GTC Industries: More realty than cigarettes

· GTC Industries is a Sanjay Dalmia group company engaged in manufacturing cigarettes with an installed capacity of 17,322 million cigarettes per annum.

· For FY 07, the total income of the company was placed at Rs.201.15 crores, PBT of Rs.27.65 crores and PAT of Rs.51.72 crores. The increase in PAT over PBT is due to tax refund of Rs.24.07 crores.

· The present equity of the company is at Rs.17.60 crores, of which 44.44% is held by the promoters, while balance is by the public.

· For June 07 quarter, total income was placed at Rs.47.14 crores, PBT of Rs.5.25 crores and PAT of Rs.3.95 crores giving an EPS of Rs.2.22.

· Sanjay Dalmia has been recently appointed as Chairman of the company while Anurag Dalmia as Vice Chairman.

· The net worth of the company became positive from FY 07, and hence the company was discharged as sick company, by BIFR, on 29-06-07.

· The concern is on the pending income-tax appeals, against the company, with Apellate Authorities, for I-Tax demand of Rs.762 crores and penalty of Rs.488 crores. However, management is confident of winning these appeals, as similar appeals have gone in company’s favour.

· The company has real estate, in the form of huge land, at Hyderabad, Vadodara and Mumbai and also have necessary exemption under Urban Land Ceiling Act for land in Maharashtra and Andhra Pradesh.

· The company intends to develop its Hyderabad Property in immediate future, either through joint development or alone. The company also has property at Vadodara which could also get unlocked either by development or outright sale.

· The company has two running plants in Mumbai, one at Vile Parle and another one at Chakala, commercial suburbs of Mumbai. The company may shift its operations of Vile Parle unit to Chakala and may develop Vile Parle property.

· Vile Parle property has developable area of about 15 lakh sq. ft. which could be developed as a commercial hub, as it is ideally located on S. V. Road. This property is valued at Rs.2,500 crores.

· All the properties of the company are valued at over Rs.3,000 crores, including Chakala property, which is about 2.5 acres, valued at close to Rs.300 crores.

· The company is debt free, net off cash and bank balance. This is a remarkable feat for the company, as it recently, came out of BIFR and is now debt free.

· The share of the company is ruling at Rs.270 which works into a market capitalization of Rs.475 crores. This kind of valuation gets attributed to its core business, due to some of the strong brands of cigarettes of the company. Realty valuation comes close to Rs.1,700 per share.

· Share is a good bet at Rs.270 levels, mainly considering its realty values, which would get unlocked, sooner or later. Investors having long term horizon, can buy the stock.

Source: sptulsian.com

Markets Today

It was a fabulous follow on session for the markets after yesterday's surge as they closed on a new life time high. There has been no stopping for the bulls as the Nifty saw a neat triple digit rally and the Sensex was up over 375 points. This uptrend was without any signs of weakness and closing near the highest points of the day. Abundant liquidity in Asia and specifically India has taken the markets to such heights. On the earnings front, results are largely expected to be inline with expectations. Most of the Asia closed with substantial gains but Europe is more or less flat in the opening.
All the key BSE indices are ended in green with significant gains. Capital goods, realty, oil & gas and metal stocks are leading from the front.
Top gainers on the Sensex are L&T, VSNL, Suzlon Energy & Reliance Petro are up over 6%, BHEL up 4%, Bharti Airtel up 3.81% followed by ACC, Reliance Energy and ONGC.
Top losers on the Sensex are Bajaj Auto, Ranbaxy, Nalco, HPCL, BPCL, Maruti Suzuki and HUL.
Capital goods stocks are leading the uptrend with index pivotal like L&T and BHEL up over 6% and 4% each respectively. The capital goods index is up 4%.
Sensex was up 378.01 points or 2.07% at 18658.25, and the Nifty up 114.20 points or 2.14% at 5441.45.
About 1456 shares have advanced, 1511 shares declined, and 75 shares are unchanged.
The BSE Small Cap Index closed at 9,022.75 up 0.5%.
The BSE Midcap Index ended at 7,484.36 up 1.2%.
The BSE FMCG Index closed at 2,148.05 up 2.8%. Tata Tea, Nestle, P and G, United Spirits were among the gainers.
The BSE Metal Index closed at 14,443.52 up 3%. Jindal Steel, Shree Precoated, Hindalco, SAIL, JSW Steel were among the gainers.
The BSE Capital Goods Index was up 4% at 16,631.35. Suzlon Energy, Punj Lloyd, Larsen, Triveni Engg, Praj Industries, Reliance Infra up over 5% each.
The BSE Auto Index closed at 5,456.93 up 0.5%. Apollo Tyres, Mah and Mah, Amtek Auto, Tata Motors, Escorts, Hero Honda were among the gainers.
The BSE IT Index closed at 5,049.00 up 3%. Tech Mahindra, Infosys, Mphasis, HCL Tech, Satyam ended higher.
The BSE Bankex was up 2% at 9,423.19. Bank of India, Axis Bank, Union Bank, Oriental Bank, ICICI Bank closed higher.
The BSE Oil and Gas Index closed at 10,550.55 up 1%. Reliance Petro, Reliance Natura, ONGC, Essar Oil, Petronet LNG closed in green.
The NSE cash turnover was at Rs 21218.50 crore and the NSE F&O turnover was at Rs 79786.18 crore. The BSE cash turnover was Rs 8510.97 crore. Total market wide turnover was at Rs 109515.65 crore.

