................................................................................................................. counter
!!! W E L C O M E !!!
In INDIA, people generally relate to stock market as “EASY MONEY” or “SATTA BAZAAR”. For them it’s purely a GAME or matter of sheer LUCK and nothing more than that. But seldom do they know, by following certain PRINCIPLES and taking INFORMED decision, this same platform has the power to take them from rags to riches. No doubt, it has a certain amount of RISK attached to it. But every business or investment has it. What more, the Finance Ministry has already made the long term capital gain as TAX FREE whereas the short term capital gain is taxed at merely 10%. On the economic front, India’s GDP is growing and is expected to grow at scorching pace of more than 8%. Unfortunately, even today our market is being ruled and dominated by FIRANGI’s money. But I can see, the day is not far when our general PUBLIC will change its perception and start putting MOST of their savings in equities as an ** Investment **.
Remember, "K N O W L E D G E" and "P A T I E N C E" are the key to success.
Page copy protected against web site content infringement by Copyscape
AddThis Social Bookmark Button Add to Technorati Favorites Join My Community at MyBloglog! ...<< Top Blogs >>
SAARTHI

Sensex (LIVE- Intraday)

Sensex (LIVE- Intraday)

Saturday, December 31, 2005

Performance - 2005 Reccomendation

Performance Scorecard as on November 2007

Sr. Date Scrip Name Recco High
Return



Price Price
in %








Appreciated more than 5x times



1 4-Apr-05 Rolta ind 80 775
869%
2 31-Jan-05 Usha Martin * 16 136
750%
3 27-Jun-05 Geuns Overseas 98 735
650%
4 25-Apr-05 Venus Remedies 78 572
633%
5 20-Jun-05 Electrotherm 99 644
551%
6 3-Jan-05 Ador Welding 85 525
518%
7 28-Mar-05 Ahmednagar Forg $ 56 300
436%








Appreciated 2x to 5x times



8 1-Aug-05 GE Shipping @ 155 721
365%
9 11-Jul-05 Eldeco Housing 113 522
362%
10 10-Jan-05 Navabharat Ferro * 67 304
354%
11 3-Jan-05 KCP Sugars * 21 94
348%
12 4-Apr-05 SAIL 65 281
332%
13 25-Jul-05 Bhagyanagar Met $ 12.5 54
332%
14 3-Oct-05 Navabharat Ferro 71 304
328%
15 7-Mar-05 JBF Indsutries 44 184
318%
16 15-Aug-05 Jhunjhunwala Van 41 166
305%
17 13-Jun-05 Hazoor Media $ 5.5 21
282%
18 26-Sep-05 Niit Tech 170 638
275%
19 8-Aug-05 Mangalam Cement 74 260
251%
20 31-Oct-05 Fenoplast 15 52
247%
21 29-Aug-05 Zenith Computers 33 114
245%
22 4-Jul-05 Bilpower 72 248
244%
23 14-Mar-05 Panama Petro 57 193
239%
24 21-Feb-05 IPCL @ 880 2930
233%
25 14-Nov-05 Rajshree Sugar 69 224
225%
26 18-Jul-05 Delton Cables 50 161
222%
27 24-Jan-05 Sunflag Industries 13 41
215%
28 18-Apr-05 DCM Shriram Ind 78 240
208%
29 28-Feb-05 Laks Prec Screw 55 160
191%
30 10-Oct-05 Shrachi Sec @ 141 402
185%
31 2-May-05 GNFC 72 203
182%
32 11-Apr-05 Medi Caps 48 130
171%
33 10-Oct-05 Winsome Textiles 26 70
169%
34 13-Jun-05 Shri Lakshmi Cotsyn 61 164
169%
35 9-May-05 Simbhaoli Sugar # 71 177
149%
36 24-Oct-05 Raipur Alloys 80 199
149%
37 8-Aug-05 Indian Sucrose 28 69
146%
38 31-Jan-05 Ambika Cottom 156 373
139%
39 24-Oct-05 Sayaji Hotel 39 92
136%
40 21-Feb-05 Hanil Era 30 69
130%
41 27-Jun-05 Birla Power Sol 40 92
130%
42 19-Sep-05 GSFC 141 315
123%
43 6-Jun-05 Chemfab Alkalis * 88 195
122%
44 17-Jan-05 Eastern Silks 176 364
107%
45 28-Feb-05 Andhra Sugars 125 258
106%
46 18-Apr-05 Nagarjuna Agrichem 114 235
106%
47 30-May-05 Kilburn Eng # 45 92
104%
48 30-May-05 Dhanuka Pesticide 104 208
100%








