Editor : Dilip K.

Shah

SMART
GAMC No. :1703/2009-11. Issued by SSP Ahd. Valid up to 31-12-2011
Page
12 VOL : 4
After a brief retreat equities resume their upward march
Inflation and interest hike fears still pose serious threat
Shrugging off all the negative fac-
tors and hurdles, the country's stock
markets resumed their buoyancy after
an initial and brief setback. The nega-
tive impact that was caused by infla-
tion and interest rate hike concerns and
lately by lower-than-expected corpo-
rate numbers as chruned out by Infosys
Technologies and a few other compa-
nies was warded off by the markets
when the news from the foreign stock
markets turned out to be highly posi-
tive. The BSE Sensex which had suf-
fered a small setback in the previous
week, ended the last week with a net
gain of 215 points over the previous
week's closing. The markets remained
officially closed on Friday on account
of a public holiday and therefore trad-
ing sessions were curtailed to only four
with the last day being Thursday that
followed with a long week-end holidays
for many market-goers.
Issue No: 9 RNI No : GUJENG / 2008 / 24320
Trading for the new week on Mon-
day commenced on a weak note un-
der the impact of the lower-than-ex-
pected working results as chruned out
by Infysys Technologies on Friday of
the previous week and therefore, the
markets closed lower on Monday, the
By Talaksi Gosar
(Mumbai)
second day straight. But with the In-
dian Meteorology Department caming
out with an initial forecast for the ensu-
ing monsoon as being satisfactory and
the statistical department of the Gov-
ernment of India caming out with infor-
mation that the exports were higher by
37.50 per cent the marketmen and
especially the bull operators breathed
a sigh of relief. The sigh of releif
coupled with encouraging news from
the foreign stock markets triggered
fresh buoyancy in the stock markets
and that sent the BSE Sensex up by
as many as 349 points on Wednesday
which was followed by 131 points ad-
vance on Thursday, the last trading
day, thus erasing the first day's losses
completely and staging a net gain of
215 for the BSE Sensex. A few posive
corporate results too helped the mar-
kets to come out of the bearish impact
and resume their upward trend.
With the last week's rise of 215
points, the markets have gone closer
to the levels that could be termed as
more risky as they had earlier also
reached those levels only to beat re-
treat. Besides the risk of high level of
prices, the markets may have to face
selling pressure if any leading company
comes out with negative working re-
sults.
(Cont.... on P 8)
Archi Publications
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Phone : 079 - 2657 66 39,
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Price
th
25 April 2011 to 1 May 2011 st
Rs. 12/-
Buy of The Week
Hemant K. Gupta (Mumbai)
AN UNDERPRICED DENIM SCRIP
Aarvee Denim (Rs. 65.00) (Code : 514274)
Ahmedabad based Aarvee Denim Ltd has emerged amongst leading
producer of Denim fabrics in India. Aarvee caters to domestic as well as
export demand. Aarvee has installed capacity to produce 60 million meters of
denim fabric per annum. In order to be integrated denim producer, Aarvee
also has sizing capacity for 70 million meters, spinning mill to produce around
26000 tonnes yarn and 20.50 MW Windmills . Scrip is being recommended
here as Aarvee had reported good results for FY10 and should achieve
excellent results for FY11. Moreover, company is on verge of completing its
expansion program which will enhance its capacity by 40%.
For year ended March 2010 Aarvee had performed quite well with Net
Profit of 22.98 cr and EPS stood at 9.19 Cash Eps was 19.70.
Company has been performing much better in current year with 9 month
profit at 27.50 cr which is higher than Pat of entire FY10. EPS for 9 months
stands at 11.68 as compared to Eps of 9.19 for FY10. For FY11, Aarvee is
likely to achieve Sales of 487 cr, rise of nearly 30% and Pat should rise by
50% to 34.50 cr,. EPS for FY11 can be 14.70 and Cash Eps at 24.70.
(Cont.... on P 10)

TIPS OF THE WEEK

Co. Name Code Price
BUY.... BUY....BUY
Co. Name Code Price
At the Cross Roads !!!
Week on week the market is giving The prediction of near normal mon-
Bazar.com
J. B. Chemical 506943 163 Greaves Cotton 501455 91 mixed signals. The rollercoaster ride on soon by Indian Meteorological
(Fakhri H.
Navneet Pub. 508989 65 B.F. Utitlites 532430 869 the benchmark and individual scrip Dept.(IMD)came as a good news for Sabuwala)
Sonata Software 532221 45 stays. Marketmen remains hesitant as the market. It ignited sparks of teji in E-mail:
Jubilant Food 533155 69 to which way shall it traverse. The re- automobile, fast moving consumer fakhrisabuwala@hotmail.com
Brilliant Sec. 531723 61 Lovable Lin. 533343 314 sults also a bag of mixed fortunes. goods, consumer durables, and agri
Indus Fin. 531841 285 Karur Vysya 590003 425 Infosys down on the weak guidance based sectors. Indian economic growth Honda (1.6%), Bajajauto (1.37%) and
Pipavav Ship. 533107 86 whereas TCS not so disappointing. Ifci is thriving on the consumption and ru- Tatamotor(3%). The Sensex and nifty
Bajaj Fin Serv. 532978 535
and Idbi both reporting better figures. ral consumption will be robust going by thus stand to gain in the coming mon-
Orbit Exports 512626 89 Fag Bearing 505790 1005 the monsoon predictions. soon. Some experts however take this
The results so far are unable to give
Sundram Clayton 520056 91 Jindal Saw 500378 206 direction to the market. In such a sce- From the market's point of view presumption with a pinch of salt as they
KSB Pump 500248 277 Everonn 532876 676 nario the market has to look for other some of the key companies in the feel that higher crude prices may nullify
factors like the rain forecast and rais- benchmark stand to gain a lot from the monsoon advantage. They sub-
Exide Ind. 500086 143 Nestle 500790 3828 ing of sovereign funds acquisition limit good monsoon. ITC (6.65%in the in- stantiate their point with last twelve
Alkali Metal 533029 67 Tilak Fin. 503663 192 by sebi. dex) HUL(2%) , M&M (2.5%), Hero months
(Cont.... on P 8)

Market Scan
Jatin Sanghavi
So Near, Yet So Far Dalal Street’s Rumor-mill • Barsaat mein taak dhina dhin..... aur bazaar mein to barsaat se pehle taak
(Mumbai) dhina dhin
(M) 098205 26455 INDEX LEVELS • Crude price by monsoon may touch $140 a barrell and possibly it will wash
E-mail : S3 S2 S1 Close R1 R2 R3 away the colors of teji and rainbow.
• Finolex ind is likely to cross its all time high and may consider a free isssue.
jatinsanghavi100@yahoo.com Nifty 5634 5721 5801 5884 5944 6011 6073
• Educomp, edserve, and everonn are the scrips of tomorrow and the day after.
The market behaved in a copy Sensex 18794 19074 19340 19602 19836 20084 20332 multibaggers even from this rate
book style; when it tested the sup- • Modi rubber's honeymoon with continental has just begun
ket has tested the Resistance
ports and bounced back from there zone almost four to five times in
This Weeks Recommendations • Varun ind strikes gold and is likely to double in a year's time.
and tested the resistances without • TCS has posted higher EPS but pruned the dividend. This might dampen the
the last two weeks without Stocks CMP SL TGT-1 TGT-2
breaching them. It was a classical market sentiment for this counter for a while.
breaching that zone and is ex- Buy SBI 2861 2843 2888 2916 • Future group’s IPO is sure to lift the sentiment for Pentaloon and Future
support zone formed by the conver- periencing a case of being so Buy HDFC 732 724 745 760 Capital in near term.
gence of the long term average near, yet so far. But this time it Buy ONGC 304 300 311 320 • Wendt India might consider delisting and exit offer at attractive price is on
200dma, medium term average seems to be more inclined to- Buy Apollo Tyre 73 71 76 80 cards.
100dma and short term average of wards an upward breakout. • Mac Charles is a worthy bet at declined level. Company is overdue for a
Buy ING Vysya 358 350 375 393
20dma. The resistance zone as ex- maiden bonus.
pected was formed by the strong TECHNICALLY SPEAKING :- • Based on ongoing activities, Fortis Healthcare is considered as a safe me-
supply trendline and the 61.8% The Sensex opened the week at dium term bet.
retracement of the entire recent fall 19389 made a high of 19695, a low of • Everonn is set to appreciate at least 25% in coming months post Q4 results.
for both the indices. The market thus 18976 and closed the week at 19602. • Liberal bonus is expected from Empire Industries that is reportedly faring
respected both Support zone and The Sensex gained 216 points on a better.
Resistance zone mentioned in the last weekly basis. Similarly Nifty opened • Accumulation at declined level is advised by punters for JB Chemicals.
weeks article, without breaching any. the week at 5824, made a high of 5912, • Investment broker is strongly recommending Coromandel International for
The market is decisively placed a low of 5693 and closed the week at medium to long term rewards.
near the higher side of the trading 5884. The Nifty too closed with a gain • Bull operators are very optimistic for RCF, company is long due for a free scrip
range and is itching to make a strong of 60 points on a weekly basis. and unlocking of realty value.
• Surprised cheering news is expected from Balkrishna Industries. Would you
move in any one direction. The mar- On the weekly charts, both the
like to bet on it ?
Last Weeks Recommondation indices have
formed a white
Stocks Recomm. Target Reached Lot Profit body candle with
Buy Havells 405 414 416 500 5500 a long lower For F & O + Cash
Buy UCO Bank 120 124 122 2000 4000 shadow. This long
lower shadow is
+ Nifty + Weekly
Buy Canara Bank 651 664 667 500 8000
Buy Jub. Food 627 667 705 500
representative of
39000 the fact that there sms CASH to 54959
Buy Edserv 155 163 163 2000 16000
(Cont.... on P 10) Free Trial
Total 72500

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 Financial Weekly

2 25th April 2011 to 1st May 2011 SMART

Nifty - Bulls struggling hard for breakout
C.M. Patil
info@MarketRahasya.com
Last week I said NIFTY index is
most likely to re-test 5744-5662 levels.
During the week NIFTY index went
down to re-test these level, made a low
of 5694, and bounced backed to 5900.
The closing for the week was 5884.
What happened during the week
? :- If you recollect, I had predicted in
the first week as April that “Bulls are
back! Last Hurdle 5940”. Now for en-
tire April month bulls have struggled
hard to cross this hurdle but have not
succeeded till date. This week again
an attempt was made and NIFTY in-
dex closed exactly at the resistance. It
has formed Doji Candlestick on the
breakout line keeping everyone guess-
ing about what’s next? On Wednes-
day & Thursday derivatives data has
given positive signals for the coming
week. FII buying pattern indicator is also
on positive side. Put/Call ratio has im-
proved from 0.9 to 1.21 which is again
a positive indication.
What’s next ? :- NIFTY index is
gearing up to penetrate thru 5900-5940
bands. If NIFTY index manages to give
closing above this level for two con-
secutive days then Bulls will take the
index up to 6180 and 6300 in no time.
However, please remember next week
is an expiry week and derivative data
shows heavy accumulation at 6000 call
options. Therefore NIFTY index will find
it hard to cross this level till expiry on
Thursday, 28 th . The support for the
week is at around 5800, below which
bears can attack back.
Pick for the week :-
RPower : CMP 130.95, above 132
the target will be 136-138 • Rel Capital
: CMP 611.15, above 614 the target
will be 630-641 • GE Ship : CMP 290,
Stop loss 282 , target 296-300-308 •
Maruti : CMP 1307, above 1312 the
target will be 1327- 1341 • Sesa Goa :
CMP 321.90 stop loss 316the target
will be 328-335
Last week’s recommendations :-
100% Target Achieved: Areva T&D
made high of 287.05, Sesa Goa made
low of 296.80, Crompton made high of
296.70, BEML low of 712.05
[Disclaimer: These are the personal views of the
analyst and are not any recommendations. Analyst may
have holdings in these scripts.]
Smart Best
Buy S. N. Zaveri
TCS (Code : 532540) : It is
official now. India’s Information Tech-
nology (IT) gravy train hasn’t derailed.
TCS met the Street’s expectation on
most counts. For the quarter ended
March 31, the company clocked rev-
enues of Rs 10,157 crore, up 31.3
per cent year-on-year and 5.1 per
cent, sequentially. Net profit climbed
to Rs 2,623 crore, up 31.1 per cent
y-o-y and 10.7 per cent sequentially.
The company added 39 new clients
in the quarter, evenly spread across
verticals and deal sizes. The
company’s plan to hire 60,000 people
this year is an indication of the good
momentum in business.TCS has
managed to grow across verticals,
except telecom, and has not faced
any client-specific issues or delays
in starting projects in the entire year.
One of the reasons Infy had cited for
volatility in revenues and utilisation
was due to projects not starting on
time.TCS has been lucky as there
have been no issues on the client-
side.In its after-result note, CLSA said
good top line growth should allay in-
vestor concerns on industry-wide
demand, which had arisen after a poor
Infosys report. So, there are positives
for not only the company, but for the
TCS beats the Street expectations and leaves behind Infy
Everonn gets major boost on joining hand with NSDC
JSW Steel will benefit on increased production capacity
ING Vysya Bank jumps on strong results
L & T gets momentum on Electrical-Electronics unit sale plan
mandated by NSDC to train 15 million
people (10% of NSDC's overall tar-
get of 150 million) by 2022. NSDC will
invest 27% as equity in the wholly
owned Skill development subsidiary
of Everonn Education Ltd. i.e. Everonn
Skill development Limited (ESDL).
This JV will have 73/27 investment
ration between ESDL and NSDC. So,
obviously, Everonn will be major ben-
eficiary. Buy this momentum stock
now.
JSW Steel (Code : 500228)
: JSW Steel Ltd, India's No. 3
steelmaker, acquired 3.77 percent
stake in Ispat Industries Ltd in an
open offer, taking its total holding to
Co. Name CMP (`)
`)
TCS 1191.00
Everonn 676.00
JSW Steel 972.00
ING Vysya Bank 358.00
L&T 1703.00
49.3 percent. JSW had raised its of-
fer price for a 20 percent stake in
Ispat to 22.25 rupees in March, after
INVESTMENT
to Rs 358 on Friday it announced Q4
numbers. Its net profit rose 34.4% to
Rs 91.30 crore on 26.9% increase in
operating income to Rs 947.42 crore
in Q4 March 2011 over Q4 March
2010.ING Vysya Bank's net income
increased 31.6% to Rs 318.65 crore
on 17.4% rise in operating income to
Rs 3349.03 crore in the year ended
March 2011 over the year ended
March 2010. The bank's current ac-
count and savings account deposits
(CASA) were up by 24% to 10,459
crore, taking the CASA ratio to
34.6%.ING Vysya's's net non-per-
forming assets fell from 1.20% to
0.39% on a quarter-on-quarter ba-
sis. The stock has jumped by more
than 20 per cent in last one month.
But still it is at much discount to its 52
week high of Rs. 443. Banking will be
the big player in the next rally. Buy
this banking counter.
L&T (Code : 500510) : Larsen
& Toubro has sought shareholders ap-
proval to transfer its electrical and au-
tomation business, which is largely a
product business, to a subsidiary or
associate company or to any other
entity as a going concern. The division's

Updates on earlier recommendations market as a whole. Buy.

