SumanSpeaks: The Information Super Highway

Today's Calls 1. Buy IDFC Bank Ltd at Rs.62.35, T: Rs.68 -72, SL: Rs.61.40. In a significant development, The promoters holding in the company stood at 52.92 % while Institutions and Non-Institutions held 34.45 % and 12.63 % respectively. The stock is trading above its 50D and 200D SMAs. It's 200D EMA is placed at Rs.60.97. Photo : Trustworthy No.1  The private lender IDFC Bank, picked up a 5% stake in financial services major IIFL Holdings for over Rs.502 crore through an open market transaction, at the beginning  of this month. On that day the stock of IFL Holdings closed at Rs.322.90 in the BSE. Today it is quoting at Rs.384, adding value to the shareholders' wealth. Also, IDFC Bank will replace BOI in Bank Nifty from March 31, 2017. All these developments bode well for the shares of IDFC Bank Ltd.  2. Those who are holding the shares of RCOM at (Rs.37) can continue to hold the same, with addition on every decline. Once the mergers get completed, the stock...

Today's Calls 1. Buy Reliance Power at Rs.45.80,T:  Rs.49-51, SL: Rs.45. Reliance Power Ltd's net profit in the December quarter rose 14.4% as its plants performed better. The Anil Ambani-led power producer reported a consolidated net profit of Rs.275.70 crore, against Rs.241.06 crore a year ago. Net sales rose 14.2% to Rs.2,456.31 crore in the quarter from Rs.2,150.49 crore a year earlier. Moreover, the future of other power companies such as Torrent Power (Rs.205.30) and Adani Power (Rs.37.55)  also looks bright; though the share price of these two power companies at their CMPs looks fairly valued -- therefore the best bet at this point of time is invariably Reliance Power Ltd. 2. Those who are holding Punj Lloyd Ltd (Rs.21.60), can continue to hold with a SL at Rs.20.50. The construction and power stocks will be a major beneficiary, as the economy picks up steam, post demonetisation. 3. Those who are holding 63 Moons Technologies Ltd (Financial Technology) ...

Today's Calls 1. Buy 63 Moons Technologies (Financial Tech) at Rs.82, T: Rs.93, SL: Rs.79.63 Moons Technologies, formerly Financial Technologies (India),  earlier set up an investment committee and has  now a new policy to protect the company’s wealth. The company, is sitting on around Rs .2,000 crore cash after selling its stakes in various firms.. 63 Moons Technologies, formerly Financial Technologies India, has introduced a trading platform for the equity markets. The platform uses artificial intelligence, social, mobile, analytics and cloud, cognitive computing and natural language processing. Named Odin Voice and Odin Bot, the conversational user interfaces could disrupt the way people transact. “This technology will revolutionise brokerage services and be the trendsetter in financial technologies,” said Keshav Samant, president and chief executive officer, brokerage technology solutions, 63 Moons Technologies. 63 Moons Technologies has been offering financial techn...

Today's Calls 1. Buy Dena Bank Ltd at Rs.37.30-37.50, T: Rs.40-41, SL: Rs.36.60.  Dena Bank, like all other banks, has had a dream-run on the deposits front during the 50 days following demonetisation. Copious deposit inflows in the form of scrapped high-denomination notes helped the bank shed bulk deposits amounting to about ₹9,000 crore. Meanwhile, Dena Bank reported a net profit of Rs.35.31 crore inQ3FY17, as compared to Rs.662.85 crore loss reported last year for the same period. Public sector Dena Bank is also in talks with few insurance companies to raise capital, its CMD Ashwini Kumar said, this week. Kumar said for Dena Bank, the worst was over. "For my bank, the worst phase is over. Things postdemonetisation is now improving", he said.  2. Those who are holding the shares of Reliance Communications Ltd (Rs.32.95), can look for good days ahead, as the company goes for merger with Aircel -- SSTL and Telenor. It will also get the backing of Mukhesh A...

Today's Calls 1. Buy JSW Energy Ltd at Rs.60 -- 60.50, T: Rs.67-68, SL: Rs.57. The good news is that the Vijaynagar plant has commenced a short-term PPA at Rs.4.18/unit approved by the regulator. The company said that it is raising long term funds through the issuance of redeemable non-convertible debentures upto Rs 1,000 crore by way of a private placement. The company said its wholly-owned subsidiary, Karcham Wangtoo Hydro project of Himachal Baspa Power Company has filed a petition for determination of final tariff with Central Electricity Regulatory Commission (CERC). Pending the receipt of final tariff order, the revenue from sale of power under long term power purchase agreements are being recognised in terms of expected tariff as per the available guideline. The hydro projects were acquired during September 2015, it said. Though JSW Energy Ltd still has 1160MW open-ended capacities, it is likely to get a good value, as the demand for power increases, post demonetisa...

