Arun the Stock Guru -Stocks,Trading Tips and Investment Ideas

Partner me in your growth

2009-11-10T06:20:00.000-08:00

The best brokerage house in the country:-

As you all know I have invested a lot of money in a brokerage franchise.Primarily because I wanted to have an association with all of you.I have planned it in such a way that if now you courier me the required documents you get your account open within 2-3 days and bang you are a part of arun"s firm.You are entitled for a lot of upcoming benefit.

Many of u guys repeatedly complained me that you are not allowed to invest in the scrips have been recomended.Be it ICICI DIRECT,RELIANCE MONEY,INDIABULLS etc, they dont allow to trade or invest in those scrips.God knows what can be the reason behind that.Anyway be rest assured any sort of scrip suggested by me can be bought from my firm.So the hassles wud no longer prevail.

Benefits of opening the account:-
1)Hassle-free trading&investing under a single screen.Charting facility,off market orders,call and trade all facilities available

2)Least brokerages over peers.(3 and 30 paisa for intraday and delivery respecteievely)
3)Flwaless and a dynamic software for order execution.
4)Solid research for investment ideas.
5)Margin funding of a humangous 5 times for cash and 10 times for FNO

6)High accurate daily intraday calls given on your trading screen
7)Instant cash transfer/withdraw through internet banking.(21 banks-HDFC/ICICI/UTI/IDBI/OBC etc can be linked ..money transfer is fully online if any of these 21 banks are linked...)
8)BSE-NSE Trading in a singe screen in any scrip given again with 5 and 10 times
funding for cash and FNO trading

9)For stuffs like dividend/stockspit/bonus shares they are automatically
transfered to the account or in the DP.
10)24 hours online and ofline suport from me and my people.Full time guidance too.

No matter where you stay in india or in any part of the world you can always have an account wth my firm.

So here is what you need to courier me for an online trading account:-

1.PAN Card zerox
2.Address proof(Voter card/Passport/Ration card/cesc bill/bsnl bill/Driving license/Latest Bank Statement with Bank seal)
3.One Photo
4.One cancel cheque(if Bank Statement is not given with your name printed on cheque)

Address where you will courier:-debjyoti is the broking partner of mine.

Debjyoti Gupta
Flat No-E,Ground Floor
1/1,Dover Lane,Garia hut
Kolkata-700 029
Phone: (office)0091-033-24630125/64506292
(Res)0091-033-24643793
Cell No-9830352795/9230529459,9230529459

For any clarification regarding these,mail me at:-arunanalyst@rediffmail.com

Hope to have your active support folks.Sent these to me and I assure all of you would have a gala time.Rock on.

Regards,
ARUN
9804589299
I can be reached at:arunanalyst@rediffmail.com

Nahar Capital & Financial Services Ltd:Buy/hold/sell,analysis/target price/results

2009-11-10T05:23:00.000-08:00

Scripscan:Nahar Capital & Financial Services Ltd
cmp:47
Code:532952

Story:In a bullmarket,you will come across several inventive variants of a sob story.Something just like "One my relatives made tons of money in the stock market. He had a friend who worked for a big operator. Every time he bought a stock,it doubled within a month.I was tempted to go along, and the next time he bought a stock,I bought it too. That stock doubled. Then I sold some jewellery,took an advance against my provident fund and put it all into the next stock he recommended. This time, the stock went down.I waited for a year hoping the price would recover.Finally after I'd lost 75 per cent of my capital,I sold.Oh,and my idiot relative too lost a packet!" It's easy to lose big money in a bull market.Prices are inflated, the financials of "hot picks" are often dubious,everybody has sure firekhabar.Above all, many bull market participants tend to be inexperienced and sometimes arrogant; and they tend to get drunk on success. When prices fall, most of them lack the discipline to admit they've made mistakes and exit with dignity.Nahar Capital & Financial Services Ltd has neither an inspiring business model nor the business prospects looks robust.Stagnant financials,lame management,lack of commitmnet towards minority shareholders all goes against it.Anyways hers a tip by an operator,he forsees 70rs target for Nahar Capital & Financial Services Ltd in the next 1-2 months.The company is quoting at around 47rs now,so if he proves rite the jackpot is here for you folks.Else to be at the safer hand I have already mentioned the story above.So decide accordingly.

JIK Industries Ltd:Whats cooking,target price,results and analysis,buy/sell/hold,future prospects and oulook

2009-11-10T05:17:00.000-08:00

Scripscan:JIK Industries Ltd
cmp:26
Code:511618

Story:JIK Industries, Ltd., a diversified company, engages in manufacturing and exporting lead-free crystal glassware. It also engages in recycling of chemicals, trading, and distribution and retailing, as well as money changing and money transfer activities. The company was founded in 1990 and is based in Mumbai, India.So honestly it has no meaningful business worth talking about.In the quarters ending march 2009, june 2009 and September 2009, the company posted sales of around Rs 1-57 lakh each and an net profit of Rs40 lakh loss, Rs2 lakh and Rs1.3 crs, respectively.But BSE-listed companies like these are ripe for manipulaion. The stock has zoomed a humungous 400% in the last six months. Neither the regulator nor the BSE appear concerned.Simple gullible retail investors would get lured by the rise and inevitably with every manipulated upper circuits the greed would inch up only to see the nosediving of the counter to its deserved level after a while.Folks rather than blaming stock markets blame yourself for your losses.