Everonn (Code : 532876) :
In a major initiative towards vocational
it said late last year it would buy a
controlling stake in the loss-making
control and automation unit is the single
largest system integrator in the coun-
try offering automation systems to oil
Hemant K. Gupta (Mumbai) smaller rival.With the new capacity
training, Everonn, the largest VSAT created at its Vijaynagar facility, JSW and gas, water, power, cement, metal
education network in the world, has and infrastructure companies.L&T is
CSS Tech Energy (Rs. 32.00) (Code : 590050) joined hands with the National Skill
steel has reported 1.72 million tonnes
of crude steel production in January- said to be in talks with Schneider Elec-
Subsequent to our recommendation, scrip is already up 25%. However, Development Corporation's (NSDC) tric and Eaton Corporation and expec-
March quarter, 8 per cent higher than
investors may continue to hold. Some significant developments taking place and mission with the launch of Interna- the year-ago period.The company tations on valuations are said to in the
if same materialise, scrip can cross Rs 50/ in less than 6 months.
tional Skills School to skill people from also achieved highest ever quarterly range of Rs 12,000 to Rs 14,000 crore.
Sathavahana Ispat (Rs. 50.00) (Code : 526093) across nine key sectors to make
them employable. NSDC is a not-for-
flat products output at 1.32 MT in
January-March 2011, up 36 per cent
The division accounts for little less than
7 per cent of L&T's revenues with manu-
We had projected Eps of Rs 16 for FY11. As per our sources, Eps may be higher than profit company set up by the Ministry over the corresponding period last facturing facilities in Mumbai,
16 and scrip has potential to touch Rs 75 in near future. Investors may buy more.
of Finance as the first PPP initiative year.After the new capacity addition, Ahmednagar and several overseas
G.M. Breweries (Rs. 120.00) (Code : 507488) with the mandate to skill 150 million JSW will be able to produce 14.3 mil- locations. For FY10, revenues were
people by 2022 in 21 focus sectors. lion tonnes per annum (MTPA) of Rs 3,675 crore. With the company plans
For FY11, GM has reported Pat of 31.03 crores, translating into Eps of Rs
This is part of the government's over- steel. As the steel prices are on up- focussed on aggressive growth on a
22.20. Scrip is trading at just above 5XFY11 Eps which is on lower side for a liquor
scrip. Moreover, company has good growth potential as presently plant operating all target to train 500 million people by ward move, the company has good large revenue base, the management
at just 50% capacity. Scrip can be 160-175/ in less than 1 year. 2022 to meet the global skills short- days in near future. Buy. decided to restructure the company into
age. Everonn's wholly owned Skill de- ING Vysya Bank (Code : various independent companies. So,
Weekly Stock Market Prediction velopment subsidiary, Everonn
SKILL development Ltd. has been
531807) :- jumped more than 6% this is just beginning, there are lots more
to come for value unlock. Invest.
25th April – 29th April 2011
Badruddin
Weekly planetary position: During the week, Moon will be transiting in
Capricorn & Aquarius. Sun in Aries. Rahu & Pluto in Sagittarius. . Ketu in Commodity space Sr. Research Analyst - Commodities
demand for gold. Additionally, rising crude Angel Commodities Broking Pvt. Ltd.
Gemini. Saturn in Virgo. Mars, Mercury, Jupiter, Venus & Uranus in Pisces.
Neptune in Aquarius As predicted, volatility & deception continued last week. Bullion : Spot silver rallied around oil prices will also boost gold demand as
On Monday, Nifty after touching high of 5897, closed at 5732. It was without 7 percent in the last week as weakness touched a low of Rs 411.40/Kg. Later
a hedge against inflation. Additionally, prices surged higher and touched a high
any negative news & this development occurred due to the change in the in the dollar coupled with choppy senti- building inflationary pressures will also of Rs 428.65/Kg, finally ended the week
position of Planet Mercury at 11.27 am, and after that down fall started & in ments in the global equity supported boost demand for precious metals as an (April 21, 2011 at 5.50 PM) at Rs.427.50/
no time nifty lost 165 points. Whosoever desire to know the factual situation, prices. Last week, MCX May Silver prices inflation-hedge. Spot Gold has a strong kg with a gain of Rs 10.50/kg as com-
he may visit our office with prior appointment and we will place the facts opened the week at Rs 62503/Kg, ini- support at $1480/$1464 levels and re- pared with previous week’s close of Rs
before him. Be cautious, volatility & deception will continue in coming days. tially moved mildly lower and found strong sistance at $1518/$1530 levels. MCX 417/kg. For this week, we expect base
Due to uncomfortable Planetary position of Lord RAHU, in INDIA’S horo- support of Rs 62200/Kg. Later prices June Gold has a strong support at metals to trade higher, mainly on the
surged sharply and touched a high of Rs 21,650/21,460 levels and resistance at
scope, disturbing news flow will con- back of upbeat global market sentiments
67828/kg and finally ended the week
Astro View tinue. New Samvat 2068 (Hindu New
Year) have started from 4th April 2011.
(Thursday, at 6.00 PM) at Rs 67490/Kg
22,050/22,200 levels. Spot Silver has a
strong support at $44.80/$43.50 levels
and weakness in the US dollar. MCX
April Copper shall find a strong support
Satish Gupta Whenever New Samvat starts, based on
with a gain of Rs 5100/kg as compared and resistance at $47.35/$48.70 levels.
with previous week’s close of Rs 62390/ at 415/406 levels and resistance at 434/
(Delhi) planetary position / conjunction & as- MCX May Silver has a strong support at 440 levels for this week.
www.astrostocktips.in kg. Spot Gold prices traded slightly higher 65,800/63,900 levels and resistance at
pect among planets, some new sectors Energy : The US Energy Informa-
(up 1.35%) in the last week on account 69,500/71,000 levels.
commence out performing & many sectors, which were in momentum during tion Administration (EIA) in its weekly in-
of a weaker dollar and the worsening
last Samvat start under performing. It has been observed many times that
debt crisis in the US and the Europe.
Base Metal : Base metal com- ventory report showed unexpected fall
investors / traders (not knowing this fact) keep investing /trading in such plex traded higher on the LME as well in inventory levels of crude oil. As per
This factor has increased the safe ha-
sectors,( whose astrological support is over) – resulting in losses. It is sug- as MCX in the last week, except Zinc reported figures by EIA, crude oil inven-
ven demand for gold. Rising crude oil
gested to consult your Financial Astrologer to know about the sectors. Look- and Lead. Copper prices gained almost tories declined sharply by 2.3 million bar-
prices fueled inflation fears which
ing to the planetary configuration following sectors will be getting astrological 3 percent on the LME and around 2.5 rels to reach 357 million barrels. Gaso-
boosted the yellow metal demand as an
support: Auto sector i.e.; Maruti, Mahindra & Mahindra, Tata Motor & Hero percent on the MCX last week. LME line stocks declined 1.6 million barrels to
inflation-hedge. Prices touched a high
Honda ect will continue getting strong Astrological support. Plastic Sector i.e.; copper prices touched a high of $9652/ 208.1 million barrels, whereas distillates
of $1508.85/oz on Thursday at 6.00 PM.
Sintex, Milton, Vip Industries, Kisan moluldings & Wim Plast ect too would be tonne and were hovering at $9650/ also decreased by 2.5 million barrels to
For this week, we expect silver and gold
getting favorable Astrological support Watches sector will also be getting very tonne around the same time. Factors reach 148.3 million barrels in the same
to trade higher, mainly on the back of
strong Astrological support. Buy Titan on every decline In such volatile mar- that influenced prices are upbeat glo- week. Last week, MCX May crude prices
falling dollar, rising debt concerns in EU
ket, buying should be done on down days. Astrologically, very bullish on bal market sentiments and dollar weak- opened the week at Rs.4896/bbl, initially
and US which will increase safe-haven
silver. Buy on every dip. Last Week’s Prediction: Nifty up by 1%. As predicted, ness. Zinc and lead inventories in- moved lower due to strong dollar coupled
all three sectors – Banking / creased sharply by 6.5 percent and 6.1 with choppy global market, but found
Financials, Capital Goods & Watches
sectors out performed. In Capital
News T Track
rack percent respectively on the LME ware-
house last week. This factor exerted
good support at 4756 levels. Later prices
surged higher and touched a high of Rs
Goods – Abb, Apil, Havels & Cummins pressure on zinc and lead prices. Cop- 5014/bbl and finally ended the week at
went up by 3-6%. Among Bnking &
Financials – Hdfc, Ing Vyasa, Dewan
IDBI Bank hikes the dividend to 35% per shipments in Japan declined 8.1
percent in the month of March, thus
Rs.5003/bbl (on April 21, at 5.40 PM)
with a gain of Rs.95/bbl as compared
Hsg & Dcb moved up by 4-8%. IDBI Bank has emerged as the first finance PSU to announce the audited posting the biggest fall in 18 months. with previous week’s close of Rs.4908/
Bankex up 1.2%. Titan went up by results for the fiscal 2010-11. In its history, it has also posted the highest ever net Devastating earthquake and tsunami bbl. For this week, we expect crude oil
5.5% in Watches sector. One should profit of Rs. 1650.32 crore on a total income of Rs. 20684.47 crore. For the disrupted supply chains for automakers prices to trade with a positive bias on
trade only in the stocks of that sec- previous fiscal it earned net profit of Rs. 1031.13 crore on a total income of Rs. and other manufacturers which de- account of upbeat market sentiments
tors which are getting very strong as- 17563.05 crore. Thus while top line is up by 18%, bottom line has risen by 60%. pressed domestic demand. Shipments coupled with weakness in dollar. NYMEX
trologically support, since the chances It has gained the momentum in retail segment with no-fee and free services for totalled an estimated 55,300 tonnes in Crude has a strong support at 109.80/
of losing money in such stocks are opening any kind of account with bank to all retail customers. Following the jump March, which is down from revised 107.60 levels and resistance at 114.10/
very less. Sectors which get strong in net profit, the bank has announced higher dividend of 35% against 30% paid 57,926 tonnes of shipments in the 116.50 levels. MCX May Crude shall find
ASTRO support are not normally af- for the previous year. The bank is confident of maintaining the tempo of growth month of February. Last week, MCX a strong support at 4890/4795 levels
fected by downfall in the market. for the coming year as well and hopes to take its branch tally to over 1100 from April Copper prices opened the week at and resistance at 5100/5210 levels for
current 816. Rs 417.80/kg, initially moved lower and this week.
 Financial Weekly
SMART
INVESTMENT
Fantastic Future
Nifty Future- (5825) on the way
up key a Major resistance at 5920
Closing above 5920 tham nifty lead
to 5960/6000 area. below 5782
strong support at 5755. do not short
at near lower level.
Century Tex.(373) Buy at de-
cline at 368 for objective of 386/398
area. break above 398 than should
lead the stock towards 425 area. Keep
Parthiv Jhaveri
9824333800
stop below 365 area. Very positive
bias for this stock.
Maruti (1307) buy at cmp for
objective of 1335/1352 area. Now
break above 1352 than should lead
the stock towards 1378 area. Keep
stoploss below 1287 area. Very posi-
tive bias for this stock.
Tata Powers (1330) Intimate buy
position in May future on any dips to
Do not short at lower levels . strong support at 5862
1315 area. For an objective of 1364/
1386. A break above 1386 will stock
indicate strength in the upmove.
stoploos below 1309.
GSPL (103) Intimate buy posi-
tion in May future on any dips to 101
area. For an objective of 107/111
keep stoploos below 99.50.
ONGC (404) Intimate buy posi-
tion in May future on any dips to 398
area. For an objective of 411/420. A
25th April 2011 to 1st May 2011
break above 420 will stock indicate
strength in the upmove. stoploos be-
low 392.
Bajaj Hind. (82) Buy future at
any decline rate nr. 80.5 with stoploss
below 78 area for an objective for 87/
92 area. intimate 5 days position.
Neyveli Lignite (112.5) Buy fu-
ture at rate nr. 109 with stoploss be-
low 106 area for an objective for 119/
125 intimate 5 days position.
3
Areva (279) Buy future with
stoploss below 274 for an objective for
288/298 area. intimate 5 days position.
Biocon (375) Buy future with
stoploss below 365 for an objective
for 389/399 area. intimate 5 days po-
sition.
Bharat Forge (356) Intimate buy
position in May future on any dips to
350 area. For an objective of 368/
372 keep stoploos below 347.

4 25th April 2011 to 1st May 2011
High Risk
rn
High Retu
Shares
Varun Industries (Rs.
231.00) (Code: 532917) :- The com-
pany has found some high quality gold
from its Australia based gold mines. The
price of the share may flare up next week
following this news.
Petron Engineering (Rs.
412.00) (Code: 530381) :- It has
been heard from the street that the com-
pany may announce open offer very
shortly. Investors must hold on this
share for midterm.
Subex (Rs. 77.00) (Code:
532348) :- Some FII has purchased
15 lakh shares from open market indi-
cating some positive news beside big
bull Rakesh Jhoonjhoonwala has also
taken entry in this share. Hold on this
stock.
Andhra Cement (Rs. 15.00)
(Code: 532141) :- The company,
Varun Ind : Co. has found some high quality gold from its Australia based mines ; Petron Engg. : It is fundamentally very strong company
Subex: Big bull Rakesh Jhoonjhoon wala has entered in this share ; Andhra Cement : It has become most favorite for some market operators
Garware Wall : It is all set to avail the highest benefit from its land dev. ; Take Solution : Possibility of its re-rating following excellent result
ING Vysya Bank : It is most favorite share for many high net worth investors ; Jindal Steel : The price may soar up following some new development
United Brewery : Hold on this stock as there is possibility of some new development ; CRISIL: It has become most favorite share for retail investors
Aban Offshore : Possibility of some corporate development in a very near future ; Ess Dee All : The target price of Rs. 550 within next six months
VBC Ferro : Buy it at every dip as company may annoce some positive news shortly ; VIP Ind : Big bull Rakesh Jhoonjhonwala has doubled his stake
M & M : Strong indication of excellent result, hold on this share for mid term ; MRF: It is the best buy share at every dip
having leadership position in southern
states with market cap of Rs. 235 crore,
is seriously mulling to sell off its some
equity stake and it is going to make an-
nouncement very shortly in this regard.
The price may surge up following this
possibility.
Garware Wall (Rs. 70.00)
(Code: 509557) :- The company,
having achieved annual EPS of Rs. 10,
is going to announce its expansion plan
very shortly. The stock of this company
is currently quoted with 7 PE and it may
become multi bagger for retail investors.
Take Solution (Rs. 39.00)
(Code: 532890) :- There is very
strong possibility of its re-rating follow-
ing its excellent result. It is also possible
that the company may announce some
positive news very shortly. Investors must
hold on this share for few weeks.
ING Vysya Bank (Rs. 358.00)
(Code: 531807) :- The big bull
Rakesh Jhoonjhoonwala is very long
term investor in this bank indicating its
strong fundamentals. Most of the HNI
are too rely upon its excellent perfor-
mance for each quarter. It is dark horse
for long race.
CRISIL (Rs. 6584.00) (Code:
500092) :- The company has achieved
50 % growth in its top line, 25 % growth
in its consolidated total income and 11
% growth in its rating business for the
Q1FY2011. It is expected that the com-
pany may achieve annual EPS of Rs.
65 for the FY 2011-12. It has become
most favorite scrip for HNI as well as
retail investors.
MRF (Rs. 7443.00) (Code:
500290) :- This blue chip company
could maintain its balance sheet most
attractive and has been paying high rate
of dividend to its share holders since
last many years. The company, having
paid up equity capital of Rs. 4.24 crore
has hefty reserve of Rs. 1686.44 crore
indicating bonus candidate.
M & M (Rs. 766.00) (Code:
500520) :- The market feels positive
view for auto sector beside most of the
auto companies have registered excel-
lent performance during last many quar-
ters. The price of this share may move
Financial Weekly
SMART
INVESTMENT
up 20 % during next couple of weeks.
Aban Offshore (Rs. 667.00)
(Code: 523204) :- It has been heard
from the street that the company may
announce some positive development
very shortly. Investors must hold on this
share with SL of Rs. 650.
Ess Dee Aluminum (Rs.
492.00) (Code: 532787) :- The com-
pany has achieved annual EPS of Rs.
45 for the FY 2010-11 and it may achieve
this EPS up to Rs. 60 next year. Inves-
tors can take entry at this level for some
handsome return as they may reap the
target price of Rs. 550 very shortly.
VBC Ferro (Rs. 249.00)
(Code: 513005) :- The market circle
are of the opinion that the company
may announce some positive develop-
ment very shortly. Also they are expect-
ing the target price of Rs. 300 during
next couple of weeks.
Shree Ganesh Jewellery (Rs.
197.00) (Code: 533180) :- The com-
pany has achieved annual EPS of Rs.
40 for the FY 2010-11. Investors can
take entry at this level for some hand-
some return as they may reap very hand-
some return within next one month.
VIP Ind: (Rs. 714.00) (Code:
507880) :- The company is seriously
mulling to sell off its 17.49 % equity stake
of Renaissance for the consideration of
Rs. 125 crore. The price of this stock
may surge up following this develop-
ment
Market
Tips
HCL Technologies (Rs.
518.00) (Code : 532281) : HCL
Technologies has posted a better-
than-expected 33 per cent increase in
net profit for the third quarter ended
March 31, 2011. Net profit stood at Rs
468.2 crore and crossed the $100 mil-
lion (Rs 440 crore) per quarter mile-
stone. During the third quarter, it has
reported revenues of Rs 4,138 crore
and net profit of Rs 468 crore, a year-
on-year growth of 31.5% and 33%,
respectively.Our revenues have
crossed Rs 15,000 crore in the last
twelve months. Our revenue per em-
ployee on a quarterly annualised basis
for the first time crossed the $50,000
mark, against the industry average of
$40,000.HCL has added 58 new cus-
tomers during Q3 and of these 11 are
multi-year, multi-million dollar transfor-
mational deals across service lines,
verticals and geographies. BNP Paribas
has upgraded HCL Technologies to
'buy' from 'hold' and raised the price
target to Rs. 600 from Rs.500 earlier
on the back of receding margin con-
cerns and higher revenue growth. Buy
this stock immediately.
Bajaj Finance (Rs. 708.00)
(Code : 500034) : Strong demand
driven by consumption over the last
couple of years has helped Bajaj Fi-
nance, a financier of a host of retail prod-
ucts and SME loans. Bajaj Finance, over
the last few years, increased focus on
high-yielding businesses such as con-
sumer durables, loan against shares and
property and personal loans. As a result,
net profits witnessed a triple-digit growth
over the last few quarters. The return on
assets improved from 1.3 per cent in FY-
09 to 4.8 per cent (annualised) during
the third quarter of FY-11. The net non-
performing asset ratio came down from
5.5 per cent in March 2009 to 1.1 per
cent in December 2010. The company
has already got net profit of last year in
just 9 months period this year and ex-
pected to come out with strong Q4 num-
bers. So, it is becoming stronger and
stronger. Accumulate.
 Financial Weekly

