Thursday, December 29, 2011


Those who buyed Apollo hospital at 500 rate last week can sell it ta 600 level at 20% profit and sit with cash on hands

Thursday, December 15, 2011


Hi friends,those who book profit in Apollo hospital at 650-700 rate can once again buy Apollo hospital as valuations have come attractive.Wait for a target of 600 on the scrip in next few weeks


The Reserve Bank of India on Thursday sold dollars through public sector banks and announced steps to curb speculation in the foreign exchange market by banks and corporates as it intervened to pull back the rupee from an all-time low of 54.3 against the dollar and help it close at 53.65.

After market hours, RBI also announced a reduction in trading limits for banks. It added that forward contracts by businesses and foreign institutional investors, once cancelled, cannot be rebooked.
As rupee continues to fall, RBI said banks must square up their dollar position by the end of the day. This has been enforced by reducing the net overnight open position limit for banks. On forward contracts, RBI said all such deals booked by both exporters and importers will henceforth be on a fully deliverable basis. If any participant is forced to contract the forward contract, he will not be eligible to receive any exchange gain.

The restrictions in trading limit in forward contracts come in a week in which the rupee has seen its sharpest declines. The currency, which closed last weekend at 52.04, had fallen to 54.3 by noon on Thursday. During the current year, the currency has fallen by more than 18%. Many traders said the rupee would have hit 55 against the dollar if the RBI had not stepped in. The sharp depreciation has made crude imports more expensive and threatens to add to inflation which has only now started showing signs of easing. Forward contracts are deals to sell the dollar at a fixed price in future. Exporters and investors enter into such deals to hedge against the risk of any sharp movement in the currency.

RBI's hand was forced as negative expectations were turning out to be self-fulfilling. The central bank acted only a day ahead of its mid-term policy review on Friday when it is expected to announce its monetary stance for the current quarter. RBI is widely expected to keep key rates unchanged after industrial production dipped 5.1% in October. "These are short-term measures which market participants understand are aimed at stabilizing the market," said Ashish Vaidya, head of fixed income, currency and commodities trading, at UBS. He added that while the rupee was expected to firm up, liquidity in the forex markets would reduce.

Tuesday, December 13, 2011

India: Digitisation Positive for Cable TV

The cable networks in the four metros will be digitized by the end of June 2012. Currently, the total TV household subscriber base is 135 million out of which close to 110 million are analog subscribers.
The much-awaited Cable TV Networks Regulation Amendment Bill was finally passed by the Lok Sabha on Tuesday paving the way for the next digital wave in the country.

The move will cheer investors of DTH operators and Multiple System Operators like Den Network and Hathway Cables.
The Bill aims to digitise India's vast cable TV network by the end of 2014.
The cable networks in the four metros will be digitized by the end of June 2012. Currently, the total TV household subscriber base is 135 million out of which close to 110 million are analog subscribers
With this Bill being passed, nearly 80 per cent of the subscribers who are under-declared in the analogue regime will be forced to go digital, translating into higher revenues across the chain.
The move is also expected to benefit broadcasters as it will help derisk their revenue base by increased subscription revenues through advertising revenues. While this move is expected to be a win-win for all stakeholders, it has faced stiff opposition from Local Cable Operators who will be compelled to allign with MSOs.

With digitization, viewers stand to benefit with more number of channels and better quality viewing. But with the capital requirement for digitization estimated at Rs 20,000 crore, it is going to be a cash guzzling task.


Infosys topples RIL as most influential stock on bourses

Billionaire Mukesh Ambani-led Reliance Industries Ltd has lost its position as the Indian stock market's most influential individual company to IT major Infosys, following a recent plunge in its share price.

Measured in terms of its weightage on the key barometer index of Indian stock market, the Sensex, RIL had been enjoying its position as the most influential stock for many years and the movement in its share price has been crucial for any major fall or rise in this index.

However, RIL has now slipped to second position after Infosys in terms of its Sensex weightage, which is measured by the market value of a company's free-float or non-promoter shares that can be freely traded in the market.

Mumbai: Billionaire Mukesh Ambani-led Reliance Industries Ltd has lost its position as the Indian stock market's most influential individual company to IT major Infosys, following a recent plunge in its share price.

Measured in terms of its weightage on the key barometer index of Indian stock market, the Sensex, RIL had been enjoying its position as the most influential stock for many years and the movement in its share price has been crucial for any major fall or rise in this index.

However, RIL has now slipped to second position after Infosys in terms of its Sensex weightage, which is measured by the market value of a company's free-float or non-promoter shares that can be freely traded in the market.
Infosys topples RIL as most influential stock on bourses

At the end of Monday's trade, Infosys was the top-weight Sensex stock with a weightage of 10.25 per cent, pushing RIL to second slot with a weightage of 10.08 per cent.

Similarly at the NSE's Nifty index, another barometer of Indian stock market, Infosys was the top-ranked stock with a weightage of 9.13 per cent, followed by RIL's 8.48 per cent.

The weightage of a stock on these two indices changes daily as per the change in the market value of their shares.

According to market analysts, Reliance's replacement has not come as a surprise, the stock has been under-performing the market barometer Sensex for quite sometime.

On a group-basis, RIL had slipped to third slot in June this year, in terms of a corporate group's influence in moving the stock market benchmark Sensex, after HDFC and Tata groups.

HDFC Ltd and HDFC Bank together carry a weightage of over 13 per cent in the Sensex, while four Tata group firms on the index (TCS, Tata Steel, Tata Motors and Tata Power) command a weightage of close to 11 per cent.

RIL stock has crashed by 31 per cent so far this year, while Infosys' loss has been smaller at 21 per cent in this period. Also, the decline in Infosys has been slightly lower than that of 23 per cent drop in the Sensex so far this year.

As a result, RIL's free-float market value, or the value of RIL shares held by public shareholders, stood at Rs 131,091 crore, which was lower than that of Infosys at Rs 133,305 crore as on Monday.

However, RIL remains bigger than Infosys in terms of the overall market value, including the promoter shares.

RIL's total market value stood at Rs 238,347.37 crore as on Monday, as against Infosys' 156,829.22 crore.

RIL is the country's most valued firm, followed by TCS, ONGC, Coal India and Infosys in the top-five.

Interestingly, another IT giant Wipro, which once occupied the position of the country's most valued company, also moved back into the top-ten league on Tuesday.

Wipro commanded a market cap of Rs 1,02,343 crore in the mid-day trade on Tuesday at the BSE.

At the end of Tuesday's trading session also, Infosys retained its lead over Reliance Industries with a higher weigthage in the Sensex and Nifty.

Infosys commanded a weightage of 10.25 per cent on the Sensex, as against RIL's 10.20 per cent at the close of Tuesday's market hours.