Refex Refrigerants Ltd:Future growth outlook and prospects,buy/hold/sell,analysis and recomendation

2009-11-10T04:54:00.000-08:00

Scripscan:Refex Refrigerants Ltd
cmp:25
Code:532884

Story:Refex Refrigerants is into business of refilling and selling non-ozone depleting refrigerants gases popularly known as Hydrofluoro Carbons or HFCs which are used in auto air-conditioners, room and commercial A.C., refrigerators and refrigerating equipments. These refrigerants are replacement for CFC’s and HCFC’s which deplete the ozone layer.The future of the HFC gas is very bright, but the company would have competition from local manufacturers. Due to huge infrastructure cost, the margins of the company would always be under pressure. About 80% is the cost of raw material for the company.With the Advent of a new era of eco friendly refrigerants, Refex is emerging as the leader in the current industry in promoting awareness and benefits of using Non Ozone Depleting Refrigerants. The dates set by the Montreal Protocol are now almost here. The use of CFCs will be completely banned by the year 2010. The strength of the companys brand lies in its drive to use Non Ozone Depleting Refrigerants and marketing the same. The complete market share of the CFC will now be diverted towards the more eco friendly refrigerants. This will see a huge spurt in the demand from both the direct manufacturers as well as the trade market. The boom in the economy , the increase in the manufacturing facilities of all leading Car and Refrigerator Manufacturers, the Growth in the sector of Transport Refrigeration, the need for more Air Conditioning in the multiple Commercial Complexes are also all continuously contributing to the growth in demand.The future is very bright and the industry is growing at a phenomenal pace.In order to keep up with the increased demand, the newly set up plant of the Company is now geared to handle all future requirements.Refex will eventually emerge as the leader both in terms of its business as well as its contribution to the environment by its Go Green campaign.Considering all these it looks to be a good bet.A definite hold at present levels.

Indiabulls Power Ltd:Future growth prospects and outlook,buy/sell/hold,recomendation and analysis

2009-11-09T20:17:00.000-08:00

Scripscan:Indiabulls Power Ltd
cmp:35
Code:533122

Story:Indiabulls Power has a very high-risk profile for the average retail investor. The company is to start generating cash flows only after 2012. It is planning to set up 6,615-MW of thermal power generation capacity at a cost of Rs 31,052 crore in the next four years.Also, “the company is yet to arrange fuel linkages for all its projects, except for the Amravati Phase 1 project which is to come up by June-September 2012. Further, the company lacks operating history and experience in power generation which increases the doubt over its ability to execute projects of such mammoth scale.It is better, therefore, to avoid this stock at the moment, and instead watch the company’s performance for some time before taking a call.

Eastern Silk Industries Ltd:Future growth prospects and outlook,buy/sell/hold,analysis and recomendation

2009-11-09T05:49:00.000-08:00

Scripscan:Eastern Silk Industries Ltd
cmp:13
Code:590022

Story:EASTERN SILK INDUSTRIES, LTD. engages in the manufacture, sale, and export of silk yarn and fabrics primarily in India. It offers fabrics and made-ups, home furnishings, fashion fabrics, handloom fabrics, double width fabrics, scarves, laces and belts, and embroidered fabrics. EASTERN SILK INDUSTRIES exports its products to the United States and Europe, as well as to Australia, the Middle East, and the Far East. The company was founded in 1946 and is based in Kolkata, India.India is the second largest producer of silk and international acceptance of its textile designers is improving its positioning in the global silk industry. Indian textile industry also stands to gain considerably from the removal of export quota restrictions, US restrictions on Chinese textile imports and value-added quality.The company has started a new plant worth INR 800mn in Bangalore which has been recently operational.This will surge the total production capacity of silk yarn and fabrics.The company is now focusing on machine made silk fabrics rather than handloom made silk fabrics. Machine made silk fabrics fetches higher margins and have better demand in developed countries.ESIL plans to venture into domestic markets due to an increase in demand for silk in the furnishing sector in India. The margins in the domestic markets are higher as the finished products are sold to the retailers directly.We have initiated a coverage with a price target of INR 22 giving an appreciation potential of 70% in the next 2 years.

GTL Ltd:Buy/hold/sell,oulook,prospects and analysis

2009-11-08T18:59:00.000-08:00

Scripscan:GTL Ltd
cmp:339
Code:500160

Story:GTL Limited provides network services for telecom services providers and technology providers. It offers network planning and design services, such as RF planning and design, RF optimization, transmission planning, benchmarking and auditing, in-building solutions, and virtual planning and optimization; and network deployment services, including site/construction engineering, management services, site implementation, acceptance services, site documentation, and validation services. The company also provides network operations and maintenance services that comprise network monitoring and operations, network field maintenance, technical support and process management, logistics and vendor management, and transition management; and infrastructure management services, such as program management, site expansion management, shareability assessment, documentation management, disaster recovery management, and site acquisition management. In addition, it offers energy management services, including energy audits of telecom infrastructure, process improvements and best practices, technology upgradation, and alternate sources of energy; and professional services in the areas of RF engineering, NSS engineering, Vas and billing, 2G and 3G access, microwave and optical transmission networks, and network operations and maintenance. It has operations in the United States, Asia, Europe, and the Middle East. The company has strategic alliance with Ericsson UK to serve managed network infrastructure services market in the United Kingdom.We maintain our FY10E revenue and EBIDTA estimates, but lower our PATestimates by 4% due to increase in interest expenses. We revise our FY10E EPS to Rs16.8 (from Rs17.6 earlier)and introduce FY11E EPS at Rs 20/share. We revise our SOTP based target price to Rs 325/ share based on 15x FY11E EPS of Rs20 and value of holding in GTL Infra at Rs50/ share. Domestic order deferrals and higher working capital cycle remain concerns on the growthand cash flows of the company.The downside to the stock price could be limited due to the likely large order wins from BSNL tender.We maintain a hold rating on it.

