Ashish Kacholia gains Rs 67 crore in his top holding as this mid-cap company jumps over 500 per cent

ROE of 34.4 per cent, a ringing endorsement of its financial mettle. Foreign Institutional Investors (FIIs) cradle a 12.3 per cent stake

Step into the fascinating world of investing prowess, where fortunes are molded and legends are born. Picture Ashish Kacholia, the master of astute investment choices, as a modern-day oracle, weaving his magic in the stock market. Known for his uncanny ability to unearth hidden gems in their embryonic stages, Kacholia's investment philosophy is nothing short of a captivating saga.

He is no ordinary investor. With an eagle eye for companies that possess an unparalleled competitive edge, exemplary leadership, and tantalizing valuations, Kacholia's strategy is akin to a meticulously crafted masterpiece. But that's not all – he breathes life into his investments by following a North Star that few dare to embrace: the power of long-term commitment. In a world obsessed with instant gratification, Kacholia stands as a beacon, preaching the gospel of patience.

Yet, it's not just about numbers on a spreadsheet for Kacholia. He's a maestro of deciphering the symphony of market trends and ever-shifting consumer preferences. He knows that in this dynamic world, only those companies that dance with the changing winds of trends and tastes are destined to outshine the rest. His investments, like an alchemical process, morph into compounding machines that steadily accumulate wealth.

Enter the tale of Safari Industries, a tale as enthralling as any adventure it suggests. Nestled in the heart of India's luggage landscape, it is a top-tier player, wielding a formidable 20-22 per cent market share in the organized luggage sector. Kacholia, with a knowing grin, holds a jaw-dropping 2.29 per cent stake in this triumphant enterprise. To put it into perspective, that's a whopping 5.43 lakh shares. Out of these, 2.18 lakh shares were acquired at an average price of Rs 550 each on November 22, 2019, this resulted in an investment of about Rs 12 crore. The stock has turned out to be a multibagger as it has jumped over 500 per cent since his acquisition in November, 2019. On Friday, the stock was closed Rs 3630.55, reflecting a jump of 3.44 per cent increase on the NSE. An intriguing and captivating aspect is that this very stock claim the apex position in Ashish Kacholia’s portfolio. Now, when we calculate the gains in terms of rupees, it amounts to around Rs 67.15 crore. Important to note- this calculation is based on calculation of shares acquired in November 2019.

But why has Safari Industries managed to scale such extraordinary heights? The answer lies in the company's relentless drive to forge ahead of the market curve. Armed with an arsenal of innovation and competition, Safari caters to consumer cravings across product categories. It deftly responded to the demand surge for hard luggage by birthing a manufacturing plant in Halol, Gujarat, through its subsidiary, Safari Manufacturing Limited. Expansion, evolution – the company breathes these ideals.

In the midst of this journey, a new brand emerged: Urban Jungle, heralding a new era in casual premium living. Kacholia's wisdom is evident in this move, targeting the younger generation while firing up the engines of direct-to-consumer commerce through their own website.

As if summoned by fate, Safari Industries recorded a staggering 42 per cent CAGR profit growth over five glorious years. Debtor's days dwindled, and the working capital puzzle reshuffled itself – a testament to the company's financial prowess. Q1FY24 unveiled a net profit of Rs 50 crore, nearly doubling its predecessor's figures. The topline too painted a mesmerizing picture, with a 45.6 per cent YoY growth, soaring to Rs 427 crore.

Here lies the secret to Safari's irresistible allure – an ROE of 34.4 per cent, a ringing endorsement of its financial mettle. Foreign Institutional Investors (FIIs) cradle a 12.3 per cent stake, further enhancing the aura of this Mid-Cap marvel.

So, here's the million-dollar question: Do you dare hold this enigmatic stock in your portfolio?

Disclaimer: The article is for informational purposes only and not investment advice.