Appreciated 50% to 100%



49 21-Nov-05 Shasun Chemicals 80 157
96%
50 21-Mar-05 Jupiter Bioscience 126 242
92%
51 10-Jan-05 Indsill Electrosmelts 49 93
90%
52 11-Apr-05 Aarti Industries * 45 85
89%
53 4-Jul-05 Sujana Universal 25 46
84%
54 28-Mar-05 Shipping Corp 158 287
82%
55 16-May-05 Ador Fontech 84 151
80%
56 15-Aug-05 Bhuruka Gas 43 77
79%
57 18-Jul-05 Tinplate 60 106
77%
58 25-Apr-05 Pitti Lamination 77 135
75%
59 17-Jan-05 Omax Auto 100 174
74%
60 20-Jun-05 Narmada Chem @ 117 203
74%
61 2-May-05 Mahindra Ugine 104 178
71%
62 26-Dec-05 Kilburn Chemicals 50 85
70%
63 3-Oct-05 First Leasing 47 79
68%
64 14-Feb-05 Videocon Int @ 335 563
68%
65 17-Oct-05 Jupiter Bioscience 144 242
68%
66 6-Jun-05 Modern Steel 90 149
66%
67 7-Mar-05 National Steel 25 41
64%
68 22-Aug-05 Laffans 25 41
64%
69 23-May-05 Sanjivani Parenteral 64 104
63%
70 14-Nov-05 JB Chem 87 140
61%
71 1-Aug-05 Rama Paper 37 59
59%
72 7-Nov-05 Mahalaxmi Seam 34 53
56%
73 17-Oct-05 Flex Foods 28 43
54%
74 7-Feb-05 KIC Metalics 78 118
51%
75 7-Feb-05 Metalman ind 34 51
50%








Appreciated 25% to 50%



76 16-May-05 Ind Swift Ltd 62 88
42%
77 21-Mar-05 Rajratan Global 109 154
41%
78 23-May-05 Syncom Formulation 96 134
40%
79 24-Jan-05 Indian Acrylics 14 19
36%
80 29-Aug-05 Haldyn glass 75 100
33%
81 14-Feb-05 Bongaigaon 89 117
31%
82 11-Jul-05 Sambandam Spin 126 165
31%
83 14-Mar-05 Natco Pharma 140 181
29%
84 12-Sep-05 Mawana Sugars 120 150
25%








Appreciated below 25%



85 5-Sep-05 Vardhman Ind 38 47
24%
86 26-Sep-05 Star Paper 92 110
20%
87 7-Nov-05 Seasons Textille 14 16
14%
88 25-Jul-05 Supreme Petro 37 42
14%
89 22-Aug-05 Agro Dutch 69 78
13%
90 26-Dec-05 Amarjyoti Spinning 70 79
13%
91 9-May-05 Ashirwad Steel 36 40
11%
92 21-Nov-05 Ind Swift Lab 165 181
10%
93 31-Oct-05 Gujarat Carbon Ind 13 14
8%
94 12-Sep-05 Lahoti Overseas 14 15
7%
95 5-Sep-05 Aarti Drugs 154 163
6%
96 19-Sep-05 CCS Infotech 19 20
5%

* ---> Recco price adjusted for Split

$ ---> Recco price adjusted for Bonus

# ---> Recco price adjusted for Rights

@ ---> Demerger / Merger Adjustment

Disclaimer: These are not the actual profit figures booked by any investor but a compilation to indicate the potential/quality of recommendations.

Friday, December 30, 2005

Stelco Strips - Rs.19.00

Stelco Strips Ltd (SSL), promoted by Mr. Om Prakash Jindal was incorporated in 1988 as a Private Limited Company and was subsequently converted into a Public Limited Company in June 1989. Its main objective was to manufacture cold-rolled close-annealed (CRCA) steel strips of mild steel, medium and high-carbon steel. Later, it also started producing wider width CR steel strips, which was a huge success. Its products are used to manufacture cycle and auto parts, cycle chains, hacksaw blades, industrial knives, agricultural implements etc. SSL has a well established customer base including reputed OEMs in the domestic and international markets. Currently, the company has put more thrust to increase its export to China, Ethiopia, Vietnam, Germany etc which currently accounts for 36% of its sales.