Arshiya International Ltd:Future growth prospects and outlook,buy/hold/sell

2009-11-08T18:46:00.000-08:00

Scripscan:Arshiya International Ltd
cmp:129
Code:506074

Story:Arshiya International has commenced rail operations with two rakes for Vedanta Aluminium Ltd & Mitsubishi. Arshiya will provide customized solution to its clients through its dedicated rakes on a long term contract basis.Management has guided that the company will deploy 30 rakes of Phase I project by Q1FY2011 in domestic segment with the capex of Rs 6.26 bn. The D/E of this project will be 1.8 : 1.Arshiya International has reported a sequential decline of 18% to For FY09 Arshiya’s revenues increased by 25% to Rs 5 bn, while EBDITA grew by47% to Rs 762 mn. EBIDTA margins expanded to 15.2% (+230 bps) due tochang in revenue mix. In FY09, Arshiya’s volume handling increased by 35% to Rs 42000TEUs.Arshiya has entered into long term contracts for its rail container business. The 3rd rake is expected to start in current quarter for domestic segment.Arshiya has received formal approval from Board of Approval (BoA) of SEZs for JNPT FTWZ, while it is still waiting for the final approval. We expect the delay in BoAapproval will defer the development work at FTWZ which is now expected tostart itscommercial operations by Q4FY2010. The company has earmarked the capex of Rs5.3bn for this project. Arshiya has tied up its capex with lead bankers for JNPTFTWZ project.Arshiya has received formal approval for FTWZ in Khurja, Delhi. The company will incur the capex of Rs 4.4 bn and are in the process for debt arranging with bankers.Arshiya has acquired the land for Central FTWZ (Nagpur) which is anticipated to be at an investment of Rs 2 bn.Management has indicated that FTWZ at Sohar in Oman is dropped due to regulatory issues on leasing of land.We expect business outlook for all logistic companies to remain weak through H1FY2010, due to global economic slowdown. Though we are positive on the delivery expertise of the company and its expansion plan, external environment presents significant scope for downward revision of its expected numbers. Moreover the delay in FTWZ approval will further shift the revenue to a future date. Though the business environment is bleak, we are positive on the company’s future plan and expertise. We recommend a ‘HOLD’on the counter as of now.

Essar Oil Ltd:Future growth prospects and outlook,buy/sell/hold,latest news,results and analysis.recomendation and updates

2009-11-08T18:39:00.000-08:00

Scripscan:Essar Oil Ltd
cmp:130
Code:500134

Story:Essar Oil’s results for the September ‘09 quarter were important not for its quarterly numbers but more for the update on its various projects. The major amongst them is the progress on its wholly owned coal bed methane (CBM) block atRaniganj.The block, which is currently estimated to yield one trillion cubic feet of natural gas over its working life of 25 years, will start producing by end-March ‘10. This translates in cumulative earnings of Rs 20,000 crore over its lifetime or an annual average revenue of Rs 800 crore, assuming $4.2 per unit gas price. The company is currently preparing its development plan for the CBM block that envisages drilling 500 wells and deployment of innovative drilling techniques, which will be followed by financial closure by December ‘09. The company will also have to lay a 160-km pipeline to take the gas to its main consumption centre Kolkata.The company also continues with its aggressive plan to expand capacity of its refinery on the west coast to 34 million tonnes in the next two years from current 10.5 MTPA. Financing of $1.5 billion has been tied up for the first phase, which will take the capacity to 16 MTPA by December ‘10. Another 18-MTPA expansion at the cost of $4.4 billion is scheduled for December ‘11.In the expansion process, the index of a refinery’s quality - as referred by Nelson’s Complexity Index - would also double. This means the refinery would be able to produce fuels meeting most stringent Euro IV / V norms, eliminate low-value products such as fuel oil, and increase production of high-value products like petrol.Apart from the organic growth, the company is actively pursuing acquisitions in the refining business. The company has already bought 50% stake in a 4-MTPA refinery in Kenya and is discussing with Shell to buy out its three European refineries with a combined capacity of 23 MTPA. The company, which sold over 0.62 million tonnes of fuel through its 1,278 retail outlets in the first half of FY09, is expanding its network to 1500 outlets by end FY10. Provided all its plans succeed, Essar Oil could emerge as a global petroleum major within the next few years.Have a close watch on this counter folks,could be a multibagger in the longer run.

Mazda Ltd:Future growth prospects and outlook,recomendation/latest news and results/buy/hold or sell

2009-11-08T07:30:00.000-08:00

Scripscan:Mazda Ltd
cmp:65
Code:523792

Story:Mazda Limited manufactures and sells engineering products in India and internationally. The company provides desuperheaters; turbine bypass, automatic recirculation, pressure reducing, and reformer valves; pressure reducing stations; pneumatic control and safety valves; and pneumatic actuators. It also offers high pressure heater attemperator, spray water control, high pressure heater drain, feed water control, low pressure turbine bypass, high and low pressure heater bypass, minimum flow control, water separator drain, superheater spray water, reheater spray water, low pressure heater attemperator, and feed water tank attemperator valves, as well as pressure reducing cum desuperheating stations. In addition, the company provides various vacuum systems, including single/multi stage steam jet ejector vacuum systems; combination vacuum system of steam jet ejector and liquid ring vacuum pump and jet ejectors; steam jet thermo compressors; evaporative water chillers; liquid, air, vapour, and steam jet ejectors; steam jet liquid heaters and mixers; and single/double stage liquid ring vacuum pumps. Further, it offers air pollution control equipment comprising jet venturi scrubbers, high energy venturi scrubbers, packed towers, and electro static precipitators; evaporative crystallizers; and falling film, rising film, forced circulation, natural circulation, and combination type evaporators. The company provides its products to the power, fertilizers, chemicals, bulk drugs, sugar and food, and pulp and paper industries, as well as refineries. Additionally, it offers glycal, a specialty sugar for use in chemical, enzymatic, and combinatorial synthesis of natural and unnatural complex carbohydrates, oligosaccharide, and glycoconjugate for research in the pharmaceutical and biotechnology industries. Mazda Limited has a strategic alliance with Croll-Reynolds Inc. The company was founded in 1977 and is based in Ahmedabad, India.During Q4FY09, sales surged by 43.7 per cent to Rs 24 crore and net profit by 50 per cent to Rs 2.7 crore. Q4FY09 EPS stands at Rs 6.6. OP & NP margin during Q4FY09 stood at 19.2% and 11.3% respectively against 17.4% and 10.8% in Q4FY08. ML is expecting to maintain its growth in the engineering sector with secured orders from companies like Reliance, Triveni, Siemens and L&T which will improve the revenue growth. It has developed strong technical base and is gaining confidence levels of customers for their developments of new designs and new application in engineering products. We recommend BUY with a target price of Rs 80in the medium term.

