{"id":4892,"date":"2025-08-15T14:22:18","date_gmt":"2025-08-15T08:52:18","guid":{"rendered":"https:\/\/www.eqwires.com\/tutorials\/?p=4892"},"modified":"2025-08-15T14:22:18","modified_gmt":"2025-08-15T08:52:18","slug":"down-70-why-radhakishan-damani-is-holding-on-to-aptech-ltd","status":"publish","type":"post","link":"https:\/\/www.eqwires.com\/tutorials\/down-70-why-radhakishan-damani-is-holding-on-to-aptech-ltd\/","title":{"rendered":"Down 70%: Why Radhakishan Damani Is Holding On to Aptech Ltd"},"content":{"rendered":"\n<p id=\"0\">Radhakishan Damani, often referred to as the &#8220;Retail King of India&#8221; and admired for his Buffett-like investing style, is known for his quiet conviction and long-term bets. While most investors panic at steep declines, Damani remains unfazed\u2014even when one of his long-held stocks, Aptech Ltd, has plunged nearly 70% from its all-time high. So, what does he see that others don\u2019t?<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">The Stock in Question: Aptech Ltd<\/h2>\n\n\n\n<p>Aptech Ltd, a pioneer in non-formal education and vocational training, has been part of Damani\u2019s portfolio since December 2015. His stake, held under his brother Gopikishan Damani\u2019s name, currently stands at around 3%, valued at approximately \u20b923 crore.<\/p>\n\n\n\n<p>Despite the stock trading at \u20b9127 as of mid-August 2025\u2014down from its peak of \u20b9423\u2014Damani hasn\u2019t exited. Instead, he continues to hold firm, signaling deep-rooted belief in the company\u2019s fundamentals and long-term potential.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Business Performance: Mixed Signals<\/h2>\n\n\n\n<p>Aptech operates across diverse verticals including:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>IT training<\/li>\n\n\n\n<li>Media and entertainment<\/li>\n\n\n\n<li>Aviation and retail<\/li>\n\n\n\n<li>Beauty and wellness<\/li>\n\n\n\n<li>Banking and finance<\/li>\n\n\n\n<li>Preschool education<\/li>\n<\/ul>\n\n\n\n<p>It serves both individuals and enterprises, with a global footprint. Financially, the company has shown impressive top-line growth:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Revenue grew from \u20b9158 crore in FY20 to \u20b9476 crore in FY25\u2014a CAGR of 24%<\/li>\n\n\n\n<li>Q1 FY26 alone saw \u20b9120 crore in revenue<\/li>\n<\/ul>\n\n\n\n<p>However, profitability has been under pressure:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>EBITDA margins have declined in FY25<\/li>\n\n\n\n<li>Net profits have also seen a dip, raising concerns about operational efficiency<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Valuation Metrics<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Current Price: \u20b9127<\/li>\n\n\n\n<li>All-Time High: \u20b9423<\/li>\n\n\n\n<li>PE Ratio: 35x (vs. industry median of 36x)<\/li>\n\n\n\n<li>10-Year Median PE: 36x<\/li>\n\n\n\n<li>Industry 10-Year Median PE: 26x<\/li>\n<\/ul>\n\n\n\n<p>Despite the fall, Aptech trades at a valuation comparable to its historical average, suggesting that the market still sees potential in its business model.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Why Damani Might Be Holding<\/h2>\n\n\n\n<p>Here are some possible reasons behind Damani\u2019s continued interest:<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">1. Long-Term Vision<\/h3>\n\n\n\n<p>Damani is known for his patience. His biggest bet\u2014Avenue Supermarts (D-Mart)\u2014was held for years before it became a multibagger. Aptech may be another long-term play where he sees value beyond short-term volatility.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">2. Sectoral Potential<\/h3>\n\n\n\n<p>India\u2019s ed-tech and vocational training sector is poised for growth, especially with increasing demand for skill-based education. Aptech\u2019s diversified offerings position it well to capitalize on this trend.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">3. Turnaround Opportunity<\/h3>\n\n\n\n<p>With strong revenue growth and a wide footprint, Aptech may be undergoing a temporary margin squeeze. Damani might be betting on a turnaround in profitability once operational efficiencies kick in.