Our recomandation about Nifty Huge profit booking showing us...!
1st Supoort will be break 5050
2nd Support 4920
1st Supoort will be break 5050
2nd Support 4920
Friday, December 18, 2009
Tuesday, December 15, 2009
Block Deal
: Maruti Udyog 42353 Shares at 1582, Bihar Tubes 700000 Shares at 71.60; Mcnally Bharat Says gets Order Worth 3.3 Bln.
Advance Tax Numbers:
SBI 17.95 Bln Vs 17 Bln,
Yes Bank 900 Mln Vs 370 Mln,
ICICI Bank 3.01 Bln Vs 6.25 Bln,
SCI 135 Mln Vs 148 Mln,
Idbi Bank 740 Mln Vs 190 Mln,
Asian Paints 1.2 Bln Vs 450 Mln,
Ambuja Cement 1.4 Bln Vs 1.4 Bln,
BOI 1.02 Bln Vs 3.7 Bln,
Hsbc India 1.75 Bln Vs 4 ,
Standard Chartered Bank 4 Bln Vs 4.3,
Jp Morgan Chase 520 Mln Vs 1.76,
Reliance Energy 600 Mln Vs 200 Mln
Wednesday, December 9, 2009
"Nifty"
"Nifty"Sell In This On Going Rallies In Market Bcoz We Are Seeing Huge Profit Booking"Resistance 5195 - 5245Support -5050 - 4920"
Saturday, September 26, 2009
Wednesday, August 5, 2009
Book Profit .......!
RELCAP LTP :- 913
DLF LTP :- 391
TATASTEEL LTP :-473
SUZLON LTP:-96.75
ENJOY WITH OUR ALL CALL'S........!
DLF LTP :- 391
TATASTEEL LTP :-473
SUZLON LTP:-96.75
ENJOY WITH OUR ALL CALL'S........!
Tuesday, July 21, 2009
Saturday, July 11, 2009
As on Friday 10th July 2009
* SUZLON closed @ 83.25 and we RECOMMEND Sell for LONG-TERM with STOPLOSS of 98.48 and Sell for SHORT-TERM with STOPLOSS of 96.49 and we also expect STOCK to react on Following IMPORTANT LEVELS Today.
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*GMRINFRA closed @ 125.40 and we RECOMMEND Buy for LONG-TERM with STOPLOSS of 94.49 and Sell for SHORT-TERM with STOPLOSS of 140.95 and we also expect STOCK to react on Following IMPORTANT LEVELS Today.
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Resistance 2
134.39
Resistance 1
130.69
Pivote
126.5
Support 1
120.11
Support 2
116.41
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*DLF closed @ 278.50 and we RECOMMEND Sell for LONG-TERM with STOPLOSS of 294.93 and Sell for SHORT-TERM with STOPLOSS of 318.75 and we also expect STOCK to react on Following IMPORTANT LEVELS Today.
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Resistance 2
293.75
Resistance 1
287.47
Pivote
281.35
Support 1
269.53
Support 2
263.25
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*RELCAPITAL closed @ 742.85 and we RECOMMEND Buy for LONG-TERM with STOPLOSS of 735.01 and Sell for SHORT-TERM with STOPLOSS of 814.98 and we also expect STOCK to react on Following IMPORTANT LEVELS Today.
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*TATASTEEL closed @ 352.90 and we RECOMMEND Buy for LONG-TERM with STOPLOSS of 320.20 and Sell for SHORT-TERM with STOPLOSS of 366.65 and we also expect STOCK to react on Following IMPORTANT LEVELS Today.
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*GMRINFRA closed @ 125.40 and we RECOMMEND Buy for LONG-TERM with STOPLOSS of 94.49 and Sell for SHORT-TERM with STOPLOSS of 140.95 and we also expect STOCK to react on Following IMPORTANT LEVELS Today.
------------------
Resistance 2
134.39
Resistance 1
130.69
Pivote
126.5
Support 1
120.11
Support 2
116.41
------------------
*DLF closed @ 278.50 and we RECOMMEND Sell for LONG-TERM with STOPLOSS of 294.93 and Sell for SHORT-TERM with STOPLOSS of 318.75 and we also expect STOCK to react on Following IMPORTANT LEVELS Today.