CESC Ltd:Buy/hold/sell.analysis/outlook and recomendation

2009-11-08T07:24:00.000-08:00

Scripscan:CESC Ltd
cmp:360
Code:500084

Story:CESC Limited, an integrated power utility company, engages in coal mining, as well as generating, transmitting, and distributing power in Kolkata, India. It also involves in retailing, as well as property development. The company serves domestic, industrial, and commercial users. As of March 31, 2009, it served 2.3 million consumers within the licensed area of approximately 567 sq. km in the city of Kolkata and adjoining areas. The company was founded in 1899 and is based in Kolkata, India. CESC Limited is a part of RPG Enterprises.We expect CESC to record a CAGR of 10.6% in top-line over FY2009-11, while bottom-line would post CAGR of 10.5% in the mentioned period.We have also assigned a lower FY2010E P/BV multiple to the company’s existing power business at 1.25x owing to the drop in relative valuations. Hence, we have arrived at a sum-of-the-part (SOTP) target price of Rs 406 (earlier Rs 449). Nonetheless, considering that the company is inexpensive on FY2010E P/BV basis, we maintain a 'Buy' on the stock.

Venus Remedies Ltd:Future growth outlook and prosepects,buy/sell/hold

2009-11-08T07:17:00.000-08:00

Scripscan:Venus Remedies Ltd
cmp:210
Code:526953

Story:Venus Remedies Limited engages in the research, development, manufacture, and marketing of pharmaceutical formulations in India and internationally. It primarily manufactures oncological and cephalosporin injectable products. The company provides oncology liquid injections, oncology lyophilized injections, pre-filled syringes, cephalosporins, carbapenems, and cardiology injections and liquid vials. The company, formerly known as Venus Glucose Pvt. Limited, was founded in 1989 and is headquartered in Panchkula, India.Venus reported a muted growth of 1% in revenues during Q4FY09 to Rs 634 million. On QoQ basis, revenue de-grew by 3%. Lower growth in revenue is mainly because of muted growth in exports and slow off-take (decline of 13% QoQ) by strategic partners in the domestic market. On the operating front, EBIDTA declined by 11% to Rs 149 million in Q4FY09 (Rs 167million in Q4FY08). We are also introducing FY11E estimates (EPS of Rs 69.3 in FY11E). At CMP of Rs 210,the stock is trading at 3.9x FY10E EPs of Rs 54.5. We maintain buy with a target price of Rs 275 4.4x rolling EPS of Rs 61.9.

Solvay Pharma India Ltd:Future growth prospects and outlook,analysis/news and views

2009-11-07T20:15:00.000-08:00

Scripscan:Solvay Pharma India Ltd
cmp:1000
Code:532447

Story:Solvay Pharma India Limited engages in the manufacture and sale of pharmaceutical products in the areas of gastroenterology, women's health, neurosciences, influenza, psychiatry, hormone therapies, hepatology, perinatology, muscle relaxants, digestive enzymes, and allergy. Its products in the areas of women's health comprise Arachitol for treatment of vitamin D deficiency; B-crip for infertility and other gynecological dysfunctions associated with hyperprolactinemia; clome and nugon for female and male infertility; duphaston, which is indicated in progesterone deficiency; duvadilan that is indicated in preterm labor; Oestrogel to correct estrogen deficiency; Puregon for female infertility; and Utrogestan, which is indicated in progesterone deficiency and in menopause. The company also offers phychiatry/ENT/neurology products consisting of Ebasil for allergic rhinitis; Solspre nasal spray for postsurgical nasal care and daily nasal hygiene; Uvox for the treatment of depression and obsessive compulsive disorder; and vertin for the treatment of vertigo/dizziness and meniere's disease. Its products in the areas of gastroenterology include Colospa for the symptomatic treatment of abdominal pain and cramps, bowel disturbances, and intestinal discomfort; Creon for treatment of pancreatic exocrine or enzyme insufficiency; duphalac for the treatment of constipation and hepatic encephalopathy; eldicet for the treatment of irritable bowel syndrome; pankreoflat for the treatment of disturbed function of the pancreas, chronic inflammation of the pancreas, or absence of gastric juice; and udiliv for the treatment of liver diseases. In addition, Solvay Pharma offers Influvac, a vaccine for the prevention of influenza; collosol iodine for iodine deficiency disorders; and duodil for musculoskeletal conditions. The company is based in Mumbai, India. SPIL's strong balance sheet makes it a clear long-term investment candidate. Debt-free status & healthy cash flows year-on-year add to the defensive nature of the stock.We believe that these healthy cash flows should help the company in case a reasonable acquisition opportunity presents itself. At CMP of Rs 1000, the scrip trades at 10x CY2011E earnings.A good bet to own for a perspective of 3-5 years horizon.

Moser Baer India Ltd:Future growth outlook and prosepects,analysis and recomendation,buy/hold/sell?