SMART
INVESTMENT
25th April 2011 to 1st May 2011 5
Smart
Supuer duper
Tata Chemical (Rs. 381.00)
(Code: 500770) :- The company,
one of the best companies in the
world producing soda ash, has se-
cured its leadership position in salt
market across the India. Its core busi-
ness portfolio includes crop nutrients,
Urea and phosphoric fertilizers. The
company has recently launched cus-
tomized fertilizer under Paras
Farmoda brand. The company has
recently made an announcement
that it is going to invested Rs. 1300
crore in order to acquire 25.1 % eq-
uity stake in Gabon, Africa based
Greenfield Port based Ammonia-Urea
Fertilizer Manufacturing complex. The
paid of equity and net worth of this
company was recorded at Rs. 255
crore and 5594 crore as on Decem-
ber 31, 2010. It is strongly believed
that it may achieve the annual EPS
of Rs. 30 at the end of current fiscal.
It has posted the net profit of Rs.
648 crore on sales of Rs. 8402 crore
for the first nine months ended on
December 31, 2010. The stock of this
company is currently quoted with 12.7
PE and 1.7 P/BV. Investors must ac-
cumulate this share at every dip for
target price of Rs. 450 during next 6/
8 months.
Yes Bank (Rs. 317.00)
(Code: 532648) :- This bank has
registered very excellent performance
during FY 2010-11 ended on March
31, 2011. It is strongly believed that
the bank is going to register 30 %
CAGR growth during next few years.
The management of the bank
strongly believe that the existing bal-
ance sheet of Rs. 59007 crore would
grow up to Rs. 1,50,000 crore in near
future. The deposit of bank is re-
corded at Rs. 45938.9 crore indicat-
ing 71.11 % growth and its advances
have increased up to Rs. 34363.6
crore indicating 54.8 % growth. The
market analysts are very bullish for
steady margins and growth of this
bank. The bank has achieved 2.8 %
NIM and it is expected that this would
reach up to 3 % during first quarter
of FY 2012. Investors must add this
stock in their portfolio from midterm
perspective.
Dish TV (Rs. 66.00) (Code:
532839) :- This is the company,
having market cap of Rs. 7229 crore,
that has first launched direct to home
(DTH) TV facility in India. It is enjoy-
ing 31 % market share with 1 crore
subscribers in India compared to its
peer companies. It is also active in
various business ranging from me-
dia to packaging. The recommenda-
tions, made by Telecom regulatory
authority of India, are going to be
positive for this company. The com-
pany had registered very huge loss
of Rs. 44.2 crore on sales of Rs.
372.2 for the quarter ended on De-
cember 31, 2010. The comparison
of its valuations is not possible since
it is the only listed company from DTH
industry. Investors can add this stock
in their portfolio from long term per-
spective.
IRB Infra (Rs. 195.00)
(Code: 532947) :- The company
is engaged with road and high way
sector and is considered as best in-
frastructure and developer company.
It is also active in business of high
way construction and engineering
procurement. Its most of the busi-
ness is executed in BOT segment
that fetches 36 % revenue and 66 %
operating profit. The company has
recently diversified its business in real
estate and airport developing seg-
ment. The National High Way Author-
ity of India (NHAI) has disclosed the
list of its 100 proposed projects for
which this company is going bid for
so many projects and it will definitely
win some of the bids. Its most of the
toll income is incurred from Gujarat
and Maharashtra where it has very
strong presence. The company, hav-
ing market cap of Rs. 7100.98 crore,
had posted the net profit of Rs.
133.01 crore on turnover of Rs.
668.81 crore achieving EPS of Rs. 4
for the Q3FY2011.
 Financial Weekly

6 th
25 April 2011 to 1 May 2011 st
SMART
INVESTMENT

Primary Market’s Muthoot Finance, the first IPO of FY 2011-12, got overwhelming response from inves
Secondary market is enjoying the season of result whereas the primary market is pulsating wi
Sweet & Sour
The secondary market is feeling Almost 4 companies including Paramount, Future Venture, Innoventive and Servalakshmi are entering in the
buoyancy as numerous companies
had announced their excellent result
for March quarter. Almost more than
Galaxy Surfactunts and Vasvani industries would tap the market
550 companies are going to announce pany entered in the market on April
their result for Q4FY2010-11. On 18 with its IPO having offer price of Muthoot : The investors applying for Rs. 2 lakh may be allotted 130/135 shares, it may get listed
Rs. 160-175 and it closed on April 21,
other side the primary market is also
experiencing very strong undercur- 2011. The IPO of Innoventive industries would create highest attraction for investors, they can yield
rent as four companies are entering How much it got oversub-
scribed?:- This IPO was oversub-
Paramount may get better response from retail segment, good response from HNI segment and poor respo
in the market this month after the en-
try of Muthoot Finance. These four scribed 24.5 times more. It was over- ONGC may enter in the market during June-July with its IPO worth Rs. 11000 crore, MMTC is planning to divest its 10 %
subscribed 25.1 times more in QIB
companies include Paramount
Printpackaging, Future Venture, Inno- segment, 60.9 time more in HNI seg- Innoventive may get best response from QIB and HNI segment thanks to purchase of 26 lakh shares by
vative Ind. and Servalakshmi Paper. ment and 8.50 time more in retail seg-
ment.
The size of Servalakshmi and Paramount are very tine hence volatility during listing ca
Vasvani industries and Galaxy sur-
Discovery Price :- The company lakh may be allotted 130/135 shares. and full allotment.
factant are also planning to tap the the market on April 20 with its IPO,
market. The IPO of Muthoot Finance had fixed its discovery price from its Retail investors may be allotted 320 Listing :- It may get listed on May
having offer price of Rs. 32-35, worth
got overwhelming response amid upper price band of Rs. 175. shares, and the applicant applying for 9 at Rs. 39/41. Post listing the price
Rs. 45.82 crore. The company is
very high volatile market and it closed Refund : On April 2/3 Rs. 56,000 would be allotted through may soar up to Rs. 42/45. Investors
planning to undertake its expansion
on April 21. Allotment :- The investors ap- lottery system and the applicant ap- must book their profit at every rise.
plan in Gujarat.
plying for 1120 shares worth Rs. 2 plying for 340 shares may be allotted Future Venture Capital :- This
Muthoot Finance :- This com- How much it would oversub-
40 shares. company, promoted by Kishore Biyani
scribe ? :- The market indication sug-
Grey Market I P O P r e m i u m Listing :- This IPO is going to be
listed on May 4/5 as per its schedule
gests that it may oversubscribe 3/5
times more than its size. It is expected
group, is planning to tap the market
on April 25 with its IPO having offer
but it may not listed on this day and price of Rs. 10/11. It would get closed
that it may get most positive response
Co. Name Offer Price Premium Kostak instead it may get listed on May 4/5
from QIB, HNI and retail segment. on April 28. It is believed that the com-
thanks to holiday on account of God pany was supposed to fix its offer price
(Rs.) (Rs.) Rs. 2 Lac Friday. It may get listed at Rs. 200/
Discovery price : The company
at Rs. 25/27 but it could not do so
may fix its offer price from its upper
Muthoot Finance 160 to 175 26 to 27 -- 205 and post listing the price may soar
price band. thanks to some pressure created by
up to Rs. 215/220. Investors must merchant bankers and fixed its offer
Paramount Print 32 to 35 3.50 to 4 2200 to 2400 book their 50 % profit on very first
Refund :- On May 6/7
price at par.
Allotment :- Barring few catego-
Future Ventures 10 to 11 0.35 to 0.50 2000 to 2200 day of listing.
ries from retail segment investors from
Innoventive Ind. 117 to 120 9 to 10 2100 to 2200 Paramount Print Para-
m o u n t
most of the categories may get firm Great Garbles on N
Servalakshmi Paper 27 to 29 2.50 to 3 2300 to 2400 IPO Subscribed Print Pack- Muthoot Finance Ltd.
We have seen a great garbles on NSE We
Paramount Print. At 16.00 hrs tally, NSE flashed o
Vaswani Ind. 45 to 48 3.50 to 3.75 2700 to 2800 IPO 20-4 21-4 aging :-
QIB 0.23 0.23 This com-
IPO Subscribed and based on it Prana PR issued a memo on debu
IPO 18-4 19-4 20-4 21-4 when we rechecked at 17.00 hrs. the issue was
Note: Dont subscribe for issue by just seeing premium Price as it HNI 0.00 0.00 pany, pro- subscribed.
may change anytime before listing. Subscribe only considering QIB 0.26 0.31 25.01 25.1
Retail 0.03 0.31 moted by This has really raised eyebrows on the NSE W
HNI 0.02 0.21 0.98 60.9
Fundamental of the companies Average 0.12 0.22 S u k h a d i a subscription figures.
Family, has Retail 0.12 0.46 1.34 8.50 Who can be caught on such nasty mockery of
entered in Average0.16 0.35 11.02 24.5 SEBI take proper action in this matter immediately
Paramount Printpacaging Ltd.
IPO opens on 20 April Closes On 25 April 11 ; Price Band fixed at Rs.32 to 35 Future Ventures India Ltd. IPO opens on April 25, & Closes on April 28, 2011
Incorporated in 1985, Paramount Print packaging Limited is in the business of print & packaging
solutions. Company offers a packing solution consisting of a wide range of cartons. Those cartons are
mainly used in packaging of medicines, soaps, toothpaste, perfumes, shaving cream, shampoo, mois-
Price Band fixed at Rs.10 to 11 per Equity shares
Incorporated in 1996, Future Ventures India Ltd is part of Future Group (led by Kishore Biyani and
turizing cream, face wash, Automobile spare parts & accessories, Cigarettes, Corn flakes, tea, coffee
owners of Future Bazaar, Pantaloons, Central, Big Bazaar, Food Bazaar, Home Town and E-zone).
and spices. PPPL provides different types of packaging - rigid, flexible,
wrapping, Processing, Plate making, Printing, Lamination, Varnishing, UV
Issue Allocation Future ventures India Ltd is in the business of creating, building, acquir-
ing, investing in and operating innovative and emerging businesses in con-
Varnish, Hot Foil Stamping, Embossing, Die-cutting & Glueing of various
QIB 65,47,088 sumption-led sectors in India. Within the consumption-led sectors, Future
Issue Allocation
types of cartons to complete lines. Pharma, FMCG, Auto Ancillary, Tobacco ventures has primary focus on opportunities in the business segments of
and Food and Beverage are the main sectors using those products. Para- HNI 19,64,126
Fashion, FMCG, Food Processing, Home Products, Rural Distribution and QIB 340909089
mount has fully automated plant at Navi Mumbai which is capable of supply- Retail 45,82,961 Vocational Education. HNI 102272728
ing hundreds of different types of folding box cartons that suit the needs of Total 1,30,94,175 As of date, company has 13 Business Ventures, six of which are its Retail 238636364
their customers. Company’s plant has the capacity to convert approximately Register : subsidiaries. Company believes in applying a disciplined investment ap-
400 tons of paper board every month. In terms of finished products, Com- Total 68,18,18,181
Sharepro Services proach and building strong partnerships with management and promoters.
pany has the capacity to produce 20 lacs cartons a day. The objects of the The objects of the Issue are:To create, build, invest in or acquire, and Register :
issue are as follows: Setting up of unit at Gujarat, for manufacturing of high City : Mumbai
operate Business Ventures; For general corporate purposes; and To meet Link Intime India
end duplex board cartons, shippers and printed corrugated box; Augmenting the long term working the issue expenses and achieve the benefits of listing on the Stock Ex- City : Mumbai
capital requirements of our Company;General Corporate Purposes; and Achieve the benefits of listing changes. Issue Opens Apr 25, 2011closes on Apr 28, 2011 Issue Type:
on the Stock Exchange. Issue Opens Apr 20, 2011 closes on Apr 25, 2011 Issue Type: 100% Book 100% Book Built Issue IPO Issue Size: Equity Shares of Rs. 10 Issue Size: Rs. 750.00 Crore Face
Built Issue IPO Issue Size: 13,094,175 Equity Shares of Rs. 10 Issue Size: Rs. 41.90 - 45.83 Crore Face Value: Rs. 10 Per Equity Share Issue Price: Rs. 10 - Rs. 11 Per Equity Share Market Lot: 600
Value: Rs. 10 Per Equity Share Issue Price: Rs. 32 - Rs. 35 Per Equity Share Market Lot: 150 Shares Shares Minimum Order Quantity: 600 Shares Listing At: BSE, NSE
Minimum Order Quantity: 150 Shares Listing At: BSE, NSE