------------------
Resistance 2
293.75
Resistance 1
287.47
Pivote
281.35
Support 1
269.53
Support 2
263.25
------------------
*RELCAPITAL closed @ 742.85 and we RECOMMEND Buy for LONG-TERM with STOPLOSS of 735.01 and Sell for SHORT-TERM with STOPLOSS of 814.98 and we also expect STOCK to react on Following IMPORTANT LEVELS Today.
------------------
------------------
*TATASTEEL closed @ 352.90 and we RECOMMEND Buy for LONG-TERM with STOPLOSS of 320.20 and Sell for SHORT-TERM with STOPLOSS of 366.65 and we also expect STOCK to react on Following IMPORTANT LEVELS Today.
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Metals & Energy
*Crude oil poised for biggest weekly fall since Jan. Business Line
*Metals prices to drop this quarter. Business Line
*Nickel declines on global cues. Business Line
*Rupee slips 30 paise against dollar. Business Line
*Forex reserves fall $107 million. Business Line
*Crude oil may rebound next year on emerging market demand. Business Line
*Copper down on dollar strength. Business Line
*Silver near 10-week low.
*Oil at $60 sees big Weekly fall. The Economic times
*Gold plunges 2%, dollar firms up. The Economic times
*Bond falls, rupee weakens to 49.02. The Economic times
*Metals prices to drop this quarter. Business Line
*Nickel declines on global cues. Business Line
*Rupee slips 30 paise against dollar. Business Line
*Forex reserves fall $107 million. Business Line
*Crude oil may rebound next year on emerging market demand. Business Line
*Copper down on dollar strength. Business Line
*Silver near 10-week low.
*Oil at $60 sees big Weekly fall. The Economic times
*Gold plunges 2%, dollar firms up. The Economic times
*Bond falls, rupee weakens to 49.02. The Economic times
Agri Commodities News
*Kharif crops coverage still down.
Sowing gathers momentum on monsoon’s progress. (Business Line)
*Malaysian palm oil exports rise. (Business Line)
*Palm oil futures resume fall. (Business Line)
*Spill-over rains wet parts of parched north-west. (Business Line)
*Castor seed futures drop on weak export demand. (Business Line)
*Kharif Sowing picks up pace as monsoon revives. (Financial Express)
*Govt tells HC it needs six months to fix sugar price. (Financial Express)
*Centre to provide extra seeds to counter poor sowing. (Financial Express)
*Onion, potato prices unlikely to rise further. (Financial Express)
*Jeera futures gains 1.93%.(Financial Express)
*Tax-free sugar imports to extend. (Financial Express)
Sowing gathers momentum on monsoon’s progress. (Business Line)
*Malaysian palm oil exports rise. (Business Line)
*Palm oil futures resume fall. (Business Line)
*Spill-over rains wet parts of parched north-west. (Business Line)
*Castor seed futures drop on weak export demand. (Business Line)
*Kharif Sowing picks up pace as monsoon revives. (Financial Express)
*Govt tells HC it needs six months to fix sugar price. (Financial Express)
*Centre to provide extra seeds to counter poor sowing. (Financial Express)
*Onion, potato prices unlikely to rise further. (Financial Express)
*Jeera futures gains 1.93%.(Financial Express)
*Tax-free sugar imports to extend. (Financial Express)
Friday, June 5, 2009
Buy Fortis
Buy Fortis CMP :- 114
any Big News in fortis in up comeing day's..buy now......with stop loss 90
any Big News in fortis in up comeing day's..buy now......with stop loss 90
Agri Commodities News
Bay ‘low’ seen reviving monsoon activity. (Business Line)
Spot rubber tops Rs 100/kg again. (Business Line)
Pepper futures end higher. (Business Line)
FCI to sell 3.73 lakh ton maize. (Business Line)
Palm oil drops on profit-taking. (Business Line
Dip in cotton yarn fabric exports (The Financial Express)
Soya meal exports decline by more than 80%.(The Financial Express)
Friday, May 29, 2009
Metals & Energy Report (01/06/2009)
• Gold climbed above $980 per ounce after 3 months as dollar tumbled against euro
• Crude oil surged for biggest monthly gain since 1999 easing economic downturn
• Michigan Surveys of Consumers reading on consumer sentiments stand at 68.7
• Copper surged a slumping dollar and equity gains boosted demand
Gold climbed above $980 per ounce as traders bought the metal as a hedge against weakness in the dollar,
which fell to five-month lows against a basket of currencies. The re-establishment of bullion's inverse correlation
with the dollar had put further milestones in view. If the dollar continues to be sold, the first obvious target is
$1,006 an ounce. Moreover Silver prices are benefiting from strong investment demand for the metal, with
buying of silver-backed exchange-traded funds soaring since the beginning of 2009 and speculative net long
positions on the COMEX futures exchange rising. While industrial and photographic demand for the metal is
lackluster, investors are buying the metal as a cheap proxy for gold.