Today's Calls 1. Prajay Engineers Syndicate Ltd (Rs.12.20) came out with a reasonably good bottom line in Q3FY17. With affordable housing being the catchphrase of Budget 2017, the focus could well shift from core areas of Hyderabad to its cheaper peripheries, helping the companies like Prajay Engineers Ltd. The city's outskirts, where land rates are cheaper, are perfect destinations for such ventures that have so far not been economically exploited. The benefits extended to this segment in FY18 budget is very encouraging. Apart from an increased carpet area, affordable housing was also awarded the 'infrastructure status'. This will result in bigger homes for buyers and lower interest rates for developers. The average projected cost of these homes ia generally around Rs 15- Rs 20 lakh. This will push more local players (Prajay Engineers Syndicate Ltd is a local player) to take up small projects that they shied away from until now.  The investors are suggested to ...

Today's Call 1. Buy Punj Lloyd Ltd at Rs.20.65, T: Rs.27-28, SL: Rs.19.60. Punj Lloyd posted its Q3FY17 standalone results on February 11, 2017. Company’s Photo : The ET standalone revenue for the quarter came in at Rs. 997 crores, registering marginal 1.1% yoy decrease. This was in the wake of 2.7% yoy decline in revenues from EPC services that contributed nearly 93% to revenues. EBITDA for the quarter came in at Rs 8.8 crores as against EBITDA loss of Rs 12.3 crores posted in Q3FY16. Company’s total expenses dropped 4.3% yoy to Rs 1018 crores. Company posted a net loss of Rs 232 crores as against a net loss of Rs 309 crores in Q3FY16. The recovery in losses was driven by 122.5% yoy increase in other income. Company also posted a decline of 13.3% yoy in finance costs. However, finance cost stands very high at Rs 224 crores. [Source: India Infoline] 2. Those who have bought Reliance Infrastructure Ltd (Rs.533) yesterday, at Rs.528, can continue to hold positions f...

Today's call 1. Buy NBCC Ltd at Rs.284, Rs.298, SL: Rs.277. NBCC Ltd, a Navratna Company has fixed February 21, 2017 as the record date for 1:2 bonus issue of shares. Exit at Rs.284 or near that price, for intra day traders. The stock is not preforming, as expected. 2. Buy Reliance Infrastructure at Rs.528, T: Rs.545, SL: Rs. 526. Temporary bottom seems to have been formed on daily chart. 3. Buy Reliance Power at Rs.43.60, T: Rs.45-47, SL: Rs.42.  The Anil Ambani-led power producer reported a consolidated net profit of Rs275.70 crore, against Rs241.06 crore a year ago. Net sales rose 14.2% to Rs2,456.31 crore in the quarter from Rs2,150.49 crore a year earlier. Reliance Power's Sasan project is the world's largest power generation plant to be registered under the UN framework, entitling the company to earn 22.4 million carbon credits. Arun Jaitley’s 10% tax on income from carbon credits is good for companies like Reliance Power Ltd. According to the explanator...

Punj Lloyd Ltd: Buy CMP: Rs.21.95 Last quarter saw some acceleration in execution in their projects. The management is positive on gradually improving macro environment and an enabling policy framework of the present government,  which is likely to improve the performance of the sector.   A key development at the end of last year was the Cabinet decision on payment of arbitration awards by government agencies to EPC companies. This, the company, believe is a significant positive for the industry and will go a long way towards reducing debt. Thus, implementation of the measures taken by the government like release of 75% of arbitral award to construction companies will help improve prospects over the medium term. Some construction companies have already received this payment in their escrow accounts against bank guarantees. According to a recent  (rating agency) ICRA Report: the order book of construction companies is expected to improve with the government...

Winning Strokes: Think Different The stock of HDIL (Housing Development & Infrastructure Ltd) was given a buy around the support of Rs.64.50 for a short term target of Rs.72 to the Paid Members on 1st February, 2017; based on the theme that Union Budget 2017 proposed several positive measures for the real estate sector, which includes Infrastructure status to affordable housing, which will reduce the cost of funding for the builders; the benefit of which can be passed on to the customers. The stock touched Rs.66.15, on last Friday.  Join my Paid Service or Trade through my Brokerage House, to stay ahead of others. If you have a portfolio size of around Rs,2 lakhs and trade through my recommended brokerage house, then get Free Assistance in stock market.  Future Enterprises Ltd was given a buy at around Rs.17.50-18, a couple of days weeks back. The scrip touched Rs.23.15 intra-day on last Friday. The investors are suggested to book some profits.  Pho...