The other side of Future Venture Capital

The other side of Paramount Printpackaging The average price of promoters’ each share is Rs. 10, book value is 8.94,
Average price of promoters’ each share is Rs. 6.67, B.V. is 19.68, & offer Rs. 32-35 and offer price is Rs. 10-11 / Rating agency CARE has awarded 3/5 rating
Corporate governance is poor, Co. had failed to perform its PF, ESI and tax liability Pantaloon Retail, another group, got failed to fulfilled its promises made during its IPO
It had made huge loss during FY 07 but improved its performance during corresponding years Co. making constant loss right from its inception and its cash flow too remained negative
The PE is higher compared to peer companies, The IPO is most Of couse the turnover of the company is increasingly growing but the PE ratio
expensive thanks to its high offer price and low net margin and RONW are negative book value is positive
- The average price of promoters’ each share is Rs. 6.67, book value is 19.68 (as on 31-12-10), and
offer price is Rs. 32-35
Investors intending to high risk can invest their capital for at least 2/3 years
-The rating agency ICRA has awarded 2/5 rating to its IPO indicating poor than average fundamentals -The average price of promoters’ each share is Rs. 10, book value is 8.94, and offer price is
The 85 % of its total business is carried out by its top 5 clients that is risky and negative for the company. Rs. 10-11
-The company had failed to perform its PF, ESI and tax liability during FY 2010 ended on December -The company has not furnished full detail that where it is going to invest the fund being raised
31, 2010. It did not pay even property tax during this year. by this IPO indicating this IPO total subject less.
-The company is going to set up its plant at Gujarat but the commercial production of this plan could -The Future Capital Holding, the group company, entered in the market during FY 2008 with its
take foru quarters indicating 0 % IPO having offer price of Rs. 765 but currently its share is currently quoted at Rs. 170/175
return during short term Comparison of the co with Peer Group indicating 65 % (i.e Rs. 600)erosion of investors’ capital
Remark :- The company had Name of the Co. EPS P/E RONW B.Value F.Value -The cash flow of this company remained total negative during FY 2008 to 2010
posted the net profit of Rs. 1.7 (Rs.) % (Rs.) (Rs.) -This company is making constant loss right from its inception
crore on sales of Rs. 47 crore -The cut throat competition is prevailing in the sector with which this company is engaged
achieving EPS of Rs. 1.49 for the
Paramount PrintPack 1.49 18.4 10.32 14.46 10
-20 out of total 21 group companies are making loss indicating poor track record of whole group.
FY 2010 beside it had earned the Bilcare Ltd. 31.6 15.5 12.5 349.7 10
-Pantaloon Retail, another group company, got failed to fulfilled its promises made during its IPO
net profit of Rs. 1.7 crore on sales Hind. Timworks 10.7 6.9 16.2 72.5 10 Remark :- Rating agency CARE has awarded 3/5 rating indicating average fundamentals. The
of Rs. 44 crore achieving EPS of TCPL Packging 5.7 5.5 8.7 69.1 10 company had made loss of Rs. 23.49 crore on sales of Rs. 399 crore on consolidated basis. The
Rs. 1.48 for the first nine months
of FY 2010-11. It is most aston- U-Flex Ltd. 11.1 4.9 11.8 131.7 10 carry forward loss of this company is reached at Rs. 90.44 crore but surprisingly the turnover of
the company is increasingly growing.
ishing that the company had made huge loss of Rs. 2 lakh on sales of Rs. 23 crore for the FY 2007.
Recommendation :- The consolidated EPS was recorded at Rs. 0.20, RONW was regis-
Recommendation :- The PE ratio is worked out 23.49 times more compared to its cap price and its share
is offered with 18.4x PE based on its estimated EPS of FY 2010 which is higher than its peer companies like tered at 1.99 and the PE ratio was recorded negative. The book value is registered at 8.94.
Bilcare, TCPL Packaging and U-Flex. The percentage of its RON is also very low. The market cap and the The peer companies engaged with the same business are not listed with Indian bourses
enterprise value of this company is worked out around Rs. 87 crore and 121 crore respectively based on its cap hence the comparison is not possible. The investors are very strongly recommended to refrain
price. Considering its low profit margin and higher PE it can be concluded that the IPO is expensive. from this IPO considering its negative track record and the history of Future Capital Holding.
 Financial Weekly

SMART
INVESTMENT
25th April 2011 to 1st May 2011 7
e from investors IPO News : (Public Issues)
ulsating with ample IPOs Sr Company Issue Open Dt. Issue size Offer price Min. Rs. 1,00,00 Rs. 2,00,000 Listing Lead Rating Remark

tering in the market this week 1. Paramount

Issue Close Dt.
20-4-2011
(Rs. Cr.)
1,30,94,175 32 to 35
(Rs.) App.
150
Limit
2850
Limit
5700 BSE
Manager %
Onelife 37 % Listing

market next week Printpackaging

(Book Building)
25-4-2011 Eq. Shares
(Rs. 45.82 Cr.)
Shares Shares Shares
(Rs. 5250) (Rs. 99750) (Rs. 199500)
NSE Capital Gain

2. Future Ventures 25-4-2011 681,818,181 10 to 11 600 9000 18000 BSE ENAM, 40 % Average
may get listed on May 4/5 at Rs. 200 India Ltd. 28-4-2011 Eq. Shares Shares Shares Shares Shares J.M. Fin. (Long Term
they can yield handsome listing gain (Book Building) (QIB : 27-4-11) (Rs. 750 Cr.) (Rs. 6600) (Rs. 99000) (Rs. 198000) Kotak Mah. Benefits)
3. Innoventive 26-4-2011 1.83 Cr. 117 to 120 50 800 1650 BSE Axis Bank 45% Apply
nt and poor response from QIB segment Industries 29-4-2011 Eq. Shares Shares Shares Shares Shares Avendus Good
to divest its 10 % equity during current fiscal (Book Building) (QIB : 28-4-11) (Rs. 219.58 Cr.) (Rs. 6000) (Rs. 96000) (Rs. 198000) Capital
6 lakh shares by Standard Chartered 4. Servalakshmi 27-4-2011 20,689,655 27 to 29 200 3400 6800 BSE Keynote 38 % Expensive
Paper Ltd. 29-4-2011 Eq. Shares Shares Shares Shares NSE Indian Over
ring listing can’t be ruled out (Book Building) (Rs. 60 Cr.) (Rs. 5800) (Rs. 98600) (Rs. 197200)
How much it would oversub- 5. Vaswani 1 Cr. 45 to 48 -- - -- -- -- -- Next
scribe ? :- The market indication sug- Industries Eq. Shares Week
gests that it may get positive response
from QIB, HNI segment and it may (Book Building) (Rs. 48 Cr.)
oversubscribe 1.5/2 times more in
retail segment.
Discovery price : The company
Innoventive Industries :- This
company, based in Pune, is planning The movement of Grey Market
to tap the market on April 26 with its
may fix its offer price from its upper
price band.
IPO, having offer price of Rs. 117/ High degree of volume is recorded for trades of Muthoot Finance and Paramount in Grey market
Refund :- On May 9/10
120, of Rs. 220 crore. The fundamen-
tals of this company seems very
Grye market has started to pulsate once again thanks to numerous IPOs, the volume has increased significantly
Allotment :- Barring lower two
categories from retail segment inves-
strong and the promoters are most The Kolkata based operator has started short covering for Muthoot Finance
experienced professionals. The Stan-
tors from most of the categories may dard Chartard (Mauritius) had pur-
as rumor prevails that Ketan Parekh has become active for his IPO
get firm and full allotment. chased its 26 lakh shares The Ahmedabad based operator has become active for Paramount
Listing :- It may get listed on May
12 at Rs. 10/12. (Cont.... on P 8) The premium of Future Venture has declined
Grey Market Premium The IPO of Sarvalakshmi has already managed at Mumbai before it enters in the market
bles on NSE Web
garbles on NSE Web for subscription details of
Kostak Prices for The movement of Grey
market :- The grey market has
for this IPO. The premium of this IPO
tumbled to Rs. 17/18 following heavy
ligible possibility of listing gain in this
IPO hence the numbers of the trades
tally, NSE flashed oversubscription of 1.52 times
Bank of Baroda Bond started to pulsate once again thanks selling pressure of Kolkata based op- are also negligible. The premium of this
ued a memo on debut day subscription details. But Applied Kostak Price to numerous IPOs entering in the erator. It is believed that the Ketan IPO was once quoted at Rs. 0.75/1
hrs. the issue was reported as just 0.12 times market in days to come. At present Parekh has become active for this IPO but now it is tumbled to Rs. 0.35/0.40.
Rs. 2 Lac. 4,000 the numerous trades of Muthoot Fi- and the premium got soared up to Rs. Servalakshmi Paper :- The
brows on the NSE Web reporting of inflated over- Rs. 3 Lac. 6,000 nance, Paramount, future Venture and 26/27. premium for this IPO is quoted at Rs.
Servalakshmi Paper has been re- Paramount Printpackaging 2.50/3 and the interest calculation if
ch nasty mockery of IPO susbcription details. Will
Rs. 4 Lac. 8,000 corded. :- The premium of this IPO is quoted quoted at Rs. 2300/2400. It has been
s matter immediately?? Rs. 5 Lac. 10,000 Muthoot Finance :- This IPO at Rs. 3.50/4 in Sakar Bazaar. The heard from the street that the promters
interest calculation per each applica- have tied up with Mumbai based op-
got closed and tion worth Rs. 2 lakh is quoted at Rs. erator.
Innoventive Industries Ltd. IPO opens on April 26 & Closes on 29 April 2011 tens of thou- 2200/2400. It has been heard that Vaswani Industries :- The
sands of trades Ahmedabad based operator has be- premium of this IPO is quoted at Rs.
Price Band fixed at Rs. 117 to Rs.120 per Eq. share of face value of Rs. 10 each are recorded in come active for this IPO. 3/4 and the interest calculation is
Sakar Bazaar
Promoters of the Company : Mr. Chandu Chavan, Mr. Future Venture :- There is neg- quoted at Rs. 2700/2800.
Ravindra Katre & Mr. Sanjay Waghulade Issue Opens on April 26, 2011
Issue Closes on April 28, 2011 (QIB Bidders) April 29, 2011 (NII and
Retail Bidders) Price Band Rs. 117 to Rs. 120 per equity share of face Issue Allocation Servalakshmi Paper Ltd
value of Rs. 10 each BRLMs Axis Bank Limited and Avendus Capital
Private Limited Innoventive Industries Limited a Pune-based QIB
multiproduct engineering company, is entering the Indian Capital Mar- HNI
1,09,79,000 IPO Opens on 27 & closes on April 29, 2011. ; Price Band Fixed at Rs.27 to 29
32,93,700 Incorporated in 2005, Servalakshmi Paper Limited engaged in the business of manufacturing
kets with its Initial Public Offer aggregating ‘ 219.58 crores. The Equity Retail 76,85,300 Printing & Writing Paper and Newsprint. Companys production unit situated at Kodaganallur Village,
Shares of the Company are proposed to be listed on the Bombay Stock Tirunelveli district, Tamil Nadu with total installed production capacity of 90,000 MTPA. In printing and
Exchange Limited and National Stock Exchange of India Limited. The
Register :
writing segment, they produce coated, uncoated, copier, cream wove, SS Maplitho, computer station-
company intends to utilize the net proceeds of the IPO towards capacity Karvy Computershares ary and text/note book papers. Company’s major clients are Times VPL
expansion of its manufacturing facility located at Pimple Jagtap in Pune, City : Pune Issue
Limited (Times Group), The Hindu Daily, Dinamalar, Kerala Kaumudi Pvt Ltd,
repayment of term loans and general corporate purposes. Axis Bank Limited and Avendus The Printers Mysore Pvt Ltd (Deccan Herald), Sakal Papers Ltd, Deshabhimani Allocation
Capital Private Limited are the Book Running Lead Managers to the Issue. Daily, Rashtra Deepika Ltd, Metro Vartha, Perfect Systems and Services,
QIB 1,03,44,828
The other side of Innoventive Ltd. Manipal Press Ltd, Vimala Note Book, Rajhans Enterprises and Veer Pack
Industries. Clients in the export market include Saifi Trading, Colombo, Sri HNI 31,03,448
The average price of promoters’ each share is Rs. 0.26, book value is 19.79, and offer price is Rs. 117 to 120 Lanka, Jupiter Trading Company, Sri Lanka, Vital Solutions PTE Limited, Retail 72,41,379
Singapore, New Thought Investments Pvt Ltd, Harare, Zimbabwe, 5. Raccolta, Total 20,689,655
Rating agency CARE has suspended and downgraded its rating for long-short term bank facility. Molnar & Greiner GmbH, Vienna, Austria, Dinowic PTE Limited, Singapore, Register :
The company has tax liability of Rs. 32 crore, reliance on only to clients may be risky Paper World Wide, Dubai, UAE. Company Promoters: Mr. R. Ramswamy
Link Intime India
(Age: 70 years) - Chairman and Managing Director of the company. The
ICRA has awarded 3/5 rating to its IPO, the performance of last 9 months recorded excellent Object of the issue is: Purchase of equipments for value added products; City : Coimbatore
The product of the company is totally different hence the comparison with peer Long term working capital requirement; Preliminary & Pre Operative Expenses
companies is not possible, PE is low, P/BV is genuine but RONW is average including expenses for IPO. Issue Opens Apr 27, 2011 –issue closes on Apr 29, 2011, Issue Type:
The company has very strong fundamental, investors can yield 100% Book Built Issue IPO Issue Size: Equity Shares Rs. 10 Issue Size: Rs. 60.00 Crore Face Value:
Rs. 10 Per Equity Share Issue Price: Rs. 27 - Rs. 29 Per Equity Share Market Lot: 200 shares Minimum
handsome return considering its monopoly product and genuine offer Order Quantity Listing At: BSE, NSE
-The average price of promoters’ each share is Rs. 0.26, book value is 19.79 (as on March 31,
2010) and Rs. 35.71 (as on 31-12-10), and offer price is Rs. 117 to 120 The other side of Servalakshmi Paper
- Rating agency CARE has sus-
pended and downgraded its rating Comparison of the co with Peer Group The average price of promoters’ each share is Rs. 24.82, book value is 24.76, and offer price is Rs. 27/29
for long-short term bank facility. The
Name of the Co. F.V. EPS NAV P/E RONW The cash flow of this company remained negative during four FY ranging from 2006-07 to 2009-10
CARE has downgraded its “CARE
BBB” rating to “CARE B” meant for (Rs.) (Rs.) (Rs.) Multiple % The company had made constant loss during FY 2008 to 2010
long term and has also downgraded Tube Investment 2 4.39 44.22 33.72 9.94 Rating agency ICRA has awarded 2/5 rating to its IPO indicating poorer than average fundamentals
rating PR4 to P2 meant for short LUMAX Auto Techno 10 5.82 33.45 25.14 17.4 -The average price of promoters’ each share is Rs. 24.82, book value is 24.76, and offer price is Rs.
term. More rating could deteriorate
its prestige and image. Gandhi Special Tubes 5 17.24 69.05 6.74 24.95 27/29. The company had issued bonus share on March 31, 2010 in ratio of 1:1
- Rating agency ICRA has awarded 2/5 rating to its IPO indicating poorer than average fundamentals.
-The company during Sept. Innoventive Ind. Ltd. 10 8.62 37.26 7.5 23.13 -The operating cash flow of this company remained negative during four FY ranging from 2006-07
2010 had issued bonus share
twice beside it had also allotted bulk of shares to Standard Chartered (Mauritius) at Rs. 117 on to 2009-10.
preferential basis. -The company is currently carrying tax liability of Rs 32 crore. -50 % of its total -The company was incorporated in 2005 and it had made loss of Rs. 3.30 lakh, Rs. 8.49 lakh and
business is carried out by its top 10 clients which may prove risky and negative for the company. Rs. 8.78 lakh during FY 2008, 2009 and 2010 respectively since it had not executed any sort of
Remark :- Rating agency ICRA has awarded 3/5 rating to its IPO indicating average fundamentals. business. The commercial production of this company was commenced in April 1, 2010.
The company had posted the net profit of Rs. 34.54 crore on sales of Rs. 425 crore for the FY 2010- -The company has long term debt of Rs. 224 crore that can create some negative impact on its
11 ended on March 31, 2011 beside it had posted the net profit of Rs. 36.91 for the nine months ended balance sheet.
on December 31, 2010. Considering this result it can be concluded that the company had performed Remark :- The performance of this company was registered very poor during last three years hence
excellently during these nine months compared to performance of last whole year. its valuation are also resulted negative. Of course it is going to start second stage of its project that
Recommendation :- The product of this company is totally different than the product of its peer would augment its production capacity. This company also owns captive power plant and it seel
companies like Tube Investment, Lumax Auto and Gandhi Specialty. Considering its annual perfor- additional power supply to state government in order to generate regular income.
mance of FY 2010 the share of this company is offered with 17 PE indicating genuine price. Its book Recommendation :- The average price of promoters each share is Rs. 25 indicating that promoters
value can also be worked out around Rs. 35.71 indicating its P/BV 3 times more. The RONW is declined themselves are investing their capital at the offer price offered to other investors. The book value of this
to 23.13 % compared to last year’s RONW of 48.72. Market cap to sales ratio is 1.1-1.5. The promoters share is Rs. 25 suggesting that the share is being offered at its book value. The profit margin of this
of this company are most experienced professional and most of its products are monopoly products company would also increase thanks to its value added products. Investors intending for long term
indicating high profit margin during each quarter. It is best instrument for midterm investment. investment can consider for this IPO.
 Financial Weekly