2009-11-07T20:08:00.000-08:00

Scripscan:Moser Baer India Ltd
cmp:74
Code:517140

Story:Moser Baer India Limited engages in the manufacture and sale of optical storage media in India and internationally. The company offers a range of optical storage media products, including recordable compact discs, rewritable compact discs, recordable digital versatile discs (DVD), rewritable DVD’s, and blue laser discs. It also involves in the research, development, and manufacture of products for generating solar power, such as crystalline silicon cells and modules, as well as thin film and concentrator photovoltaic modules. In addition, the company offers home video titles in various Indian languages, including Hindi, English, Tamil, Telugu, Malayalam, Kannada, Marathi, Gujarati, Bengali, and non-film categories, as well as involves in the media content creation. Further, it provides information technology peripherals, which include USB drives, memory cards, DVD writers, PC peripherals, TFT Monitors, UPS, and external hard drives; and consumer electronics comprising LCD TVs, DVD players, portable DVD players, digital photo frames, media players, and multimedia speakers. The company was founded in 1983 and is headquartered in New Delhi, India."We initiate a buy call on Moser Baer, on basis of huge potential in its PV business, stabilizing sales in Optical discs and increasing share in high margins Blu-Ray and DVD format production. Also positive Operational cash flows and stable balance sheet is a trigger for the company. Moser Baer is a potential multi bagger which can give huge returns if the technology company is betting on (Thin film PV cells) establishes itself as best cost PV cells. Company as well as experts expect PV to achieve Grid parity within next couple of years. Besides Moser Baer there are many other players in the country which are betting huge on this business like Videocon and Reliance, but Moser Baer, one of the earliest entrants into the business is likely to get maximum benefit due to its manufacturing capabilities and expertise in high end technology work. We initiate a buy call on Moser Baer, with a target price of 120. We recommend Risk averse (avoiding) investors to ignore this stock.

Bank of Maharashtra:Buy/hold/sell?,future prospects and target price

2009-11-07T19:59:00.000-08:00

Scripscan:Bank of Maharashtra
cmp:40
Code:532525

Story:Bank of Maharashtra provides banking services in India. The company offers various deposit products, such as savings deposits, current deposits, recurring deposits, fixed deposits, and floating rate and cumulative deposits. Its loan portfolio comprise personal loans, corporate loans, education loans, vehicle loans, consumer loans, housing finance, term loans, overdrafts, guarantees, and letters of credit, as well as loans for agriculturists, entrepreneurs, exporters, individuals, professionals, and corporate customers. In addition, it provides non-resident ordinary accounts, non resident external accounts, foreign currency non resident accounts, resident foreign currency accounts for non resident Indians. Further, the company offers credit cards, automated teller machines (ATM), bancassurance, utility bill payment, trust, and demat services, as well as Internet banking services; and distributes mutual funds. As of March 31, 2009, it operated a network of approximately 1,421 branches and 345 ATMs."Bank of Maharashtra (BOM) has high CASA share of 35.7% will help the bank in maintaining its low funding cost (5.9% in FY09). Strong business growth, high CASA ( 36%), decent asset quality, sustainable ROE of about 16%, strong network base, comfortable CAR of 12% with finance ministry promising to infuse the required capital in BOM, scope for growing advances due to low Credit deposit ratio and decent dividend yield are the other key positives for the bank.Buy with price target of Rs 49.

Tasty Bite Eatables Ltd:Future growth outlook and prosepects,buy/sell/hold

2009-11-07T19:06:00.000-08:00

Scripscan:Tasty Bite Eatables Ltd
cmp:117
Code:519091

Story:Tasty Bite Eatables, Ltd. manufactures, processes, and exports ready-to-eat food products. The company offers Indian and Thai food products, including entrees, meals, and soups. It also produces pilafs, and special diets, such as vegetarian food, gluten-free food, kosher food, and vegan food. The company is based in Pune, India. Tasty Bite Eatables, Ltd. is a subsidiary of Preferred Brands International LLC.The company has got a tiny equity base of 3crs and has been buzzing offlate in the bourses as the promoters plans to delist the shares from the exchanges.The promoter alreadys owns around 75% of the total paidup capital and with a tiny base it wont be much of a hassles for them to acquire the remaining shares.Financially the company has shown strong consistency in both topline and bottomline over the last few years.At present prices even after a stunning run it isnt tremendously expensive.Any announcement on the delisting front would make the scrip buzz more.One can do arbritrage as I feel the delisting price should be higher than the present market price.I would warrant a hold at present prices.

UTV Software Communications Ltd:Future growth outlook and prospects,analysis/recomendation,buy/sell

2009-11-07T06:47:00.000-08:00

Scripscan:UTV Software Communications Ltd
cmp:440
Code:532619

Story:UTV Software Communications Limited, through its subsidiaries, operates as an integrated media and entertainment company in India and internationally. The company principally involves in the production of television content and sale of dubbing and airtime; production and distribution of movies; development, publishing, and distribution of online, console, and mobile games; and broadcasting and new media, including Web and mobile. It produces television content in various genres, including drama, comedy, kids, regional themes, fantasies, action, horror, mythological, and non-fiction; and involves in airtime sales, which allow third party marketing agencies to carryout airtime sales activity dealing with various genres of programs, such as live sports, daily soaps, game shows, children’s programs, news and current affairs programs, and feature films. The company also provides dubbing in local accent for Hindi, Bengali, Gujarati, Marathi, Tamil, Telugu, and Malayalam languages; and dubbing from English to Hindi, as well as from various international languages, which include Japanese, Chinese, German, French, and other European/Asian languages to Hindi. In addition, it engages in the development of mobile, online, console, and handheld games. Additionally, UTV Software Communications Limited involves in the production of Hindi movies, regional movies, animation films, and international productions and co-productions, as well as distribution of movies through its distribution networks in India, the United States, the United Kingdom, the Middle East, South Africa, Australia, and Japan. Further, it broadcasts various television channels, including BINDASS and Bindass YEC, youth entertainment channels; and various movie channels, such as Bindass Movies, World Movies, and UTV Movies. The company was founded in 1990 and is based in Mumbai, India. UTV Software Communications Limited operates as a subsidiary of The Walt Disney Company (Southeast Asia) Pte. Ltd.At the current market price of Rs 440 per share, UTV is currently trading at a PE of 27.9x FY10E and 11.9x FY11E EPS estimates, which looks quite attractive. At Rs 440 per share the stock is trading at a discount of 36% from our intrinsic price of Rs 599 per share which is 37.9x FY10E and 16.2x FY11E earnings. We recommend a 'BUY' rating on the stock with a long term view.

