Rakesh Jhunjhunwala Portfolio The start of the new quarter isn’t just the arrival of the results season that retail stock investors have been waiting for. In fact, some of them look forward to the shareholding pattern of the stocks owned by a handful of investors as it helps them to know in which direction the smart money has flown. Some retail investors scan the portfolios of a handful of investors to find the value pick. There is a news of the stock market for such investors.
one of the following Rakesh Jhunjhunwala Portfolio Stocks Canara Bank has given around 75 per cent return to its shareholders since acquiring the stake of ‘Big Bull’ in this PSU bank during the quarter of July to September 2021. Rakesh Jhunjhunwala’s name first appeared in the shareholding pattern of Canara Bank in the second quarter of FY22, where he was found holding around 1.60 per cent stake in the PSU stock.
Canara Bank Share Price History
As per the Canara Bank shareholding pattern for the July to September 2021 quarter, Rakesh Jhunjhunwala held 28,850,000 shares of Canara Bank, which was 1.59 per cent of the total paid-up capital of the PSU Bank. Since the shareholding pattern does not give transaction details, we are taking the opening price of Canara Bank shares as of early July 2021. As of early July 2021, the share price of Canara Bank was at 155 each and today Canara Bank share price is moving around 270 levels each. It means that this stock in Rakesh Jhunjhunwala’s portfolio has moved around 115 per share, an increase of about 75 percent in about a year’s time. Or in other words, Canara Bank’s shares have gained almost 75 per cent in a year since the stake acquisition by Rakesh Jhunjhunwala.
Rakesh Jhunjhunwala’s stake in Canara Bank
As mentioned above, Rakesh Jhunjhunwala held 1.59 per cent stake in the stock at the end of September 2021 quarter which he kept unchanged at the end of December 2021 quarter. But in the January to March 2022 quarter, Rakesh Jhunjhunwala increased his stake in the state-owned bank to 1.96 per cent and remained stable during the April to June 2022 quarter. However, in the July to September 2022 quarter, Rakesh Jhunjhunwala’s holding came down to 1.48 per cent of the total paid-up capital of the bank, holding 26,847,400 Canara Bank shares or stake.
Canara Bank Share Price Outlook
Despite the tremendous rally in Canara Bank shares, some brokerages are still bullish on Canara Bank stock. He believes that the loan book of the bank will grow at a CAGR of around 20 per cent and is expected to go up 330 each level in the long run.
Giving a ‘buy’ tag to Canara Bank shares, LKP Securities said, “Keeping in view the near term capital infusion, we expect the bank’s loan book to rise cautiously at a CAGR of ~20 per cent in FY22-24E , which will be led by RAM and corporate book growth. In our opinion, the credit cost of the bank will further normalize by FY23E and projected return ratio ROA/ROE of 1.2 per cent and 18.9 per cent in FY24E. We are with 0.6xFY24E BVPS Prefers Standalone Entity ( 538) and reach the target price of 323. We recommend a BUY with a potential upside of 19 per cent.”
Giving ‘Buy’ tag to Rakesh Jhunjhunwala Portfolio stock, Emkay Global has given a long term target of 330 per share.
Disclaimer: The views and recommendations given above are those of individual analysts or broking companies and not of Mint.
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