8 25th April 2011 to 1st May 2011 SMART

INVESTMENT
Primary Market’s Innoventive Ind. Bazar.com Opportunity in F & O
Sweet & Sour How to apply for retailers ? (Continued from page 1)
Shares Rupees Shares Rupees Hemant K. Gupta (Mumbai)
(Continued from Centre Page) 50 6000/- 850 102000/- rise in fmcg index by 29.9% and
at Rs. 117 which is plus point for 100 12000/- 900 108000/- auto index by 24.62% and the result- Alstom Projects India (Rs. 590.00)
this company. The company has very 150 18000/- 950 114000/- ant rise in the sensex by only 9.89%. Company had reported bad results for last 2 quarters. However, as
recently bagged orders worth Rs. 300 200 24000/- 1000 120000/- Inflation however may be tamed
1050 126000/- per our reliable sources, Alstom will report excellent results for Q4 on
crore from its clients like Bajaj Auto, 250 30000/- as the supply scarcity may be eased
300 36000/- 1100 132000/- and that could be a great relief to the 25th April. Hence, investors buy the scrip in F&O as scrip may rise
Bhel and Thermax. This company 1150 138000/-
enjoys monopoly position in its 80 % 350 42000/- government and aam aadmi. This in more than 5%. Kindly note that we are not advising long term buy call
400 48000/- 1200 144000/-
products. It has applied in 33 coun- 1250 150000/- turn may improve the sentiment at the on the scrip. We are advising temporary exposure for short term gains.
450 54000/- market.
tries to get patent for its various prod- 1300 156000/-
ucts.
500
550
60000/-
66000/-
1350 162000/- The likely impact of monsonn will Everest Kanto Cylinders (Rs. 89.00)
1400 168000/- be on the following segments and EKC will also report very good nos for Q4 although result date still
How much it would oversub- 600 72000/- 1450 174000/- their respective companies:
scribe ? :- The market indication sug- 650 78000/- 1500 180000/- not announced. Fundamentally, scrip is not underpriced. However,
(1) BANKS : POSITIVE: punjab
gests that it may get positive response 700 84000/- 1550 186000/- since Q4 profits will be very high, scrip can rise to 95/ levels subse-
national, sbi, boi, canarabank
from QIB, HNI segment and it may 750 90000/- 1600 192000/- quent to announcement of Q4 results. Hence, investors may buy in
800 96000/- (2) FARM EQUIPMENT :
oversubscribe 3/5 times more in re- 1650 198000/-
POSITIVE:M&M, kirloskar bros. KSB F&O for some gains in short term.
tail segment. pumps, Escorts, KIR oil
Discovery price : The company Servalakshmi (3) FMCG : POSITIVE: Hul Dabur, Chart Buster (Continued from page 1)
may fix its offer price from its upper How to apply for retailers ? Godrej cons, marico.
price band of Rs. 120. Shares Rupees (4) AUTO : POSITIVEBajajauto, The high level of inflation is already a matter of great concern for the public
Shares Rupees
200 5800/- M&M, Herohonda, Maruti, Tvsmotor as well as the policy makers and might prompt a further hike in the key policy
Refund :- On May 10/11 3600 104400/-
(5) FARM CHEM : POSITIVE: rates on May 3, when the RBI conducts pre-scheduled review. Not only that, the
Listing : It may get listed on May 400 11600/- 3800 110200/-
bayercrop, rallis,Monsanto, strong crude oil market will compell the Government to impose price hikes in
13 at Rs. 130/135. Post listing the 600 17400/- 4000 116000/-
unitedphos, tatachem petrol and diesel once the elections in five states are over.
price may move up to Rs. 140/145. 800 23200/- 4200 121800/- So, even though the long-term trend in the markets continues to be bullish
Sarvalakshmi Paper :- This 1000 29000/- SOVEREIGN FUND IMPACT :
4400 127600/- and promises a bright future for the investors, the near future trend appears to
1200 34800/- SEBI in its latest order allows sover-
company is planning to enter in the 4600 133400/- be uncertain and the risk involved in buying at the current market rates is very
eign wealth funds (swf) to acquire upto
market on April 27 with its IPO having 1400 40600/- 4800 139200/- high. Therefore, investors are suggested to refrain from buying in a hurry. The
20% stake in Indian companies with-
offer price of Rs. 27/29. It would get 1600 46400/- 5000 145000/- markets will certainly provide opportunities to pick up desired stocks at lower
out trigerring an open offer. The mar-
closed on April 29. We are not in po- 1800 52200/- 5200 150800/- ket thus may see a rise in investor's prices in a future that is not too far away from now.
sition to provide more detail regard- 2000 58000/- 5400 156600/- and swf's interest in stocks where swf
ing this IPO as we ourselves are lack- 2200 63800/- 5600 162400/- holds some stake. Rasoya Proteins :- Rasoya Proteins, a company which has no track
ing its red herring prospectus. The 2400 69600/- 5800 168200/- The new sebi norms will cover record of rewarding its share-holders by way of handsome dividends or bonus
rating agency ICRA has awarded 2/5 2600 75400/- 6000 174000/- swfs only from Malayasia and share issues and an unknown entity for most of RASOYA PROTN-Dly .14/09/10-21/04/11 B-531522 TREND
rating to its IPO indicating poorer fun- 2800 81200/- 6200 179800/- Singapore both of which have com- the market goers, had scaled to a high of Rs 119.80 Price E M A(12) E M A(48) E M A(100) T 21/04/11

damentals than average. The cash 3000 87000/- 6400 185600/- prehensive Economic Cooperation in September, 2010, riding on the general boom 130 O 136.00
H 138.05
120 L 134.50
flow of this company remained nega- 3200 92800/- Agreements with India. in the stock markets. The share thereafter formed 119.80 118.90
6600 191400/- C 138.05
V 52.98

3400 98600/- The stocks in which swfs have a double top pattern and co-incidently, the market 110 E 119.63
tive during FY 2008-2010 as it had 6800 197200/- 105.80 E 100.66

considerable stake and where their also turned bearish after October, 2010. The share, 100 E 91.31

made constant loss during these 92.00

interest could rise are SUBEX, therefore, plunged and reached a low of Rs 61.00 88.25 90

years. The company is in dire need Vasvani Indistries may enter in

SOBHA DEV, BAJAJFINSER in early February, 2011. It was at this point that 80

of cash for its expansion plan and for
working capital for which it is entering
in the capital market.
the market during next week with its market manipulators entered the scrip and lifted 70
,UNITED PHOS, PATEL ENGG.,
IPO, having offer price of Rs. 48, of 1 its price upto a high of Rs 105.80 within a period
61.00 60
ANANT RAJ, MINDTREE, MAX INDIA,
crore shares worth Rs. 48 crore. of just few weeks of its bottoming out at Rs 61.
10 O N D 11 F M A

ICICI BANK, PRESTIGE ESTATAES,

How much it would oversub-
scribe ? :- The market indication sug-
gests that it may get some sort of
negative response from investors
hence the promoters and the mer-
chant bankers may be compelled to
reduce its offer price.
Refund :- On May 6/7
Allotment :- investors from most
of the categories may get firm and full
allotment.
Listing : It may get listed on May
9 at Rs. 30/31.
The IPO from Public Sector
Unit :- The ONGC is planning to en-
ter in the market during June-July with
its FPO worth Rs. 11000 crore. The
Galaxy Surfactunts is also planning
to tap the market very shortly.
SRS :- This company has got nod
from SEBI for its IPO of 3.5 crore
shares worth Rs. 200 crore as it
needs hefty amount of cash for its
proposed expansion plan.
Anjaneya Life Care :- This phar-
maceutical company is planning to
enter in the market with its IPO, hav-
ing offer price of Rs. 240, of 50 lakh
shares worth Rs. 120 crore.
Jaylukhhns :- This Kochi based
jewellery company is mulling to tap
the market during next two months
with its IPO of 1.8 crore shares worth
Rs. 600 crore for which it has got
TULIP TELECOM, TATASTEEL,
CESC, IBREALESTATE, INFOSYS,
ICSA, DEWAN HSG., APPOLO HOS-
PITALS.
This opens up one additional fund-
ing route for the indian companies,
both existing and new ones. When-
ever in need such companies can tap
swfs directly and place shares either
temporarily or for long term. Gener-
ally the swf fund is committed for long
term as they do not build short term
positions unlike FIIs.
Stock Wave
(Continued from page 12)
Since the rise was very fast, the share attracted selling in the nature of profit-
taking and corrected upto a low of Rs 92.00 a couple of weeks ago. But the
share, from that point, once again started rising very speedily by forming price
gaps in an upward direction and reached a high of Rs 138.05 on the last day
of trading of the week that has just concluded. In a share like Rasoya Proteins
such a rise could be possible only by rigging up operations as fundamentals
do not support even slight uptrend. The share appears to be going up mainly
on price rigging activities with a likely objective of taking small and gullible
investors into a trap as fundamentally, the share does not look so bullish. On
the contrary, it deserves a much lower price level if viewed by any parameters
or ratios. The investors, are therefore, advised to keep away from this scrip and
dispose off stake in this company if possessed in portfolios because once the
objective of the operators would be over, the share would go drastically down.
Great Eastern Shipping :- Great Eastern Shipping had scaled to a
high of Rs 393 in November, 2010, when the markets established their new
GREAT EASTE-Dly .29/10/10-21/04/11 B-500620 TREND peaks post-2008 debacle. The recent boom got
Price E M A(12) E M A(48) E M A(100)
T 21/04/11
over after November, taking nearly all the stocks
393.00
400
O 284.70

also on its progressive journey from 380 H 291.00 down with it. The share of Great Eastern Shipping
other PSU MMTC is also planning to green signal from SEBI L 282.95

divest its 10 % equity during this fis-
cal.
The IPO from Private Sector :-
Future Ventures
its bottom level of 200. Market indicates 360 C 289.65 also came down to a low of Rs 242.50 in February,
MCX : The company, considered V 458.50
E 280.03
neutral position on daily and weekly
340
E 278.44 2011. After having bottomed out at Rs 242.50,
as the largest commodity exchange 320
E 291.22
the share seems to have assumed an uptrend
of India, had in past planned to tap basis and overbought to neutral posi- 300
tion on monthly basis. On upward side
295.50 and by establishing a double bottom formation, is
the market during 2006 and 2008 and 280
now ready to go up in the days to come. It could
it was supposed to sell off its equity beyond 221 it can go up to 230 to 240
272.50 272.80

250.00
260
be seen from its daily chart as published herewith,
and on down side it may get some sup- 242.50
How to apply for retailers ? under “Offer for Sale” scheme but it
port at 210 and 206. 10 D 11 F M A
240

220
the share moved up to Rs 272.50 from Rs 242.50.
Shares Rupees Shares Rupees could not get through. Now it is going A technical correction forced it to go down but only
600 6600/- 9600 105600/- to issue fresh equity for which it has
L & T (Rs. 1703.00) :- This stock upto a low of Rs 250 and thus the share established a higher second bottom
1200 13200/- 10200 112200/- is also heading northward from its bot- which helped the share once again to rise and scale up to a high of Rs 295.50
got green signal from SEBI.
1800 19800/- 10800 118800/- tom level of 1503.05. Market suggests a couple of weeks ago. A technical correction once again forced the scrip to go
HDFC Life :- The company has
2400 26400/- 11400 125400/- overbought to neutral position on daily down but this time only up to a low of Rs 272.80 which being nearly identical
differed its proposed IPO for next basis, neutral position on weekly basis
3000 33000/- 12000 132000/- year. It is believed that the growth of to the previous recent peak, worked as a support point fo r it. It was this
3600 39600/- 12600 138600/- and oversold position on monthly ba- technical formation that made the share to jump up to a high of Rs 291.00
this company may decline thanks to sis. On upward side beyond 1770 it
4200 46200/- 13200 145200/- before closing at Rs 289.65 as on Thursday, the last trading day of the week.
very stringent guideline of ULIP noti- may soar up to 1800 and beyond this
4800 52800/- 13800 151800/- The share has thus prepared for a take-off and in case it crosses the recent
14400 158400/-
fied by IRDA. level it may touch the mark of 1840 to peak of Rs 295, it could go further up. The share is therefore, suggested for
5400 59400/-
6000 66000/- 15000 165000/- Vodafone :- Vodafone, the larg- 1900. buying for short-term trading to medium-term investing.
6600 72600/- 15600 171600/- est private telecom company of In- Lupin (Rs. 411.00) :- This stock
7200 79200/- 16200 178200/- dia, is also planning to enter in the is also on its progressive journey from MRF Ltd. :- MRF Ltd. is the biggest tyre manufaturing company in India.
7800 85800/- 16800 184800/- market next year provided it gets its bottom level of 400.50. Market indi- The company has a very small equity base of slightly over Rs 4 crore and its
8400 92400/- 17400 191400/- positive ruling of the supreme court cates neutral position on daily and reserves stand at a hugely high level. However, M.R.F LTD-Dly .06/10/10-21/04/11 B-500290 TREND

9000 99000/- 18000 198000/- in its favor in tax case. weekly basis and oversold position on the management has not obliged its stake-hold-
Price E M A(12) E M A(48) E M A(100)
T 21/04/11

Paramount Printpackaging
How to apply for retailers ?
Gift City :- Gujarat international monthly basis. On upward side beyond ers with a bonus share issue for the last thirty six 9812.00 10000 O 6770
H 7500
9500 L 6770
Finance Tech City is also planning to 422 it can go up to 433 and on down
side it may get some support at 410
years. The last bonus that the company had is- 9000
C 7444
V 4691
tap the market during current fiscal sued some thirty six years ago was also in a ratio 8500 E 6703
with its IPO worth Rs. 7200 crore. and 405. of one for two. The company can easily issue a
E 6509
8000 E 6766

Shares Rupees Shares Rupees Jindal Shaw (Rs. 206.10) :- bonus share issue in the ratio of 10 shares against
7500
7000.00 7000
150 5250/- 3000 105000/- This stock is also on its northward jour- one and do away with the complaints from the
300 10500/- 3150 110250/- Market Trend ney from its bottom level of 198.10. shareholders as even after making such a liberal
6225.00
6500

6000
450 15750/- 3300 115500/- (Continued from page 12) Market indicates neutral position on bonus share issue, the company still will have a 5332.00
5500

600 21000/- 3450 120750/- 10 N D 11 F M A 5000

daily basis, overbought position on highly comfortable equity reserves ratio. Its Rs 10
750 26250/- 3600 126000/- 9. CAIRN INDIA (346) : For me- weekly basis and neutral position on paid up share which had scaled to an all time peak of Rs 9812 in the recent
900 31500/- 3750 131250/- dium term buying is suggested @
1050 36750/- monthly basis. On upward side beyond stock market boom, then plunged to a low of Rs 5332 in February, 2011 in line
3900 136500/- Rs 337 with SL of Rs 327 for the
1200 42000/- 4050 141750/- 210 it can soar up to 222 to 225 if it with the general trend of the market. However, the share did not remain
1350 47250/- 4200 147000/- target of Rs 363 – 373 level. Below could jump over 214 and on down side depressed for long and initially moved up to a recent intermediate high of Rs
1500 52500/- 4350 152250/- Rs 327 it can show further down- it can’t go below 198. 7000. A technical correction forced the share to go down up to Rs 6225 and
1650 57750/- 4500 157500/- fall…!!! then once again the share tended to look up. On the last trading day, the
1800
1950
63000/-
68250/-
4650
4800
162750/-
168000/-
10. POWER FINANCE (228) :
It is suggested to SELL with SL of
FOR ACCURATE STOCK share, however, jumped up by more than 13 per cent and scaled to a high of
Rs 7500 before closing the day as well the week at Rs 7444, well above its
2100 73500/- 4950 173250/- Rs 219 for the target of Rs 239 – MARKET PREDICTIONS recent peak of Rs 7000. Such a strong and massive gain that the share
2250 78750/- 5100 178500/- 247, below @ Rs 219 it can slip up registered on huge volume certainly indicates some good news is to be an-
2400 84000/- 5250 183750/- visit http://astrostocktips.in nounced by the company which could be in the nature of a bonus share issue
to Rs 209 – 203 level. Above Rs contact Satish Gupta
2550 89250/- 5400 189000/- too and that to be more than one for one to compensate the painful long
2700 94500/- 5550 194250/- 249 level will take the stock to Rs
( Financial Astrologer) waiting period for its share holders. The share is suggested for buying for short-
2850 99750/- 5700 199500/- 257 - 263…!!!
09810018438 - 09810056543 term trading to medium-term investing.
 Financial Weekly

