Rekha Jhunjhunwala Pares Stake in Indian Hotels During Quarterly Portfolio Review
Ace investor Rekha Jhunjhunwala, the wife of late stock market veteran Rakesh Jhunjhunwala, has strategically reduced her holding in the Tata group hotel stock, Indian Hotels, by almost 1% during the third quarter of the financial year. This move was part of her routine quarterly portfolio rebalancing, reflecting a cautious approach amid the stock's recent underperformance.
Details of the Stake Sale
According to data available on the Bombay Stock Exchange (BSE), Rekha Jhunjhunwala sold 1,45,23,200 shares of Indian Hotels, which represented a 1.02% stake in the company during the quarter under review. Following this transaction, her current holding stands at 1,42,87,765 shares, equivalent to a 1% stake in Indian Hotels, as per the December shareholding pattern disclosed by the company.
Broader Portfolio Overview
Apart from Indian Hotels, Rekha Jhunjhunwala's diversified stock portfolio includes several other prominent Tata group stocks such as Tata Motors CV, Tata Motors PV, Tata Communications, and Titan. Overall, she publicly holds 27 stocks with a combined net worth exceeding ₹45,023 crore, according to data from Trendlyne. Notably, she has largely maintained her stakes in almost all her other holdings, indicating a stable investment strategy.
Indian Hotels Share Price Performance Analysis
The Tata group stock, Indian Hotels, has notably underperformed the Indian stock market's benchmark index, the BSE Sensex, over the past year across various time frames. Key performance metrics include:
- One-Year Performance: Indian Hotels share price has declined by 17%, in stark contrast to a 6.5% rise in the BSE Sensex.
- Six-Month Performance: The stock has lost 14%, compared to a 1.4% loss in the Sensex.
- Year-to-Date Performance: Indian Hotels is down 13%, while the 30-pack index has fallen by 4%.
However, on a longer-term basis, Indian Hotels has demonstrated remarkable growth, emerging as a multibagger stock. It has multiplied investor wealth by 443% over five years and 550% over ten years, highlighting its potential for substantial returns over extended periods.
Significance for Retail Investors
Retail investors often closely monitor the portfolio movements of marquee investors like Rekha Jhunjhunwala, as these actions can serve as valuable indicators of potential opportunities and trends in the market. Her decision to trim stakes in underperforming stocks while maintaining others underscores the importance of strategic portfolio management and timely adjustments based on market conditions.
Disclaimer: This story is for educational purposes only. We advise investors to consult with certified experts before making any investment decisions.
