Thursday, September 17, 2009

Stock Idea: Kinetic Motors Ltd.

Kinetic Motors Ltd. CMP: 31
About the Company
: Established in 1984 by the Firodias of Kinetic Engineering – the leading manufacturers of mopeds -- Kinetic Motor Company Ltd, formerly known as Kinetic Honda Motor has a technical and financial collaboration with the world leaders in automobiles, Honda Motor Company, Japan. The Japanese collaborator which was holding 50.92% stake in the company divested its stake in favour of Kinetic Engineering for Rs 34.47 cr in 1998. At present Kinetic Engineering holds 50.92% stake in KMCL. The company got the status of a government-recognised Export House, in 1995-96. The company is planning to upgrade its present product range, develop new vehicle models using latest technology etc Due to intense competition, and entry of multinational giants in Indian market, the Company had been suffering losses in the past few years. In order to protect the interests of the stakeholders, the company entered in a deal with Mahindra & Mahindra Limited. Pursuant to the deal, the two wheeler business related assets have been transferred to Mahindra Two Wheelers Limited, a subsidiary of Mahindra & Mahindra Limited. The overall sales of two wheelers in Indian market have grown during the year under review. This has been mainly caused by the general economic slowdown. After achieving a debt-free status, your Company is now evaluating different avenues for newer businesses.
Technicals: The counter has been witnessing a continuous upside rally since the beginning of this year, after forming a strong bottom at 6-7 level. From that level it started to retrace back to the high of current level of 31.70, along with stable volumes. As per other technical indicators it is trading well above the crossover of 9 & 18 days WMA and 50 days SMA. This indicates the counter is bullish in medium to long term. 14 Days RSI is trading at 92 level, with upward bias. But according to this the counter is already in over bought zone; therefore we may see some correction in prices in the near term. Overall the trend remains positive for the counter. So anydip in price levels from here will be taken as an opportunity to make fresh long position. Immediate resistance is 33 which is acting as a small hurdle in the further up run of the counter.
Above it the counter may see a target of 39 and above that 52.
Source: Internet (Valuenotes)

Stock Idea: Aurobindo Pharma

Aurobindo Pharma manufactures generic pharmaceuticals and active pharmaceutical ingredients. The company’s manufacturing facilities are approved by several leading regulatory agencies like US FDA, UK MHRA, WHO, Health Canada, MCC South Africa, ANVISA Brazil. The company’s robust product portfolio is spread over 6 major therapeutic/product areas encompassing Antibiotics, Anti-Retrovirals, CVS, CNS, Gastroenterologicals, and Anti-Allergics.

For the first quarter ended 30th June 2009, on a consolidated basis, the company registered a total operating income of Rs 852.8 crore, up 25% on a YoY. Formulation sales were up 62% at Rs.469 crore and this comprised 57% of its gross sales. Operating Profit before Forex was at Rs.195.7 crore, up by 71%. PAT after forex was at Rs 166.6 crore as against Rs.16.4 crore in Q1FY09. However, the PAT before Forex was at Rs.109 crore, up 55%.

During the quarter, the company repurchased and cancelled FCCBs of face value of USD 1.8 million. In Q1 FY 2009-10, it had 8 ANDA filings in USA, taking the total cumulative filings to155. It also had 13 Dossier filings in Europe in Q1 FY 2009-10 , taking the total cumulative filings to 677.

In August, the company acquired Hyderabad-based Trident Life Sciences for about Rs.134 crore. It will fund the deal through internal cash flow and will repay the debt on Trident Life Sciences' books in the next six to nine months. This acquisition will give Aurobindo an opportunity to enter the injectables business as Trident is building a liquid injectables facility in Medak, Hyderabad, scheduled to go on stream in April 2011.

Since the last few days, Aurobindo has acquired quite a few approvals for its drugs from USFDA as well as Switzerland. And that is precisely why the stock price has remained up and is expected to remain firm in the coming days too. A strong company, it’s a long term stock for portfolio building.
Source: www.premiuminvestments.in (By S P Tulsian)

Intraday Trading Calls for 17th September

Indian Stock Market may open positive and remains good positive for the today.

Today's Intraday Stock Tips / Trading Calls (Keep strict Stop Loss for Each Trade):

SCRIP NAME

TRIGGER

PRICE

TARGET 1

TARGET 2

NAGARJUN CONSTRUCT

Buy Above

144.75

149.35

154.00

Sell Below

142.70

139.55

136.00

CRANES SOFTWARE

Buy Above

43.25

45.50

48.00

Sell Below

41.75

39.45

37.00

REL POWER

Buy Above

164.80

169.20

174.00

Sell Below

162.40

158.35

155.00

TATA STEEL

Buy Above

534.65

545.75

560.00

Sell Below

527.15

518.55

505.00

EKC

Buy Above

220.10

226.45

232.00

Sell Below

216.45

211.20

205.00

ORCHID CHEMICAL

Buy Above

160.05

165.30

170.00

Sell Below

155.35

150.60

145.00

SELAN EXPLO

Buy Above

305.75

312.65

320.00

Sell Below

301.20

295.20

288.00

Buy Purvankara Projects Ltd. (532891) CMP Rs. 120/- Short to Medium Term Target Rs. 175/-.

GOOD LUCK

Disclaimer

The information in this publication is provided by http://www.moneybazzar.blogspot.com/ is intended for use for Readers & Traders . Every effort is made to provide accurate information, but http://www.moneybazzar.blogspot.com/ cannot guarantee the accuracy of the information or of the market analysis. This is a newsletter and is for informational purposes only. It is not a solicitation or offer to buy or sell futures. There is a high risk of loss in trading futures. You should not trade with money that you cannot afford to lose. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this newsletter. The past performance of any trading system or methodology is not necessarily indicative of future results.



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