SMART
INVESTMENT
25th April 2011 to 1st May 2011 9
Smart Chat INVESTMENT VIEW & MARKET GUIDANCE kukkuji (kukkuster@gmail.com)
Alok industry The company is in
Market not worried about crude, the final stage of its six-year-long ca-
based products yield higher return on
capital employed (RoCE) of over 35%
Andhra Sugar about 60 % of
the turnover is from caustic soda divi-
Rallies on positive monsoon forecasting pacity expansion phase, which should
keep the growth momentum intact in
than cotton-based products, which have sion, sector is rerated . at present caus-
an RoCE of 15%. This is because the tic soda prices are also firm, investors
Record Exports also pushes market ahead the coming quarters. In six years, the working capital cycle for polyester-based can continue to hold this stock or even
company has invested around 7,000
TCS-HCL Techno makes Infy results non-event crore in all its business segments rang-
products is 70 days, nearly half of that accumulate on dips .
for cotton-based products. This is likely Western india shipyard, Com-
Better results from RIL, Axis : Monday will be good ing from home textiles to garments. This to improve its overall RoCE from 11% to pany has signed a major repair order
has resulted in a higher debt burden
F & O Expiry week : Volatility will at its peak which likely to reduce if company sell
20% in three years. With expected eps with M/s. Aban Offshore Ltd for repair of
Harshad : Market had bad start last week but then came back with a bang. of rs 4 for 10/11, & book value of around ABN II, a large Jack Up Oil Rigs Operat-
Ketan : Ya. Infy impact was just for Monday. IMD came with good news on Tuesday part of its real estate business. Now that rs 35 levels stock has limited down side. ing at depths of about 300 meters. at
and bulls grabbed this big opportunity the same day as well as very next day. its capex cycle is near completion, the Investors can keep watch to accumu- an estimated value of about of Rs. 60
Bhansali : IMD has made forecast that Monsoon will be normal this year also and the interest burden is expected to stabilise late this stock on dips .Risk factor is Crore. there is expectations of more
there will be 98% rain. while sales are likely to improve. This higher debts & low promoter holding. orders in future. investors can continue
should result in better net profitability in
Harshad : This monsoon is very improtant, particularly, for the rural India. It is also very Sicagen :- Company has success- to hold this stock or buy on dips below
important as good monsoon will help grow more crop which might ultimatley reduce the coming quarters. The company's net
fully completed the 100% acquisition of 12 levels on correstions .
food inflation. sales have grown at a compounded
annual growth rate of 32% in the past
M/s. Wilson Cables Private Limited, Orissa mineral development
Ketan : Ya. Food indlation is major cause of concern. Last week also, the inflation Singapore. company has division to
three years. From hereon, the growth in corpn, it has low capital of 60lacs, out
has increased. manufactures drums and barrels that
turnover, as a result of the expansion, of which 25 % is with public, mines of
Bhansali : RBI is expected to increase interest rates by 25 basis points on 3rd May. are used mainly for the transport of lu-
will ensure better operating and cash the company is closed over last few qtrs,
Harshad : Our Exports has jumped by 37.5 per cent last week. bricant oil, hazardous and non-hazard-
profits for the company. as Forest Clearance is awaited , Inves-
Ketan : Ya. Exports for the year 2010-11 has jumped to a record 246 billion dollars ous chemicals and pulp. This division is
Alok has also chalked out plans to tors need to be cautious in this com-
since our independence. said to be performing well. company has
reduce the effect of volatility in the prices pany due to this uncertainty.Higher level
Bhansali : What a surprise. Even our government had made export target of 200 also investment in first leasing having
of cotton, its major raw material. By FY13, buying should be avoided .
billion dollars. 2134429 market value of the same is rs
Harshad : Even in March, the export surged to 29 billion dollars. Now, if the US and it plans to increase the proportion of
21 crs .Company has book value of rs
AMBICA COTTON, market cap
the Europe improve their economy, our export will increase further. revenue from the polyester-based divi- is just 127 crs book value is around 250,
93, Stock has reacted from high of rs
Ketan : But Standard & Poor’s has down graded rating for the US for the first time sion to 50% from 25%. According to the investors can accumulate this stock on
36 to current level of 23 where it looks
since it started giving rating in 1989. company's management, polyester- dips as cotton yarn sector is doing well.
attractive for investment.
Bhansali : My friend, don’t overplay on
this rating. Even Dow Jhones has jumped
after this rating and it has reached to its 3
years peak.
Harshad : The real worry is Crude Oil.
The crude future was trading at 111 dol-
lars. Brent is at around 125 dollars.
Ketan : Ya. But the market seems to be
in a mood to focus more on Q3 results.
TCS and HCL Technologies have im-
proved the market sentiment which was
impacted on Infy’s poor results.
Bhansali : Also, RIL has come out with
strong numbers as its net profit soared by
14 per cent.
Harshad : Axis Bank has reported Good
numbers and celebrated Good Friday.
Ketan : Then there will be Good Monday
also. What are you saying ?
Bhansali : Ya, it seems. But there will be
huge intra day volatility next week be-
cause of F&O Expiry which is due on
Thursday.
Harshad : FIIs have, again, stepped up
buying after Infosys’ hiccup. They had
sold shares worth Rs.981 crore on last
Monday due to Infy’s poor results. But
after that they are net buyers in all the
remaining three trading sessions.
Ketan : Ya. FIIs bought shares worth Rs.
2193 crore in last three days. They are
net buyers to the tune of Rs. 3170 crore
in April till Thursday. So, the indications
from FIIs are positive for the market.
Bhansali : DIIs are net seller to the tune
of Rs. 1700 crore plus in April so far.
Harshad : Sesa Goa, Maruti, Sterlite In-
dustries, Wipro, Dabur will announce Q4
numbers in next three days. Watch out
these stocks.
Ketan : Biocon, IDFC, Titan, Rallis, United
Spirits, United Phosphorous, Sail will an-
nounce their numbers on F&O last day
i.e. Thursday.
Harshad : Hindalco’s subsidiary Aditya
Birla Chemicals has acuqired Chloro
Chemicals unit of Kanoria Chemicals by
paying Rs. 830 crore.
Ketan : As the Monsoon is expected to
arrive on time M & M has launched 15
horse power tractor Yuvraj-215 last week.
One Yuvraj(Singh) was declared man of
the Tournament in the Cricket World Cup.
Now let’s see what this Yuvraj does for M
& M.
Bhansali : Midcap and Small cap rally is
still on. NHPC is looking good and very
cheap.
Harshad : LIC Housing has now fully come
out from stigma of its currupt ex-CEO and
has set on the crease like Gambhir. The
stock will touch Rs.250 level.
Ketan : Aurobindo Pharma seems ready
to break out.

