BUY CAIRN INDIA @ 320 FOR TARGET 328-332 STOPLOSS 316.
BUY TATA MOTORS 310 PUT @ 5.5 FOR TARGET 8-10 STOPLOSS 4.
BUY DISHTV @ 45.25 TARGET 47-48 STOPLOSS 44.
GOODLUCK
Friday, September 13, 2013
Thursday, September 12, 2013
Factory output rises by 2.6 pc in July
NEW DELHI: After contracting for two straight months, industrial
production entered the positive zone in July, recording a growth of 2.6
per cent on account of improved performance of manufacturing and power
sectors.
Factory output measured in terms of the Index of Industrial Production (IIP) had contracted 0.1 per cent in July last year, as per the data released by Central Statistical Organisation today.
Meanwhile, IIP for June was revised upwards to a decline of 1.78 per cent from a provisional 2.2 per cent dip in production. It contracted by 2.8 per cent in May this year.
During April-July this year, factory output contraction remained flat at 0.2 per cent.
The manufacturing sector, which constitutes over 75 per cent of the index, grew by 3 per cent in July compared to zero growth in the month a year earlier. During April-July, the sector saw a decline of 0.2 per cent compared with a contraction of 0.6 per cent in the period last year.
Power generation increased by 5.2 per cent in July as against a growth of 2.8 per cent in same month in 2012. Power generation in the April-July grew 3.9 per cent compared with an expansion of 5.5 per cent in same period last year.
Output of capital goods, a barometer of demand, grew by 15.6 per cent in July compared with a decline of 5.8 per cent in the same month a year earlier. During April-July, capital goods production grew 1.8 per cent compared with a production drop of 16.8 per cent in same period last year.
Meanwhile, the mining output declined 2.3 per cent in July, compared with a dip of 3.5 per cent. In April-July, the sector declined 4 per cent compared with a contraction of 2 per cent in the corresponding period.
Among the 22 industry groups in the manufacturing sector, 11 recorded positive growth in July.
Consumer goods output contracted 0.9 per cent in July, compared with expansion of 0.7 per cent in the same month last year. Production of these goods declined 2 per cent in April-July compared with growth of 3.1 per cent in the same period of 2012.
The decline in output of consumer durables stood at 9.3 per cent in July, from a growth of 0.8 per cent previously. The segment saw a 12 per cent decline in output in April-July compared with growth of 6.1 per cent.
Consumer non-durables output expanded 6.8 per cent in July against a contraction of 0.6 per cent a year earlier. The segment grew 6.8 per cent in April-July compared with growth of 0.6 per cent.
Growth in intermediate goods production was at 2.4 per cent in July as against 0.1 per cent a year ago. For April-July, the segment's expansion was 1.8 per cent compared with 0.6 per cent in the same period a year ago.
Basic goods output grew by 1.7 per cent in July from a growth of one per cent in July 2012. Production of these goods grew by 0.2 per cent in April-July compared with growth of 2.7 per cent a year earlier.
Source: EconomicTimes.com
Factory output measured in terms of the Index of Industrial Production (IIP) had contracted 0.1 per cent in July last year, as per the data released by Central Statistical Organisation today.
Meanwhile, IIP for June was revised upwards to a decline of 1.78 per cent from a provisional 2.2 per cent dip in production. It contracted by 2.8 per cent in May this year.
During April-July this year, factory output contraction remained flat at 0.2 per cent.
The manufacturing sector, which constitutes over 75 per cent of the index, grew by 3 per cent in July compared to zero growth in the month a year earlier. During April-July, the sector saw a decline of 0.2 per cent compared with a contraction of 0.6 per cent in the period last year.
Power generation increased by 5.2 per cent in July as against a growth of 2.8 per cent in same month in 2012. Power generation in the April-July grew 3.9 per cent compared with an expansion of 5.5 per cent in same period last year.
Output of capital goods, a barometer of demand, grew by 15.6 per cent in July compared with a decline of 5.8 per cent in the same month a year earlier. During April-July, capital goods production grew 1.8 per cent compared with a production drop of 16.8 per cent in same period last year.
