Rising one position to second place, Govindarajan Chellappa of Jefferies tracks seven companies, earning client praise for his stock picking in particular. An example is the analyst’s coverage of Mumbai-based Mahindra & Mahindra. Chellappa highlighted his underperform stance on the tractor and sport-utility vehicle manufacturer in January, judging the domestic market for its diesel-powered SUVs to be topped out. The stock declined by as much as 18.3 percent through early September before reversing course to close at 867.60 rupees in mid-October, for a loss of 7.5 percent since January. Over the same period the sector gained 2.2 percent. His current favorite is Hero MotoCorp, a New Delhi–based motorcycle maker that is controlling costs and enjoying an uptick in demand. Chellappa advised investors in April that raw-materials prices were declining and reiterated his long-standing buy rating on Hero. By mid-October the shares had rallied 32.4 percent, to 2,051.05 rupees, besting the sector by 20.1 percentage points. “He takes the long view, which suits our investment style,” avers one fund manager. — Ben Mattlin |
Mahindra Govindarajan Chellappa Jefferies New Delhi Ben Mattlin Hero MotoCorp