Everest Industries Ltd:Future growth prospects and outlook,buy/sell/hold

2009-11-07T06:39:00.000-08:00

Scripscan:Everest Industries Ltd
cmp:115
Code:508906

Story:Everest Industries Limited, together with its subsidiary, Everest Building Solutions Limited, engages in the manufacture and sale of building and construction products primarily in India. It offers a range of building solutions, such as ceilings, walls, flooring, cladding, doors, roofing, and pre-engineered steel buildings to industrial, commercial, and residential sectors. The company provides corrugated sheets; fibre cement corrugated roofing sheets; non-asbestos corrugated modern roofing systems; polycarbonate and metal roofing sheets for factories, power plants, stadiums, schools, and urban and rural houses. It also offers various types of ceiling products; wall boards, designer and heavy duty wall boards, and solid wall panels; floor boards; cladding products, including facades, sidings, and bracings; pre-engineered and smart steel buildings; and steel and fibre cement doors. In addition, Everest Industries exports its products to Europe, Africa, Australia, and Asia. The company was founded in 1934 and is headquartered in New Delhi, India. Everest Industries Limited is a subsidiary of M/s Everest Finvest (India) Private Limited.Everest Industries’s service & production capability, initiatives towards further expand the product range and the market, offer of more choices and solutions to its customers coupled with the sturdy growth rate in demand give strong revenue visibility in the coming years. At the CMP of Rs 115, the share is trading at a P/E of 4 on FY11E. We recommend 'BUY' with a target of Rs 135 in the medium term.

Conart Engineers Ltd:Buy/sell/hold?,potential/latest news and analysis

2009-11-07T05:09:00.000-08:00

Scripscan:Conart Engineers Ltd
cmp:19
Code:522231

Story:Conart Engineers, Ltd. engages in the engineering, procurement, and construction of industrial, commercial, residential, and infrastructures in India. The company offers its services to various industrials that include pharmaceutical, chemical, petrochemical, textile, heavy engineering, and manufacturing; and commercial sector comprising electronic and computer, transportation, educational, healthcare, business and offices, and mercantile. It also serves the residential sector focusing on bungalows, apartment buildings, and residential colonies, as well as the infrastructure sector, primarily road and bridge construction. The company was founded in 1973. It was formerly known as Conart Builders Private Limited and subsequently changed its name to Conart Engineers, Ltd. Conart Engineers, Ltd. is based in Mumbai, India.In the current Budget the Government has earmarked huge funds for development of infrastructure. The Real Estate sector is als reviving since the corporate world has forecast a turnaround. The capex plans which were deferred are now in the process of beii implemented by corporate world. The Government is also committed to boost the Indian economy for overall growth. All these factors are expected to boost the order book position of the company.Conart is aggressively marketing to increase orders and increase turnover.Conart is certainly sc rip witha very promising future.At 19rs thers hardly anything to loose in conart but the upside potential is immense.Watch out for it.

DFM Foods Ltd:Future growth outlook and prospects,buy/sell/hold

2009-11-07T05:01:00.000-08:00

Scripscan:DFM Foods Ltd
cmp:40
Code:519588

Story:DFM Foods Limited manufactures extruded snack food products in India. It also engages in trading and storage of wheat. The company is based in Delhi, India.Record agricultural production, the global meltdown in commodity prices and Government action to control inflation at any cost during an election year, contributed to the development of extremely bearish conditions in the wheat market.Consequently, the business division resulted in losses for the company. Given the current macro supply and demand factors and uncertainty in the direction of Government policy, the company has decided not to store any wheat during the current year. However, the possibility of developing the wheat supply chain by buying directly from the farmers for onward supply to actual consumers is being explored.The sales and profitability of Snack Foods division grew handsomely during the last fiscal. In order to cater to increasing demand, an expansion of extrusion capacity has been undertaken at a capital cost of approximately Rs. 13 crores. The new capacity is likely to be commissioned in a few days time.Am quite bullish on the food processing store and who knows maybe in the new bull run the sector itself would emerge as a theme.I rate a hold on dfm foods at present levels.

Lloyd Electric & Engineering Ltd:Analysis/target price/recomendation/outlook/buy/sell/hold

2009-11-07T04:22:00.000-08:00

Scripscan:Lloyd Electric & Engineering Ltd
cmp:50
Code:517518

Story:LLOYD ELECTRIC & ENGINEERING LIMITED manufactures heat exchanger coils for air-conditioning and refrigeration applications in India. It also offers ‘U’ bend and return bend for heat exchanger coils, system tubing, header line for air-conditioner equipment, and sheet metal items for air-conditioner systems. The company serves original equipment manufacturers. LLOYD ELECTRIC & ENGINEERING LIMITED was incorporated in 1988 and is based in New Delhi, India.Lloyd is the largest manufacturer of AC coils in India and also manufactures completely built units of ACs on a contract basis. Most of the AC manufacturers in India feature in the client list of Lloyd. The penetration of ACs is very low in India, at approximately 1.5 - 2%, compared to approximately 20% in developed countries, which will continue to drive the Sales of ACs in India. Further, during FY2009, the company has acquired a plant in Czechoslovakia, from Luvata, which would give Lloyd a foothold in Europe and add to its top-line and bottom-line. At the CMP, the stock trades at 3.3x its FY2011E EPS of Rs 15. The company enjoys excellent positioning in the AC market in India and, we believe, that the stock has a limited downside from its current level. In light of the changed business dynamics and consequently revised estimates, we upgrade our recommendation from neutral to buy, with a target price of Rs76.

