As the markets graduated from a correction to a full-blown crash, investors of all types are running for exit. It is at times like these that we must remember the words of the world’s most famous value investor, Warren Buffet. He said, “Be greedy when others are fearful and be fearful when others are greedy.”
In simple words, he said that when the markets crash and offer some strong stocks at a good discount, one must definitely consider making the most off the opportunity. But the question is, how to find stocks like these.
This is not a recommendation, but the easiest way is to piggyback on the Warren Buffets of India. Like Mukul Agarwal, a very well-known name in the investor circles, as per trendlyne currently holds 64 stocks worth Rs 6,157 cr. And 2 of these stocks that he has been holding since as far back as September 2021 (That’s how far trendlyne has history for), are currently trading closer to their 52-week lows. Infact, they are trading at over 50% discount from their all-time high price.
Let us look at these 2 stocks closely.
Allcargo Logistics Ltd (ALL)
Incorporated in 1993, Allcargo Logistics is a one-stop shop for all logistics needs. ALL handles everything from moving goods by road, rail, or sea, to managing warehouses and providing specialized solutions for complex projects.
The company is the biggest integrated logistics company in India’s private sector and world number one when it comes to consolidating smaller shipments (the kind that do not fill up a whole container). With a network spanning 180 countries and door-to-door service in over 50 markets, the footprint is unmissable.
With a market cap of Rs 2,988 cr, ALL has a dividend yield of 3.62% which is higher and most in peer comparison.
As far back as Trendlyne.com has holding data available, Mukul Agarwal has held a stake over 1% in ALL since September 2021. He had steadily been holding a 1.34% stake, which has come down to 1.02% for the quarter ending December 2024.
Tata Smallcap Fund also has been holding a stake in the company since June 2021 (oldest data available in trendlyne.com) and currently holds 1.74% stake in ALL.
Let us now dive into the financials of the company to have a closer look at what has kept Agarwal interested all these years.
The company’s sales have seen a compounded jump of 14% and absolute jump of over 90% between FY19 and FY24, as the number went from Rs 6,895 cr to Rs 13,188 cr.
And in the 3 quarters for April 2024 to December 2024, the company has already recorded sales of Rs 12,220 cr.
The EBITDA (earnings before interest, taxes, depreciation, and amortization) for ALL was a Rs 457 cr in FY19 which has gone up to Rs 473 cr in FY24, logging a compound growth of less than 1%.
The net profit is where the ground becomes a bit shaky, as the company saw quite a roller coaster ride there. Take a look:
| Year | FY19 | FY20 | FY21 | FY22 | FY23 | FY24 |
| Profit/Rs Cr | 248 | 234 | 95 | 965 | 653 | 140 |
And for the quarters between April and December 2024, the net profits are only Rs 52 cr.
According to the company, the December quarter profits were impacted by significant losses that the company has in select markets in US and Germany and both offices.
The share price of ALL was Rs 18 in March 2020 and is currently Rs 30.1 as on closing on 12th March 2025, which is a jump of 67%. However, the current share price is a 70% discount from its all-time high price of Rs 98.
The company’s share is trading at a current PE of 62x while the industry median when compared to peers is 26x. The 10-year median PE for ALL is 14x while that of the industry is 23x.
What must also be noted is the stock is trading at 1.17 times its book value. Also, even though the company has a low ROCE (Return on Capital Employed) of just 3.4%, it not only has a dividend yield of 3.62%, but also maintains a healthy dividend payout of 29%.
Tracxn Technologies Ltd (TTL)
Tracxn Technologies, established in 2012, is a leading provider of market intelligence for the global private investment sector. Their platform offers a comprehensive view of private companies, including details on deals, financials, and valuations. This valuable data helps investors with tasks like sourcing deals, conducting due diligence, and analysing market trends.
Tracxn operates on a subscription model, providing access to its platform for a fee. This Software-as-a-Service (SaaS) approach allows for convenient and scalable access to their extensive database and analytical tools.
With a market cap of Rs 541 cr, TTL serves industries like Automotive, Chemicals, Financial Services, Industrial Goods & Manufacturing, Education, Healthcare, Media & Entertainment, Retail, Semiconductor & Electronics Components, IT Infrastructure & Services, Telecom, etc.
Mukul Agarwal has held a stake in the company since December 2022 (since records were available on Trendlyne.com). The company was listed in October 2022. As per the exchange fillings made for the quarter ending December 2024, Agarwal holds 1.9% stake in the company.
TTLs stocks are trading at a price of Rs 50.3 as on the closing of 12th March 2025, which is close to all-time low of Rs 49.7. The all time high is Rs 124, which means the stock is available at a discount of 60% on its all-time high.
Since the listing in October at a price of around Rs. 91, the stock price saw the all-time high of around Rs 124 in January 2024.
The company’s share is trading at a negative PE and hence is not available in screener.in or trendlyne.com. However, the current industry median PE when compared with peers is 30x.
As for the financials, the company’s sales grew from Rs 33.19 cr in FY19 to Rs 82.77 cr in FY24 which is a compounded growth of 20%. For the 3 quarters of FY25 (April-December 2024), the company has already logged in sales of over Rs 63 cr.
EBITDA went from a negative Rs 22.18 cr in FY19 to Rs 4.88cr in FY24, which is nothing short of a turnaround story.
Similar for the net profits, as the company reported losses of Rs 21.66 cr in FY19 and in FY24 the company logged in profits of Rs 6.5 cr.
One silver lining is that the company is almost debt free and hence now bogged down by the implications of interest and repayments.
As per the company’s recently released investor presentation, the company is undertaking a long list of growth initiatives. From nurturing and building specialised teams for different sectors to using AI in data production. The presentation says that the company expects further acceleration in pace of customer growth and market share increase through the additionally launched specialised teams.
What should you do in this market sell off?
Mukul Agarwal is a name that many investors look up to. So, when he buys or sells stocks, it does cause waves in the investment circles. One might not know the exact science or explanation behind his decisions to buy or sell, but one can always keep an eye on his portfolio movements to be in the know.
When stocks like All Cargo and Traxcn that Mukul has held for years and has not lost trust on continue to be in his profile, they do deserve attention from the average investors. And when they are trading at a price which is over 50% discount on its all time high, it calls for immediate attention.
The financials of ALL Cargo might give one a lot of hope to an average investor, while that of Traxcn could give them the jitters. But the fact that Agarwal still holds them in his portfolio makes one wonder if there is something he knows or sees that we cannot see. Only time will tell what is, but in the meantime, keeping a vigilant eye on it would not be such a bad idea.
Disclaimer
Note: We have relied on data from www.Screener.in and www.trendlyne.com throughout this article. Only in cases where the data was not available, have we used an alternate, but widely used and accepted source of information.
The purpose of this article is only to share interesting charts, data points and thought-provoking opinions. It is NOT a recommendation. If you wish to consider an investment, you are strongly advised to consult your advisor. This article is strictly for educative purposes only.
Suhel Khan has been a passionate follower of the markets for over a decade. During this period, He was an integral part of a leading Equity Research organisation based in Mumbai as the Head of Sales & Marketing. Presently, he is spending most of his time dissecting the investments and strategies of the Super Investors of India.
Disclosure: The writer and his dependents do not hold the stocks discussed in this article.
The website managers, its employee(s), and contributors/writers/authors of articles have or may have an outstanding buy or sell position or holding in the securities, options on securities or other related investments of issuers and/or companies discussed therein. The content of the articles and the interpretation of data are solely the personal views of the contributors/ writers/authors. Investors must make their own investment decisions based on their specific objectives, resources and only after consulting such independent advisors as may be necessary.