Meanwhile, the mining output declined 2.3 per cent in July, compared with a dip of 3.5 per cent. In April-July, the sector declined 4 per cent compared with a contraction of 2 per cent in the corresponding period.
Among the 22 industry groups in the manufacturing sector, 11 recorded positive growth in July.
Consumer goods output contracted 0.9 per cent in July, compared with expansion of 0.7 per cent in the same month last year. Production of these goods declined 2 per cent in April-July compared with growth of 3.1 per cent in the same period of 2012.
The decline in output of consumer durables stood at 9.3 per cent in July, from a growth of 0.8 per cent previously. The segment saw a 12 per cent decline in output in April-July compared with growth of 6.1 per cent.
Consumer non-durables output expanded 6.8 per cent in July against a contraction of 0.6 per cent a year earlier. The segment grew 6.8 per cent in April-July compared with growth of 0.6 per cent.
Growth in intermediate goods production was at 2.4 per cent in July as against 0.1 per cent a year ago. For April-July, the segment's expansion was 1.8 per cent compared with 0.6 per cent in the same period a year ago.
Basic goods output grew by 1.7 per cent in July from a growth of one per cent in July 2012. Production of these goods grew by 0.2 per cent in April-July compared with growth of 2.7 per cent a year earlier.
Source: EconomicTimes.com
TRADING CALLS FOR 12 SEPTEMBER 2013
Buy RPOWER 80 CALL @ 0.75 FOR TARGET 2-2.5/- STOPLOSS 0.20.
BUY HINDALCO @ 115/- FOR TARGET 121-124/- STOPLOSS 112/-.
SELL TATASTEEL @ 315/- FOR TARGET 300-295. STOPLOSS 320.
GOODLUCK
Friday, June 21, 2013
TRADING CALLS FOR JUNE SERIES
BUY NMDC @ 105/- TARGET RS. 125-128 STOP LOSS 102/-
BUY DLF @ 178/- TARGET RS. 188-195/- STOP LOSS 173/-
GOOD LUCK
BUY DLF @ 178/- TARGET RS. 188-195/- STOP LOSS 173/-
GOOD LUCK
Friday, April 12, 2013
TRADING CALLS FOR 12 APRIL 2013
BUY USL @ 1870 TARGET 1920-1945 STOPLOSS 1850.
BUY DISHTV 75 CE @ 0.70 TARGET 1.25-1.5 STOPLOSS 0.4.
BUY GMR INFRA @21.25 TARGET 23-24 STOPLOSS 20.6.
Tuesday, March 19, 2013
TRADING CALLS FOR 19 MARCH
BUY PFC 200 CE @ 3.5 TARGET 6-8 STOPLOSS 2.5.
BUY IRB INFRA 130 CE @ 1.5 TARGET 3-4 STOPLOSS 0.75.
BUY RELIANCE INFRA @ 415 TARGE 428-435-442 STOPLOSS 407.
GOODLUCK
Saturday, March 16, 2013
Tech Mahindra/Mahindra Satyam: Buy, add on dips
Tech Mahindra/Mahindra Satyam
Background
Started as Mahindra British Telecom (MBT) in 1986 as a 60-40 Joint Venture (JV) between Mahindra and Mahindra (M&M) and British Telecom (BT), Tech Mahindra focused exclusively on the telecom vertical with BT initially contributing 100% of its revenues. This revenue contribution from BT reduced to 72% at the time of IPO in July 2006. In April 2009, Tech Mahindra acquired 42.7% stake in the then troubled Satyam Computer Services for Rs 3,000 crore by purchasing 502 million equity shares at Rs 58 per share. Tech Mahindra has brought stability into Satyam’s business and since then Satyam has not seen any major client attrition.
Triggers
- Integrating Satyam will enable Tech Mahindra to participate in large deals, offer a strong expertise spread over different verticals and service lines and cross sell its service offerings to a much wider client base and eventually reduce dependence on British Telecom and AT&T.
- Over the last few years, the company has been successful in scaling up its Non-BT revenues. This has not only helped it offset the decline in BT revenues but also post an overall growth for the company.
