Brief Report on Roto Pumps Ltd: The Markets might remain Range Bound today as Crude Oil jumps above $60 a barrel in New York; on concerns that output disruptions may limit supplies as peak U.S. winter heating demand nears & OPEC meeting on 14th December might advocate a further cut in the supplies. Also some negatives will prevail due to some recent developments in IPO Scam episode....[Updated]

ROTO Pumps Ltd is a market leader in POSITIVE DISPLACEMENT PUMPS in India. It manufactures progressive cavity, twin screw and centrifugal pumps for chemical and process industries in India. It has over three decades of strong presence in the market backed by Regional Offices in all Indian Metros & thier own Warehouse cum Marketing offices in Australia & U.K. It has significant overseas presence with exclusive distributors in several countries . The company had embarked on a fast track growth phase and would be registering over 40 growth in the current year--some of which are visible in the September, 2006 quarter results. It has a modern consolidated manufacturing unit in Noida(U.P.) & Marketing and Corporate HQ'S at NSEZ NOIDA(UP) to provide impetus to its envisaged growth.T he stock of the company has a whopping book value of Rs.32.69. Its nearest competitor Kirloskar Brothers Ltd has a Book Value of only Rs.29.73 and ESP of Rs.16.66 agaist a price of Rs.372.75. Another of it's peer, Shakti Pumps (India) Ltd has a Book Value of Rs.19.92 and EPS of Rs.5.24 against a price of Rs.115.3. Yesterday, I recommended Roto Pumps Ltd at Rs.48, through Yahoo Messanger, after the company came out with brilliant results in the September,2006 quarter. The net profit of the company surged to Rs.62.8 Lakh against Rs.17.4 lakh on a tiny equity base of Rs.3.01 Cr. The stock got locked in the upper circuit for some time before cooling down a bit and ending at Rs.48.75, still up 8.45 %. The company's scrip looks undervalued as against its peeers considering the Expected EPS will be around Rs.8-Rs.9, and good book value, which should give it a price of at least Rs.100-Rs.150 in the medium to long term.There were also unusually high volume in the counter. The Candle Stick Pattern on the chart also confirms this view of mine. Infrastructure development in any economy is not possible without the USE of pumps. Hence the stocks in this sector looks attractive. Today also the markets are expected to open in the Green as all factors look positive except a slight rise in the oil prices and also [to some extent] due to the recent developments in the IPO Scam case . Asian markets are trading in Green and Indian Economy looks robus after the scintillating results of India Inc in the September, 2006 quarter. Yesterday Nasdaq and Dow both closed in the green despite the US investors shying-away from taking new positions in a holiday-shortened week.The Dow rose 5.05, or 0.04 percent, to 12,321.59. Broader stock indicators also edged higher. The Standard & Poor's 500 index was up 2.31, or 0.16 percent, at 1,402.81, and the Nasdaq composite index rose 2.12, or 0.09 percent, to 2,454.84. The firm results of India Inc were expected before hand and hence the markets started to rally from Mid-August. The trend is likely to continue with the bull run now spreading to Small, Mid and Micro Cap counters also. Remain invested in good small, mid and micro-cap counter, as historically this is the space which gave maximum returns to the investors. I am still maintaining a buy on BSEL Infrastrucuture Realty Ltd, Conart Engineers Ltd, Gravity(I) Ltd (due to lot of recent happenings in the company, whose news might hit the bourses at any time from now), Chandra Prabhu International Ltd, Roto Pumps Ltd etc. The Real Estate, Construction and Engineering Stocks are expected to hog the lime lights in the days ahead due to reports that the Finance Ministry is expected to come out with enhanced limits for Bank exposure to corporate groups, projects and sectors, to boost credit flow to the infrastructure sector. So go full ballastic on the companies on these space...Yesterday some sparks were already seen in the sector as L&T gained 1.7% to Rs 1,350, IVRCL Infrastructures rose 8% to Rs 379, Madhucon Projects advanced 6.8% to Rs 310, Jaiprakash Associates rose 11% to Rs 675, Simplex Infrastructure rose 6% to Rs 393, BSEL Infrastructure Ltd hitting the buyer freeze and Unitech gained 5% to Rs 485.75.

All not well on the Oil front??!!

