Thursday, July 15, 2010

Stock Idea: Sutlej Textile

This Birla group is also engaged in production of Poly/viscose yarn. Company also has weaving division, engaged in export of textile fabrics. Sutlej has its own process house , also produces Furnishing fabrics and captive use power plant. Sutlej has nearly 3 lac spindles and 2nd biggest in India:
Sutlej Textile too had reported loss in 2008-09 due to lower yarn prices, less demand and its fabric division was also incurring heavy losses. However, Sutlej has staged massive turnaround in 2009-10 with PAT of 26.31 cr translating into EPS of 24.10 crs. Like RSWM, Sutlej too makes large provision for depreciation and CASH Eps stands at 85.36.

Sutlej commissioned its 10mw power plant in Q3 of 09-10. Sutlej will report best ever results in current year as its fabric divison has stopped making losses and yarn  division is reporting huge profits. Networth as on 31.03.2010 is Rs 145 cr and current market cap is also 175 Cr

Co is likely earn CASH PROFIT of 200 cr in 09-10 and 10-11 against market cap of just 175 cr Stock is trading at: 3.88xFy11E Eps  1.60xFy11E Cash Eps Market cap is just 13.50% of Fy11E sales At curent levels, Sutlej is gross underpriced. Birla group company available at such  tempting valuations. Scrip can go to 215/ in less than 2 months, can be 250/ in 6 months and Rs 350/ in 15-18 months.
Source: Internet (Valuenotes by ProfitTrack)

Stock Idea: NGL Fine-Chem Ltd.

NGL Fine-chem Ltd is a manufacturer of pharmaceuticals and intermediates for usage in veterinary and human health. Company caters to various global companies to custom manufacture high quality pharmaceuticals with reliability and flexibility. Utilizing its expertise in complex multi-stage organic synthesis, company continues to expand their product portfolio with new products. Company has established a strong presence in global pharmaceutical companies with its commitment to competitive prices, delivery schedules, international quality standards and constant technological upgradation. The Company was incorporated on December 18, 2981 as a Private Limited Company in the State of Maharashtra. The Company became a Deemed Limited Company by virtue of Section 43A of the Companies Act, 1956 on 29.12.1993 and the necessary alternation to the Certificate of Incorporation was duly obtained from the Registrar of Companies, Maharashtra. The Company has deleted the restrictive clauses in the articles of association by passing a special resolution on May 20,1994 and has become a Public Limited Company. The Company has got its registered office and factory at New Bombay. The Company was promoted by Mr. A.G.Lawande, Mr.R. J. Nachane joined Mr.A.G.Lawande for actively participating in the management of the company in 1989.
It has an equity base of Rs.3.09crore that is supported by reserve of around Rs.8crore leading to a book share value around Rs.22.10. The promoters hold 66.68%, non promoter corporate bodies hold 11.85% while the investing public holds 21.46% stake in the company.
For FY10, it recorded net sales of Rs.28.02crore with net profit of Rs.2.71crore against net sales of Rs.24.63crore with net profit of Rs.1.68crore in FY09. (Net profit zoomed 61% on yearly basis). The FY10 EPS was Rs.4.36. At current level, the stock is available at a forward P/E multiple of just 5.55.
NGL FIN CHEM Stock is looking good for short term investment.
Targets:
Rs. 45/- to Rs.60/- in Short Term & Rs. 60 to Rs. 80/- in Long Term
Source: Internet (Valuenotes by Profittrack)

Intraday Trading Calls for 15th July

Indian Stock Market may open flat to positive and remains very volatile for the day today.
Today's Intraday Stock Tips / Trading Calls (Keep strict Stop Loss for Each Trade):
SCRIP NAME
TRIGGER
PRICE
TARGET 1
TARGET 2
CAIRN INDIA
Buy Above
317.25
320.45
324.00
Sell Below
315.00
311.15
307.00
PURVANKARA
Buy Above
116.25
121.55
127.00
Sell Below
113.70
108.55
105.00
BRFL
Buy Above
260.65
266.15
272.00
Sell Below
257.40
252.35
247.00
WALCHAND NAGAR IND
Buy Above
228.20
234.65
241.00
Sell Below
225.05
220.35
214.00
VIDEOCON INDUSTRIES
Buy Above
213.75
220.05
226.00
Sell Below
211.30
206.50
202.00
IRB INFRA
Buy Above
272.70
278.55
285.00
Sell Below
269.40
264.35
259.00
APTECH LTD.
Buy Above
151.25
156.45
162.00
Sell Below
148.45
144.20
140.00

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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