Winning Strokes

The indices are trading with minor losses since the opening trade.

The BSE Sensex wws trading at 58,051.64, down 120.23 points (-0.15%), while the NSE was trading at 17,292.25 down 62.85 points (-0.31%). Photo: The Indian Express.

The market breadth was weak. On the BSE, 1,063 shares rose and 2,143 stocks fell.

The NSE's India VIX, a gauge of the market's expectation of volatility over over the near term, rose 1.96% to 18.90. The Nifty 25 August 2022 futures futures were trading at 17,265, at a premium of 8.3 points as compared to the spot at 17,256.70.

The market selloff came amidst geopolitical tensions between the U.S. and China. However, this is just a temporary event and this kind of situation should be used to accumulate good stocks.

#Those who are holding the shares of Wockhardt Ltd (Rs.239) can look forward for targets of Rs.289/291. The stock is on the upmove. I've repeatedly asked you to accumulate the shares of Wockhardt Ltd and Vodafone Idea Ltd (Rs.9). Both have moved up from their respective lower levels 

#Suzlon Energy Ltd (Rs.7.05) has crossed Rs.6.90. The next targets are Rs.9.20l/11.

Those who have a minimum portfolio size of Rs.1 lakh can use my Profit Sharing Service to maximize their gains from the markets. The interested candidates need to send a mail at suman2005s@rediffmail.com.

#Those who are holding the shares of Coffee Day Enterprises Ltd (Rs.43.40), should be averaged during market declines, with a SL at Rs. 37.

The company has around 550 coffee outlets of name Cafe Coffee Day, plus it has Cofee Business. The ensuring Festival 🥮 season which kickstarts with Ganapati Festival in Bombay and elsewhere, followed by few months of marriage season, will augur well for the company. We can look forward for targets of Rs.71/84 in the coming months.

#I'll speak with my sources in Shriram EPC Ltd or SEPC Ltd (Rs.7.80) very soon. The company had infusion of capital. It has an order book of Rs.1500 crore according to my sources. The work on company's projects have again commenced, after the government lifted the Covid - 19 lockdowns. The company is likely to turnaround in the September Quarter. Use the declines to keep your acquisition price less. This is from the reputed Shriram Group of South India and hence, you need not have to worry about its pedigree. Meanwhile, as long as the stock doesn't break Rs.7.70/7.80, we don't have any problem.

#3i Infotech Limited has reported superb Consolidated Financial Results for the period ended June 30, 2022. The company has reported total income of Rs.180.09 crores during the period ended June 30, 2022 as compared to Rs.175.70 crores during the period ended March 31, 2022.

The company has posted net loss of Rs.1.52 crores for the period ended June 30, 2022 as against net loss of Rs. 3.90 crores for the period ended March 31, 2022. Those holding the share at higher price, should take up the efforts to average it at a lower price. We can look forward for the targets of Rs.71/72 in the coming days.

#The stock of Vodafone Idea Ltd (Rs.9.10) yesterday closed at Rs.9.40. The share fell because the media reports suggested that it would take more time for the government of India to formally take ~33% stake in the company, after clearing the technical issues. I feel after this event is over, there could be a massive Rs.20, 000 crore capital infusion. The stock should double from the current price, not only in view of the company revamping its operations but also it is likely to have a 2nd line of business, post launch of 5G Services in India. The company is coming up with Q1FY23 quarter results today. Accumulate without fail. 

#The share of Indowind Energy Ltd (Rs.14.10) is doing well today. It hit the upper circuit in the opening trade. The stock should give steady returns to the patient Investors.  Accumulate on declines for short term targets of Rs.19/21.

#The stock of Reliance Power Ltd (Rs.13), yesterday made a high of Rs.13.70. The company has a huge power portfolio, apart from that its Bangladesh operations will add to its Bottomline within sometime.

Reliance Power previously stated that it had reduced its debt by Rs.3,108 crore in 2020-21, bringing the company's total debt to around Rs.25,000 crore.

In fiscal FY22, it further reduced its debt by Rs.2,537 crore. The debt-to-equity ratio has decreased from 2.08:1 in FY21 to 1.84:1 in FY22. 

It is expected that the consolidated debt will fall DRASTICALLY this fiscal year, FY22, as a result of power sector reforms.

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Reliance Power Limited is a leading private sector power generation and coal resources company that is part of the Reliance Group. With an operating portfolio of 5,945 megawatts, the company has one of the largest private sector portfolios of power projects based on coal, gas, hydro, and renewable energy.

We can look forward for targets of Rs.21/27/32 in the coming days. I've been recommending the scrip when it fell below Rs.2.

In another development, Prime Minister Narendra Modi launched the revamped distribution sector scheme last week. This is likely to push up the shares of power companies like: Adani Power, RTN Power, Suzlon Energy, Reliance Power, Indowind Energy Ltd, Power Grid Corporation of India, Tata Power, JSW Energy, Reliance Power, etc in Future. Stay invested.

#The stock of RTN Power Ltd (Rs.3.75), which is trading much below its face value in this bull run should be accumulated without fail. We can look forward for targets of Rs.7/8 by Deepawali. By the way, its former name was Indiabulls Power Ltd.