Crude oil jumped above $66 per barrel after strengthening economic data suggested the economic downturn
may be easing. Influencing inventories data by the U.S. Energy Information Administration on U.S. crude oil
stocks, which tumbled by 5.4 million barrels in the week, was highly supportive. OPEC's decision to hold oil
production steady also helped prop up prices. The producer group kept its output targets unchanged as
expected, betting on a strengthening world economy and tentative signs of increased demand.
Optimism over the U.S. government's stimulus programs to combat the recession lifted consumer confidence in
May to its highest level in eight months, according to a survey showed. The Reuters/University of Michigan
Surveys of Consumers said its final May reading on consumer sentiments was 68.7, higher than an early May
figure of 67.9 and a final April reading of 65.1. This was slightly above economists' median expectation of a
reading of 68.0, according to a Reuter's poll. Consumers' outlook over the next 12 months and five years also
jumped since April, spurred by confidence in President Barack Obama's economic stimulus measures such as
rebate checks and extension of unemployment benefits.
Copper was up on back of the weak dollar against the euro and economic optimism remained upbeat after a
batch of data suggested the global recession may be easing. Japanese industrial production rose 5.2% in April on
a monthly basis, and the government said it expected continued gains through June. U.S. growth data also
reinforced the sense that the global economic slump might be abating. Copper's gains slowed after data showed
business activity in the U.S. Midwest shrank in May much more than expected. Moreover London Metal
Exchange warehouse stocks slipped 4,850 tonnes to 312,275 tonnes. Elsewhere lead rose 5%, tracking an
industrial metals rally as rising equities and a weak dollar boosted markets, moreover supply issues were also
supporting prices.
• Crude oil surged for biggest monthly gain since 1999 easing economic downturn
• Michigan Surveys of Consumers reading on consumer sentiments stand at 68.7
• Copper surged a slumping dollar and equity gains boosted demand
Gold climbed above $980 per ounce as traders bought the metal as a hedge against weakness in the dollar,
which fell to five-month lows against a basket of currencies. The re-establishment of bullion's inverse correlation
with the dollar had put further milestones in view. If the dollar continues to be sold, the first obvious target is
$1,006 an ounce. Moreover Silver prices are benefiting from strong investment demand for the metal, with
buying of silver-backed exchange-traded funds soaring since the beginning of 2009 and speculative net long
positions on the COMEX futures exchange rising. While industrial and photographic demand for the metal is
lackluster, investors are buying the metal as a cheap proxy for gold.
Crude oil jumped above $66 per barrel after strengthening economic data suggested the economic downturn
may be easing. Influencing inventories data by the U.S. Energy Information Administration on U.S. crude oil
stocks, which tumbled by 5.4 million barrels in the week, was highly supportive. OPEC's decision to hold oil
production steady also helped prop up prices. The producer group kept its output targets unchanged as
expected, betting on a strengthening world economy and tentative signs of increased demand.
