunities ! ~ that’s how frustrated & worried are all in these markets.
Yet ! History lends a leg to the conviction that such meltdowns offer huge opportunities !
While reviewing many Annual Reports we’ll validate the wealth destruction that has already transpired in Companies like Dewan Housing,Yes Bank, Reliance Power, Eros Media, Cox & Kings & many others & how warnings on such destruction in the making were quite loud & clear in the Annual Report despite clean audit reports. Importantly & interestingly we shall evaluate Annual Reports of companies where the worse is yet indicated to come or on the flip side where we can strengthen conviction of great value going forward.
A common refrain will be “But I’m fully invested & in emotional notional Loss?”
It’s seriously time to revisit the Fundamental Basics of reassessing Company’s Corporate Governance Practices,Business Model & Operations & Interpreting it’s Financial Performance to strengthen conviction.
Courage & Conviction are both being severely tested to Hold or even Average, or Invest in what appear to be huge mispricing opportunities or simply Sell off expecting the worse is yet ahead.
On Hindsight ,after paying a heavy price for market seduction, why do we now realise that Capital Protection is a ‘must have’ Mindset at all times for serious Wealth Creation through Equity.While Growing your Wealth it’s equally imperative to Protect it & that the discipline of Asset Allocation based on Risk Profile needs to be adhered to.
This Workshop will equip you to deal with these questions while stripping Annual Reports of many companies:
- How to fundamentally rip an Annual Report to raise any blood red flags ? especially how to read between lines
- Are these red flags reflected in the Share Price or is worse to follow?
- Why Liquidity more than Profitability is the Circle of Life
- How do Company Valuations rack up against their Share Price now? ~ If there is Value, where can we find
- How should one align News & Views on Company Operations & Financials in the Print & Social Media & on Stock Portals & Channels with own views ?
- How to strengthen resolve & conviction to hold on to Selections even when facing unrealized losses?
- When & How to decide a Switch in Equity Holdings?
- How not to let Emotion & Ego dictate holding on to Losers & Wealth Destroyers & just letting them go or avoiding them in the first place?
Invest a Saturday with Gaurav to discuss & debate all the above & more & to appreciate that Wealth of Mind & Monies must Move in Tandem & fundamentally assess Macros & Micros.
His Fundamental Value vs Price workshops in 2016, 2017, 2018 & 2019 thus far have received full house response with participants spread from retail & High Networth investors to Corporates, Mutual Funds, FPIs & broking houses. From young exuberant & smart 25 year olds to not yet wise 70 year olds ~ They came specially from Dubai, Malaysia, Ghana, Cochin, Hyderabad ,Lucknow,Thrissur, Satna, Sangli, Allahabad, Gokak, Pune, Ichakaranji, Bangalore, Delhi & of course Mumbai. The Corporate Tambola introduced in the 2017 workshops serves for great infotainment. Prizes are awarded even for those interacting the best.
Based in Mumbai, he is the Managing Director of Jeena Scriptech Alpha Advisors Pvt Ltd, a SEBI Registered Research Analyst & Investment Advisor & a Fundamental Force to reckon with in the Field of Advisory & Training in Indian Equities. His Passion for Equities, incisive analytical skills, sense of humor, top oratory skills and his remarkable ability to demystify macro and micros & stunning exposures on corporate governance issues has seen him being voted as the best speaker at many forums in India and overseas. He is the ideal ‘Go to’ Man for both Advisory & Training for Serious Wealth Creation in Indian Equities.
"What To Do & What Not To" is best exemplified by the tagline of his popular blog www.gauravblog.com "In India, Companies may fall sick but Promoters rarely do!".It’s been ranked as one of the Top Investment Blogs in India & one of the Top in the World & completed a healthy 10 years in 2018.. He’s been in & seen the Indian stock markets from close quarters from the 1980s & peppers his workshops with many fascinating & rich anecdotal experiences. He’s not into Shareholder Activism though he finds immense satisfaction in protecting the small investor from being exploited by unscrupulous promoters & companies that are short on Good Corporate Governance by raising issues that concern them.
Gaurav’s amazing forte is to simplify & demystify the most complex of financial concepts & scenarios for ease of understanding & convey it in his inimitable humorous style ~ & while doing so of course his workshops have thrown up several 100 Baggers & scores of Multibaggers & he is well known for spotting Turnarounds & making Contrarion Calls. For a record Five Years in a row now Outlook Business has featured him one of India’s Fundamentally Finest Stock Pickers & how he’s justified this recognition ranking at the Top with Shemaroo Entertainment & Astec Lifesciences that became multibaggers in quick time though he’s candid enough to admit the timing of entry & exit could have been better in a few others . His IB Ventures valued in the December 2016 Training Workshop became a huge multi-bagger & life changer to many investors inside just eighteen months. He has launched Popular Workshops at the BSE and his Mentoring Sessions at NSE were eagerly awaited. Over 30 years he has shared experiences with and trained over 50000 people in India and overseas in the field of Capital Markets.