On the Nifty index also, Infosys' weightage stood at 9.1 per cent, higher than RIL's 8.59 per cent.

Tuesday, December 6, 2011




Hope u all will remember my buy call on Apollo hospital.I recommended to buy Apollo hospital at 500 it is trading at 700.

Thursday, December 1, 2011


Chennai-based Everonn Education Ltd has got market regulator Securities and Exchange Board of India's (Sebi) clearance for its open offer to Dubai-based Varkey Group, which was scheduled to open on November 16. Through the open offer, the Varkey Group was planning to acquire another 20 per cent stake in Everonn, for Rs 237 crore.

Managing director P Kishore confirmed the development, but did not comment more on the offer.
A public announcement for the offer was made in September, when Kishore was in judicial custody. He was arrested on August 30 by the Central Bureau of Investigation, which alleged he was trying to bribe an income tax official to conceal taxable income of Rs 116 crore. He was granted bail on October 4.

In the same month the Varkey Group, through its education arm, Gems Education, acquired 12 per cent (261,800 equity shares) in Everonn through a preferential allotment for Rs 138 crore. After the acquisition of these shares, the group will become Everonn’s largest shareholder, with 32 per cent stake in the company.



Food inflation witnessed a sharp moderation to 8 per cent for the week ended November 19, though prices of most agricultural items, barring potatoes, onions and wheat, continued to rise on an annual basis.

Food inflation, as measured by the Wholesale Price Index (WPI), was 9.01 per cent in the previous week ended November 12. It stood at 9.03 per cent in the corresponding week of the previous year.

According to data released by the government on Thursday, onions became cheaper by 40.65 per cent year-on-year during the week under review, while potato prices were down by 10.98 per cent. Price of wheat also fell by 4.71 per cent.
Food inflation drops from 9.1 pc to 8 pc
However, all other food items grew more expensive on an annual basis.

Pulses became 13.80 per cent costlier during the week ended November 19, while milk grew dearer by 11.41 per cent and eggs, meat and fish by 13.55 per cent.

Vegetable prices were up by 5.13 per cent year-on-year. However, this marked a substantial slowdown in the inflation rate in comparison to the past few months, when prices of vegetables had witnessed double-digit growth.

Fruits also became 7.98 per cent more expensive on an annual basis, while cereal prices were up 1.97 per cent.

Inflation in the overall primary articles category stood at 7.74 per cent during the week ended November 19, as against 9.08 per cent in the previous week. Primary articles have over 20 per cent weight in the wholesale price index.

Inflation in non-food articles, which includes fibres, oilseeds and minerals, was recorded at 2.14 per cent during the week under review, as against 4.05 per cent in the week ended November 12.

Monday, November 28, 2011


Today i have recommended to buy financial technology at morning and the target Rs.640 have been achieved in a single trading day itself.The stock is now trading at 655 level.

Sunday, November 27, 2011


Financial Tech launches 5 energy exchange solutions

(Financial Technologies (India) Ltd (FTIL) said it has launched five new software solutions in the power trading arena.)

MUMBAI: Financial Technologies (India) Ltd (FTIL) said it has launched five new software solutions in the power trading arena.

A leader in multi-asset and multi-currency trading and settlement solutions, the company launched its PowerARMS, Tradedart, TSO Computation System, Registry and ECS (Exchange Customisation Services) offerings in the Indian market, which are capable of allowing global power exchanges to operate seamlessly across borders.
So i recommend FT to buy at 580 range for a short term target of 640


Dear followers,
now its time to book profit in retail stocks like Pantaloon retail,Trent and shopper stop as it has already crossed my target level in given period of time.I recommended Pantaloon on November 16 at Rs.170 level and now it is trading at 235 range.Another retail giant which i recommended is shopperstop at 350 rate and now it is trading at 400 range.So all short term traders can consider profit booking as this recommendation is a news based one.

Wednesday, November 16, 2011


Earlier i have recommended Apollo hospital at 500 rate ON JULY 22. Currently it is trading at 570 range.Traders with short term perspective can book profit around 570-580 range now and enter into retail sector stocks like Pantaloon,shoperstop and trend like stocks


Stocks of retail sector soared in today's session. Among them, Pantaloon Retail, Shoppers Stop and Trent witnessed gain between 3 to 12 percent.

Retail stocks rose on the news that final cabinet note on foreign direct investment (FDI) in retail is to be issued next week. Market expect that the inter ministerial discussions on FDI for retail sector likely to end on Friday. 100% FDI in single brand retail which currently cap at 51% is likely to be approved by the Cabinet.

Investors should slowly accumulate retail stocks as government is keen to raise the cap on FDI. These companies will be directly beneficial of the policy. However, markets is in bear mode so slowly add this counter in your portfolio.
Accumulate Pantaloon at 170 range for a medium term target for 220.One can also consider Shopperstop at 355 range for a target of 440.

Tuesday, November 8, 2011


CRISIL Research has come out with its report on Apollo Hospitals Enterprise . The research firm has maintained the fundamental grade of 5/5 to the company in its November 4, 2011 report.

Apollo Hospitals Enterprise Ltd’s (Apollo’s) Q2FY12 results were in line with CRISIL Research’s expectations. Revenues grew at a healthy 19.3% y-o-y supported by growth in the healthcare services and pharmacy businesses, while earnings registered a strong growth of 25% y-o-y due to lower interest cost (adjusted for foreign exchange gain/loss). We retain our positive stance on the growth prospects of the healthcare services industry and Apollo’s dominant position in the organised healthcare market. Consequently, we maintain our fundamental grade of 5/5.

Q2FY12 result analysis
• Revenues grew 9.2% q-o-q (up 19.3% y-o-y) to Rs 6,998 mn, supported by healthy growth in the healthcare services and pharmacy businesses. While the healthcare services business grew 9.0% q-o-q (up 17.0% y-o-y) to Rs 4,915 mn, the pharmacy business registered a growth of ~10% q-o-q (up 25% y-o-y) to Rs 2,085 mn.

• EBITDA margin improved by ~60 bps q-o-q to 17.1% (increased 10 bps y-o-y) driven by 40 bps improvement in the healthcare services business’ margin and 60 bps q-o-q growth in the pharmacy vertical’s margin.

• Adjusted PAT grew by 15.1% q-o-q (up 24.9% y-o-y) to Rs 590 mn due to revenue growth and improvement in margins. PAT margin grew 44 bps q-o-q (up 38 bps y-o-y) to 8.4%. EPS for Q2FY12 was Rs 4.5 compared to Rs 3.8 in Q2FY11.


Hi friends,
my favourite stock Apollo hospital is rocking after Q2 is announced.The Apollo Hospitals Group, Asia’s most profitable and trusted healthcare services provider reported its consolidated results for the quarter and half year ended September 30, 2011 according to Indian GAAP.