10 25th April 2011 to 1st May 2011
NIIT : Corporate development may create some positive impact on its price
Alok Ind : Stock is in limelight following promoters are on buying spree
Vikas Global : Corporate development may turn this stock most attractive
DCB : The turnover of this bank may increase to Rs. 30000 crore during next five years
Rajoo Engg : The company has entered in to joint venture with Italian company
Pipavav Shipyard : It may sell off its some equity with 20 % premium to CMP
Shakti Pumps : April 29 is fixed as its recrd date for bonus share in ratio of 1:1
Deccan Cronical : It has got nod from SEBI to buyback its share from open market
Fame India : Board has given its green signal to raise Rs. 90 cror on right basis
NIIT (Rs. 56.00) (Code:
500304) :- The company has an-
nounced that it has generated Rs.
32.29 crore by divesting Neo Multime-
dia, its fully owned subsidiary, in to Earth
Infrastructure. This development may
create some positive impact on its price.
Alok Industries (Rs. 27.00)
(Code: 521070) :- One of the
company’s promoters has recently pur-
chased 14 lakh shares via creeping
acquisition rout indicating some pro-
posed positive evelopment in the com-
pany. The price may move up next week
following this development.
Bilpower (Rs. 118.00) (Code:
531590) :- It has been heard from
the street that some company is going
to purchase some sizable equity in or-
der to join as a strategic partner of this
company. The NSE and the BSE has
noticed the volume of 2 lakh share to-
gether. The price may touch the mark
of Rs. 130-135 next week.
Vikas Global (Rs. 94.00)
(Code: 94.00) :- The market had wit-
nessed volume of 1.5 lakh shares last
week that led the price up to Rs. 96.50.
It has been heard from the street that
the company is going to pay very high
dividend and also it has undertaken
expansion plan. Some market analysts
have also recommended to buy this
share. The price may surge up next
week.
DCB (Rs. 60.00) (Code:
532772) :- This private sector bank is
planning to open additional 150
Market Scan
(Continued from page 1)
exists strong Buy zone at lower lev-
els. On the daily charts Sensex has
formed a Bearish Star formation,
whereas Nifty has formed a Bearish Doji
Star formation. If we consider the last
three days candle, then both the indi-
ces have formed a Deliberation pat-
tern which is a special case of 3 White
Soldiers. The difference being, this pat-
tern has occurred in an uptrend and is
a Bearish Reversal pattern. This pat-
tern means that the current upmove
has been stalled and will be negated
only if market manages a close above
Sensex 19695 and Nifty 5912. A short
term Bearish reversal will be in place if
we have a Bearish candle formation
on Monday.
The market is trading well above
the long term average of 200dma
(Sensex – 19104 and Nifty – 5735),
medium term average of 50dma
(Sensex – 18585 and Nifty – 5573)
and short term average of 20dma
(Sensex – 19262 and Nifty – 5784). As
a result, the long term, medium term
and short term trends continue to be
up.
The market is continuously testing
the 61.8% retracement level of the en-
tire fall of Sensex from 21108-17295
and Nifty from 6338-5177. These lev-
els are 19651 for the Sensex and
5894 for the Nifty. The market needs
to stay consistently above these levels
and only then will it be able to take a
shot at the previous high.
Both the indices gave a Bullish
Breakout for Rising Channel forma-
tion. The targets for Rising Channel
pattern breakout are Sensex 20340
and Nifty 6095. The Channel Top
(Sensex – 19319 and Nifty – 5780) will
act as a support whenever the prices
fall.
If the market manages to close
above the recent high of Sensex 19811
and Nifty 5944, then we will have a
Flag breakout in place and the target
for that will fall at Sensex 20995 and
Nifty 6289.
For the second week in a row, the
market tested the 200dma, 100dma
branches across the India during next
two-three years. The bank during De-
cember quarter has achieved turn-
around position and it is expected that
its turnover would increased up to Rs.
30,000 crore during next five years.
Investors must accumulate this share
at every dip.
Rajoo Engineering (Rs.
16.00) (Code: 522257) :- The com-
pany has very recently entered in to
joint venture agreement with Italy
based Banusano & Filgi for produc-
Dalal
Street
pers
Whis
tion of extrusion machinery as a part of
its proposed diversification plan. The
price may soar up next week following
this development.
Pipavav Shipyard (Rs.
86.00) (Code: 533107) :- The com-
pany is currently at last stage of its
ongoing negotiation with International
Shipyard to sell off its overseas stake.
It has been heard from the market that
it would sell off its stake with 20 % pre-
mium to current market price indicting
still some room for upward movement.
Shakti Pumps (Rs. 139.00)
(Code: 531431) :- The company has
fixed April 29 as its record date for its
bonus share in ratio of 1:1. The price
may move up as the record date is
approaching fast. Investors must hold
and 20dma, which were placed very
close to each other last week, and
bounced back after taking support at
these averages. Hence the same av-
erages i.e. 200dma, 100dma and
20dma will continue to provide support
to the indices for the coming week as
well. 20dma (Sensex – 19262 and Nifty
– 5784) is in close vicinity of the Rising
Channel Top (Sensex – 19319 and
Nifty – 5780) and thus Sensex 19319-
19262 and Nifty 5784-5780 will act
as a first support zone. Below this the
low made last week i.e. Sensex 18976
and Nifty 5693 is close to the 200dma
and 100dma. Hence we have a strong
second support zone between
Sensex 19104-18976 and Nifty 5735-
5693.
Similarly the top made two weeks
back (Sensex 19811 and Nifty 5944)
has not been surpassed despite being
tested several times. This resistance is
further strengthened by the supply
Trendline falling at Sensex 19675 and
Nifty 5907 and 61.8% of the entire fall
i.e. Sensex 19651 and Nifty 5895. Thus
19651-19811 for the Sensex and 5895
– 5944 for the Nifty is likely to pro-
vide strong resistance going forward.
MACD is in Sell mode despite be-
ing in positive zone, whereas RSI at
60, is moving higher after bouncing
back from 50 level mark. ROC has sig-
naled a Buy and once again started to
move upwards. Money Flow (58) fell
after reaching overbought territory but
still continue to be in Buy territory. OBV
too continues to be in Buy mode. Sto-
chastic oscillator has given a Buy sig-
nal as %K has cut %D from below. The
Directional Indicators are in Buy mode
as +DI continues to be above –DI. The
ADX at 28 suggests that the uptrend is
gaining strength. Nifty O.I. PCR has
improved to 1.42. For the next month
series, strong Put buildup is seen at
the strikes of 5700 followed by 5600,
which suggests presence of strong
support between 5700 and 5600. At
the same time, highest Call writing is
seen at the strike of 6000. Thus the
Nifty is likely to face strong resis-
tance around 6000. The Trendline Re-
sistance for the Sensex is at 19675.
The Trendline Support is at 19319.
The Trendline Resistance for the
on this share for short term.
SunFlag Iron (Rs. 29.00)
(Code: 500404) :- The market had
witnessed a huge block deal last week
indicating something is cooking in the
kitchen. It has been heard from the
market that the company is going to
make some positive development very
shortly.
Deccan Cronical (Rs. 87.00)
:- The market regulator SEBI has re-
cently given nod to this company to
buy back its share as it intends to in-
creases its stake. Market may witness
some fancy during next couple of
weeks.
I.T. Ltd (Rs. 44.00) (Code:
522183) :- The company has made
an official announcement that it is go-
ing to sell of its Gujarat based Ginning
Factory and Pan Agri Export Oil mill for
consideration of Rs. 18.75 crore. It has
very strong financial fundamental. In-
vestors must hold on this share.
Indosolar (Rs. 18.00) (Code:
533257) :- The company has inked
memorandum of understanding (MoU)
with China based GCL Solar System to
develop solar farm. The price may
surge up following this development.
Fame India (Rs. 61.00)
(Code: 532631) :- The board of di-
rectors of the company had at its meet-
ing held recently given its green signal
to raise the fund of Rs. 90 crore. The
price of the share may soar up follow-
ing this development.
Smart Tips
(Continued from page 12)
Asian Granito (Rs. 55.00)
(Code: 532888) :- The company is in-
corporated in 1995 at Ahmedabad,
Gujarat and is engaged in production of
marble stone. It is secured its leading
position in Indian granite industries by
manufacturing vitrified tiles and ceramic
floor tiles. It also provides various solu-
tion regarding floor and wall segments.
The 20 % of its total products are ex-
ported. The company, having paid up
capital of Rs. 21.6 crore, had registered
very excellent performance for the
Q3FY2010-11 as it had earned the net
profit of Rs. 4.95 crore indicating 17.86
% growth on sales of Rs. 119.89 indicat-
ing 16.72 % achieving quarterly EPS of
Rs. 2.34 for the same period. The com-
pany, having 9.61 % RONW and 11.20
% ROCC, has very low debt equity ratio
of 0.62 %. The 52 week’s highest price
of its share, having face value of Rs. 10,
was recorded at Rs. 79 and the lowest
one was registered at Rs. 38.
Elecon Engg (Rs. 77.00)
(Code: 505700) :- The company is
engaged in production of material han-
dling equipments and gear box for
power, steel, cement and mining sector
for which it has very recently bagged
some huge contracts. Taking in to ac-
count its UK based acquisition of British
Gear system the future of this company
seems very rosy beside it had in past
acquired some overseas companies in
order to expand its business in US, UK
and Europe. Currently the management
of the company is in negotiation with some
overseas wind energy companies for wind
mill gear boxes. The existing debt equity
ratio of 1.5 % is sufficient enough for
CAPAEX plan of Rs. 100 crore for FY
2012. The stock of the company is cur-
rently traded 8.6 times more than its ex-
pected income of FY 2012. Investors
must take entry at every dip.
Nifty is at 5907. The Trendline Support
is at 5780. For the week ahead, Sensex
will find Support at 19340-19074-18794
and will find Resistance at 19836-
20084-20332. For the week ahead,
Nifty will find Support at 5801-5721-
5634 and will find Resistance at 5944-
6011-6073.
Financial Weekly
SMART
INVESTMENT
Buy of the week (Continued from page 1)
Aarvee Denim (Rs. 65.00) (Code : 514274)
Company has embarked upon capacity expansion. Recently, it has
already expanded its capacity from 60 mn mtrs to 72 million mtrs. PhaseII of
expansion should be completed in July 2011 which will take its capacity to 84
million meters (total expansion of 40% of previous year's capacity). Due to
expansion, performance of
Financial Performance FY12 will witness sharp im-
(Rs. Cr.) Nine Month End Yr End provement and Aarvee for
31-12-10 31-12-09 31-3-10 FY12 should achieve topline
Sales 348.70 284.60 378.50 of 760 cr (rise of 56%) and
Depreciation 17.82 17.38 23.20 Pat of 42.50 crores.
VALUATIONS :
Net Profit 27.50 21.08 22.98
Aarvee is trading at:
Cash Profit 45.32 38.45 46.18 4.50xFY11E Eps
Equity -- -- 23.46 2.67xFY11E Cash Eps
EPS (Rs.) 11.68 8.38 9.19 3.65xFY12E Eps
Cash EPS (Rs.) 19.30 16.40 19.70 2.22xFY12E Cash Eps
Future Outlook (E) Book Value of Aarvee as on 31st
march 2010 was Rs 73 which should rise
(Rs.Cr.) 10-11 11-12 to Rs 85 as on 31st March 2011. Scrip is
Net Sales 487.0 760.0 available at below its Book Value
Net Profit 34.50 42.50 Earlier it share price had crossed Rs
90/ mark and at CMP scrip looks risk-
Cash Profit 58.00
EPS (Rs.) 14.70
70.00
18.10
free. In stable market, Aarvee Denim
can be Rs 90/ in less than 4 months. Buy-
ing recommended
Cash EPS(Rs.)24.70 29.80
Expert Eyes posted a net profit of Rs. 155.73
crore on a turnover of Rs. 794.21
(Continued from page 12) crore for the fiscal ended on
with final result. TCI Developers 31.3.2011 against a net profit of Rs.
got listed on BSE and NSE. Bampsl 129.58 crore on a turnover of Rs.
Securities announced rights in the 690.01 crore for the corresponding
ratio of 2 shares for every 1 share previous year. On consolidated ba-
held. BSE effected name change for sis these figure stands as Rs.
Bhoomi Infra to Global Land, Brawn Rs.179.41 crore net on a turnover of
Pharma to Brawn Biotech, IVRCL In- Rs. 1080.53 crore v/s net profit of
fra to IVRCL, Indo Zinc to Trinetra Rs. 143.23 crore on a turnover of
Cement, Karma Ispat to Karma Ind., Rs. 870.73 crore for the said peri-
RDB Ind to NTC Ind, Subuthi Fi- ods. Following good performance the
nance to Indus Finance, Telephoto company announced surprised bo-
Entertainment to Picturehouse Me- nus of 1 share for every 1 share held
dia and Vijayeshwari Textiles to VTX and maintained the dividend at
Ind. 200%. Thus the scrip is worth accu-
On Wednesday markets opened mulative on declined levels on cum-
higher and gained further on reports dividend/cum-bonus basis. Currently
of near normal rain this year. BSE it hovers around Rs. 2002.10
Sensex ended the day at 19470.98 against 52 week high/low of Rs. 2736/
with a score of 349.15 points and 1327, FV Rs. 10.
NSE Nifty closed at 5851.65 with a FAG Bearings (BSE Code
rise of 110.90 points. IMD forecast-
505790) :- FAG Bearings has
ing near normal monsoon this sea- posted a net profit of Rs. 42.88 crore
son gave booster dose to the mar- on a total income of Rs. 309.72 crore
ket sentiment. Rising trends of glo- for the first quarter ended 31.3.2011
bal markets added flavor and thus against a net profit of Rs. 33.75 crore
we witnessed mega gains in mid week on a total income of Rs. 266.20 crore
session. Bulls were going long on for the corresponding previous pe-
heavy weights TCS and RIL ahead riod. For the calendar year 2010 the
of results announcements. FIIs turn- company earned net profit of Rs.
ing net buyer supported the senti- 121.50 crore on a turnover of Rs.
ment. Good quarterly numbers ex- 1048.59 crore. Thus if we attribute
pectations from world IT major Intel Q1 numbers then full year earnings
boosted the sentiment. Auto sector can be well above Rs. 170 crore. As
met with value buying and Auto in- the equity capital of Rs. 16.62 crore
dex scored 255 points. Select buy- is supported by free reserves of Rs.
ing was also witnessed on Mid and 595 crore plus the company is also
Small cap counters.
ripe for a bonus issue in the near
After firm start on Thursday mar- term. Scrip is worth adding in one’s
kets marked gaining momentum with portfolio at every decline. It is quot-
choppy trades and thus marked hat ing around Rs. 1005.30 against 52
trick of gains for the week. BSE week high/low of Rs.1024/508, FV
Sensex closed with a rise of 131.25 Re. 10.
points at 19602.23 and NSE Nifty
ING Vysya Bank (BSE
posted gain of 33.05 points to end
Code 531807) :- ING Vysya Bank
the day at 5884.70. Despite rise in
profits for fiscal 10-11, TCS met with has posted a net profit of Rs. 318.65
crore on a total income of Rs.
profit bookings and eased. However,
3349.03 crore for the fiscal ending
stellar performance lifted scrip that
31.3.2011 against a net profit of Rs.
included Hind Zinc, Coromandel
242.22 crore on a turnover of Rs.
Eng., ING Vysya Bank, Timken, Fag
Bearings, Coromandel Intl. etc. 2822.38 crore for the corresponding
Apollo Tyres lead as gainer in ‘A’ previous period. Following improved
group. Thus positive trends for past performance it has hiked the dividend
to 30% from 25% paid for a year ago
three days attributed to resumption
of buying by FIIs. period. As the equity capital of Rs.
All markets were closed on Fri- 120.99 crore is supported by free re-
day on account of Good Friday holi- serves of Rs. 2399 crore, bonus is
day. not ruled out in the nearer future. It
is worth accumulating at every de-
CMC Ltd. (BSE Code
cline. Scrip is moving around Rs.
517326) :- CMC Ltd., a Tata group 358.85, against 52 week high/low of
company has (on standalone basis) Rs. 444/283, FV Rs. 10.
Disclaimer :- Investment recommendations made in Smart In-
vestment are for information purposes only and derived from source
that are deemed to be reliable but their accuracy and completeness are
not guaranteed. Smart Investment or the analyst / writer do not accept
any liability for the use of this column for the buying or selling of
securities. Readers of this column who buy or sell securities based on
the information in this column are soley responsible for their actions.
The author, his company or his acquaintance may / may not have posi-
tions in the scrips featured herein
 Financial Weekly
SMART
INVESTMENT
Innoventive Industries Ltd.
Strong product portfolio with innovative technology
Pune-based multi product engi-
neering company, Innoventive In-
dustries is engaged in the business
of manufacturing and sale of preci-
sion steel tubes, tubular components,
Oil well drilling couplings, membrane
panel strips, pup joints and other steel
products which find application in di-
verse industrial sectors such as
transportation, oil & gas, power, farm
Other Products :- KEY PROD-
UCTS : Auto parts, welded
parts, and handlesused in 2
and 3 wheelers
KEY CUSTOMERS : BAJAJ,
VOLVO EICHER
equipment and general engineering.
It has six manufacturing facilities, lo-
cated across Pune and Silvassa.
Innoventive Industries is enter-
ing into the capital market this week.
It plans to raise up to Rs219.58 crore
from its initial public offer (IPO). IPO
is scheduled to open on 26 April.
The issue will close on 28 April
for qualified institutional buyers (QIB)
to whom up to 50% of the issue will
be allotted on a proportionate
basis.The company will be listed on
both the Bombay Stock Exchange
(BSE) and National Stock Exchange
CEW/DOM Precision Tubes
APPLICATIONS : Auto, Energy
Sector, General Engineering, sold
in Domestic and Global Markets
Customers – Salem Steel, LLC
(North America), Volvo Eicher, Lear
Auto
INNOVATION :- Developed the
most innovative Pilgering Process
for DOM tubes. Patent Filed
Innoventive has grown
CAGR of 53% in topline
and 47% in bottom-line
over last 7 years. Its
Networth has increased
from Rs. 25.55 crore in
2006 to Rs. 137.4 crore by
December 2010
25th April 2011 to 1st May 2011 11
Growth Drivers
• Increasing investments in oil & gas & infrastructure sec-
tors will drive the demand for precision tubes, couplings
• Expected growth in the passenger car / automotive seg-
ments would result in increased consumption of precision
tubes and auto components
Shareholding Pattern • Discovery of large reserves of natural gas in K G Basin will
Promoters & Group 65.60% fuel the growth of gas pipelines
Kavos Capital Limited 19.58% • Government initiatives on capacity addition in power sec-
OCTG Products tor to result in increased demand for precision tubes, mem-
Standard Chartered PE 10.14%
APPLICATIONS :- Couplings brane strips
Innoventive Group Employees and PUP joints for OIL wells • Continued investments in railway up-gradation are expected
Welfare Trust 4.68% which are mainly exported Cus-
to spur greater purchase of precision tubes
(NSE).
tomers – Arcelor Mittal, Allied En-
gineer., Welded Tube (Canada),
The company may consider an- adopted the cold pilgering process
ApoloTubulars, UZTEL to manufacture CEW tubes without
Innoventive Industries is
chor investors for up to 30% of the
QIB portion. Subscription for retail NICHE SECTOR :- Caters the the use of the conventional draw entering into the capital market
and non-institutional investors will OCTG sector which requires es- bench process. The adoption of cold this week. It plans to raise up
close on 29 April. The price band of tablished track record, licenses pilgering technology has resulted in to Rs219.58 crore from its
the issue has been fixed between and top quality significant cost savings -energy cost initial public offer (IPO). IPO is
Rs 117 to Rs 120. savings of up to 80%, reduction in
scheduled to open on 26 April.
The company wastage of steel by The issue will close on 28 April
plans use the IPO
proceeds to expand
Strong Management Team 7% and lower usage
of chemicals. The find-
for qualified institutional
its manufacturing fa- *ChanduChavan : Chairman, Promoter : Experience of over ings are audited and buyers (QIB) and on 29 April
cility (Rs163 crore), 18 years in the industry certified by IIT for retail and non-institutional
repayment of term *RavindraKatre : Managing Director, Promoter : Oversees Mumbai. Innoventive investors. The price band of the
loans Rs50 crore and raw material procurement and sheet division of Innoventive has filed a patent ap- issue has been fixed between
the rest for general
corporate purposes.
*Sanjay Waghulade : Whole Time Director, Promoter : Over- plication for this tech-
nology in manufactur-
Rs. 117-120
As on December, sees production, tooling & related areas including project set up.
ing CEW tubes from 42,515.05 lakh in FY 2010, and the
2010, the company’s *Ramprasad Joshi : Independent Director : Has worked welded tubes using profit after tax has increased from
debt stood at Rs270 with Aerospace Engineering Department in IIT Mumbai Pilgering process. Rs 801.29 lakh to Rs 3,434.07 lakh
crore. *Yashpaul Gupta : Independent Director : Over 28 years of The company ca- during this period. Company has
The company is banking experience and retired as Field General Manager ters to high growth & grown CAGR of 53% in topline and
going to expand its diversified sectors- 47% in bottom-line over last 7 years.
CEW tubes capacity *PradeepTupe : Independent Director : Coordinator at MIT Transportation (45%) Innovation driven growth strategies
to 76,701 MTPA from Group, Secretary at AIMA – Includes entire auto have helped the company grow from
the present 27,000 *RajendraJagdale : Independent Director Director General of Sci- segment from 2 Rs. 15 Cr to Rs. 453 cr(9 months
MTPA by March ence and Technology Department established by Government of India wheeler, passenger ended on 31st December 2010) in
2012. The company *Wlliam Sean Sovak : Nominee Director (Kavos Capital) : cars, heavy vehicles, short period of 7 years with little eq-
has six facilities — farm equipment’s, uity capital. Its Networth has in-
MD & co Founder of Lighthouse Advisors India Pvt Ltd
five in Pune and one construction equip- creased from Rs. 25.55 crore in
in Silvassa. In February, the private ment etc;energy(30%) and general 2006 to Rs. 137.4 crore by Decem-
equity arm of Standard Chartered Innoventive has successfully eng.(25%). It operates in comple- ber 2010, which got further en-
had invested Rs30 crore in the firm. adopted the cold pilgering mentary industries and as such pro- hanced to Rs. 167.8 crore in Febru-
Axis Bank and Avendus Capital are ary-2011 on account of Pre-IPO
process to manufacture CEW vides a well-balanced exposure to Placement to Standard Chartered
the book running leading managers industry downturns.
tubes without the use of the
to the issue. Its key customers include Bajaj Private Equity.
Innoventive Industries Limited conventional draw bench Auto, Bhel, Thermax, John Deere In-
(IIL) was started by six first genera- process. The adoption of cold dia, Sundram Industries, Gabriel In-
tion entrepreneurs lead by Mr. pilgering technology has dia Limited and Alstom Projects Ltd.
Chandu Chavan. Supported by its It also exports its products to North
resulted in significant cost
R&D focus and domain expertise, America, Europe, South America,
the company has developed new savings. Innoventive has filed Kuwait & Middle East.
technology and products with en- a patent application for this On the financial front,
hanced properties at a lower cost. technology in manufacturing Innoventive Industries is very strong.
Its products are well accepted in The company’s consolidated rev-
CEW tubes from welded tubes
quality conscious German market. enue has increased from Rs
Innoventive has successfully using Pilgering process. 32,538.37 lakh in FY 2008 to Rs Membrane Strips
APPLICATIONS :- Used in
Clientele of IIL Financial Highlights - Consolidated
Financial Year Ending March 2008 2009 2010
(Rs. in Ml.)
2011
Boilers and is an IMPORT
SUBSTITUTE
Key Income Statement Items KEY CUSTOMERS : BHEL,
Thermax, ALSTOM, Cethar
Total Income 3253.8 3711.0 4251.5 4570.2
EBITDA 371.5 701.5 1151.3 1229.9 Vessel
% Margin 11.4 % 18.9 % 27.1% 26.9% The company is going to
Net Profit 80.1 141.4 343.4 369.2
% Margings 2.5 % 3.8% 8.1% 8.1%
expand its CEW tubes capacity
to 76,701 MTPA from the
Key Balance Sheet Items present 27,000 MTPA by March
Share Capital 50.00 50.00 50.00 384.6
2012. The company has six
Net Worth 290.4 427.9 771.2 1487.2
facilities — five in Pune and
Net Block 1184.0 2004.3 2992.7 3197.0
Total Debt 1924.2 3157.2 3265.1 3560.0 one in Silvassa. In February,
the private equity arm of
Cash & Bank Balance 576.8 675.2 179.4 408.2
Standard Chartered had in-
Strong Management Team with vast Experience vested Rs30 crore in the firm
12 25th April 2011 to 1st May 2011
INVESTMENT

