Could Network 18 be the Next Multi-Bagger We All Missed?


The sole businessman in India not affected by COVID 19 seems to be Mr. Mukesh Ambani.
He has kept his entrepreneurial skills turned on all these years and has slowly and steadily diversified from Oil to other sectors, the latest being Jio mart.
Step by step he has created a portfolio of a large customer base. While companies like Amazon, Flipkart, Uber, Ola, etc. are burning cash year on year to capture market share and ultimately consumers for the long-run, he has done both besides making the business profitable.
He has made acquisitions and engaged in partnerships to enter varied content platforms. Besides the recent back to back deals, Abu Dhabi state fund Mubadala Investment Company is in talks to invest about $1 billion in Reliance Jio Platforms. The Jio service is already a winner by breaking-even despite engaging in the game of cash burn for a short duration.
It shouldn’t be surprising if Reliance starts pooling together the huge customer base it has built from different business like Reliance Jio/Fresh/Smart etc. and offer a bundled pocket friendly and premium service to the average Indian price-sensitive consumer and soon become a market leader over various sectors. If this indeed turns out to be true, could Network 18 which boasts of 55 domestic,16 international channels and a substantial digital presence be the next multi-bagger stock in the next 3-4 years?

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