Revenues grew 20.4% to Rs. 7,848 million compared to Rs. 6,518 million in Q2FY11. EBITDA grew 18.6% to Rs. 1,311 million as against Rs. 1,105 million in Q2FY11. PAT was Rs. 550 million in Q1FY12 vs. Rs. 515 million in Q2FY11. PAT before Forex translation charge was Rs. 583 million vs. Rs. 492 million, growth of 18.5%. Diluted EPS of Rs. 4.00 per share in Q2FY12.

Revenues grew 21.4% to Rs. 15,082 million compared to Rs. 12,428 million in H1FY11. EBITDA grew 19.9% to Rs. 2,508 million as against Rs. 2,091 million in H1FY11. PAT was Rs. 1,096 million vs. Rs. 934 million in H1FY11, growth of 17.4%. PAT before Forex translation charge was Rs. 1,132 million vs. Rs. 932 million, growth of 21.5%. Diluted EPS of Rs. 8.12 per share in H1FY12

Commenting on the group’s performance Dr. Prathap C Reddy, Chairman said, “We are heartened by the continued growth in revenues and earnings in our business. Apollo has always believed in creating new capacities pan India to bridge the huge gap that exists in the Healthcare Infrastructure in India. Our ability to sustain margins despite the addition of new beds and increasing costs due to inflation and high interest rate regime demonstrates the maturity and robustness of our business model.

Healthcare services have exhibited sustained growth due to a focus on key treatment areas through our COE strategy. Introduction of Robotics planned across seven key locations will further heighten our clinical offerings and medical outcomes. The momentum in the Standalone Pharmacy business combined with improving metrics and profitability validates our belief in this business as a value provider and key component of our integrated healthcare model.

Thursday, October 20, 2011

What PETRONET gave to Stakeholders?

Do u know what happened to petronet lng stock??Co came with IPO of price as cheap as Rs.13 in 2003 and now it is trading at 160 levels.That means 12 times returns over 8 year period.Really amazing.If u invested 13000 in petronet during 2003 now it will become Rs.160000.I really don't know how much ppl know about this.
u all know what we get from Sb ac and fixed deposit,mere 3.5 percent and 10 percent per annum.SB ac will give u Rs.3640 as interest and FD will fetch u doubling during this period with an annual interest rate at 11% so maximum return expected is around Rs.30000.
The conclusion here is it is best to buy good quality stocks for a longer term investments

Wednesday, October 19, 2011


Petronet LNG Ltd reported a 98.5 per cent jump in its net profit for the second quarter at Rs 260.33 crore, against Rs 131.12 crore in the corresponding period last year.

The company's turnover increased by 75.5 per cent at Rs 5,366.87 crore against Rs 3,057.72 crore in the same quarter last year.

The sharp rise in net profit was achieved on the back of additional volumes with better margins and operational efficiency, according to Mr A.K Balyan, Chief Executive Officer, Petronet.

The liquefied natural gas (LNG) importer plans to invest Rs 3,000 crore on expanding its Dahej plant's capacity to 15 million tonnes from the present 10 MT. During the quarter, the Dahej terminal had operated at 106 per cent of its capacity.

During the quarter, the company's total re-gasified volume rose to 135.08 trillion British thermal units against 99.78 tBtus in the corresponding quarter last year.

Kochi terminal

“Construction work at the Kochi terminal is on schedule and it is expected to be commissioned by the fourth quarter this year. We expect to commission 5 million tonnes in the October-December quarter next year,” he said.

Petronet may also consider setting up a terminal in the East Coast, Mr Balyan said. By 2015, the company is expected to build a capacity of 25 million tonnes, he added. The company is also in talks with LNG projects in Australia to source supplies for its expansion.

To check attrition and reward performing employees, the company's board has approved the setting up of a trust to purchase shares from the open market for an employee stock options scheme, said Mr R.K Garg, the Finance Director.

Wednesday, October 12, 2011


The market is pretty happy with good set of numbers announced by infosys today.For the second quarter of the fiscal, Infosys has delivered dollar revenue of USD 1,746 million...the 4.5% revenue growth helped Infy meet the top end of its own guidance.
The bottom-line too came in above estimates, rising 11% to Rs 1,900 crore.
Infosys has marginally marked down FY12 dollar revenue guidance to 17-19%, but on the other hand it has significantly raised rupee EPS guidance to 143-145.
Country's second largest software services exporter Infosys is set to report a growth of 9.9% quarter-on-quarter in profit of Rs 1,891 crore for the second quarter of FY12, according to CNBC-TV18 estimates. Net profit for the previous quarter of current financial year was Rs 1,720 crore.
Revenues are expected to jump 7.9% to Rs 8,080 crore as against Rs 7,485 crore, quarter-on-quarter basis.
CNBC-TV18 expects earnings per share of Infosys to rise by 9.1% to Rs 32.9 in the quarter ended September 2011.
Earning before interest and tax (EBIT) for the July-September quarter of 2012 is likely to be at Rs 2187 crore, a growth of 12% compared to Rs 1952 crore in previous quarter.
SO important factor is Infy hav given a clear indication on FY12 with an EPS of 145 which is a significant one.

Monday, October 10, 2011


I hope all of my traders enjoyed handy profits in my last week portfolio in my 5 stocks mentioned.Everonn have reached at 375.I recommended stock at 365 on last monday.Next stock i recommended is arss infra at 330 rate.Now arss infra is trading at 360 level which is around 10% rise from recommended levels.Third stock i advised to buy is tvs motors which is at same rate which doesnot show any sifnificant movement.The most active buy call is on Relcapital which i initiated to buy at 315 level which is now trading at 340 level which is around 8 percent rise in a single weeK.The last stock i recommended is ENIL which is closed at same buy rate which also didnt deliover profit.

Sunday, October 2, 2011


Hello followers,here i am giving u 5 stocks which have potential upside from current levels may be because of any positive news or technical reason.
1)EVERONN=UAE based varkey group have given an open offer for 12% stakes in everonn education at RS.528 per share.So i recommend to buy everonn at 365 levels.

2)ARSS INFRA=The stock hit a 52 week low of 277 and 52 week high of 1330.Now this infrastructure stock is bottomed out so i recommend buy on the stock at 330 level

3)TVS motors=The monthly sales for tvs motors seems to be robust.Monthly sales of TVS Motor Company crossed the milestone figure of two lakh units with total sales touching 219,369 units in September 2011 compared to 188,005 units in the corresponding month of the previous year, a growth of 17%.The company's cumulative sales for the period April to September 2011 grew by 15% with sales of 1,140,359 units against 988,794 units recorded in the previous comparable period.

