Saurabh Mukherjea picks new small cap citing 2 reasons and ditches multibagger

Dalal Street’s Best Fund Manager Saurabh Mukherjea recently made changes to its small cap portfolio and picked and dumped .

Shares of Vijaya Diagnostic Center, listed on September 14, 2021, at Rs 542.30, have since fallen around 30% from their 52-week high of Rs 672.50.

Mukherjea team running Marcellus PMS The fund said Vijaya has two key competitive advantages:

1) Integrated radiology and pathology business model offers convenient one-stop solutions for customers. Additionally, the extensive network of hubs and spokes built by the company in and around Hyderabad also gives Vijaya an edge in corporate tie-ups and wellness packages.

2) Vijaya’s quality advantage over its peers is attributable to the quality of its high-end equipment and the quality of the radiologists it employs.

Based on the above two factors, Mukherjea team said that Vijaya was able to gain around 20% market share in Hyderabad and make inroads in other cities of Andhra Pradesh and Telangana in recent years. years.

To make room for diagnostic stock, PMS sold the Gujarat Ambuja Exports multibagger, which has jumped more than 300% in the past five years.

“Gujarat Ambuja Exports scored lowest in our portfolio position sizing framework and also ranked lower than Vijaya Diagnostic Center,” Marcellus said of his Little Champs portfolio revamp. small cap stocks.

Over the past year, the fund has outperformed its benchmark BSE Smallcap by delivering a return of 8.8% against a return of 7.3% for the index.

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