Lessons from Zee: What to read when investing in a cash-cow firm

The recent debt-related turmoil in India Inc has one underlying theme — unsuccessful diversification into non-core areas. Even if the flagship businesses are strong, investors can still suffer value erosion due to failed diversification. An established cash-generating business tends to increase the risk appetite of the promoter or the management.

from Markets-Economic Times https://ift.tt/2YbzYxw