4)RELCAPITAL=Relcapital got rbi nod for stake sale to japan based nippon.Moreover the agm held last week indicats there will be a QIP and bonus issue.SO buy relcapital at 315 rate

5)ENIL=Indias largest FM station operator ENIL is a value buy at this rate.Buy stock at 260 rate for this week

Wednesday, September 28, 2011

New Portfolio Trading

Hi friends,now i am initiating a portfolio for the week and for a month seperately as lots of my clients asked to do so..So on monday onwards i will pick up 5 stocks for one week buy and 5 stocks for one month buy.Interested clients and followers can try this

Tuesday, September 27, 2011


മുംബൈ: റിലയന്‍സ് ക്യാപിറ്റലിന് ബാങ്കിങ് രംഗത്തേക്ക് കടക്കാന്‍ പദ്ധതിയുള്ളതായി റിലയന്‍സ് ക്യാപിറ്റല്‍ ചെയര്‍മാന്‍ അനില്‍ അംബാനി. വളരെയേറെ വളര്‍ച്ചാ സാധ്യതുള്ള മേഖലയാണ് ബാങ്കിങെന്നും മേഖലയില്‍ മുന്നേറാന്‍ കഴിയുമെന്നാണ് വിശ്വാസം. അസറ്റ് മാനേജ്‌മെന്റ്, വെല്‍ത്ത് മാനേജ്‌മെന്റ്, പ്രൈവറ്റ് ഇക്വിറ്റി ബിസിനസുകള്‍ വളരുന്ന വിപണികളിലേക്ക് വ്യാപിപ്പിക്കാന്‍ പദ്ധതിയുള്ളതായും അദ്ദേഹം പറഞ്ഞു.

തങ്ങളുടെ ലൈഫ് ഇന്‍ഷുറന്‍സ് ബിസിനസ്സിന്റെ 26 ശതമാനം ഓഹരികള്‍ ജാപ്പനീസ് കമ്പനിയായ നിപ്പോണ്‍ ലൈഫിന് വില്‍ക്കാന്‍ ധാരണയിലെത്തിയതായും അദ്ദേഹം പറഞ്ഞു. ഇതില്‍ നിന്നും ലഭിക്കുന്ന 3000 കോടിയോളം രൂപ കമ്പനിയുടെ കടബാധ്യത തീര്‍ക്കാന്‍ ഉപയോഗിക്കുമെന്നും അംബാനി വ്യക്തമാക്കി.

Friday, September 16, 2011


Hi friends,pls book ur profit in Financial technology at 860 rate that i have recommended at 780 levels.Dont miss profit oppurtunities in volatile mkt

Wednesday, September 14, 2011

August Inflation Accelerates To 9.78%; Rate Hike Seen

Inflation in India accelerated in August to its highest in over a year, driven by rising prices of food and manufactured goods, reinforcing the case for another rate hike on Friday despite weakening growth and a worsening global outlook.

The wholesale price index, India's main inflation gauge, rose 9.78 per cent in August, higher than the median forecast for a 9.6 per cent rise in a Reuters poll and above the 9.22 per cent recorded for July.

While July industrial output data on Monday was the worst in nearly two years, adding to the argument against a rate increase, the central bank is still expected to raise rates by another 25 basis points at its policy review on Friday as it scrambles to get a grip on inflation.

Expectations for a rate increase are not unanimous, however, with Goldman Sachs among those expecting the Reserve Bank of India to pause in its tightening cycle, after 11 rate increases in 18 months that have lifted the repo rate, the policy lending rate, to 8.00 per cent.

"This does clearly boost scope for the RBI to tighten policy rates by 25 basis points on Friday, though the trajectory thereon could hinge on intermittent inflation outlook, non-manufacturing WPI in particular," said Radhika Rao, economist at Forecast PTE in Singapore.

India's benchmark 10-year bond yield eased 2 basis points to 8.31 per cent while the domestic share market briefly extended losses after the inflation data. Swap rates however were little changed, as the data reaffirmed expectations for another rate increase on Friday.

Rate hike or not, Reserve Bank of India (RBI) Governor Duvvuri Subbarao is widely seen to be nearing the end of a tightening cycle that has made the RBI among the most aggressive central banks anywhere during the uneven global recovery from the financial crisis.

India's headline inflation remains far above the RBI's comfort level of 4 to 4.5 per cent.

Other Asian central banks have been turning dovish as growth in the region weakens amid a darkening outlook for the US and the euro zone, although China's central bank said on Monday that inflation, which fell in August from a three-year peak, was still high and that it would maintain its policy settings.

Manufacturing inflation quickened to 7.79 per cent in August from 7.49 per cent in the previous month, indicating that manufacturers still retain some pricing power, adding to inflationary pressures in the economy.

Analysts say that stripping out the volatile capital goods sector, the index of industrial production (IIP) shows a picture of growth moderation, not collapse.

Demand for consumer goods is still holding up and growth in exports, though down from July levels, is still robust at around 44 per cent while non-food credit growth at more than 20 per cent is still above the targeted 18 per cent.

However, weakening investment demand, industrial slowdown, and bleak global conditions add downside risks to growth. The falling rupee, now trading close to its weakest in two years, could inflate imported price pressures and add to the case for a rate increase on Friday.

Monday, September 12, 2011


MCX gets Sebi nod for public offer

Will be the first commodity exchange to be listed in India.

The initial public offer (IPO) of Multi Commodity Exchange (MCX) got a go-ahead from the Securities and Exchange Board of India on Monday.

MCX-SX, promoted by MCX and Financial Technologies, is engaged in a court battle with the regulator over the grant of a licence to it to start equity trading. This had created speculation that Sebi was also raising doubts over the MCX IPO.

The share sale by MCX is expected to raise an estimated Rs 800 crore, according to market sources. The commodity exchange had filed its draft red herring prospectus on March 31. MCX will see its existing shareholders dilute a 12.6 per cent stake. It will include an offer for sale from Financial Technologies. The National Stock Exchange, one of the stakeholders in MCX, will not dilute its stake.

According to Sebi officials, unlike MCX-SX, which is being regulated by Sebi, MCX was regulated by the Forward Markets Commission (FMC) and the IPO was being brought to fulfil the norms set by the sectoral regulator.

FMC had set a deadline of March 31 for the three commodity exchanges — MCX, the National Commodity and Derivatives Exchange and National Multi-Commodity Exchange -- to restructure capital and bring down the promoter stake to 26 per cent. The deadline was extended, as promoters of the commodity exchanges required more time to scale down. This makes the IPO important for MCX promoters.

On an average, about Rs 50,000 crore worth of commodities are traded daily on the exchanges, in which 80 per cent market share is with MCX. Rating agency Crisil had said MCX had strong fundamentals for the IPO, especially due to its leadership position in the commodity futures market. The IPO was given the highest grade on the scale of one to five.


