Megatrend / Emerging Trend

Look for long term strength in any market cycle

M
Sector Tailwinds Structural Long Term Growth

Results into Long term Sales and Earnings Growth

Demand-Supply Float

Price Spurt and Base Breakouts

Avg. Volume vs. last 3-6 months

Price Volume Action
Use Ridewinners.com Tool

Relative Strength
A Action
Institutional Buying

Promoters buying from open market

Insider Buying Activity Through Buybacks

Avoid too much Pledging

Action Orientated Prudent Management Avoid too leveraged companies

Strength Leaders in the industry

C Competitive Advantages Building Strong Competitive Advantages
Emerging
2nd or 3rd company in the sector

Quality

H High ROCE Emerging

Check for consistency and cyclicity

Cost restructuring

Efficiency Backward Integration

Let’s Build
MACHINE Formula
Mega Compounding Forward Integration
MACHINE High Margin Product
Product Profile
Moving up the value chain

I Improvement Capital Allocation

Sector Dynamics

Cost Parameters

Pricing Power

Branding

Apple iPhone

Fevicol

Product Revolutionary Products Royal Enfield

Naukri.com

Maggi

Geography

Management
N New
Sector/Sub-Sector Demand-Supply changes

Category

Technology

Acquisitions/Demergers

Strategy

E Execution of Earnings Growth Triggers