SumanSpeaks: The Information Super Highway

Geithner , Bernanke work on $700B bailout overhaul Geithner meeting with Bernanke , other senior banking regulators to discuss bailout reform US Stocks stumbled even though there are reports of government's plans to help banks and a milder-than-expected report on fourth-quarter economic activity came out from the US Commerce Department. Gross domestic product, the widely followed measure of any economy, shrank at a 3.8 percent pace in the final three months of 2008, the Commerce Department reported. That compared with a 0.5 percent decline the previous quarter. Friday's reading was much better than the 5.4 percent drop economists expected. However, what is appalling is that: it seems some of the US analysts who proliferate, in the "ever pessimistic US Financial Media", have formed a bad habit of always finding out something monstrously perilous; every time a good report comes out from its coffers. What is more disgusting is that all these are being ably backed b...

Pyramid Saimira Theatre Ltd Plans Rs 250 Cr Film Fund. The Company is cutting down its expenditure heavily during the slowdown....This is expected to have significant effect on the its results in the following quarters. Pyramid Saimira Theatre Ltd. (PSTL), is India's largest theatre chain company, operating mainly across South India. Its share price is surprisingly languishing at Rs.25.5; what an irony!! Please calculate only the Real Estate value of its Properties (excluding business) and let me know what will be the fair price of the scrip.....!! You will be surprised to find that the share of the company at the current price of Rs.25.5 is trading at a substantial discount to its Fair /Intrinsic Value. The management is very aggressively pursuing growth abroad apart from the country. The mute question is whether it will be able to manage such a huge expansion . This has led to increased risk, resulting in the counter taking a beating on the bourses despite growth. Knowing fully ...

WINNING STROKES: THINK DIFFERENT: My recommended (Yesterday) Vijay Shanti Builders Ltd hit the buyer freeze in early trade. The company has huge land holdings. U B Engineering Ltd hits another buyer freeze. The company came out with superb numbers for the Q3FY09. My recommended Rolta Ltd is up more than 5% in the early trade. The company gets 60% of revenues from the domestic market. Phoenix International Ltd hit the buyer freeze. The company would get benefitted as Focus Energy Ltd is coming up with gas production from 2009. Today PAID GROUPS were suggested to buy Pyramid Symeria Theatres Ltd (BSE Code-->532791) a the CMP of Rs.24.5--Rs.25.5. The company came out better than expected results for the Q3FY09. The stock is available at the price of penny at current market price. The company hopes to cut down on the expenditure to tide over the current downturn. The stock is heading towards Rs.51-Rs.52 mark in the next few days time frame. Now what to do with Satyam Computer Service ...

House approves Obama stimulus bill Amazon.com comes up with better than expected results and the Crude Oil again finds support around $40 per barrel. A well known US Chartist says, "US Markets have formed a bottom". WASHINGTON-- The House of Representatives on Wednesday passed President Barack Obama's economic stimulus package, sending the $819 billion bill to the Senate, where it will face more opposition from Republicans. The 244 to 188 vote was mostly along party lines, with 11 Democrats voting against the package. The Senate is to take up the bill next week. "I hope that we can continue to strengthen this plan before it gets to my desk," Obama said after the vote. "We must move swiftly and boldly to put Americans back to work, and that is exactly what this plan begins to do." Hours before the vote, Obama told a group of business leaders at the White House that the country "cannot afford inaction or delay" on the economy at a time when peo...

WINNING STROKES: THINK DIFFERENT: J P Associates Ltd recommended in the morning mail to the Paid Groups, moves up by more than 5%. The company came out with good set of numbers for the Q3FY09. Unitech Ltd moved up even today to Rs.33, before cooling down a bit. The company today had a board meeting to discuss some urgent issues. The stock at Rs.31.2 is available at the price of penny considering the value of the properties it has and its all time high price of Rs.430. This only shows how bad publicity by the media, can do to the shares of a company. These days unless government clips the wings of media a bit, and jail some of the erring journalists, we had dark days ahead. Anyway, in case of Unitech Ltd, please note that and remember, one is getting the shares of one of the biggest companies into property development in India only at Rs.31.2--this is the most ridiculous price and sooner the markets understand this better it will be----I have never believed the concept which some fash...

WINNING STROKES: THINK DIFFERENT: Stocks of real estate companies are soaring on a report government is mulling easier FDI norms for the sector. This message is first sent to the Paid Groups and is now sent to the Free Platform....more news awaited..... Yesterday's BTST Call was Chambal Fertilizer. Today's Intra-day calls: 1. Tata Power at Rs.743--Rs.752, T-->Rs.763, SL-->Rs.739. 2. Bank of Baroda at Rs.241--Rs.244, T-->Rs.248, SL-->Rs.239 3. Sell BPCL Ltd at Rs.378--Rs.382, T-->Rs.372, SL--Rs.384.... Look here for more news on Stock Market......

Meltdown can be beneficial for India Mumbai: The ongoing financial meltdown could be a boon for the Indian IT industry as it offers an opportunity to foreign players to invest in India in order to cut cost, an industry expert said. "The global meltdown is an opportunity for our customers to come to India. We (IT industry) faced a crisis in 2001. Our customers came to India in 2001," IT company Mastek founder Ashank Desai told reporters at the India IT 2020 Conference. "Present meltdown is a problem especially when iconic names are disappearing. It has an impact on IT business when organisations are looking at controlling costs," TCS CFO S Mahalingam said. The Indian IT industry has to offer additional value in this troubled times, he said. Post-Satyam fiasco, the issue of corporate governance is being raised and it could become tough for smaller IT companies, Desai said. "Many companies look at governance before becoming our customers. Now, the checklists wou...