Optimism over the U.S. government's stimulus programs to combat the recession lifted consumer confidence in
May to its highest level in eight months, according to a survey showed. The Reuters/University of Michigan
Surveys of Consumers said its final May reading on consumer sentiments was 68.7, higher than an early May
figure of 67.9 and a final April reading of 65.1. This was slightly above economists' median expectation of a
reading of 68.0, according to a Reuter's poll. Consumers' outlook over the next 12 months and five years also
jumped since April, spurred by confidence in President Barack Obama's economic stimulus measures such as
rebate checks and extension of unemployment benefits.
Copper was up on back of the weak dollar against the euro and economic optimism remained upbeat after a
batch of data suggested the global recession may be easing. Japanese industrial production rose 5.2% in April on
a monthly basis, and the government said it expected continued gains through June. U.S. growth data also
reinforced the sense that the global economic slump might be abating. Copper's gains slowed after data showed
business activity in the U.S. Midwest shrank in May much more than expected. Moreover London Metal
Exchange warehouse stocks slipped 4,850 tonnes to 312,275 tonnes. Elsewhere lead rose 5%, tracking an
industrial metals rally as rising equities and a weak dollar boosted markets, moreover supply issues were also
supporting prices.
Friday, May 15, 2009
Crude oil tumbled below $57 a barrel pressured by weak global demand
Crude oil tumbled below $58 a barrel pressured by
Crude oil tumbled below $58 a barrel pressured by weak global demand and by gains in the U.S. dollar againstthe euro. The U.S. dollar was slightly up against a basket of major currencies, having risen earlier following weakGerman economic data. On the other hand, European data shows worse than expected first quarter GDP, andthat's bearish, particularly for distillate as that is the biggest market for those products. The International EnergyAgency said world oil demand this year will post the sharpest annual decline since 1981 as the economystruggles to bounce back. Demand will contract by 2.56 million barrels per day (bpd) in 2009, the IEA, whichadvises 28 industrialized countries, said in a monthly report. Nigerian militants have hijacked two cargo ships inthe Niger Delta and given oil companies until Saturday to evacuate staff, warning they would attack helicoptersand planes after the deadline, after heavy clashes with the military.
Crude oil tumbled below $58 a barrel pressured by weak global demand and by gains in the U.S. dollar againstthe euro. The U.S. dollar was slightly up against a basket of major currencies, having risen earlier following weakGerman economic data. On the other hand, European data shows worse than expected first quarter GDP, andthat's bearish, particularly for distillate as that is the biggest market for those products. The International EnergyAgency said world oil demand this year will post the sharpest annual decline since 1981 as the economystruggles to bounce back. Demand will contract by 2.56 million barrels per day (bpd) in 2009, the IEA, whichadvises 28 industrialized countries, said in a monthly report. Nigerian militants have hijacked two cargo ships inthe Niger Delta and given oil companies until Saturday to evacuate staff, warning they would attack helicoptersand planes after the deadline, after heavy clashes with the military.
India's Congress Can Retain Power without Communists
May 15 (Bloomberg) -- India’s Congress party is confident it can retain power without needing to mend ties with the Communists, who want to limit foreign investment and almost brought down the government last year over a nuclear energy deal with the U.S.
“We can form the government without the Left,” Trade Minister Kamal Nath said in an interview yesterday in New Delhi. “We’re not looking at the Communists at the moment.”
Congress may need to woo former allies or find new partners to form a majority in parliament after elections that concluded May 13, exit polls showed. Prime Minister Manmohan Singh and the communists, or Left-wing parties, parted ways in July after four years of wrangling on issues ranging from allowing retailers including Wal-Mart Stores Inc. into the country to increased foreign ownership of insurers.
“I don’t think Congress will make the mistake of wanting to form a government with the Left again unless all other strategies have been exhausted,” said Prem Shankar Jha, an independent political analyst and former aide to former Prime Minister Vishwanath Pratap Singh.
The benchmark Sensitive Index rose for the 10th week, the longest winning streak in almost three years, on optimism Singh’s re-election without communist interference will give the government more scope to tackle slowing economic growth.
Election results will be announced tomorrow.
Third-Largest Bloc
India’s four Communist parties currently hold 61 of 543 lower-house seats, making them the third-largest bloc in parliament after groups led by Congress and the opposition Bharatiya Janata Party. Exit polls indicated the Communists may lose almost half of those seats and Congress has already forged an alliance with the Trinamool Congress Party in the Communist stronghold of West Bengal.