Source: moneycontrol.com

Intraday Calls for 10th October

Market will open with gap up like 100-150 points up and remian positive but high volatility will be there.

Nifty Support 5200, 5160 Resistance 5390, 5500

Sensex Support 18000, Resistance 18500

Buy for Intraday:

Triveni Eng. (99) Target 115-120 SL 97

Balrampur Chini (71) Target 78-80 SL 69

Renuka Sugar (730) Target 760-775 SL 725

RCOM (706) Target 725 SL 700

IDEA (135.5) Target 140 SL 133

PFC (206) Target 212-215 SL 202

RPL (161) Target 165-168 SL 159

NTPC (217) Target 225 SL 215

KPIT Cummins (115) Target 120-125 SL 113

GMR Infra (167) Target 172-175 SL 165

Others: TTML, South Indian Bank, Indowind Energy, IGateGlobal, Patni Computers, HTMT Global.

Good Luck

Biggest day in Indian markets: Sensex above 18K

The markets made some historic moves today breaking the old records and made some new ones. It was truly the biggest day for Indian capital markets. The benchmark indices have outperformed the broader markets. After a dull start victory came in with Sensex hitting the 18,000 mark today. This came in as a surprise after the news that UPA, Left to meet again on US Nuke Deal on October 22.

It was absolute heady for the bulls making biggest intra day gains. Despite all the political turbulence which markets seem to be ignoring it and making new records by not just touching new highs but has registered some record gains on record high turnover.

Sensex logged biggest intra day absolute gains ever. Sensex was up nearly 800 points and Nifty surged over 250 points. Sensex saw gains of 1000 points from the day's low with the backdrop of political unceratinty.

Sensex not only hit the 18,000 mark but was well above that mark as the rally got stronger after yesterday's fall. The cushion was of 300 points and the Sensex pushed towards 18,300. Nifty has shown a surge of 350 points from the day's low moving towards 5350 mark. 20-25 points premium is seen in Nifty futures. All the BSE sector indices ended in green up over 2%.

18,000 JOURNEY
SENSEX TAKES 8 DAYS TO MOVE FROM 17,000 TO 18,000
CONTRIBUTION - RIL 185 PTS, INFOSYS 152 PTS, L&T 103 PTS
CONTRIBUTION - REL 104 PTS, TATA STEEL 42 PTS, REL COMM 93 PTS
CONTRIBUTION - BHARTI 69 PTS, BHEL 59 PTS, NTPC 39 PTS, SATYAM 33 PTS
TOP 5 STOCKS HAVE CONTRIBUTED TO 60% OF RALLY FROM 17,000 TO 18,000
FIIs HAVE INVESTED $3.54 BN IN CASH MARKET

Source: moneycontrol.com

Intraday Calls for 09th October

Market can open with downside and remain very volatile but any positive news in political front, A strong rally expected. I think that market may bouce back from intraday lower levels, But uncertainity will be there so keep wait & watch policy.

