Stallion Asset’s Amit Jeswani speaks at the Alpha Ideas 20-20 event in Mumbai. (Source: BloombergQuint)

Alpha Ideas 20-20: Why Stallion Asset’s Amit Jeswani Is Betting On Edelweiss

India is primed to double its size to a $5-trillion economy from $2.5 trillion at present over the next seven to eight years. Edelweiss Financial Services Ltd., with its fingers in all aspects of the country’s financial market, is the stock to bet on, said Stallion Assets’ Founder Amit Jeswani.

All the businesses of Edelweiss, including wealth management, asset management and credit, will grow five-six times over the next seven years, Jeswani said at the Alpha Ideas 20-20 event in Mumbai. “It’s a blue sky scenario for any company that is lending and can recover the money.”

The stock ticks all the right boxes of over 25 percent growth, a large opportunity size, strong management, high return on equity and reasonable valuations, he said. The firm's credit business currently has an ROE of 18 percent, while the non-credit business has an ROE of 150 percent. The stock is trading at four times its book value and 27 times its prime to earnings multiple, Jeswani showed in his presentation.

Disclaimer: The commentary on BloombergQuint represents the view of external experts. Investors are advised to consult a certified financial advisor/planner when making any investments. No views shared on a BloombergQuint program or story or conversation should be construed as personal advice.

Quintillion Business Media Pvt. (BloombergQuint) is not responsible for any risk or loss that might occur as a result of using this information in any way, regardless of your interpretation of the advice.

BloombergQuint’s digital and social media platforms provide views of only SEBI-registered investment advisors/analysts.