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">4. Insider Confidence<\/h3>\n\n\n\n<p>Damani\u2019s continued stake signals insider confidence. For retail investors, this can be a cue to look deeper rather than react to price movements alone.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Risks to Watch<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Declining margins and net profits<\/li>\n\n\n\n<li>High PE ratio despite falling price<\/li>\n\n\n\n<li>Competitive pressure from newer ed-tech players<\/li>\n\n\n\n<li>Execution challenges in scaling enterprise business<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Final Thoughts<\/h2>\n\n\n\n<p>Damani\u2019s investment style is built on conviction, patience, and deep value. While Aptech\u2019s stock has taken a beating, its fundamentals\u2014especially revenue growth and sectoral positioning\u2014remain intact. For investors willing to look beyond the noise, Aptech might still hold promise.<\/p>\n\n\n\n<p id=\"0\">But as always, caution is key. Damani\u2019s moves are worth watching, but they\u2019re not a substitute for individual due diligence.<\/p>\n\n\n\n<p id=\"0\"><strong><a href=\"https:\/\/www.eqwires.com\/tutorials\/who-is-the-best-sebi-registered-investment-advisor-in-i\">Eqwires Research Analyst<\/a><\/strong><\/p>\n\n\n\n<p class=\"has-dark-gray-color has-text-color\"><strong><a href=\"https:\/\/www.eqwires.com\/\">Top-notch SEBI registered research analyst<\/a><\/strong><\/p>\n\n\n\n<p class=\"has-dark-gray-color has-text-color\"><strong><a rel=\"noreferrer noopener\" href=\"https:\/\/www.eqwires.com\/\" target=\"_blank\">Best SEBI registered Intraday tips provider <\/a><\/strong><\/p>\n\n\n\n<p class=\"has-dark-gray-color has-text-color\"><a href=\"mailto:info@eqwires.com\"><strong>info@eqwires.com<\/strong><\/a><\/p>\n\n\n\n<p class=\"has-dark-red-color has-text-color\"><strong><a href=\"https:\/\/t.me\/eqwires\">Telegram&nbsp;<\/a>|&nbsp;<a href=\"https:\/\/www.facebook.com\/eqwires\/\">Facebook&nbsp;<\/a>|&nbsp;<a href=\"https:\/\/instagram.com\/Eqwires\">Instagram<\/a><\/strong><\/p>\n\n\n\n<p class=\"has-dark-red-color has-text-color\"><strong>Call: +91 9624421555 \/&nbsp;<em>+91 9624461555<\/em><\/strong><\/p>\n\n\n\n<p><strong><a href=\"http:\/\/www.eqwires.com\/\">www.eqwires.com<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Radhakishan Damani, often referred to as the &#8220;Retail King of India&#8221; and admired for his Buffett-like investing style, is known for his quiet conviction and long-term bets. While most investors panic at steep declines, Damani remains unfazed\u2014even when one of his long-held stocks, Aptech Ltd, has plunged nearly 70% from its all-time high. So, what does he see that others don\u2019t? The Stock in Question: Aptech Ltd Aptech Ltd, a pioneer in non-formal education and &hellip; <a href=\"https:\/\/www.eqwires.com\/tutorials\/down-70-why-radhakishan-damani-is-holding-on-to-aptech-ltd\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Down 70%: Why Radhakishan Damani Is Holding On to Aptech Ltd&#8221;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":4893,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[74],"tags":[],"class_list":["post-4892","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-best-sebi-registered-advisory-company"],"_links":{"self":[{"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/posts\/4892","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/comments?post=4892"}],"version-history":[{"count":1,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/posts\/4892\/revisions"}],"predecessor-version":[{"id":4894,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/posts\/4892\/revisions\/4894"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/media\/4893"}],"wp:attachment":[{"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/media?parent=4892"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/categories?post=4892"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.eqwires.com\/tutorials\/wp-json\/wp\/v2\/tags?post=4892"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}