Federal-Mogul Goetze India Ltd and Riddhi Siddhi Gluco Biols Ltd:Future growth prospects and outlook,buy/hold/sell,latest result/analysis/recomendatio

2009-11-07T02:50:00.000-08:00

1)Scripscan:Federal-Mogul Goetze India Ltd
cmp:120
Code:505744

Story:Goetze (India) Limited was established in 1954 as a joint venture with Goetze-Werke of Germany. Goetze-Werke of Germany is now owned by Federal-Mogul Corporation, a $6.3 billion global company and one of the leading manufacturers of automotive components in the world. In 2006, US-based Federal-Mogul acquired the Indian promoters’ stake, raising its holding to 50.11%, to take control of the company after which the name of the company changed to "Federal-Mogul Goetze (India) Limited"(FMG). Federal Mogul, one of the promoters of Goetze (India) and a US auto-parts major acquired 62,30,000 equity shares of the company at Rs 222.50 per share, constituting 24.64% of the equity share capital. There was rights issue in 2008 at Rs.56 per share, which did not get adequate response from the investors and promoters subscribed to the Shares and increased their holding to 74.98%. FMG has a paid-up equity capital Rs 55.63 cr. of which promoters hold 74.98%., FII/MF’s hold 12.42%, Bodies corporate hold 1.84% and Public holds 10.76%.FMG is the largest manufacturer of pistons and piston rings in India. The parent Federal-Mogul is a leading auto-ancillary company with a very strong presence in the diesel vehicles segment. FMG is involved in the manufacture of auto components like pistons, piston rings, sintered parts and cylinder liners covering a wide range of applications including two/three-wheelers, cars, SUVs, tractors, light commercial vehicles, heavy commercial vehicles, stationary engines and high output locomotive diesel engines. FMG has 4 manufacturing facilities at Bengaluru (Karnataka), Parwanoo (Himachal), Bhiwadi (Haryana) and Patiala (Punjab) and 22 pan India marketing offices. It makes the widest range of piston rings and pistons varying from 30mm to 300mm diameter. It also manufacturers sintered parts light metal castings and cylinder liners covering a wide range of applications including two/three-wheelers, cars, SUVs, tractors, light commercial vehicles, heavy commercial vehicles, stationary engines and high output locomotive diesel engines. It is market leaders both in OEM and aftermarket. Besides, about 10% of its business is from exports. Within the original equipment manufacturing (OEM) segment, FMG’s revenues are spread across all auto players including Tata Motors, M&M, Bajaj Auto and TVS. There are also expectations that the US based auto parts major parent may use FMG as an outsourcing hub.FMG reported net profit of Rs 23.68 cr. in the Q3 ended September 2009 as against net loss of Rs 2.86 cr. during the previous quarter ended September 2008. Sales rose 16.52% to Rs 204.42 cr. in the Q3 ended September 2009. For the half year ended June 2009, FMG has posted net sales of Rs 354.58 cr. and net profit of Rs 25.66 cr.. For the year ended December 2008, FMG had posted net sales of Rs 706.6 cr. and net loss of Rs 6.89 cr. The Indian automobile industry is on fast revival after tough period. 2-Wheelers and passenger cars sales are already in “Topgear”. With confidence returning in economy, CV and Capital goods sales are likely to see upward trend after almost 2 years of slow down. Increased focus on rural economy can boost tractors sales in a big way. Going forward, FMG is expanding its capacity, by installing a new plant at Chennai, which is likely to begin operations next year.In CY09, it is witnessing good performance and based on nine months results, FMG is likely to post an EPS of Rs.12-13 against loss in CY08. At CMP of Rs 120, it trades at forward PE of 9.6, which is attractive for a company that is the biggest player in its line of business. From Rs 449 on 5 January 2007, the FMG scrip tumbled to Rs 28 by 9 March 2009. In view of the improved results, strong parent and good medium term prospects, Investors can start accumulating the stock at current levels and add more on declines for decent returns of 40%-50% over the next 6-8 months.

