Ace investor Vijay Kedia, known for his successful investment strategies, has recently acquired fresh stakes in two small stocks, namely Patel Engineering and Precision Camshafts.
Kedia's investments are closely watched by retail investors, who consider his moves as a signal for potential investment opportunities in the market. After the name of the ace investor appeared under the shareholding pattern of these companies in Q4 FY23, heavy buying was witnessed in the stocks.
According to data from Trendlyne, Vijay Kedia bought 1 crore equity shares of Patel Engineering through his broking firm Kedia Securities Private Ltd. in Q4 FY23. This translates to a 1.3% stake in the company.
Interestingly, foreign institutional investors (FIIs) have trimmed their stake to 2.1% in Q4FY23 from 2.9% in Q3FY23; in the same manner, domestic institutional investors (DIIs) have also cut their stake to 9.2% in the March quarter from 14% in the December quarter.
Patel Engineering is a construction and infrastructure development company based in Mumbai, India. The company engages in the construction of highways, bridges, tunnels, dams, airports, and other infrastructure projects.
The company shares have been on a downward trajectory over the last eight months, but after the news broke out on Kedia's investment, the stock jumped nearly 20%, moving from ₹14.80 apiece to ₹17.85 in just three trading sessions.
He also picked up a fresh stake in Precision Camshafts during the March 2023 quarter. According to Trendlyne, Vijay Kishanlal Kedia bought a total of 10 lakh equity shares of the company, translating to a 1.05% stake.
In Q4 FY23, Vijay Kedia's total holding in Precision Camshafts amounted to ₹13.5 crore, considering the last trading price of ₹135 apiece on Thursday.
The company is one of the world's leading manufacturers and suppliers of camshafts, a critical engine component, in the passenger vehicle segment. The company supplies over 150 varieties of camshafts for passenger vehicles, tractors, light commercial vehicles, and locomotive engine applications.
Additionally, the well-known investor has acquired an additional 7.05% stake in the small-cap firm Atul Auto. As per the company's exchange filing on March 15, Kedia converted 50,50,505 fully convertible warrants into 16,83,502 equity shares, which boosted his stake in the company to 8.4% from 1.35%, which he previously held through Kedia Securities.
In October last year, Atul Auto issued 50,50,505 fully convertible warrants to Kedia, which could be converted into fully paid-up equity shares within a maximum period of 18 months from the date of issuance.
Over the last one year, the company's shares have produced a stunning return of 103%, climbing from ₹205.80 apiece to ₹417.80. After hitting a 52-week low of ₹152 apiece, the stock nearly experienced a one-way spike, skyrocketing 174.86% to date.
Meanwhile, Vijay Kedia reduced his holdings in Tejas Networks by 0.3%. As of March 2023, he holds 3,400,000 equity shares, or a 2% stake in the company, which is valued at ₹216 crore. He has also cut his stake in Ramco Systems from 1.4% in Q3FY23 to 1.1% in Q4FY23, a decrease of 0.3%.
Kedia publicly holds stakes in 17 different stocks, including Neuland Laboratories, Heritage Foods, Repro India, Siyaram Silk Mills, Elecon Engineering Company, and Mahindra Holidays & Resorts India. The total net worth of his holdings is over ₹814.62 crore, Trendlyne data showed.
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