MOAT, Monoppoly, Evergreen Businesses and wealth creation

Having MOAT, being monopoly is not enough, it needs a different DNA to create wealth for its shareholders.

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Not SEBI registered. Stocks mentioned here are not recommendation. Consult your financial advisor before acting.

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Indian Moat Machines

Nestle India Market share in Segment it Operates:

• Noodles Market – 60%
• Infant Cereals – 96%
• Instant Pasta – 65%
• Chocolates – 60%
• Instant Coffee – 50%

ITC Market Share in Segment it Operates:

• Cigarette - 84.27 - Gold Flake, Classic, Wills, Flake and Navy Cut
• Packaged Wheat – 30% - Aashirvaad
• Cream Biscuits – 25% - Sunfeast
• Chips market – 30% - Bingo
• Notebooks market – 25% - Classmate

HUL Market Share in Segment it Operates:

• Oral market care – 15%
• Soaps market – 40%
• Laundry care – 40%
• Shampoo market – 50%
• Cosmetics – 20%
• Branded Tea – 20%

Godrej Consumer Products Market Share in Segment it Operates:

• Household Insecticides – 50%
• Hair Color Segment – 30%
• Soaps – 10%

Marico Market Share in Segment it Operates:

• Coconut oil – 59%
• Premium Edible oils – 73%
• Oats – 25%
• Hair gels and creams – 60%

Dabur Market Share in Segment it Operates:

• Toothpaste – 10%
• Honey – 50%
• Ayurveda tonics – 60%
• Juices – 45%
• Digestives – 50%
• Amla Hair Oil - 60%

Procter and Gamble Market Share in Segment it Operates:

• More than 50% market share in diaper, sanitary napkins and shaving razor market
• 25% market share in Shampoo
• 20% in Laundry Care

Britannia Market Share in Segment it Operates:

• Biscuits - 38%
• United Spirits Market Share in Segment it Operates:
• Hard Alcoholic drinks - >50%

United Breweries Market Share in Segment it Operates:

• Beer - >50%

Maruti Suzuki Market Share in Segment it Operates:

• Passenger Cars - 50%

Pidilite Market Share in Segment it Operates:

• Adhesives - 70%

 

 
 
 

⭕ Strong Monopolies ⭕

1. IEX >90% market share in power trading.
2. Zydus wellness >90% market share in sugar free product.
3. Eicher motors >85% market share in 250cc bikes category.
4. MCX >85% market share in commodity trading.
5. ITC >75% market share in cigrattes.
6. Honda Siel >75% in portable power generators.
7. Asahi India Glass >70% market share in automotive glass.
8. Pidilite >65% market share in adhesives.
9. Exide >60% market share in lead batteries.
10. Vst Tillers >50% market share in Power tillers.
11. Vinati Organics >50% market share in IBB
12. OCCL >50% market share in IS.
13. LMW >50% market share in textile machinery.
14. Bajaj consumer >50% market share in almond hair oil.
15. Asian paints >50% market share in decorative paints.
16. Colgate >50% market share in oral care.
17. Symphony >50% market share in coolers.
18. PGHH >50% market share female care & vaporub.
19. La Opala Rg >50% market share in opalware.
20. Maruti suzuki >50% market share in passenger cars.
21. GMM pfaudler >50% market share in glass lined equipment.
22. Marico >40% market share in hair oil (coconut) & edible oil.
23. HUL >40% market share in soaps, household products.
24. Nestle >40% market share in Instant noodles. >95% in infant nutrition.
25. Blue dart >40% market share in air express courier service.
26. VIP >40% market share in luggage.
27. USL >40% market share in spirits/whisky.
28. UBL >40% market share in beer.
29. Sundram fasteners >40% market share in fasteners.
30. Nocil <40% market share in rubber chemicals.
31. Gillette <40% market share in razors & blades.
32. TTK Prestige <40% market share in pressure cookers.
33. Hero Motocorp <35% market share in 2 wheelers.

What are some evergreen businesses and why?

Having MOAT is not enough, it needs a different DNA to create wealth for its shareholders. Along with MOAT, a business need prudent capital allocation, high efficiency, low debt and a strong growth engine to become EVERGREE.

1. Asian Paints : It is market leader, famous name. From factory to shop, they directly deliver paint without any middleman, so earn more profit. They have paint mixing machine in every shop to generate any colour. Since, not many competition is there, they earn always by increasing the price of the paint. India is developing, therefore its building many offices, tower, homes etc.,. Paint is needed everywhere.
2. Berger Paints: Second market leader, famous name. They also have paint mixing machine in every shop to generate any colour. Since, only two strong business only exist, combining them is an unstoppable force.
3. Pidilite: Everybody knows fevicol. They have Mseal, Dr. Fixit. All are related to furniture or building material. Growing story for ages.
4. Relaxo: Cheap branded chappal, Brand name in an unorganized sector. Schoolmate, Relaxo, Sparx, Flite & Bahamas are few famous names.
5. Britannia : Bakery and biscuit maker have highest market share in premium biscuit market.
6. Titan: Trusted name in unorganized sector. For jewellery people need trust and purity to buy. Tata brand is market leader and people of India loves gold.
7. Radico: Makers of foreign liquor brand in India. Sin business, government regulated but young people like their brand and product. Addiction is going to stay.