Thursday, August 25, 2011


      ഒരു ഇടവേളക്കു ശേഷം കേരളത്തില്‍ നിന്നുള്ള പ്രമുഖ കമ്പനികള്‍ ഓഹരി വിപണിയില്‍ ലിസ്റ്റ് ചെയ്യുന്നതിനായി ഐപിഒ (ഇനീഷ്യല്‍ പബ്ലിക് ഓഫര്‍) കളുമായി എത്തുമ്പോള്‍ ഓഹരികളില്‍ ഇതുവരെ നിക്ഷേപം നടത്തിയിട്ടില്ലാത്ത ഒട്ടേറെ മലയാളികള്‍ക്ക് ഇത്തരം കമ്പനികളുടെ ഓഹരികള്‍ വാങ്ങുന്നതില്‍ താല്‍പ്പര്യമുണ്ടാവുക സ്വാഭാവികമാണ്. മുത്തൂറ്റ് ഫിനാന്‍സ് ഐപിഒ പുറത്തിറക്കിയപ്പോള്‍ ഒട്ടേറെ പുതിയ നിക്ഷേപകരാണ് അതിന് അപേക്ഷിച്ചത്. ജോയ് ആലുക്കാസിന്റെ ഐപിഒ എത്തുമ്പോഴും പുതിയ ഒട്ടേറെ നിക്ഷേപകര്‍ നിക്ഷേപaത്തിന് താല്‍പ്പര്യം കാണിക്കുമെന്നുറപ്പ്. ഓഹരി വിപണിയില്‍ നിക്ഷേപം തുടങ്ങുന്നതിന് പ്രാഥമികമായി വേണ്ട കാര്യങ്ങള്‍ എന്തൊക്കെയാണെന്ന് പുതിയ നിക്ഷേപകര്‍ അറിഞ്ഞിരിക്കേണ്ടതുണ്ട്.


എല്ലാ സാമ്പത്തികലക്ഷ്യങ്ങളും മിച്ചം പിടിക്കുന്ന തുകകൊണ്ട് നേടാനായി എന്നുവരില്ല. ആവശ്യങ്ങളേറെയും നീക്കിയിരുപ്പോ വിരളവും എന്നതാണ് സാധാരണക്കാരനായ ഒരു നിക്ഷേപകന്റെ അവസ്ഥ. ഇക്കാരണത്താല്‍, വിരളമായ നീക്കിയിരുപ്പ് തുക നിക്ഷേപിക്കേണ്ടത് ഉയര്‍ന്ന ആദായം നല്‍കുന്ന മാര്‍ഗങ്ങളില്‍ത്തന്നെ ആയിരിക്കണം. ആദായത്തിനുള്ള അവസരം കൂടുന്നിടത്ത് ഉയര്‍ന്ന അപകടസാധ്യതയും പതിയിരുപ്പുണ്ടെന്ന് മനസ്സിലാക്കിത്തന്നെ വേണം ഇത്തരം നിക്ഷേപാവസരങ്ങളില്‍ പണമിറക്കാന്‍. ഓഹരി എന്ന നിക്ഷേപമാര്‍ഗം സ്വീകരിക്കാനാഗ്രഹിക്കുന്നൊരു നിക്ഷേപകന്‍ മേല്‍പറഞ്ഞ വരികള്‍ എന്നും ഓര്‍ക്കേണ്ടതുണ്ട്.

ഓഹരിയിലെ നിക്ഷേപംകൊണ്ട് എന്തൊക്കെ മെച്ചങ്ങള്‍ ഒരാള്‍ക്കുണ്ടാകാം? ഓഹരിയില്‍നിന്നും പ്രധാനമായി രണ്ടുതരം നേട്ടങ്ങളാണ് നിക്ഷേപകനുണ്ടാവുക. ഒന്നാമത്തേത്, ഓഹരിയുടെ വില മാര്‍ക്കറ്റില്‍ ഉയരുന്നതു മൂലം ലഭിക്കുന്ന മൂലധന വര്‍ധന. രണ്ടാമത്തേത്, കമ്പനികള്‍ ലാഭവിഹിതം (ഡിവിഡന്റ്) പ്രഖ്യാപിക്കുന്നത് വഴിയുണ്ടാകുന്ന വരുമാനം. ഉദാഹരണത്തിന് രണ്ട് മാസങ്ങള്‍ക്കു മുന്‍പ് ഏതെങ്കിലുമൊരു ഓഹരി, മാര്‍ക്കറ്റില്‍ നിന്നും നിങ്ങള്‍ 390 രൂപയ്ക്ക് വാങ്ങി എന്നു കരുതുക. ഇന്നത് 440 രൂപയ്ക്ക് നിങ്ങള്‍ക്ക് വില്‍ക്കാന്‍ സാധിക്കുന്നുവെങ്കില്‍ 50 രൂപയുടെ മൂലധന വര്‍ധന ഉണ്ടായി എന്നു സാരം.

ഇതേ ഓഹരിയുടെ മുഖവില 10 രൂപയായിരുന്നുവെന്നും, കമ്പനി ലാഭവിഹിതമായി 100 ശതമാനമാണ് പ്രഖ്യാപിച്ചതെന്നുമിരിക്കട്ടെ. അങ്ങനെയെങ്കില്‍ നിങ്ങള്‍ക്ക് ഡിവിഡന്റ് വഴി ലഭിക്കുന്ന നേട്ടം 10 രൂപ. പണപ്പെരുപ്പ നിരക്കിനോട് പൊരുതി നില്‍ക്കാന്‍ ഏറ്റവും മികച്ച അവസരമെന്ന് കരുതിയാണ് പലരും ഓഹരി വിപണിയില്‍ നിക്ഷേപകരായെത്തുന്നത്. എന്നാല്‍ മാര്‍ക്കറ്റിന്റെ വീഴ്ചയില്‍ ഓഹരികളുടെ വില എത്രകണ്ട് കുറയുമെന്നത് മുന്‍കൂട്ടി പ്രവചിക്കാനാവാത്തതിനാല്‍ ഇതിന്റെ നഷ്ടസാധ്യത മുന്‍കൂട്ടി പറയാന്‍ സാധ്യമാകാതെ വരുന്നു. എന്നാലും വിവിധ അസറ്റ് ക്ലാസുകളില്‍ നിക്ഷേപിക്കേണ്ടത് ഒരു നിക്ഷേപകനെ സംബന്ധിച്ച് അത്യാവശ്യമായതിനാല്‍ നിക്ഷേപത്തിന്റെ ഒരു ഭാഗം ഓഹരി വിപണിയിലെ നിക്ഷേപത്തിനായി മാറ്റിവച്ചേ തീരൂ.