The communists did support patent laws and the establishment of tax-free trade zones, “but they do carry an ideological baggage and sometimes that is a problem, which is a deterrent to economic reforms,” Nath said.
Nomura Holdings Inc. said last month that India’s next government would offer better prospects for economic reforms without relying on Communist allies for support.
“If the Bharatiya Janata Party or the Congress form the new government not beholden to the Communists, we would remain cautiously optimistic about India’s prospects and firmly of the view that the potential growth rate could rise to 10 percent in the medium term,” Nomura said in a report.
India’s economic growth rate may ease to 6 percent in the year that started April 1, the slowest pace since 2003, the central bank said April 21.
Exit Polls
Six television networks forecast the ruling alliance led by Congress may emerge just ahead of a rival grouping led by the BJP. CNN-IBN predicted Congress and its allies will get as many as 205 seats compared with a maximum 185 for the opposing coalition. Star News-Nielsen and News X gave the Congress-led bloc 199 seats to 191 for the BJP.
The Communist parties won’t support a Congress-led administration, the Economic Times reported yesterday, citing Prakash Karat, general secretary of the biggest group, the Communist Party of India (Marxist).
Still, to keep out its arch rival BJP, whose Hindu ideology the Left opposes, the communists may back Singh for a second term in office, the Hindustan Times reported, without citing anyone. The paper quoted Karat as saying no government is possible without the support of the Communists.
Nath said internal voter surveys by Congress indicate a stronger showing than that projected in the exit polls, reducing the number of partners it will need to form a government. The party is prepared to negotiate with the Communists if that proves necessary.
“Of course, if we have to do business with them, then we will have to negotiate with them the terms of business,” he said. “They left. We did not throw them out.”
“We can form the government without the Left,” Trade Minister Kamal Nath said in an interview yesterday in New Delhi. “We’re not looking at the Communists at the moment.”
Congress may need to woo former allies or find new partners to form a majority in parliament after elections that concluded May 13, exit polls showed. Prime Minister Manmohan Singh and the communists, or Left-wing parties, parted ways in July after four years of wrangling on issues ranging from allowing retailers including Wal-Mart Stores Inc. into the country to increased foreign ownership of insurers.
“I don’t think Congress will make the mistake of wanting to form a government with the Left again unless all other strategies have been exhausted,” said Prem Shankar Jha, an independent political analyst and former aide to former Prime Minister Vishwanath Pratap Singh.
The benchmark Sensitive Index rose for the 10th week, the longest winning streak in almost three years, on optimism Singh’s re-election without communist interference will give the government more scope to tackle slowing economic growth.
Election results will be announced tomorrow.
Third-Largest Bloc
India’s four Communist parties currently hold 61 of 543 lower-house seats, making them the third-largest bloc in parliament after groups led by Congress and the opposition Bharatiya Janata Party. Exit polls indicated the Communists may lose almost half of those seats and Congress has already forged an alliance with the Trinamool Congress Party in the Communist stronghold of West Bengal.
The communists did support patent laws and the establishment of tax-free trade zones, “but they do carry an ideological baggage and sometimes that is a problem, which is a deterrent to economic reforms,” Nath said.
Nomura Holdings Inc. said last month that India’s next government would offer better prospects for economic reforms without relying on Communist allies for support.
“If the Bharatiya Janata Party or the Congress form the new government not beholden to the Communists, we would remain cautiously optimistic about India’s prospects and firmly of the view that the potential growth rate could rise to 10 percent in the medium term,” Nomura said in a report.
India’s economic growth rate may ease to 6 percent in the year that started April 1, the slowest pace since 2003, the central bank said April 21.
Exit Polls
Six television networks forecast the ruling alliance led by Congress may emerge just ahead of a rival grouping led by the BJP. CNN-IBN predicted Congress and its allies will get as many as 205 seats compared with a maximum 185 for the opposing coalition. Star News-Nielsen and News X gave the Congress-led bloc 199 seats to 191 for the BJP.
