Purchasing unlisted shares may be a riskier option for investors, but for those seeking value over a longer period of time at a discounted rate, the unlisted market is a superior prospect. However, there are many inexperienced and naive retail investors that seek value in the pre-IPO market but find themselves locked in the wrong bets or at exorbitant valuations.
Here is a list of the top 5 hot and best unlisted shares to purchase in India in 2022, which investors can hold for a long time and benefit from.
- Pharmeasy
- Studds Accessories
- Chennai Super Kings (CSK)
- Tamilnad Mercantile Bank(TMB)
- HDFC Securities
PharmEasy:
PharmEasy is an Indian healthcare app and ecommerce platform for consumers involved in selling online medicines, diagnostics, telehealth, online doctor consultation services
- Acquisition Spree – With the recent acquisitions made by API Holdings — including Thyrocare Technologies and its subsidiaries, as well as Akna Medical Private Limited and its subsidiaries — the company now offers a wide range of products and services including pharma, OTC and private label medical products, surgical and consumables, diagnostic services, and teleconsultations. The company had also acquired rival Medlife last year.
- Online Platform – Its platform had 87,194 pharmacies, 3,261 wholesalers, 4,617 doctors and 926 hospitals as on June 30, 2021.
- GMV Market Share Leader – It has a 50% share in EPharmacy Gross Merchandise Value, followed by 1MG at 16% & NetMeds at 15%.
- DRHP Approved – The company recently got its DRHP approved by SEBI for Rs 6,250-cr initial public offer.
- Pharmeasy Share price down from 110/sh to 50/sh in the last six months
Financials:
| Particulars | FY2021 | FY2020 |
| Revenue | 2,335.3 Cr. | 667.5 Cr |
| Reserves | 3319.3 Cr. | 236.7 Cr. |
| Face Value | 1/sh | 1/sh |
| Earnings/Share | (-1/sh) | (-1/sh) |
| Profit After Tax | (-641.3 Cr.) | (-335.3 Cr.) |
| Profit Before Tax | (-620.3 Cr.) | (-347 Cr.) |
STUDDS Accessories:
STUDDS Accessories was founded in 1973 and has seen its growth from manufacturing its first helmet in a garage to the manufacturing capacity of 7 million per year.
- Studds Accessories is the leading manufacturer company of the two-wheeler helmets industry in the world in terms of sales volume with presence in 39 countries.
- Brands – It has two major brands in the name of Studds (budget for the customers at large) and SMK (Premium customized) and two classification of Helmet and Bike Accessories.
- Manufacturing Prowess – It has two backward integrated manufacturing facilities in Faridabad, India and one under construction. The testing laboratory is also approved by VCA England. It has the benefit of in-house testing lab to have cost effective business model. It has all the safety certifications like IS: 4151; IS: 2925; ECE 22.05; SLSI which makes it the go to brand in the international market.
- Product Portfolio – Overall portfolio comprises of more than 47 products with a total production capacity of 1.5 million per year.
- Tie-ups with Giants – The company has joint branding agreements for supply of helmets and two-wheeler lifestyle accessories with two-wheeler OEMs such as Honda Motor India Private Limited, Hero Motocorp Limited, Suzuki Motorcycle India Private Limited and UM Lohia Two Wheelers Private Limited.
- Studds Share price down from Rs.1900/sh to Rs.1245/sh in the last six months
Financials:
| Particulars | FY2021 | FY2020 |
| Revenue | 479.62 Cr. | 414.52 Cr |
| Reserves | 280.05 Cr. | 206.19 Cr. |
| Face Value | 5/sh | 5/sh |
| Earnings/Share | 37.61/sh | 37.89/sh |
| Profit After Tax | 74 Cr. | 74.54 Cr. |
| Profit Before Tax | 98.30 Cr. | 95.42 Cr. |
Chennai Super Kings (CSK):
Chennai Super Kings is one of the most prestigious Indian Premier League (IPL) cricket team.
- It was founded in 2008 when the IPL tournament started in India. It’s one of the most successful franchisee in IPL with 4 IPL Trophies.
- Most Consistent Franchisee – They have qualified to eight finals out of the ten leagues they took part in, which made them one of the most flourishing franchises in the IPL.
- IPL Media Rights Revenue – The IPL Media Rights is a major source of revenue which is Rs 920 Cr (2018-2022) and was Rs 410 Cr (2008-2012). Even with conservative estimates we expect its Revenue from IPL Media Rights will be touching Rs 1450 Cr for the period of 2023-2027.
- CSK Share price down from Rs.230/sh to Rs.165/sh in the last six months
Financials:
| Particulars | FY2021 | FY2020 |
| Revenue | 247.83 Cr. | 350.27 Cr |
| Reserves | 213.03 Cr. | 172.77 Cr. |
| Face Value | 0.1/sh | 0.1/sh |
| Earnings/Share | 1.16/sh | 1.43/sh |
| Profit After Tax | 40.26 Cr. | 50.34 Cr. |
| Profit Before Tax | 59.20 Cr. | 67.25 Cr. |
Tamilnad Mercantile Bank(TMB):
- Tamilnad Mercantile Bank Limited (TMB) is a private sector bank. It is a scheduled commercial bank and authorized dealers in foreign exchange. The company offers personal banking, NRI and international banking, and business and corporate banking services.
- TMB was the fastest-growing private sector bank. The first private sector bank in India to introduce computerization for branch-level operations
- the TMB adopted modernizations in 1983. Today, all the 509 branches of the bank are networked through the Infosys FINACLE Software and have 100% connectivity.
- The bank has been continuously increasing its branch network and is also able to generate high quantum of deposits. It has been a leader in various technological advancement in the industry which is providing an edge to them over competitors and has benefitted the Tamilnad mercantile bank share value.
- TMB Share price down from Rs.725/sh to Rs.550/sh in the last six months
Financials:
| Particulars | FY2021 | FY2020 |
| Revenue | 3833.86 Cr. | 3609.05 Cr |
| Reserves | 5193.19 Cr. | 4437.47 Cr. |
| Face Value | 10/sh | 10/sh |
| Earnings/Share | 42.34/sh | 28.61/sh |
| Profit After Tax | 821.92 Cr. | 603.33 Cr. |
| Profit Before Tax | 821.92 Cr. | 603.33 Cr. |
HDFC Securities Ltd.
• HDFC Securities Limited is a leading financial services intermediary and subsidiary of HDFC Bank a private sector bank in India. Offering services like Equity Trading, mutual fund, IPO, Derivatives, Exchange Traded Funds, Insurance, Small case.
• HDFC Group Company – HDFC Bank Ltd is the promoter and holds ~95% in HDFC Securities.
• High margin Business – Gross margin stood at 50% in FY21.
• High Growth Business – The Topline increased 62%, from Rs 862 Cr in FY20 to Rs 1400 Cr in FY21.
• High Margin Business – PAT grew exponentially to Rs 703 Cr in FY21 from Rs 384 Cr.
• High Dividend – HDFC Securities paid Rs 547/sh in FY 21-22, Rs 318/sh in FY20-21.
Financials:
| Particulars | FY2021 | FY2020 |
| Revenue | 1368.16 Cr. | 857.47 Cr |
| Reserves | 1464.54 Cr. | 1231.87 Cr. |
| Face Value | 10/sh | 10/sh |
| Earnings/Share | 446.64/sh | 245.65/sh |
| Profit After Tax | 703.23 | 384.15 Cr. |
| Profit Before Tax | 945.62 Cr. | 509.01 Cr. |