Meet The Small Cap Czar Of India Who Redefined Value Investing

In the world of finance and stock market investing, certain individuals stand out as true luminaries, guiding others with their wisdom and expertise. One such luminary in the Indian stock market is Manish Goel, often referred to as the Warren Buffett of India. With a passion for living a fulfilling life and a knack for making astute investment decisions, Manish Goel has not only carved a niche for himself but has also helped countless others navigate the complex world of stock market investing. Let’s delve into the fascinating journey of Manish Goel, a Chartered Accountant turned value investor, and explore the principles and strategies that have made him a renowned name in the field. His website is www.manishgoelstocks.com

Q: Can You Share Your Background and What Led You to Pursue a Career in Stock Market Investing?

Manish Goel's journey into the world of stock market investing began with a profound interest in finance. After obtaining his Chartered Accountant qualification, he spent four years as a Finance Manager at Ranbaxy Laboratories. However, he soon realized that his true passion lay in stock market investing, where he could not only make money but also enjoy a quality life with free time. He made the bold decision to transition into a full-time stock market career, where his money could work for him, leaving him with ample time for creative and productive thinking.

Q: Describe Your Investing Strategy and Portfolio Organization. What Valuation Methods Do You Employ, and How Do You Source Your Investment Ideas?

Manish Goel adopts a Value Investor/Fundamental Investor approach, placing little faith in Technical Analysis and Growth Story approaches. Instead, he relies on a range of fundamental factors, including PE ratios, ROE, ROCE, Dividend yield, Debt Equity ratios, and more, to determine if a stock is undervalued. He starts by using a stock screener to filter out overvalued stocks and then conducts deep research to identify the best and safest undervalued stocks.

Manish Goel

Q: Could You Share When You First Began Your Journey into Multibagger Investing, and What Notable Investment Did You Make?

I embarked on my multibagger investing journey with a passion for value-based stock selection. One of my first notable investments was in Chaman Lal Setia, a stock that witnessed a remarkable growth of 40 times its initial value. This early success was the outcome of my comprehensive financial knowledge and industry expertise gained during my time as a finance manager. It reinforced my belief in fundamental analysis as a potent tool for identifying promising stocks. This experience set the stage for my continued exploration of multibagger opportunities, ultimately leading to a portfolio of exceptional growth stocks.

Q: Who or What Has Been Your Biggest Source of Inspiration or Mentorship in Your Investing Journey? What Valuable Lessons Have You Learned From Them?

Manish Goel attributes his most significant lessons to his own mistakes. Early in his career, he faced setbacks that prompted him to reflect on his decisions. Through this introspection, he discovered the do's and don'ts of the stock market. His most crucial lesson is to avoid getting caught up in market noise and herd mentality, emphasizing the importance of focusing on a company's fundamental strength.

He also draws inspiration from the timeless wisdom of financial luminaries like Warren Buffett. The long-term vision of Warren Buffett has been a guiding light for Manish. He admires how Buffett's approach to long-term investing in undervalued, fundamentally strong companies consistently provides a substantial margin of safety.

Q: How Have You Seen the Approach to Investing Change Over the Years, and What Adaptations Have You Made?

Manish Goel acknowledges that the stock market and investing approaches are constantly evolving. What may have been considered a safe strategy in the past may not hold true today. He emphasizes the need to stay ahead of the curve, citing the example of Yes Bank, which was once a favorite among investors but faced a government takeover in 2020. Investors must remain vigilant and adjust their strategies in response to changing developments.

In response to these changes, Manish has adapted by maintaining a primary focus on identifying stocks with the potential to become multibaggers. Rather than settling for modest returns, he seeks out opportunities that can yield substantial profits over the long term. This strategic shift has allowed him to identify and recommend stocks like Swiss Glascoat, Chaman Lal Setia Exports, KPR Mills, Mold-Tek Packaging, and Maithan Alloys, which have delivered exceptional returns.

Q: What Advice Would You Offer to Entrepreneurs Looking to Establish Themselves in the Stock Market Field?

For aspiring entrepreneurs in the stock market, Manish Goel recommends making research-based decisions rather than relying on news or noise. He highlights the importance of transparency, integrity, and hard work. Entrepreneurs should refrain from making false promises to clients and consider their clients' financial and social positions when offering investment advice. Compliance with guidelines and rules is essential.

Moreover, Manish underscores the value of long-term vision, a principle he adopted from the likes of Warren Buffett. He believes that building wealth in the stock market requires patience and the ability to hold quality stocks for the long haul.

Q: In Your Opinion, What Is the Most Influential Factor Contributing to Your Business' Success?

In Manish Goel's perspective, the most influential factor contributing to his business's success is the steadfast commitment to a long-term investing vision. Inspired by Warren Buffett, this vision prioritizes investments in undervalued, fundamentally strong companies.

He believes that this approach provides investors with a substantial margin of safety, allowing them to weather market volatility and economic uncertainties. By striving to create the highest returns for his clients with minimal possible risks, Manish has built a reputation for excellence in the stock market field through his website www.manishgoelstocks.com . His dedication to preserving and growing his clients' wealth over the long term has been a cornerstone of his business's success.