The Communist parties won’t support a Congress-led administration, the Economic Times reported yesterday, citing Prakash Karat, general secretary of the biggest group, the Communist Party of India (Marxist).
Still, to keep out its arch rival BJP, whose Hindu ideology the Left opposes, the communists may back Singh for a second term in office, the Hindustan Times reported, without citing anyone. The paper quoted Karat as saying no government is possible without the support of the Communists.
Nath said internal voter surveys by Congress indicate a stronger showing than that projected in the exit polls, reducing the number of partners it will need to form a government. The party is prepared to negotiate with the Communists if that proves necessary.
“Of course, if we have to do business with them, then we will have to negotiate with them the terms of business,” he said. “They left. We did not throw them out.”
Thursday, May 7, 2009
What to expect in May 09
*The forward PE of Sensex has now taken an upturn in April, standing at around 13x the FY10 earnings. Religare Equity Research expects Sensex P/E to go to highs of 14x – 15x and Sensex could move to maximum 13000 levels in current rally.
*Equity markets have moved up in no time with over 30% returns. Investor may allocate around 40% of total corpus to equity, book profits on rest of the portfolio and wait for correction of around 10-12% or up to Sensex 10500 to make another 30% investment in markets.
*IMF says that the Indian economy is projected to grow 4.5% in 2009, down from 5.1% projected earlier with the growth rate expected to rise to 5.6% in 2010. The global economy on the other hand is set to projected to contract 1.3% in 2009.
*The expected continuation of the slump is on account of the probable write-offs of the toxic bank debt in the US, Europe and Japan which could reach $4.1 trillion.
*While the recent run-up rally in the Indian markets may have raised the valuations from rock bottom levels seen at the beginning of the year, we can still find tremendous buying opportunities in the Indian market due to its growth potential.
*The RBI expects the Indian economy to grow at 5.7% in FY10. This number is still higher as compared to most global and Asian economies.
*Investor may build a long term oriented portfolio of large cap fund investments and buy in staggered manner during big market corrections.
Stress Tests Determine 10 U.S. Banks Need Total Capital of $74.6 Billion
The Federal Reserve determined that 10 U.S. banks need to raise a total of $74.6 billion in capital, a finding that Chairman Ben S. Bernanke said should reassure investors about the soundness of the financial system. The results showed that losses at the banks under ``more adverse'' economic conditions than most economists anticipate could total $599.2 billion over two years. Mortgage losses present the biggest part of the risk, at $185.5 billion. Trading accounts were the second-largest vulnerability, with potential losses of $99.3 billion. The conclusion of the unprecedented probe of the health of the largest 19 lenders opens an exit for some of the firms from a tense partnership between Wall Street and the government. Others will have six months to fill their capital shortfalls and may be forced to accept expanded federal
ownership that could prompt changes in their management. ``The results released today should provide considerable comfort to investors and the public,'' Bernanke said in a statement. ``The examiners found that nearly all the banks that were evaluated have enough Tier 1 capital to absorb the higher losses envisioned under the hypothetical adverse scenario.''
ownership that could prompt changes in their management. ``The results released today should provide considerable comfort to investors and the public,'' Bernanke said in a statement. ``The examiners found that nearly all the banks that were evaluated have enough Tier 1 capital to absorb the higher losses envisioned under the hypothetical adverse scenario.''