ഓഹരിയിലെ നിക്ഷേപത്തിന് വലിയൊരു നീക്കിയിരുപ്പു വേണ്ട എന്നതാണ് സാധാരണക്കാരായ നിക്ഷേപകരെ പോലും ഇതില്‍ ഭാഗഭാക്കാകാന്‍ പ്രേരിപ്പിക്കുന്ന ഘടകം. ഏതു വലിയ കമ്പനിയുടെയും ഒരു ഓഹരിയായി പോലും നിക്ഷേപകന് വാങ്ങാന്‍ സാധിക്കും. ഉദാഹരണത്തിന് ഇന്‍ഫോസിസ് എന്ന കമ്പനിയുടെ ഓഹരിയുടമ ആകാനാഗ്രഹിക്കുന്നൊരു നിക്ഷേപകന് ഇപ്പോഴത്തെ മാര്‍ക്കറ്റ് വിലയായ 3,000 രൂപ മുടക്കി ഒരു ഓഹരി വാങ്ങാന്‍ സാധിക്കും. ഈ ഓഹരിയുടെ വില മാര്‍ക്കറ്റില്‍ ഉയരുന്നത് മൂലമുണ്ടാകുന്ന മൂലധന വര്‍ധനവിനും ഈ കമ്പനി ലാഭവിഹിതം പ്രഖ്യാപിക്കുന്ന പക്ഷം ആനുപാതികമായി അതിനും ഈ നിക്ഷേപകന്‍ അര്‍ഹന്‍തന്നെ.

പക്ഷേ, ഒരു ഊഹക്കച്ചവടമായി ഈ നിക്ഷേപമാര്‍ഗം പലപ്പോഴും അധഃപതിക്കാറുണ്ടെന്നതാണ് സങ്കടകരം. അത്തരമൊരു പ്രവണതയോടെ ഇവിടെ പണം മുടക്കരുത്. കമ്പനിയെക്കുറിച്ച് ശരിയായ പഠനം നടത്തി, ശരിയായ ഓഹരിയില്‍ വേണം നിക്ഷേപിക്കേണ്ടത്. അങ്ങനെ ദീര്‍ഘകാല വീക്ഷണത്തോടെ നിക്ഷേപിക്കുന്നൊരു നിക്ഷേപകന് മികച്ച നേട്ടം വിപണി നല്‍കാതിരിക്കില്ല.

ഏത് ഓഹരികളില്‍ നിക്ഷേപിക്കണം

ഇവിടെയും ലിക്വിഡിറ്റി മറന്നുകൂടാ. എളുപ്പം പണമാക്കാന്‍ കഴിയുന്ന ഓഹരികളില്‍ മാത്രമേ നിക്ഷേപിക്കാവൂ. സ്റ്റോക്ക് എക്‌സ്‌ചേഞ്ചുകളില്‍ ലിസ്റ്റ് ചെയ്യപ്പെടാത്ത ഓഹരികളുണ്ട്. അവയില്‍ നിക്ഷേപമരുത്. അതുപോലെ തന്നെ ചില ഓഹരികള്‍ ലിസ്റ്റ് ചെയ്യപ്പെട്ടതാണെങ്കിലും, വിപണിയിലെ അവയുടെ വ്യാപാരം തീര്‍ത്തും കുറവായിരിക്കും. അത്തരം ഓഹരികളിലെ നിക്ഷേപവും സൂക്ഷിച്ചുതന്നെ വേണം.

വിവിധ അസറ്റ് ക്ലാസ്, നിക്ഷേപത്തിനായി തിരഞ്ഞെടുക്കുംപോലെ, വിവിധ കമ്പനികളുടെ ഓഹരികളില്‍ നിക്ഷേപിക്കുന്നത്, വൈവിധ്യവത്ക്കരണത്തിലൂടെ ഒരു പരിധിവരെ റിസ്‌ക്ക് നിയന്ത്രിക്കാന്‍ സഹായിക്കുന്നു. വൈവിധ്യവത്കരണത്തിനു വേണ്ടി മാത്രം വൈവിധ്യവത്ക്കരണം നടത്തുകയുമരുത്. തനിക്ക് മാനേജ് ചെയ്യാവുന്നത്ര ഓഹരികള്‍ മാത്രമേ ഒരാളുടെ നിക്ഷേപശേഖരത്തിലുണ്ടാകാവൂ.

ഇവിടെ നിക്ഷേപകരായെത്തുന്നവര്‍ മറന്നുകൂടാത്ത പ്രധാനപ്പെട്ടൊരു സംഗതിയുണ്ട്. ഓഹരി വിപണി ഒരേദിശയില്‍ മാത്രമാവില്ല ചലിക്കുന്നത് എന്ന അറിവാണത്. അതുകൊണ്ട് തന്നെ പേപ്പറിലാണെങ്കില്‍ പോലും ലാഭനഷ്ടങ്ങള്‍ മാറിമറിഞ്ഞുവരാം. അതിനാല്‍ ദീര്‍ഘകാലാടിസ്ഥാനത്തില്‍ വേണം ഓഹരി വിപണിയിലെ നിക്ഷേപകനാവാന്‍. ഒപ്പം വിപണിയെ അടുത്തറിഞ്ഞ് വിപണിയിലേക്കിറങ്ങിയാല്‍ മാത്രമേ ഇവിടെ നിന്ന് നേട്ടങ്ങള്‍ ഉണ്ടാക്കാന്‍ സാധിക്കൂ. ഈ നിക്ഷേപാവസരത്തില്‍ നിന്നു മാത്രം നിക്ഷേപകന് ലഭിക്കുന്ന ഒരുതരം പ്രത്യേക 'ത്രില്‍', പണപ്പെരുപ്പ നിരക്കിനോട് പൊരുതാനുള്ള ഓഹരി നിക്ഷേപത്തിന്റെ കഴിവ് ഇവയൊക്കെ നിക്ഷേപത്തിന്റെ ഒരുഭാഗം ഇവിടെ നിക്ഷേപിക്കാന്‍ ഒരാളെ നിര്‍ബന്ധിതനാക്കുന്നു. അത്യാവശ്യം വേണ്ട ബാങ്ക് നിക്ഷേപം, ഇന്‍ഷ്വുറന്‍സ് ഇവയ്‌ക്കൊക്കെ ശേഷമാവണം ഈ മേഖലയിലെ നിക്ഷേപമെന്നു മാത്രം.

Sunday, August 21, 2011


I dont know how many of u are aware of this good company as a multi bagger stock.I have been watching this stock for last one year while it has been in news at kochi terminal in our kerala.At that time it is trading at cheap rate around Rs.70.Now stock is at 170 levels.
Petronet LNG is at the forefront of India's all-out national drive to ensure the country's energy security in the years to come.

