STOCK WATCH

This South based Ferro Alloy company, Indsil Electrosmelts (Code No.522165) (Rs.44.20) has again posted excellent results for its first quarter ending 30th Sept 2004. Net sales had increased by 50 per cent to Rs.19 cr. and it earned NP of Rs.3.30 cr. against a loss of Rs.1.45 cr. in the corresponding quarter. With an OPM of 30 per cent, NPM of 17 per cent and an expected EPS of Rs.12 it is trading cheap and could be accumulated for the long term

Maintaining its profit margin, Finolex Industries (Code No.500940) (Rs.63.45) has doubled its NP to Rs.28 cr. as sales increased by 20 per cent to Rs.234 cr. The scrip is poised to cross the century mark this year. Accumulate it every dip

Man Industries (Code No.513269) (Rs.91.90) is expected to report excellent numbers for the next 2 quarters. Also its new plant at Anjar is expected to begin its operations in Dec 2004. For FY05, it will report an EPS of Rs.22 Investors could buy at the current price for handsome returns in 12 months time

Due to the booming Indian economy, the special thrust on infrastructure and the huge expansion plans by various companies every sector, Ador Welding (Code No.517041) (Rs.57.70) company is reportedly having the best time. For Sept qtr, Sales was up 23 per cent to Rs.48 cr. whereas profit jumped 800 per cent to Rs.3 cr. For FY05, the company is expected to register an EPS of around Rs.10 and declare 30 per cent dividend. Scrip can appreciate 50 per cent in 12 months time

Marketmen are waiting the results of Navabharat Ferro Alloys (Code No.513023) (Rs.374.60) which is scheduled for 25th Oct. For the June quarter its OPM zoomed up to 43 per cent. If it maintains this margin, scrip will shoot up to Rs.500 in no time

Though some broking firms are bullish on Stride Arcolab (Code No.532531) (Rs.174.55) and project a price target of Rs.250, investors are advised to stay away from this mid-cap pharma scrip and wait for its Sept number. Fundamentally it’s overpriced, and its June quarter was good only due to reverse Deferred Tax provision!

Amforge Industries (Code No.513117) (Rs.88.50) will post fantastic growth numbers on 28th Oct compared to its low base last year. FIIs are quite bullish on this company and the share price is tipped to cross Rs.120 before this year end.

One Pharma analyst is bullish on Surya Pharma (Code No.532516) (Rs.55.15) and expects the company to post an EPS of Rs.10 for FY05. The company is setting up a composite facility with a capital outlay of about Rs.60 cr. for the manufacture of Sterile Bulk Drugs, formulations, captive power plant and multipurpose bulk drug manufacturing facility at Banur (Punjab). The company has also added a Tablet section in addition to the existing capsulation section.

In the textile sector, one can have a look a Banswara Syntex (Code No.503722) (Rs.35.10) which is expected to register an EPS of Rs.12 and CEPS of Rs.25. It has good reserves of Rs.37 cr. on small equity of Rs.6.9 cr. leading to a book value of Rs.64. For FY05, it may declare dividend of 15 per cent. A good long-term bet.