Oil Trades Above $60 on Alaska Pipeline Disruption, Stockpiles: Nov. 22, 2006:

Crude oil traded above $60 a barrel in New York after jumping yesterday on concern output disruptions may limit supplies as peak U.S. winter heating demand nears. Oil rose the most in almost a month yesterday after high winds at Valdez port prevented tankers from loading crude from the Trans-Alaska pipeline. Distillate supplies, including heating oil and diesel, probably fell for a seventh week, according to a news agency's survey of 15 analysts. ``I think the 500,000 barrel disruption is something you'll see show up in the inventories next week,'' said Dariusz Kowalczyk, chief investment strategist at CFC Seymour Ltd. in Hong Kong. ``If the drawdown in product inventories is bigger than expected, we could have a push higher than $60.'' Crude oil for January delivery was at $60.08 a barrel, down 9 cents, in after-hours electronic trading on the New York Mercantile Exchange at 10:27 a.m. in Singapore. The contract rose $1.37, or 2.3 percent, to $60.17 yesterday, the biggest one-day gain since Oct. 25 and the highest close for a contract next to expiration since Nov. 9. The U.S. is the world's biggest oil consumer. Alaska accounted for about 12 percent of the nation's oil production in August, the latest data on the Energy Department's Web site. The 800-mile Trans-Alaska pipeline delivers oil from Prudhoe Bay south to Valdez at an average rate of about 800,000 barrels a day. Strong wind at the port cut deliveries 65 percent, pipeline spokesman Mike Heatwole said yesterday. Lebanon, Holiday: Delayed deliveries from Alaska, and the risk of instability in the Middle East after the assassination of Lebanon's Industry Minister Pierre Gemayel yesterday, may have prompted traders to settle contracts they held to sell oil at lower prices, said Tom Hartmann, commodity broker at Altavest Worldwide Trading Inc. in Mission Viejo, California. Most of Alaska's oil goes to the U.S. West Coast, where supplies have risen faster than the rest of the U.S., he said. ``Prices have come down for so long,'' Michael Lynch, president of Strategic Energy & Economic Research in Winchester, Massachusetts, said yesterday. ``You are seeing traders reconcile before the long weekend just in case there are geopolitical problems.'' Floor trading on the New York exchange will be shut on Nov. 23 and 24 because of the Thanksgiving holiday in the U.S. Oil has plunged 23 percent from the record $78.40 a barrel reached on July 14. U.S. oil stockpiles, already 12 percent above the five-year average at 336 million barrels, probably gained another 700,000 barrels last week, based on the median estimate from the analyst survey.

Heating Fuel, Gasoline: Still, seven of the 15 analysts are picking a decline in stockpiles last week as refiners bring units back from pre- winter maintenance to make heating fuel. The Energy Department is scheduled to release its weekly inventory report at 10:30 a.m. in Washington. It will probably show distillate stockpiles fell 1.1 million barrels from 135 million, according to the analyst survey. Gasoline stockpiles probably slipped 750,000 barrels from 200.3 million barrels, the sixth straight decline, the survey showed. U.S. demand for all oil products averaged 21.3 million barrels a day in the four weeks ended Nov. 10, 4.8 percent higher than a year earlier, the department said last week. ``The physical market is very tight and the market is finally reflecting that,'' Nauman Barakat, senior vice president of global energy futures at Macquarie Futures USA Inc. in New York, said yesterday. ``The Alaska news is helping send us higher but the main reason is the underlying tightness. We have a very strong gasoline market and it will get a lot colder.'' Product Prices Heating oil for December delivery was at $1.728 a gallon in after-hours trading after rising 3.7 percent to $1.7331 yesterday. Reformulated gasoline for December delivery jumped 5.3 percent to $1.6427 a gallon yesterday, the highest closing price since Sept. 8. It was at $1.6395 in after-hours trading. A record 31.7 million Americans, 11 percent of the U.S. population, will travel by motor vehicle during the period surrounding the Nov. 23 holiday, according to estimates by AAA, the nation's largest motoring club. [With Inputs From Internet] More in the following postings..... Best wishes, Suman Mukherjee India. http://finance.groups.yahoo.com/group/SumanSpeaks/ www.eindiabrokers.com