2)Scripscan:Riddhi Siddhi Gluco Biols Ltd
cmp:139
Code:524480

Story:Riddhi Siddhi Gluco Biols Ltd (RSGB) is the largest manufacturer of various types of starch, liquid glucose, dextrose monohydrate and other derivatives, high maltose corn syrup and byproducts like corn gluten meal and enriched fibre, which are used in various applications such as chocolates, processed foods, glass and medicines, paper, glucose and textiles. RSGB controls about 17% of the total starch market. About 60-65% of its turnover comes from industry majors such as Nestle, Hindustan Unilever, Ranbaxy, Ballarpur, ITC, Grasim, Indian Rayon and Godrej. Catering to a sizeable market in India, RSGB has continuously tried to increase capacities and feed the growing industry demand, which is about 12-15% at present. Per capita consumption of corn starch in India is estimated to be about 1 kg as compared with 64 kg in US and the world average of 6 kg, which leaves room for a sustainable growth in the years to come. In 2006, RSGB, the largest corn wet milling company in the Indian subcontinent having the highest crushing capacity, had joined hands with France’s Roquette Freres, a leading player in this industry with a consolidated turnover exceeding $4.5 billion, to improve the yield parameters and develop new products.RSGB’s new capacities are already in place and for technical expertise; it has found a partner in Roquette Freres, France, which is the world’s fifth largest starch company. Roquette also has a 14.93% stake in RSGB. Roquette, which sells about 1,000 products, will help RSGB increase its current product offering of 40 to add more value added products in its portfolio by way of providing technology and know-how. These new value added products will be for nutrition, biotech and health and dextrose for sugar free goods. These value added products will also help RSGB in acquiring a larger pie of the existing market and enter new industries. Considering these developments, RSGB is targeting a market share of 25% in two years as compared with 17% now. RSGB currently generates about 65 per cent of its revenues from value added products. It is planning to increase this to 80% over the next two years. RSGB is also working closely with brand-enhancing food companies like Nestle, Heinz, Cadbury, Hindustan Unilever and Britannia and pharmaceutical companies like Ranbaxy, Wockhardt, Sun Pharma and Nicholas Piramal with repeat business and sustainable revenues.Net profit of RSGB rose 816.00% to Rs 9.16 cr. in the Q2 ended September 2009. Sales rose 30.49% to Rs 164.44 cr.. For the half year ended Sept. 2009, the co’s net profit stood at Rs 14.3 cr.(up 55%) on net sales of Rs 320.76 cr.(up 29%). For the year ended March 2009, RSGB had posted net sales of Rs 533.9 cr.(up 60%) and net profit of Rs 13.98 cr.(down 30%). The net profit was down mainly due to higher interest burden, forex losses and higher depreciation. On a equity of 11.13 cr.(Promoters’stake-43%), the EPS stood at Rs 12.5 and the dividend declared was 20%.With global economy showing signs of recovery, consumers’ willingness to spend more and demand picking up, demand for products like starch & glucose is also likely to pick up. Also, FMCG companies have continued to grow by volume and there by would in turn increase the demand for raw materials/inputs used in bakery & confectionery products. At the current market price of Rs 139, the stock is trading at a P/E multiple of 11 times its FY09 earnings and 8.4 times FY10E earnings (Rs 16-Rs 17). RSGB’ market cap stands at Rs 157 cr, against expected net sales of Rs 650 cr. for FY10. Considering that the company is the largest player in its sector, investors can expect good returns over the medium-long term. Investors can start accumulating the stock at current levels and add more on declines for decent returns of 40%-50% over the next 6-8 months.
Source:Sanjay Chhabria

Kanoria Chemicals & Industries Ltd:Future growth prospects and outlook

2009-11-07T02:26:00.000-08:00

Scripscan:Kanoria Chemicals & Industries Ltd
cmp:30
Code:506525

Story:Kanoria Chemicals & Industries Limited engages in the manufacture and sale of chemical intermediates in India. It offers chlor-alkalis, chlorine derivatives, and water treatment chemicals, as well as alcohol-based intermediates. The company’s products include alco chemicals, such as acetaldehyde, ethyl acetate, ethyl alcohol, formaldehyde, carbon dioxide, glacial acetic acid, hexamine, DI-pentaerythritol, pentaerythritol, sodium formate, and organic fertilizer; chloro chemicals comprising aluminum chloride, caustic soda, chlorinated paraffin wax, hydrochloric acid, liquid chlorine, stable bleaching powder, and trichlorobenzene; and water treatment chemicals, including caustic soda, poly aluminum chloride, and stable bleaching powder. Kanoria Chemicals & Industries also offers industrial gases, such as carbon dioxide, hydrogen gas, and nitrogen gas.The first phase of the Companys Greenfield project at Vishakhapatnam for manufacturing 105,000 TPA and 5,600 TPA of Formaldehyde and Hexamine respectively is in progress. The project is expected to be commissioned by end of July 2010.The company seems to have left its worst times behind.Results are expected to good going forward.At 30 odd rs its a hold as of now.Any solid numbers should be used to accumulate the counter.

Zenu Infotech Ltd:Buy/hold/sell,latest news/results/analysis

2009-11-07T02:14:00.000-08:00

Scripscan:Zenu Infotech Ltd
cmp:40
Code:531364

Story:Zenu Infotech Limited provides solutions for service provider customers. It offers WBT products that enable the delivery of revenue-generating services directly. Zenu Infotech serves local, regional, and long distance service providers. The company, formerly known as Priti Resorts & Holdings Limited (PRHL), was founded in 1992 and is based in Mumbai, India.So honestly it has no meaningful business worth talking about.In the quarters ending march 2009, june 2009 and September 2009, the company posted sales of around Rs7-11 lakh each and an net profit of Rs4 lakh, Rs2 lakh and Rs1 lakh, respectively.But BSE-listed companies like these are ripe for manipulaion. The stock has zoomed a humungous 500% in the last three months. Neither the regulator nor the BSE appear concerned.Simple gullible retail investors would get lured by the rise and inevitably with every manipulated upper circuits the greed would inch up only to see the nosediving of the counter to its deserved level after a while.Folks rather than blaming stock markets blame yourself for your losses.

Pace Textiles Ltd:Future growth outlook and prospects,why its running,buy/sell/hold?

2009-11-06T22:29:00.000-08:00

Scripscan:Pace Textiles Ltd
cmp:120
Code:512449

Story:Pace Textiles Limited engages in the trade of textile goods in India. It primarily trades in fabrics. The company was formerly known as Pace Electronics Limited and changed its name to Pace Textiles Limited in March 2008. Pace Textiles Limited is based in Mumbai, India. But what could possibly explain why the stock has gained a massive 600% between 1st april and 31st october 2009.Financially, this company is really weak. For the December, March and june quarters, the company posted sales of Rs 46 lakhs, Rs21 lakhs and 36 lakhs, respectively,and booked an profit after tax of Rs 2 lakhs, less thanx a lakh, and again less than a lakh in the respective quarters.You can keep wondering why stocks like these suddenly shoot up for no reason. Unless there is a thorough investigation at the Exchange level, we will all be groping in the dark. Will the new chairman of BSE find the time to look at these blatant cases of manipulation?