Saturday, April 18, 2009
Metals & Energy
*Forex reserves dip $2.2 bn to $253 bn. Financial Express
*China copper imports may surpass output. Financial Express
*Gold yields 17% average return. Financial Express
*Crude oil eases on demand. Financial Express
*Zinc in positive tone. Financial Express
*China’s economy to rebound. Financial Express
*Dollar at 1-month high. Financial Express
*Yields falls, Rupee recovers. Financial Express
*Gold, silver imports may pick up momentum soon. Business Standard
*Rupee rises as risk appetite builds. Mint
*Tin recovers on fund buying. Business Line
*Crude rises as equity gain bolsters fuel demand outlook. Business Line
*Domestic iron ore prices decline marginally. Business Line
*China copper imports may surpass output. Financial Express
*Gold yields 17% average return. Financial Express
*Crude oil eases on demand. Financial Express
*Zinc in positive tone. Financial Express
*China’s economy to rebound. Financial Express
*Dollar at 1-month high. Financial Express
*Yields falls, Rupee recovers. Financial Express
*Gold, silver imports may pick up momentum soon. Business Standard
*Rupee rises as risk appetite builds. Mint
*Tin recovers on fund buying. Business Line
*Crude rises as equity gain bolsters fuel demand outlook. Business Line
*Domestic iron ore prices decline marginally. Business Line
Sunday, March 15, 2009
Market Strategy
Beating all odds
Balance sheet analyses reveals 19 companies with a winning formula
This report aims to identify companies which would not only be investment picks in adverse times such as these, but would also figure among the best performers upon a revival of the market. We have shortlisted 18 companies based on their strong balance sheet positions and cash generation capacities. We firmly believe that the shortlisted players have the wherewithal to battle the unrelentingly glum economic scenario.
Robust balance sheets set them apart: We have considered companies which have strong cash generation capacities (OpCF/sales ratio), or low capex requirements, or those which have already completed a bulk of their capex with healthy free cash flows (FCF), or have low debt obligations with strong cash per share and RoCE. We have excluded the real estate and shipping sectors from this exercise.
Liquidity, under-ownership feathers in their caps: We have further scrutinised the companies with reference to liquidity and the under/over-ownership criteria. We believe under-owned stocks, over a period of time, should generate higher returns. The market ownership ratio of 60% is taken as the benchmark. (Ownership ratio = (FII% + DII%)/ Free Float%)
Stress case test: Companies that satisfied the above two criteria have been further assessed on the basis of stress-case conditions, to help time the investment better. The last bear cycle has been considered for valuation purposes.
Large cap picks: Bharti, ONGC, RIL, Maruti and Bajaj Auto
Mid cap picks: Sesa Goa, Birla Corp, UltraTech, Thermax and Titan
Balance sheet analyses reveals 19 companies with a winning formula
This report aims to identify companies which would not only be investment picks in adverse times such as these, but would also figure among the best performers upon a revival of the market. We have shortlisted 18 companies based on their strong balance sheet positions and cash generation capacities. We firmly believe that the shortlisted players have the wherewithal to battle the unrelentingly glum economic scenario.
Robust balance sheets set them apart: We have considered companies which have strong cash generation capacities (OpCF/sales ratio), or low capex requirements, or those which have already completed a bulk of their capex with healthy free cash flows (FCF), or have low debt obligations with strong cash per share and RoCE. We have excluded the real estate and shipping sectors from this exercise.
Liquidity, under-ownership feathers in their caps: We have further scrutinised the companies with reference to liquidity and the under/over-ownership criteria. We believe under-owned stocks, over a period of time, should generate higher returns. The market ownership ratio of 60% is taken as the benchmark. (Ownership ratio = (FII% + DII%)/ Free Float%)
Stress case test: Companies that satisfied the above two criteria have been further assessed on the basis of stress-case conditions, to help time the investment better. The last bear cycle has been considered for valuation purposes.
Large cap picks: Bharti, ONGC, RIL, Maruti and Bajaj Auto
Mid cap picks: Sesa Goa, Birla Corp, UltraTech, Thermax and Titan
Friday, February 6, 2009
AGRI COMMODITIES NEWS
*PEPPER futures drop as bears turn active (BL)
*Lower output, rising Chinese demand prop up SOYABEAN (ET)
*PALMOLEIN rises on buying interest (BL)
*SOYMEAL exports likely to fall 26% y-o-y in February (FE)
*PEC to import 15000 tonne PULSES (FE)
*Buying props up CARDAMOM prices (BL)
*Rains in WHEAT-growing areas likely next week (BL)
*25,000 t raw SUGAR shipment to arrive next week (BL)
*CCI offloads 12 lakh bales of COTTON in domestic market (FE)
AA : The Asian Age
BL : Business Line
BS : Business Standard
CM : Capital Market
ET : The Economic Times
FE : Financial Express
HT : The Hindustan Times
IE : The Indian Express
PBD : The Political and Business Daily
TOI : Times of India
