think different

zomato reports larger loss than previous quarter

analyst prepping for concall: sir, what is the reason for the loss with rebound in sales and expected operating leverage.

zomato: sorry we don’t hold concall

zomato’s mcap = 70k cr
if you are a value investor, as per buffett’s logic of good price -> zomato must earn 7,000 cr to 8,500 cr pre-tax profit by fy 27
(actually more as India’s cost of equity is higher)
zomato peak sales 2600 cr

lot of dumb ppl have commented shit despite a mention “if you are a value investor..”

when a stock you own becomes expensive, you rationalize holding on by calling it a compounder. base rate says v v few stocks are real compounders , rest are just pigs with lipstick.

@Bapu__Mishra hardly. 30-40 stocks is fine

1 Page Transcript from 1997 Berkshire-Hathaway-Annual-Meeting, when Warren Buffett boldly claimed, Mutual Fund Managers have “gotten a lot for nothing”.

Important: He is not just talking about US Mutual Fund Industry.

Must Read For Mutual Fund Investors 👇

#KnowledgeZarooriHai

Soon startups like Zerodha, Groww & PhonePe will soon launch their own Mutual Funds!

Why is every Investment App trying to become a Mutual fund company?🤔

Let's understand👇

A Thread🧵

FinTechs like Zerodha and Groww have already disrupted the stockbroking & mutual funds distribution space and have become the largest player in their industr, they own the distribution.

What's next?

They want to make their own Mutual Funds & control the manufacturing as well.

Why now?

In Dec 2020, SEBI made it easy to apply for a Mutual Fund license. Earlier, they needed to be profitable for the 3 out of the previous 5 years including the most recent one - and no startups were profitable. But now, they just needed to show a net worth of Rs. 100 Cr.

This is also the perfect time to enter the Mutual Fund market. India is still way under-penetrated with a lot of first-time investors coming. And as per Nithin Kamath, Mutual funds will be one of the key products to push more people into investing.

Who all are in the race?

Largest stockbroker (Zerodha), Largest mutual fund distributor (Groww), one of the biggest NBFC (Bajaj Finserv), several star investors like Deepak Shenoy, Rakesh Jhunjhunwala are strong in the race, apart from FinTechs like Paytm Money, PhonePe & Niyo.

MF : investors must not time the market

Same MF coming with 5 NFOs in bull mkt. best timing decision?

Debt funds are generally good but still you need to understand this fine difference:

If you lend to banks, the risk is on banks.

If you lend to mutual funds, the risk is on you.