Gaurav will show you how to read a Company Annual Report in this Workshop to illustrate
How to Spot Potential Winners & also Spot Red Flags in those to keep away from.
Workshop Objectives & Benefits
Through a thorough reading of Annual Reports of Companies , the participant will become conversant & be empowered to:
- Strengthen Micro and Macro Perspectives
- Understand Impact of Adoption of Indian Accounting Standards
- Assess Disclosure, Transparency & Accounting Treatment
- Monitor Corporate Governance Actions & Behaviour to gauge Promoter & Management Mindsets
- Review Financial Statements to assess risks while figuring Value & Growth Potential differentiating between Profitability & Liquidity & why the latter should matter more
- Translate Fundamental Interpretation & Valuation Theory to Application and Academics to Action
- Familiarise with the four Legs of an Equity Table ~ Valuation, Liquidity, Momentum & Sentiment
- Appreciate that Wealth of Mind & Money must move in tandem
- Deal with Investor Psyche & all that Jazz...Pitfalls...Thinking & Acting rationally to avoid making Investment Mistakes
Key Highlights of the Workshop
Assessing Corporate Governance & Promoter & Management Mindsets
Evaluating the Company’s Business Model
Review Approach of the Multiple Users (Existing & Potential Investors, Credit Rating Agencies, Regulators, Auditors, Lenders , Trade Creditors , Employees, Customers , Government etc) of an Annual Report
Importance, Constitution , Relevance & Interpretation of all Constituents of an Annual Report with emphasis & focus on Company’s Financial Statements ~ Accounting Ratios ~ Compounded Topline & Bottomline Growth ~ Impact of Indian Accounting Standards & Changes in Policy ~ Common size Statements
Earnings & Assets Valuation Metrics ~ Relative & Absolute, Traditional & Contemporary
Those Who Should Attend
- Keen to learn how to subjectively & objectively read & interpret an Annual Report
- Seek the answers in this Market Meltdown to ‘What Now? Especially those who wish to figure out how to get out of existing tight corners & not get into such again
- Equity Sceptics or those who want to strengthen conviction in Direct Equity
The Workshop would be a great practical value add even to Students pursuing Business, Commerce, Insurance, Finance, Equity, Management studies at all levels
From our 2016, 2017, 2018 & 2019 Workshops:
- “Finding a multi-bagger is nice, having someone like Gaurav Parikh guide you on the journey... Priceless! ”
- “Amazing... Awesome Session about Fundamental Stock Selection & Wealth Creation”
- “Full of Inspiration, filled with wisdom.... am really proud to be a part of this wonderful session”
- “Best Power packed Saturday that I will never forget in my life”
- “…thought provoking Investment Seminar conducted in Gaurav’s inimitable style… Examined macro indicators, bases of valuation, critical data on a large slew of companies.”
- “Completely Blown away ! You really have changed the way I used to look at Markets”
- “Your Workshop is a better Wealth Creator than Insider Trading!”
- “It was Super Gaurav, your skills at short listing, reading & understanding balance sheets are amazing”
Here’s what a participant at a NSE Workshop exclaimed :
- “….even those 7 hours seemed like few minutes as all of us were so engrossed. The biggest value I got from Gaurav’s workshop is it completely changed my perspective of looking at Value”
And this from a more than five consecutive times repeat participant in the past 24 months:
- “Indeed it was my fifth rocking Saturday that too in a row and obviously my personal stamp of approval to Gaurav Sir’s inimitable style of presenting fundamental concepts …Again Sir you Rocked & it was my fortune to attend your wonderful workshop… seeked everything for which I came …recreated the same old magic of Bangalore in Mumbai...great Saturday”
Jeena Scriptech Alpha Advisors Pvt Ltd
Research Analyst : INH000006907 ~ Investment Adviser : INA000013217
CIN: U74999MH2010PTC210730 GSTIN : 27AABCL9222H1ZI
Regd Off: Jeena House, Plot No 170, Om Nagar, off Pipeline Road, Andheri (E), Mumbai 400 099
Head Off: Elphinstone Bldg, 1st Floor, 10 Veer Nariman Road, Horniman Circle, Fort, Mumbai 400 001
Telephone: +91 22 42304117 / 138 / 140 ~ Email: [email protected]