Radhakishan Damani’s Portfolio, Holdings & Investments

In stock markets, there are essentially two types of investors or traders that can usually be seen, groundbreakers or path makers and followers. The former category is the experts that have made a name for themselves through a lot of hard work and gained expertise through their experience that can help them navigate any storm in the stock markets. Such stalwarts are often studied and followed by even seasoned investors in the hopes to learn from their portfolio and try to earn money along the way. 

One such tall name in the industry is RK Damani. Given below is a brief look at his overall portfolio and the investments made by him. 

Who is RK Damani?

Mr. Damani started his career in stock markets as a stockbroker at the age of 32 and gradually became a full-time trader. He made a big name for himself in the market through short selling and earning good returns. 

Mr. Damani then plunged into entrepreneurship in 1999 through the FMCG retail segment when he managed the Apna Bazaar franchise but was eager to start his own venture. Every person in the country is familiar with the name ‘Dmart’. 

It is a market disruptor when it comes to the supermarket segment and is preferred by millions of Indians due to its low pricing model and abundant shopping options. RK Damani started the brand under the parent company Avenue Supermarts, launching the first Dmart store in Powai, Mumbai in 2002. The chain store has gone from strength to strength and caters to 284 locations across the country. Dmart launched its IPO in 2017 and is a success story in itself. The shares of Dmart were offered at Rs. 299 per share in the IPO and are currently traded at Rs. 3640.40 (As of June2022).

Radhakishan Damani’s portfolio & holdings

The portfolio of RK Damani is very heavy on his holdings in Dmart which accounts for approximately 97% of the total portfolio value apart from his other investments. He holds a 74.98% stake in his flagship Avenue Supermarts through the promoter group. 

As of the quarter ending March 22, his portfolio stood at a whopping 1.42 lakh crores approximately. 

1. Overview

A brief overview of his portfolio highlighting his holdings sector-wise as of the quarter ending March 2022 is tabled below.

Sector	Holding
Retail	14%
Diversified	7%
Chemicals	7%
Cigarettes	7%
Powe-Generation and Distribution	7%
Finance – General	7%
Paper	7%
Hospitals & Medical Services	7%
Cement – Major	7%
Couriers	7%
Breweries & Distilleries	7%
Telecommunications – Equipment	7%
Finance – Leasing & Hire Purchase	7%

Source – https://www.moneycontrol.com/india-investors-portfolio/radhakishan-damani

2. Top Holdings

Some of the top holdings of Mr. RK Damani and their financial details for the quarter ending March 2022 are tabled below. 

Stock name	Percentage of holding	Trailing Twelve Months Earnings Per Share	Trailing Twelve Months Price/Earnings	Price to Book value	Dividend Yield
Avenue Supermarts Ltd	74.98%	35.75	153.84	16.79	0.00%
VST Industries Limited	32.24%	3.04	15.11	4.50	4.45%
India Cements Limited	20.82%	-62.05	64.34	0.85	0.62%
Aptech Limited	3.04%	299.19	18.88	4.44	2.23%
Sundaram Finance Limited	2.37%	44.91	9.73	0.53	2.45%
Mangalam Organics Limited	2.17%	-36.68	9.42	1.66	0.25%
Trent Limited	1.52%	172.40	374.18	16.75	0.15%

Latest highlights in the portfolio

Markets saw a huge correction the quarter ending June 22 in line with the tumble of markets across the globe. This market correction resulted in a decline of a whopping Rs. 26,300 crore approximately in the net worth of Mr. RK Damani. The major loss of value in his portfolio is attributed to the decline in the stocks of Avenue Supermarts. Among his other investments, India Cements saw a decline of approximately 25% in value while Trent Limited saw a decline of approximately 16%. 

While there was a major decline in his portfolio, few investments also added value to the same. These include stocks in Andhra Paper, Sundaram Finance Holdings Limited, Blue Dart Express, and 3M India. Collectively they added Rs. 70.6 crores to his portfolio major contribution coming from Blue Dart Express and 3M India (Rs. 31.78 crores and Rs. 36.74 crores respectively).

Radhakishan Damani’s net worth

Radhakishan Damani’s net worth is currently estimated to be around $27.8 billion, which is equivalent to approximately Rs. 2,03,864 crore (or 2.03 trillion Indian Rupees). Damani’s wealth has grown by 280% in the past 5 years, which is a significant increase.

Starting of DMart and Key Milestones

Here’s a glimpse into Damani’s successful DMart venture and other key milestones:

• Radhakishan Damani founded DMart in 2002, a chain of retail stores that offer a wide range of products at affordable prices.
• In 2017, DMart went public with a highly successful IPO that raised over Rs. 1,870 crore (approximately $250 million).
• Damani’s stake in DMart is valued at over $20 billion as of 2021.
• Damani has made significant contributions to the Indian retail industry and acquired a controlling stake in the supermarket chain, Spencer’s Retail.

Conclusion

Mr. RK Damani has been referred to be the ‘Steve Jobs of India’ by Mr. Ramesh Damani, another big name in the stock markets. He is known to smell the market and identify the upcoming trends. Although Mr. RK Damani’s portfolio took a hit in the recent meltdown of the market, his investments are quite sound and are bound to increase with another upturn in the markets.  

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