SSL’s manufacturing plant, which is ISO-9001:2000 certified is located in Ludhiana having an installed capacity of 16,000 TPA for narrow width and 50,000 TPA for wider width of cold rolled steel strips. It has also set up another wider width CRCA steel strip plant with capacity of 36,000 TPA. For future growth, SSL is implementing a forward integration programme of a Continuous Galvanising Line for the manufacture of GP and G.C sheets adjacent to its manufacturing facilities at Doraha in Dist. Ludhiana. Civil work has already been completed and the machinery has started arriving at the site. Trial production is expected to start soon. Galvanized steel has a big requirement in domestically as well as globally in housing & construction activities, for infrastructure projects in consumer durables, automobiles and OEMs.

To fund its expansion, the company has recently made a preferential allotment of 7,10,000 shares to the promoters @ Rs.31 which will bring in around Rs.2 cr. For FY05, its Sales increased by 60% to Rs.128 cr. and NP has more than doubled to Rs.3.51 posting an EPS of Rs.5 on its equity of Rs.6.86 cr. The first half of the current year was quite encouraging although the second half will not be so rosy due to a fall in steel prices. Still for full FY06, the company may report total sales of Rs.150 cr. and NP of around Rs.4~4.5 cr. and post an EPS of Rs.5~6 on its diluted equity of Rs.7.60 cr. Long-term investors are recommended to buy it at current levels as the scrip can double in 12~15 months.

Thursday, December 29, 2005

Manali Petrochemicals - Rs.24.50

Incorporated in 1986, Manali Petrochemicals Ltd. (MPL) was promoted by SPIC to manufacture Propylene Oxide, Propylene Glycol and Polyols (Petrochemicals) used as industrial raw materials. Propylene Glycol is manufactured to IP/USP specifications and finds extensive use in pharma preparations, food flavours, cigarettes, paints, cosmetics etc. Its by-products di and tri propylene glycol are primarily used in the resin industry and for manufacturing of Fat-G-bricks - an energy conserving building material. It also supplies Isocyanates imported from USA and Japan along with Polyols to the Polyurethane (engineering plastic) industry and provides technical services to the user industries. Importantly, MPL is the only producer of polyol in India due to the sophisticated technology requirements and being a highly capital intensive industry

MPL has two plants located at Manali on the outskirts of Chennai and close to the plants of Chennai Petroleum from where it sources its major raw propylene through a pipeline. It has an installed capacity of 35,000 MTA of propylene oxide 13,250 MTA of propylene glycol and 14,000 MTA of polyol. MPL also has technical agreement with Technip France to provide the technology of Ato Chem of France for the manufacture of propylene oxide and propylene glycol and that of Arco Chemical Co. of USA. for the manufacture of polyols. Due to the strong demand from user industries and the healthy order book position, both its plant are working at almost 100% capacity utilization.
Financially, MPL was making losses but has dramatically turnaround from FY05. It had a carried forward loss of Rs.35.33 cr. on its equity of Rs.114.70 cr. But under the recent restructuring scheme MPL has adjusted the said losses of Rs.35.33 cr. partly by reducing its equity by Rs.28.67 cr. and partly from the share premium of Rs.6.66 cr. This equity reduction was by way of reducing the face value of its share from Rs.10 to Rs.7.50, which made the company’s net worth positive. Hence the company would be able to borrow at a lower rate of interest in future and can also declare dividend. For FY06, MPL is estimated to clock a turnover of Rs.375 cr. and NP of 45 cr. This works out to an EPS of about Rs.4 on its reduced equity of Rs.86 cr. and face value of Rs.7.50. With a 52 week high of Rs.29, this scrip has the potential to cross Rs.35 i.e.50% appreciation in 6~9 months. Long term investors can expect a price target of Rs.50 in 18 months or so.