Formed as a Joint Venture by the Government of India to import LNG and set up LNG terminals in the country, it involves India's leading oil and natural gas industry players. Our promoters are GAIL (India) Limited (GAIL), Oil & Natural Gas Corporation Limited (ONGC), Indian Oil Corporation Limited (IOCL) and Bharat Petroleum Corporation Limited (BPCL). The authorized capital is Rs. 1,200 crore ($240 million).

Oil and Natural Gas Corporation Limited

Oil And Natural Gas Corporation LogoThe public sector giant ONGC is spearheading India's aggressive hunt for crude oil, natural gas and other energy sources. Established in 1956 as the Oil and Natural Gas Commission, it was corporatized as Oil and Natural Gas Corporation Limited on February 1, 1994. Today ONGC, which is fast emerging as an integrated energy transnational, is responsible for the exploration, production and transportation of unprocessed hydrocarbons and accounts for more than 90% of India's oil and gas output (mostly in the Western Offshore Region).
Indian Oil Corporation Limited (IOCL)

Public sector undertaking IOCL is India's largest commercial enterprise and has established itself as a regular both in the Fortune magazine's Global 500 listing of the world's largest corporations and Forbes magazine's International 500 list of largest companies outside the USA.

Bharat Petroleum Corporation Limited (BPCL)
Bharat Petroleum Logo
One of India's top national oil marketing companies (OMCs), BPCL was formed in 1976 through nationalisation of the the Burmah Shell Oil Storage & Distribution Company of India. With sales of 19.35 million tonnes and a market share of 21.43%, BPCL is today the second largest oil marketing company in the country.

GAIL (India) LogoGAIL (India) Limited

The public sector company GAIL is responsible for the transportation, distribution, processing and marketing of natural gas in India.



Hi friends
Hope u all will remember my apollo hospital buy recommendation given on last month at 490 it is trading at 550 levels and keeping mind the market scenario we have today i still like to continue holding in my favourite stock APOLLO HOSPITAL for next couple of month for a target of 600 levels.

Wednesday, August 3, 2011


The price of gold witnessed an unprecedented jump on Wednesday after the domestic and international market saw heavy stocking of the yellow metal following news of USA raising the debt ceiling. During trading on Wednesday, the price of gold rose by Rs 975 for 10 gm compared to the closing price on Tuesday. The price of gold had closed at Rs 23,375 for 10 gm on Tuesday and touched Rs 24,350 in the grey market on Wednesday.

The metal finally closed at Rs 23,955, a rise of Rs 580 over Tuesday’s closing. This is also the record price of gold.

Gold traded near an all-time high on speculation that the U.S. Federal Reserve may provide additional stimulus amid signs that the economic recovery is faltering, spurring demand for wealth protection.

Immediate-delivery gold, which jumped to a record $1,672.80 an ounce yesterday, was little changed at $1,663.45 at 9:35 a.m. in Singapore Spot gold has rallied 2.2 percent this week as investors sought haven assets on concern that debt problems in the U.S. and Europe will slow growth. Holdings in exchange- traded products rose to 2,178.467 metric tons yesterday, the highest level ever, Bloomberg data show.

Reports today and tomorrow may show initial U.S. jobless claims climbed last week, while the unemployment rate remained above 9 percent, according to Bloomberg.



Hello friends,market is highly volatile due to US debt ceiling issue and European crisis.Most of the news from west indicates global recovery is slow downing.So dont trade in market unless u have patience to hold the stock for months.

Wednesday, July 27, 2011


Now u can consider booking profit in FCH at 190 levels which came todays trading session.Hope u would remeber my buy call gave on FCH at 140 levels.Stock is now around 36% up from my recommended levels.So i will soon update with nother stock idea in coming days

Monday, July 25, 2011


Hello friends,now its time for booking profit in pantaloon.I have recommended pantaloon at 270 levels and shopperstop at 400 levels.Pantaloon is up 34% and shopperstop is up 25% from my recommended levels.So i am selling both stocks at current level around 350 range and 500 range.Dont miss profit booking oppurtunities.I will recommend more stocks on coming days

Sunday, July 24, 2011


A committee of secretaries (CoS) has recommended 51% foreign direct investment (FDI) in multi-brand retail, albeit with some stiff riders, paving the way for the entry of some of the world’s biggest retailers such as Wal-Mart, Carrefour and Tesco to set up shop.
While consumers can look forward to more choices from an entire host of retail chains that are expected to enter the Indian market, the industry will be able to fund large scale expansions when retail is finally opened up to FDI. These prospects became brighter as a result of the committee of secretaries recommending 51% FDI in multi-brand retail formats.

Apart from opening up doors for the likes of WALMART and Carrefour, which have been waiting in the wings for years, it would eventually also benefit small and marginalized farmers as well, industry experts who spoke to TOI said.

According to Thomas Varghese, chairman, CII National Retail Committee and CEO, Aditya Birla Retail, "The move will bring in the required funds from all kinds of foreign investors into modern retail which was till date stymied for funds." Varghese said that once the funds come into India through the FDI route, it will usher in a phase of expansions. Once cleared, the move would offer Indian companies the option of selling a part of their stake to foreign companies enabling them to become debt-free. "For us as a company, the option to sell a stake comes into play in order to make ourselves debt-free. The FDI will throw open opportunities which will enable us to sell a stake and raise funds," said Kishore Biyani, chairman , Future Group, India's largest retailer which operates stores like Big Bazaar and Food Bazaar.

"For us, categories like home, electronics will gain immensely if we bring in a partner. The industry has the potential and, with the opening up of the sector, can grow faster," said Biyani, who hoped that closure on the much-awaited policy change was just a step away.


Friday, July 22, 2011


Hi friends,i have already posted a report on apollo hospital i have another reason for retaining buy on apollo hospital that is its successfull QIP issue.Hope u all know what is QIP.Qip means a designation of a securities issue given by the Securities and Exchange Board of India (SEBI) that allows an Indian-listed company to raise capital from its domestic markets without the need to submit any pre-issue filings to market regulators.

APOLLO HOSPITAL today said it has closed the share sale to the qualified institutional buyers, which it had recently started to raise Rs 330 crore for expansion purposes.

In a filing to the Bombay Stock Exchange (BSE), Apollo Hospitals said the company fixed the price of the issue at Rs 495 per equity share. It had started the placement of shares with qualified institutional buyers from July 14, and closed today.

Nomura Financial Advisory & Securities (India), Enam Securities and Citibank are the managers to the share sale. "The Rs 330 crore to be raised through the QIP issue would be used to part-fund a Rs 1,100 crore investment to add another 2,400 beds by March, 2014," Apollo Hospitals Chief Financial Officer Akhileswaran Krishnan had told PTI earlier. "The rest of the capital would be raised through debt and internal accruals," he had added.It is heard that sundaram MF and fidelity were some of the investors in the issue

Apollo Hospitals operates over 8,500 beds across 54 hospitals in the country.