WINNING STROKES: THINK DIFFERENT: Satyam Computers Services Ltd was star performer even today, surprising many of my critics. But most importantly I was happy to see Shankar Sharma's prediction that this company has "zero value" and the scrip could go below Rs.10, fall flat. This fellow got another smart blow on the face....but if a person is wearing an elephant's hide, does it make any difference?? Today CNBC TV18 tried to bring another guy in the morning hours to create confusion among the investors of Satyam Computers Ltd--this channel is increasingly becoming a menace to the viewers. That guy seems to be in a hurry and said in a huff, "L & T has done a great mistake in increasing stake in Satyam Computer Services Ltd and that too without the shareholders approval". What an argument!!! It is to be recollected that I have said long back, why it is beneficial for the L & T to buy majority stake in Satyam Computer Services Ltd. I think I had also exp...

Why should Crude Oil Trade above $59 per barrel?? Deutsche Bank figures that oil will cost about $92.50 a barrel in this year!! Reliance Industries Ltd, Selan Exploration Technology Ltd, and Cairn Energy Ltd looks good... I think the price of Crude Oil may have bottomed out at sub $35 barrel mark some weeks back. It is worth mentioning that in today’s world, Crude Oil at $60 per barrel is the not cheap. But inspite of that OPEC will like to keep output tight so that Crude Oil hovers above $90 a barrel to cover up their exploration costs. Back in the heyday of cheap oil, rich-country consumers could buy 1,000 barrels of year, if they had any place to put it. It is learnt from my reliable sources, that same is being done today also after the Crude Oil price crashed on Nymex. But the problem is that rich countries don’t rule the roost anymore—perhaps global GDP is a better yardstick. For the last 40 years, oil has represented more or less 2.5% of global GDP, Deutsche Bank says. That shou...

RBI infuses over Rs 4,00,000 cr in last 4 months Be prepared to see a smart rally in the Indian Bourses in the next few days after the infusion of such huge sums of money. Moreover, if this money starts to get into the Indian Bourses, I will not be surprised if the Sensex scales above 15, 000 in the next 6 to 7 months time frame. Those who are short on the markets might lose their shirts in the days to come as there are chances that the Sensex could move above 12, 500 in the next couple of months time frame. The latest Sunday/Monday Report (26th January, 2009) recommended Hanung Toys and Textiles Ltd hit the 20% buyer freeze today. The research report on the company, which was sent to the Paid Groups yesterday (26-01-09), has already been placed in SumanSpeaksPlus. I think you have seen the price of Satyam Computer Services Ltd today which touched Rs.49.9 today. I have mentioned a number of times in this blog that I started accumulating Satyam Computer Services Ltd from Rs.18.5 onward...

Buzzing Stocks Mr.Jitendra Gala Unitech Ltd CMP-->Rs.27.50 Unitech is one of the two biggest property developers in India and the largest that is listed. The company has a presence in all segments of real estate development viz., residential, commercial, retail and hospitality. The company has a land bank of over 10,300 acres, which is one of the largest in the country. This provides it strong visibility in respect of future growth. In order to diversify its business from locational risks, the company has entered new markets like Kolkata, Chennai , Kochi, Hyderabad, Mohali, Agra and Varanasi and has plans to start operations in many others. Although the real estate business remains the mainstay of Unitech, the company intends to diversify into other related areas like hospitality and entertainment. The Group is looking at an annual growth of 30%, led primarily by its new business ventures. Considering the immense opportunities available in the construction and real estate businesses...

WINNING STROKES: THINK DIFFERENT: Satyam Computer Services Ltd is up more than 18% in the morning trade after L & T hikes the stake in the company. The average acquisition price of the shares of Satyam Computer Services Ltd by L & T is around Rs.80, and hence we might see further upmove in the shares of the company going forward. Rolta Ltd moved up by more than 9% in the opening trade after the company came out with better than expected results. Unitech Ltd has now been recommended by a number of analysts from Gujarat and Bombay for a price target of Rs.42--Rs.45. HANUNG TOYS AND TEXTILES LTD RECOMMENDED IN THE MONDAY REPORT (26TH JANUARY, 2009), AS PICK OF THE WEEK, IS UP MORE THAN 6% IN THE OPERNING TRADE. The management of Selan Exploration Technologies Ltd has started buy back of the shares of the company from the open market at a price not more than Rs.230 per shares from 23rd January, 2009. The good point is that, the Crude Oil as expected has started to move up on Nymex...

Bengal's IT sector looks beyond recession days By Aparajita Gupta Kolkata The global economic meltdown has reduced the pace of growth of West Bengal's showpiece IT sector, but the state wants to build IT infra structure and develop a talent pool so that it's ready when times get better. "During the last financial year, the IT sector in the state grew around 46 percent in dollar terms against the national growth of 28 percent," state IT Minister Debesh Das told a news agency. "The way we were growing in the past has slowed down now," he said, adding: "Nasscom (National Association of Software and Services Companies ) predicted an all India growth of 15 percent. I hope our growth will be more than that." The state government had set a target earlier to become one of the country's best three IT states by 2010, which Das said would be impossible to achieve now. The IT sector boom in the state started in 2001-02. Among the various big nationa...