Wednesday, December 28, 2005

STOCK WATCH

Of late, textile scrips have lost their shine and are available at reasonable valuation. One such scrip is APM Industries (Code No: 523537) (Rs.42.30) which has cooled off from a high of Rs.75 to the current Rs.40. Its core business is manufacturing and marketing of synthetic blended yarn and it has recently enhanced its production capacity from 39,104 to 43,136 spindles. For the six month ending Sept 2005, it has already clocked an EPS of Rs.3.5 and it can report an EPS of Rs.8 on its current equity of 4.32 cr. for FY06. Trading at 65% discount to its book value and a PE multiple of just 5 times, it’s a pure value buy at current levels.

Sanjivani Parenteral (Code No: 531569) (Rs.54.30) has steadily progressed by manufacturing high quality medicines, mainly injectibles since 1998 for many reputed companies. Today, it has emerged as one of the biggest manufacturers of injectibles in the country. Its manufacturing facility is WHO GMP certified and is located at Taloja in Maharashtra and manufactures high grade antibiotics and life saving injectibles used in various pre and post-operative infections. Considering order book position for FY06, it can report Sales of Rs.45 cr. and NP of near Rs.7 cr. i.e. EPS of Rs.12 on its diluted equity of around Rs.6 cr. Inspite of such a strong growth story, its market cap is below Rs.30 cr. while it is discounted merely 4 times against its FY06 earning. A potential multibagger like Ankur Drugs!

Laffans Petro (Code No: 524522) (Rs.27.25) manufactures ethylene oxide derivatives such as Ethoxylates, Glycol Ethers, Acetates, Triethonal-amine, and Brake fluids. Due to higher demand and better price realisation of its products, it is expected to perform better in future. For FY05 ending 30th Sept 2005, its Sales grew by 30% to Rs.140 cr. whereas the NP doubled to Rs.4.30 cr. posting an EPS of Rs.5 on its small equity of Rs.8 cr. For FY06, the company is expected to report an EPS of more than Rs.6. Due to its low profit margin and rising raw material costs, the scrip is discounted very poorly on the bourses. But since the crude oil price has stabilized, its only matter of time for it to catch market fancy. With a book value of more than Rs.35 and 52 week high of Rs.40, the scrip is bound to cross Rs.50 in the coming mid-cap bull run.

After hitting a recent high of Rs.95, Kilburn Eng. (Code No: 522101) (Rs.59) has corrected sharply to just Rs.50 plus levels. It operates in areas of process design, engineering, manufacture, installation and commissioning of turnkey plants and systems catering to petrochemicals, chemicals, fertilisers, refineries, oil and gas and food processing. To improve its working capital requirement, the company is coming out with 1:1 rights issue at Rs.25 i.e. 50% discount to its CMP. For FY06 ending 30th Sept’06, it can report Sales of Rs.70 cr. and NP of Rs.8 cr. which means an EPS of Rs.6 on its expanded equity of Rs.13.50 cr. In spite of being in such a high growth sector, the scrip is cheaply discounted and overlooked by investors. A good long-term buy.

Investors have currently dumped metal scrips as the whole sector has lost its shine due to a fall in steel and other metal prices. But Sunflag Iron and Steel (Code No: 500404) (Rs.14.50) seems good scrip to accumulate in such a market condition for the long term. It has a modern state- of- the- art integrated steel plant with a capacity to produce over 2,00,000 MTA of high quality special steel as well as produce 1,50,000 MTA sponge iron Its product mix covers a wide range such as Carbon Special Steel, Alloy Steel, Free Cutting Steel, Ball Bearing Steel and Spring Steel. With an expected EPS of Rs.5 and 52 week high of Rs.27, this scrip has the potential to give 50% return in 12 months.

Another textile scrip, which is a good long-term bet, is Suryalata Spinning (Code No: 514138) (Rs.81.20). This south based manufacturer of cotton and blended yarn has capacity of 57,000 spindles. It is undergoing expansion to increase the capacity to 65,000 spindles and further by another 50,000 spindles over the next 2 years. It also intends to forward integrate itself into weaving and processing of fabric. For FY06, it can clock a turnover of Rs.175 cr. with NP of Rs.7.5 cr., which leads to an EPS of Rs.14 on its current equity of Rs.5.40 cr. Also, the company has made preferential allotment at Rs.88. Its share price can rise 50% in 6~9 months.