Sensex Support 17300, 17050 Resistance 17777

Nifty Support 5040, 5020 Resistance 5240

Buys for Intraday at lower levels:

RCOM (641)

VOLTAS (161)

Patni Computers (478)

Vakrangee Software (184)

I Gate Global (264)

RPL (150)

GMR Infra (159) Buy at every decline for short term target of 200+

HCC (163)

Sujana Tower (160)

Prithvi Info (248)

IDBI (133)

KS Oils (75)

Good Luck

Markets Today

The markets saw a sharp cut in today's session on account of political concerns looming large. They opened in positive taking cues from Asia but saw a sharp fall.
Some off the Asian markets which opened in green were off day's high and ended weak.
Sensex was down nearly 300 points or 2%. Broader markets have taken it on their chin and are the midcap and smallcap indices were down 4%. Breadth of the market was absolutely weak, with advance decline ratio at 1:10.
Sensex closed down 281.97 points or 1.59% at 17491.39, and the Nifty down 100.75 points or 1.94% at 5085.10.
About 621 shares have advanced, 2364 shares declined, and 56 shares are unchanged.
Heavy selling was witnessed across the sectors led by realty, metals and pharma.
Top gainers on the indices are Satyam, Bhel, TCS, Wipro, VSNL and HDFC Bank.
Top losers on the indices are are Reliance Energy, Ranbaxy, Zee Entertainment, Unitech ACC and Tata Steel.
The BSE Midcap Index ended at 7,211.60 down 3.6%.
The BSE Smallcap Index ended at 8,801.00 down 3.3%.
The BSE Bankex was down 2.6% at 8,984.86. Andhra Bank, Karnataka Bank, Kotak Mahindra, SBI, ICICI Bank, Yes Bank, Bank of India moved upwards.
The BSE Capital Goods Index was down 2% at 15,445.63. Bharat Elec, Praj Industries, Jyoti Structure, BEML, Triveni Eng, Gammon India closed lower.
The BSE Auto Index closed at 5,270.71 down 2%. TVS Motor, Ashok Leyland, Maruti Udyog, Apollo Tyres, Mah and Mah, Exide Industrie, Hero Honda closed lower.
The BSE Metal Index closed at 13,589.61 down 4%. Tata Steel, SAIL, Shree Precoated, Jindal Steel, Mah Seamless, Hindalco, JindalStainless closed lower.
The BSE FMCG Index closed at 2,089.61 down 1%. United Spirits, Bata India, United Brewerie, Colgate, HUL closed lower
BSE Oil and Gas Index closed at 9,797.65 down 3%. RNRL, Essar Oil, Petronet LNG, IOC, Reliance, Reliance Petro ended in red.
The BSE IT Index was up 0.6% at 4,770.31. Satyam, HCL Tech, Infosys, Patni Computer, Wipro, TCS closed higher
The BSE realty Index lost 3.6% at 9,283.22. Anant Raj Ind, Ansal Propertie, Unitech, Indiabulls Real, Omaxe closed lower.
The NSE cash turnover was at Rs 15985.52 crore and the NSE F&O turnover was at Rs 69842.2 crore. The BSE cash turnover was Rs 7210.25 crore. Total market wide turnover was at Rs 93037.97 crore.

Source: moneycontrol.com

Intraday Calls for 8th October

Market should open positive and may touch and cross 18 K in morning session because of strong global markets opening. But remains very volatile and if effected from political reasons than market can corrects from higher levels.

Nifty Support 5160 5100 Resistance 5260 5290
Sensex Support 17500, 17300 Resistance 18000

Buys for Intraday:

RCOM (645) Target 660+ SL 640
Bharti Airtel (993) Buy above 1000 for Target 1030 SL 990
BSEL Infra (64) Target 68-70 SL 62
Kalyani Steel (478) Target 500 SL 474
Tinplate (56) Target 60 SL 54
Advanta India (1065) Target 1090+ SL 1058
Tata Power (944) Target 965 SL 938
NIIT Ltd (131) Target 135+ SL 129
IFCI (85) Target 88-90 SL 84
Astral Poly (130) Target 138-140 SL 128

Others: Reliance Industries, Ispat Industries (32), GTC Industries (280), Prajay Eng (306), KS Oils (72.5), TTML (40.5).

Good Luck