Stock Idea: Orbit Corporation

A realty company, infact it is the first in the sector to declare its first quarter performance for period ended 30th June 2008. And clearly the troubled times seem to be showing on the bottomlines of the company. If times were booming in the last quarter of FY08, it is very apparent that the going is getting tough.
On a standalone basis, when the sales of the company itself falls, on a QoQ, by a whopping 86% at Rs.25.19 crore as against Rs.183.19 crore in Q4FY08, can much be expected of the profit margins? The company has managed to reduce its operating expense but naturally, that has not helped. EBIDTA was down 88% at Rs.11.06 crore, PBT fell 93% at Rs.6.40 crore and PAT was down 94% at Rs.4.82 crore as against its life time best of Rs.88.83 crore for Q4FY08. OPM was down sharply from 52.25% to 43.89% and NPM was down from 48.45% to 19.14%.
The company had raised Rs.100.10 crore in the IPO, of which it has utilized Rs.91.28 crore. What is gratifying to note is that it had earmarked Rs.50 crore for acquiring land for the said developments and this it has managed to do. The company acquired 85% stake in Ahinsa Buildtech Pvt. Ltd. consequent to which it has become a subsidiary of the Company. Ahinsa Buildtech has entered into a Deed of Conveyance with the receiver of Debt Recovery Tribunal (DRT) for acquiring the property of Orkay Mills situated at Kurla Andheri Road, Saki Naka, Andheri East. This gives the company 275,000 sq.feet of saleable land, which it plans to develop into a 5 star Residential Serviced Apartment with office complex.
The company had issued shares at Rs.110 per share, which is still quiet realistic if one were to go by the many other IPOs that followed at unjustifiable prices. At that time, realty was the toast of the marketmen and hence any price was ok. But it is at times like these, when the markets are down that those and realty is the most butchered sector, that the real test comes. Those who have issued shares at more realistic levels would manage to keep its head above water.
Orbit had touched a high at Rs.1080 and it today ruling at levels of Rs.248, Stay invested as the bottom seems to have been tested.

Source: sptulsian.com

Stock Idea: South Indian Bank

At a time when the banking industry is being hammered down by the investors and analysts have been stating that the Indian banks would be having a rough time, the financial performance and the 1:4 bonus issue comes as a tight smack on the face of all the detractors.
The first bank to always declare its results, the bank, with 500 branches, 26 extension counters and 226 ATMs seems to be doing well. YoY, deposits have gone up from Rs 12,834 crore to Rs 15,378 crore registering a growth of 19.82%. Advances increased from Rs 8,509 crore to Rs 10,643 crore registering a growth of 25.08%. The bank earned a total income of Rs 405.89 crore during the quarter as against Rs 321.97 crore for the previous year registering a growth of 26.06%. It posted a net profit of Rs.38.62 crore in as against Rs 30.37 crore for the previous year quarter, registering a growth of 27.16%.
The Capital adequacy ratio of the bank is high at 13.93% against the regulatory requirement of 9%. During the quarter, the Book value per share has increased from Rs 107.01 to Rs 132.70.
From April 09, once the banking sector would be made open for investments by the foreign banks and industrial groups, lot of interest would get noticed in these banks which would vastly improve their valuations. At the current rate of Rs.104, South Indian Bank makes a good buy as the downside risk is minimal.

Source: sptulsian.com

Markets Today

Market Snapshot
Markets end in the red amid volatile session of trade
Sensex ends down pts 139 at 13330.5; Nifty down 9 pts at 4040
CNX Midcap Index down 0.35%; BSE Small Cap Index down 1.1%
Ranbaxy loses 10.7% on concerns that a probe by the U.S. FDA may hit sales significantly
Axis Bank down 5.7% even after the company reported stellar results, NII up 81% at 810 cr, Net profit up 89% at 330 cr
IT Stocks continue their losing streak; BSE IT Index down 6% Satyam down 7.8%;Infy down 7.2%;HCL Tech down 5.7% TCS down 3.4%;
BSE Bank Index down 1.23%; Axis Bank down 4.6%, HDFC Bank down 3.4%, SBI up 3%,PNB up 2.4%
BSE Metals Index up 1.5%; Sterlite up 3.7%,Tata Steel up 2.6%, Nalco up 2.5%; SAIL up 2.1%
BSE Oil and Gas Index up 1.1%; ONGC up 3.1%; Reliance Ind up 1.4%
Index Gainers: NTPC up 3.1%, HUL up 2.8%, Cipla up 2.2%; Reliance Infra up 2.1%, Ambuja Cem up 1.9%
Index Losers: Unitech down 3.8%, BHEL down 3.6%, ITC down 3.4%, Hindalco down 3.3%, HDFC down 3.2%
NSE Advance Decline at 1 : 2
Total F&O turnover at Rs 40,096 cr Vs Rs 50,150 cr
Total Market Turnover at Rs 54916 cr Vs Rs 67781 cr on Friday
New Listing: KSK Energy closes at Rs 191.7 Vs lisitng price of Rs 220 ((Issue Price Of Rs 240))
F&O SNAPSHOT
Nifty discount trims further; signs of more short covering pushes the discount to single digits
Nifty July 3700, 3800 and 3900 puts add OI; PCR inches up
Trading action increases on news driven stocks
Short covering seen in beaten down sectors
Huge Short Buildup seen in:Ranbaxy: Down 10%; 30% OI buildupAxis Bank: Down 4.6%; 50% OI buildup seen Satyam Comp and Infosys: both down around 7%; 15% OI buildup seen
Fresh Shorts:Banks: Axis Bank, Kotak Mah Bank, J&K BankIT: Infosys, Satyam, TCSMisc: ITC, Crompton Greaves, BHEL, NCC
Fresh Longs: Misc: SAIL, RNRL, Oswal Chem, Tata Motors, SBI
Short Covering:Power: NTPC, Power Grid, Reliance InfraMisc: DLF, Ambuja Cem, IDBI, Essar Oil , Balrampur chini, Banks: Allahabad Bank, Canara Bank

Source: moneycontrol.com

Intraday Trading Calls for 14th July

Indian Stock Market may see positive opening but remains volatile. A flat to positive closing expected.

Today's Intraday Trading Calls / Stock Tips:

CAIRN INDIA
YES BANK
NIIT LTD.
VOLTAS
ROLTA INDIA
INDIABULLS REALST.

For Levels and Targets CLICK HERE.

Good Luck