- Recent acquisition of 100% stake in Hutchison Global services (sales of USD 170 million expected per year for the next five years) and 51% stake in Comviva (sales of USD 70 million in FY11) by Tech Mahindra would further improve growth and enhance service offerings.
- Acquisition of 51% stake in Complex IT by Mahindra Satyam in Feb 2013 for $23 mm to strengthen Enterprise offerings and expand presence in Brazil.
Concerns
- Legal cases pending against Mahindra Satyam would remain an overhang in the short term.
- Any aggressive ramp down by top client BT would drag down revenue growth.
Valuation & Recommendation
Based on post merger creation of fifth largest entity, sound balance sheet, good execution track record and steady improvement in the operational performance with strong growth & margin expansion, HDFC Securities assigns 11.5xFY14E EPS, which gives them a price target of Rs 1258.9. They feel investors could buy this scrip at current levels and add it on dips in the price band of Rs 986 - 1029 (9-9.4xFY14E EPS) for their price target over the next one to two quarters. Investors who purchase Mahindra Satyam can do so as its share price will move in tandem with that of Tech Mahindra until the final swap (ratio proposed 2:17) takes place. The merger is expected to complete by end of Q4FY13 or early Q1FY14.
Source: valuenotes.com
Background
Started as Mahindra British Telecom (MBT) in 1986 as a 60-40 Joint Venture (JV) between Mahindra and Mahindra (M&M) and British Telecom (BT), Tech Mahindra focused exclusively on the telecom vertical with BT initially contributing 100% of its revenues. This revenue contribution from BT reduced to 72% at the time of IPO in July 2006. In April 2009, Tech Mahindra acquired 42.7% stake in the then troubled Satyam Computer Services for Rs 3,000 crore by purchasing 502 million equity shares at Rs 58 per share. Tech Mahindra has brought stability into Satyam’s business and since then Satyam has not seen any major client attrition.
Triggers
- Integrating Satyam will enable Tech Mahindra to participate in large deals, offer a strong expertise spread over different verticals and service lines and cross sell its service offerings to a much wider client base and eventually reduce dependence on British Telecom and AT&T.
- Over the last few years, the company has been successful in scaling up its Non-BT revenues. This has not only helped it offset the decline in BT revenues but also post an overall growth for the company.
- Recent acquisition of 100% stake in Hutchison Global services (sales of USD 170 million expected per year for the next five years) and 51% stake in Comviva (sales of USD 70 million in FY11) by Tech Mahindra would further improve growth and enhance service offerings.
- Acquisition of 51% stake in Complex IT by Mahindra Satyam in Feb 2013 for $23 mm to strengthen Enterprise offerings and expand presence in Brazil.
Concerns
- Legal cases pending against Mahindra Satyam would remain an overhang in the short term.
- Any aggressive ramp down by top client BT would drag down revenue growth.
Valuation & Recommendation
Based on post merger creation of fifth largest entity, sound balance sheet, good execution track record and steady improvement in the operational performance with strong growth & margin expansion, HDFC Securities assigns 11.5xFY14E EPS, which gives them a price target of Rs 1258.9. They feel investors could buy this scrip at current levels and add it on dips in the price band of Rs 986 - 1029 (9-9.4xFY14E EPS) for their price target over the next one to two quarters. Investors who purchase Mahindra Satyam can do so as its share price will move in tandem with that of Tech Mahindra until the final swap (ratio proposed 2:17) takes place. The merger is expected to complete by end of Q4FY13 or early Q1FY14.
Source: valuenotes.com
|
HDFC Sec Scrip ID
|
Industry
|
CMP
|
Recommended Action
|
Target
|
Time Horizon
|
|
TECMAHEQNR
|
IT
|
Rs 1104.9
|
Buy at CMP and add on dips to Rs 986 to Rs 1029 band
|
Rs 1258.9
|
1-2 quarters
|
|
|
|
|
|
|
|
|
HDFC Sec Scrip ID
|
Industry
|
CMP
|
Recommended Action
|
Target
|
Time Horizon
|
|
SATCOMEQNR
|
IT
|
Rs 129.1
|
Buy at CMP and add on dips to Rs 114 to Rs 119 band
|
Rs 148.1
|
1-2 quarters
|
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