Edgy trades end the week with a positive noteers in cash market. Weak European
Four sessions week under report
has turned very choppy with wild swing markets played a spoil sport. LME poor
trends brought selling on metal
taking place for first three days. Boiling
counters as well. On last Saturday BS
crude oil prices kept market men guess-
Transcom just amended the clause of
AA powering board to consider bonus
Expert’s Eye from time to time. BNK Capital an-
nounced bonus in the ratio of 1 share
Dilip Davda for every 4 shares held. Scrip turned
ex-bonus included ACIL Cotton (1 for
e-mail : dilip_davda@rediffmail.com 1) and KSB Pumps (1 for 1).
We again witnessed firm start on
ing on stern action from finance regu-
Tuesday as well and with wild swing,
lator at its forthcoming policy meet on
indices managed to close in green.
3rd May 2011 and thus market remained
BSE Sensex ended the day at
on an edgy mode. Food inflation too
19121.83 with a score of 30.66 points
rose to 8.74% and cause concern. Glo-
and NSE Nifty closed at 5740.75 with
bal cues too remained weak and thus
amidst consolidation mode with rising
Q4 number announcements, market
Weekly Indices Moves
remained in green zone and thus gave BSE Sensex
a sigh of relief. Date Open High
Secondary Market :- On Monday 18-Apr-11 19,389.74 19,649.22
market opened on a firm note, but as 19-Apr-11 19,091.78 19,201.92
the day progressed, it lost on weak glo- 20-Apr-11 19,274.21 19,484.77
bal cues. BSE Sensex lost 295.65 21-Apr-11 19,582.50 19,695.98
points to close at 19091.17 and NSE
Nifty ended the day at 5729.10 with a
NSE Nifty
Date Open High
fall of 95.45 points. Wild swing wit-
18-Apr-11 5824.35 5897.9
nessed during the day for almost 570 19-Apr-11 5716 5762.95
points for Sensex and 175 points for
20-Apr-11 5786.05 5857.35
Nifty. Early morning gains were lost as 21-Apr-11 5882.85 5912.9
all out selling on IT, Capital Goods and
Banking counters. FIIs turned net sell-
Sarvesh Ashok Trivedi
Stock Wave (Mumbai) (Mob) 09820728124
w w w. c h a r t s a n k e t s t o c k . c o m
Market may witness result based ups and down
BSE Index (19602.23) :- The BSE Index is heading northward from its
bottom level of 18976.19. Market indicates neutral position on daily basis. On
upward side it may face some resistance at 19737 and 19811 and beyond this
level it may again some resistance at 20035, 20250, 20460 and 20665. On
down side the mark of 19300 and 18976 should consider as crucial support.
Nifty Future (5903.35) :- The Nifty Index is heading northward from its
bottom level of 5703. Market indicates neutral position on daily basis, over-
bought to neutral position on weekly basis, and neutral position on monthly
basis. On upward side beyond 5947 it may face some resistance at 6000 and
6017 and beyond this level it may again face some resistance at 6080, 6150 and
6210. On down side it may get some support at 5767 and 5703.
Bank Nifty (11926.00) :- Bank Nifty is also on its northward journey from
its bottom level of 11512.05. Market indicates neutral position on daily basis,
overbought position on weekly basis, and neutral position on monthly basis. On
upward side beyond 11997 it may touch the mark of 12085, 12300 and 12500
Postal Regd. No. GAMC - 1703/2009-11. issued by SSP Ahd. Valid up to 31-12-2011
“Permitted to post at Ahmedabad PSO on every Monday (weekly) under
a gain of 11.65 points. In intra day
Smart Tips Dimple Shah
trades Sensex and Nifty broke the sen- Manaksia, BILT, Asian Granito, Elecon Engg
timental barriers of 19K and 5.7K re-
spectively. For the second day market Manaksia (Rs. 83.00) (Code: 532932) :- The company, engaged in
marked choppy trades. Eased crude packaging industries, has recently forayed in steel and aluminum industries and
is performing very excellently. It is also very active in Africa and West Asia beside
Best Buy India and is all set to avail the maximum benefit from increasingly growing de-
mand of its products in these regions. The company has undertaken its expan-
CMC Ltd., FAG Bearing, sion and rehabilitation plan in order to expand its wings in untapped regions. It is
dominating 12 % market share and its clients list include Dabur India, Jyothi Lab,
ING Vysya Bank Eveready industries and Mcedowel group. The consolidated sales and net profit
at 106$ gave sigh of relief. That helped of this company has increased with 12 % and 10 % respectively during last three
market to close end the session on a years. The management of the company has utilized its cash flow in a most
positive note. CMC surprised market prudent way so as to lessen the debt burden. The company had posted the net
with a bonus in the ratio of 1 for 1 along profit of Rs. 11.1 crore on sales of Rs. 302.6 crore for the Q3FY2010-11. The
investors must add this stock in their portfolio from long term perspective.
(Cont.... on P 10) BILT (Rs. 36.00) (Code: 500102) :- The most expensive acquisition of
Andhra Paper by US based International Paper Company changed the whole
scenario of Indian paper industries beside it has created potential possibility of
re-rating of Indian paper industry. This company, popularly known as Ballarpur
Low Close Diff Industries, was supposed to get listed its subsidiary with LSE but it has post-
19,071.47 19,091.17 -295.65 poned this listing plan following development took place in Indian paper indus-
18,976.19 19,121.83 30.66 tries. Based on its deal with US based company the enterprise valuation of
19,171.03 19,470.98 349.15 Andhra Paper is worked out 16 times more than its operating profit and consider-
19,530.50 19,602.23 131.25 ing this valuation the enterprise valuation of BILT, the largest company produc-
Net Weekly Gain : 215.41 ing newsprint, could be worked out 6 times more than its operating profit. The
company has chalked out an expansion plan to augment its annual production
Low Close Diff capacity up to 1134000 MT from existing capacity of 758710 MT. The company
5722.25 5729.1 -95.45 very confidently expect that it may post the net profit of Rs. 221 crore on sales of
5693.25 5740.75 11.65
Rs. 4492 crore for the whole FY 2010-11. The stock of the company is currently
5759.65 5851.65 110.9
5864.35 5884.7 33.05 quoted with 10.9 PE and investors can’t afford to miss this stock in their portfolio.
Net Weekly Gain : 60.15
(Cont.... on P 10)
Sensex Predictions
Senior Astrologer
Dharmesh Joshi
25th April to 29th April
Mob. : 9909941816
Ganesha foresees that it will be very
E-mail : stockmarket@ganeshaspeaks.com difficult to do any kind of trade to-
· Consider 10 minutes plus and There is possibility of a big jump and day. · 09:15 to 10:20, Nifty may trade
minus in each prediction, and act a big dip. in a range-bound area. · 10:20 to
accordingly. · Ganesha advises you 26-04-2011, Tuesday :- · You 11:40, you may get to see an ab-
to compare every prediction with the may not make as much money by normal pattern at Nifty. If you trade
prediction of the previous time slot. taking a short term or F&O position without stop-loss during this period,
· The predictions that you refer to as you may make through jobbing. you may lose all the profit you have
daily on our blog, are written one The situation may leave you with a made this month. · 15:00 to 15:30,
week in advance, and you receive ‘Yeh dil maange aur’ feeling. · 12:00 there may be profit booking.
it in the from of a PDF file. · Very till the closing bell, the Nifty based 29-04-2011, Friday :- · Mars,
active dates with wide fluctuations stocks will become active. You will Jupiter, Venus, Mercury and Moon
and high volatility for the month of are all in the zodiac Pisces. This is
get to see the effects of this on call- 6000
April are: 13, 15, 21, 27 · On 27-04- likely to create a lot of confusion. · 5900
put. 13:45, 14:00, 15:25- will be the 20000
5800
2011, FII, Mutual Funds will be most crucial points in this period. All the planets will neutralise each INDEX POINT
INDEX POINT 19600
5700
19200
active. Hence, you are advised to other’s strength. Hence, Nifty will try
5600
18800
27-04-2011, Wednesday :- · 5500
18400
take an intraday trading decision to stabilise. But, as it is the last day 18000
5400
The prediction that you are reading 17600
5300
only after reading the complete pre- of the week and the last day of the 17200

and on down side the mark of 11650, 11512 and 11470 should consider as has been written on 20-04-2011. 5200
16800
5100
diction for the day. Even then the accuracy level is high, month at the stock market, it is dif- 16400
5000
16000
crucial support. Don’t make any position for bearish trend as there is ample
25-04-2011, Monday :- · 28-04- as only astrological tools have been ficult to predict the number of points, 04.04.2011
04.04.2011 TO
TO 08.04.2011
08.04.2011
possibility that it may touch the mark of 12500. 11.04.2011
11.04.2011 TO
TO 15.04.2011
15.04.2011
2011 is the last Thursday of this used while predicting. No help has 10 days in advance. · Today 11:00 18.04.2011
18.04.2011 TO
TO 22.04.2011
22.04.2011
Pantaloon Retail (Rs. 277.15) :- This stock is also on its progressive month. Thus, only take a square- o’clock may be the trade changing
journey from its bottom level of 233. Market indicates oversold position on daily been taken from Technical, Funda-
off position, as this is not the right mental, Crude Oil, FII, Gold, Silver, time. Take practical decisions, with-
basis, neutral position on weekly basis and oversold position on monthly basis.
time to take a new position. · As all or Politics related news. · 09:15 to out any bias, after this time. · The
On upward side beyond 283 it can go up to 300 and on down side it may get
some support at 265 and 261. the four planets- Jupiter, Mars, Mer- 09:30, Nifty may be up but by how pre-open market is likely to be posi-
Hindalco (Rs. 220.25) :- This stock is (Cont.... on P 8) cury, and Venus are in Pisces, it many points is difficult to predict. · tive. · 13:15 to the closing bell, there
will be difficult for you to make a 09:30 to 10:00, Nifty may catch a may be pressure in the starting and
Golden quote:- We enjoy finding vices in judgement, which is understand-
able. · From the opening to 12:00,
downward trend. · 10:00 to 10:45, at the end. But in the intermediate
time, Nifty may make you do job-
Nifty may go up.
other only because we ourselves are vicious Nifty will play around the surface. 28-04-2011, Thursday :- · bing for May 2011.

Nifty F & O Range @ 5808 to 6006 Point In Short Term
Dear Friends,
NIFTY FO CLOSED @ 5901 AS
ON 21.04.2011..!! NIFTY FO has re-
sistance at 5930 – 5959 Level; above
which other resistance levels are at
5967 – 5977 Level with highly Volatile
Trend, In Downside support levels
are at 5870 – 5833 Level; below 5770
NIFTY
Level, other support levels are at 5819
– 5808 Levels. I am positive for next
week above 5930 Level but be with
the trend. Let the market decide fur-
ther moves. As we are saying from many
days Buying is suggested in falls
only...and it’s still a better strategy in
the given Scenario...!!!
Regarding long term positions, it is
preferable to remain cautious now...!!
If NIFTY crosses 5977 Level, again
then the upper side target is quite high
and it may touch 6006 Level in
short term...!!!
GOLDEN STOCKS FOR THE
Printed by Dilip K. Shah, Published by Dilip K. Shah, Owner by Dilip K. Shah. Printed at Allied Offset Printer Pvt. Ltd. 14/2, Kalidas Mill Compound, Gomtipur,
Ahmedabad-380021. Published from 311 to 313, Nalanda Enclave, Opp. Sudama Resorts, Pritam Nagar1st Dhal, Ellisbridge, Ahmedabad. Editor : Dilip K. Shah
MARKET
TREND
NIKHIL BHATT
(+919979380808)
WWW.INVESTMENTPOINT.IN
WEEK : 25.04.2011 TO 29.04.2011
1. STATE BANK (2860) : It is sug-
gested to buy @ Rs 2847 with SL of
Rs 2833 for the target of Rs 2888 –
2909; below Rs 2833 it can fall up to
RS 2821 – 2810 levels. If it crosses Rs
2909 level than expect nonstop rally
up to Rs 2930..!!
2. BIL POWER (118) : Operator
based Game start in this stock, Buy @
Rs 113 With SL of Rs 109 for the tar-
get of Rs 133 – 147 level below Rs
109 it can show further downfall up to
Rs 101…!!!
3. RAJU ENG (16) : Buy delivery
of this stock near @ Rs 15 with SL of
Rs 13 for the target of Rs 21 – 25
level. It is very good for medium term
position also…!!!
4. HINDALCO (220) : This stock is
looking very good to buy @ Rs 216
with SL of Rs 208 for the target of Rs
233 – 241 Levels below Rs 208 Stock
shall witness free fall…!!!
5. ROLTA INDIA (147) : Buy @ Rs
143 levels considering minor support
of Rs 133 and stop loss of Rs 129 for
an upper target of Rs 163 – 173 lev-
els. Below Rs 129 it can slip up to RS
123 – 119 levels…!!!
6. SATYAM COMP (75) : Operator
based buying has been there in this
stock. Buy @ Rs 71 with SL of Rs 67
SENSEX
for the target of Rs 83 – 88 levels it is
very good for long term position
also…!!! .
7. DELTA CORP (97) : Trading
point of view BUY @ Rs 91 With SL of
Rs 88 for the target of Rs 107 – 113
level below Rs 88 it can show further
downfall up to Rs 81.. !!!
8. HIND PETRO (375) : Buy deliv-
ery of this stock near @ Rs 367 with SL
of Rs 357 for the target of Rs 389 –
393 level. It’s very good for long term
position also…!!!
(Cont.... on P 8)
Scrip Watch
OnMobile Global (Rs. 278.00) (Code : 532944) : OnMobile Global
has announced that May 04, 2011 has been fixed as the Record date to deter-
mine the shareholders of the Company entitled for issue of Bonus Shares in the
ratio of 1:1. So, the stock has got momentum. It has was jumped to Rs. 309.
However it is still at quite low from its 52 week high of Rs. 400. So, there is room
for further improvement. As the record date has been fixed, it will come very close
to this 52 week high before 4 May, 2011. Buy this stock for short to medium term.
Glenmark Pharmaceuticals (Rs. 300.00) (Code : 532896) :
Glenmark Pharmaceuticals has, recently, entered into a ten-year agreement with
ImmanenceIntégrale Dermo Correction or IDC to distribute the Canadian company’s
high-end dermatology products.The agreement will allow Glenmark to distribute
IDC’s anti-aging range of products in 8 countries- India, Brazil, Mexico, South
Africa, Egypt, Vietnam, Malaysia and Thailand.Glenmark said it will be the sole
licensee for the entire range of product across all these countries. Immanence
IDC is specialized in the development, commercialization and marketing of high-
end anti-aging cosmeceutical care. The company has an equity capital of Rs
27.03 crore. Face value per share is Rs 1. The stock had hit a 52-week high of Rs
389.75 on 7 December 2010 and a 52-week low of Rs 241.60 on 28 February
2011. It is a value buy in the pharma space. Buy.
Gujarat Fluorochemicals (Rs. 368.00) (Code : 500173) : Gujarat
Fluorochemicals is in the business of refrigerants and gasses and it also has a
subsidiary which operates into wind power generation. The company has recently
announced that in a phased manner, they would increase their capacity in the
caustic soda as well as polytetrafluoroethylene (PTFE) and chloromethane seg-
ment. The company would generate close to Rs 460 crore to Rs 500 crore of profit
for next fiscal. The company is going to post 40% jump in bottom-line and is a buy
on dip candidate.The larger story would play out in terms of carbon credit the
company is going to get because across the board, the company is planning to
expand its capacity by almost 2.5 times in the next three years to three and half
years. The company is sitting on cash reserves which is equivalent to its secured
and unsecured loan. The company is virtually debt free on a market cap of Rs
4000 crore with tremendous potential going forward. Buy.