Wednesday, July 20, 2011


Crompton Greaves is a stock that has been oversold this week due to week Q1 numbers.Crompton Greaves a power equipment manufacturer and electrical appliance maker, reported a sharp decline in April-June consolidated net profit by 58.6% to Rs 79 crore yesterday on the back of listless revenue growth and higher raw material costs. Disappointment in earnings, which triggered a sharp sell off, made investors edgy and the discomfort reflects in share prices as it tumbled back to its 52-week low of Rs.170.

The main reason for CG week Q1 numbers is due to the dealers have not picked up products, thus, adding to inventory and not moving sales. Nobody expected, until last 31st March when the consumer was growing in that quarter at 35-36%, it will come down to 2%. But, thats the scenario of the whole market and it is not exceptional to this firm.

Moreover The biggest worry has been the Middle-East Libyan tension and Mena crisis North Africa situation in Europe and those things from Europe have not moved in the month of June. Since they haven't moved and been incapable of adding to bottom-line margins because those were the good jobs which should have moved and created margins for the overseas operations. This is a scenario as on this state, but I am sure six months down the line the things will change and stabilize.

In India, power has slowed down and was slow last year as well. We are hopeful that it will pick up in the second half of the year as the country cannot afford to not place orders for power T&D, even if it has to achieve 7.5-8% growth for 8.5-9% GDP. I am sure that things will fall in place. The stuck up projects due to land, forest and environment issues will be back on track. In a macro view, the single digit growth in power sector should be possible. Crompton Greaves will do better than the sector.

So i initiate a buy on this stock from current level of 170 to a six month target of 240 level

Tuesday, July 19, 2011


Hi friends,hope u all enjoyed handy gains in pantaloon retail which i recommended at Rs.270 level and shoppersstop at 400 level.Now pantaloon is trading at Rs.325 and shoppersstop at Rs.470 levels.Still i recommend to continue holding in this stocks as there is improvement in allowing FDI in multi brand reatil sector.So i advice my clients to buy these two stocks in every dip.

Many friends asked me how u got good report on pantaloon and shoppersstop.The answer is simple.Lots of news in market about allowing FDI in multi brand sector.So i thinked which all companies will get benefited.I found pantaloon,shoppesstop,fch,trent etc will me just watched their fundamentals and recommended.
So pls continue watching my small blog and suggest me how can i improve a lot

Monday, July 18, 2011


TVS Motor Company is the third largest two-wheeler manufacturer in India and one among the top ten in the world, with annual turnover of more than USD 1 billion in 2008-2009, and is the flagship company of the USD 4 billion TVS Group.

A bike for anyone

TVS Motor currently manufactures a wide range of two-wheelers from mopeds to racing inspired motorcycles.
(Apache RTR 180, Flame DS 125, Flame, TVS Jive, StaR City, Sports)
Variomatic Scooters (TVS Wego, Scooty Streak, Scooty Pep+, Scooty Teenz)
(TVS XL Super, TVS XL Heavy Duty)

Deutsche Bank recommends buying TVS Motors with a target of Rs 70. The recent decision of the Karnataka High Court paves the way for the issue of 40,000 new permits for auto rickshaws which is a significant positive for the two-wheeler company. For a long while tvs has been moving in a narrow range around 50-55 levels.

TVS Motor Company registers 14% growth in June '11 sales

Hosur, July 1, 2011: A quantum increase in exports supported by strong domestic sales with robust contributions from all segments saw TVS Motor Company witnessing an increase of 14% in overall sales. The company recorded total sales of 182,456 units in June 2011 against 159,688 units in the corresponding month of the previous year. The three wheeler business also posted healthy growth.

The company's cumulative sales for the months of April to June 2011 grew by 16% with sales of 536,130 units against 463,840 units recorded in the previous comparable period

Saturday, July 16, 2011

APOLLO HOSPITAL A risk free bet for long term

Apollo Hospitals Enterprise Ltd’s (Apollo’s) Q4FY11 results exceeded
expectations on higher revenues from the newly established hospitals,
low interest cost and the decline in losses from associates. We remain upbeat
on the growth prospects of the healthcare services industry and Apollo’s
leadership position in the organised healthcare delivery market. Although
Q4FY11 results were above our expectations, we maintain our earnings
estimates after factoring in slight delays in commissioning of the new beds. We
maintain our fundamental grade of 5/5.

Key developments: 57 pharmacy stores were added during Q4
During the quarter, Apollo added 57 pharmacy stores, totaling ~1,200 stores
as of FY11. The company is going slow on new store additions and is focusing
on increasing profitability of the existing stores. We remain positive on the
retail pharmacy business and expect profitability to improve to 3.9% in FY13
from 0.5% in FY11.
Valuations: Current market is aligned
We continue to use the discounted cash flow method to value Apollo. We
maintain our fair value of Rs 533 per share. At this fair value, the implied P/E
multiples are 31.1x FY12 and 27.5x FY13 EPS. Given the current market price,
the valuation grade is revised to 3/5 from 4/5.


Thursday, July 14, 2011


Thrissur-based SOUTH INDIAN BANK (SIB) has registered its highest ever quarterly net profit of Rs 82.49 crore for the three months ended June, clocking a growth of 41.15 per cent over the year-ago period.

The bank had posted a net profit of Rs 58.44 crore in the April-June quarter last year.

SIB's business has increased by Rs 13,556 crore from Rs 40,217 crore to Rs 53,733 crore on year-to-year basis, a growth of 33.71 per cent, the bank's CEO and Managing Director V A Joseph said while announcing the first quarter results.

While deposits went up by 35.54 per cent to Rs 31,662 crore from Rs 23,331 crore (y-o-y) during the quarter, advances increased by 31.18 per cent from Rs 16,886 crore last year to Rs 22,151 crore.

Low-cost, or CASA (current account saving account), deposits increased from Rs 5,852 crore to Rs 6,789 crore, registering a growth of 16.02 per cent, he said.

The bank earned a total income of Rs 820.34 crore during the quarter as against Rs 581.78 crore last year, a growth of 41.01 per cent. It maintained the net interest margin (NIM) at the same level of 2.8 per cent as in the first quarter of June, 2010-11, he added.

The bank planned to raise Rs 1,000 crore through QIP (Qualified Institutional Placement), which will be completed by September this year.

Joseph said the bank planned to open 57 more branches in the current fiscal to take the total number of branches to 700.

Currently sib is trading at Rs.24 and with an EPS around 2.6 and PE ratio near 10.So i continue my buy rating on south indian bank upto a short term target of 32 on scrip.