Winning Strokes

The Sensex is trading at 56,983.83 down 495.61 points (-0.88%), while the Nifty is seen at 17,014.75 down 129.85 points (-0.78%). The Nifty is likely to get strong supports around 16700/16900 ranges, hence is not likely to break in this corrective phase.

Meanwhile, the yields on U.S. government bonds fell sharply to begin the week on Monday, as global equities nosedived, but quickly recovered.

Investors are anticipating the Fed policymakers' two-day meeting, which begins on Tuesday and concludes on Wednesday. This meeting is widely expected to lay the groundwork for a shift away from easy money stance, this year, without taking any policy action.

The rising global tensions and increased volatility in domestic and international stock markets are likely to continue to anchor the Bond yields lower.

In another significant developments,  the economic reports released on Monday, showed that the U.S. economy slowed in January as the  pandemic's (COVID-19) Omicron wave exacerbated supply delays and labour shortages. The flash purchasing managers index for manufacturing fell to 55.0, a 15-month low, while the gauge for the services sector fell to 50.9, an 18-month low, according to IHS Markit. This condition further attests to the fact that the Fed in all likelihood, is not expected to hike the interest rate too early. 

Incidentally in Asia, benchmark Chinese government bond yields fell through a key level for the first time in nearly 20 months on Monday, following the central bank's latest rate cut and as expectations grow for further easing to stabilise the slowing economy.

For the first time since May 28, 2020, China's 10-year yield fell below 2.70% falling 2 basis points (bps) in early trade to 2.685% before retracing. It was last at 2.720%.

Hence, we have two contrasting sceneries from two of the large economics of the world -- and it is no longer a one - way street, as far as the interest rates are concerned.

We are therefore, perhaps, at the last leg of market dip, triggered by various external parameters.

I feel the markets should stage a comeback, later in the day. Hence, this kind of market correction offer opportunities to enter good stocks at reasonable valuations.

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#Keep adding A2Z Infra Engineering Ltd (Rs.12.05) on declines. Its venture related to E - cycle and RDF Technology, should see the stock cross Rs.50/70 in style. Photo: A2Z Infra Engineering Ltd's E - cycle, which is generating good business for the company.

#Add the shares of Shriram EPC Ltd (Rs.8.95) on declines. The Rs.700 crore fund infusion, could make it one of biggest multibaggers in the EPC space. Moreover, it has around 49% holding in Orient Green Power Ltd. 

#Buy the shares of India's largest Helicopter player, Global Vectra Helicorp Ltd (Rs.55.25). 

It is into essential services too (Ferrying passenger to offshore drilling rigs, etc), Religious tourism, simple tourism, film shooting, etc and hence its activities should not be confused with a normal airlines company getting affected by Covid - 19 pandemic (though some effects will be there...).

#The shares of Orient Green Power Ltd (Rs.19.70) could correct upto Rs.17/13, where accumulation could be done. This is a Shriram group company, but has debts on its books.

#Buy the shares of BF Utilities Ltd near the CMP of Rs.385.55, for short term targets of Rs.442/472. SL: Rs.367.

#Keep holding the shares of my strongly recommended Coffee Day Enterprises Ltd (Rs.69.20), with a SL at Rs.66. If you remember, this was recommended around Rs.29/31, in this blog, few months back.

#Buy the shares of Union Bank Ltd near the CMP of Rs.42.50, for short term targets of Rs.61/66. SL: Rs.36.

#Buy the shares of Mukhesh Ambani controller Reliance Industries Ltd near the CMP of a Rs.2330.45, especially when the crude oil is Boling in international markets, for short term targets of Rs.2700/2800. SL: Rs.2170.

 Winning Strokes

#The BSE Sensex was seen trading at 60,129.74 up 273.81 points (+0.46%) ,while the Nifty was last seen at 17,888.70 up 83.45 points (+0.47). The markets will continue to remain buoyant before the upcoming budget, where the FM, Nirmala Sitaraman jas spoken of giving more importance to spending rather than on maintaining fiscal tightening (prudence). The Nifty is expected to reconquer 18100/18430 ranges.

#The domestic bourses are on a roll. If you have a portfolio Size of Rs.1/2 lakhs, you can join my #Crorepati #Scheme and take advantage of my years of experience in the stock markets; to maximize your returns from it. For more details, kindly send me a mail at: suman2005s@rediffmail.com.

#Buy the shares of the RBL Bank (Rs.129.70), which has come down some attractive levels after the recent correction. In order to alleviate fears of the investors, the RBI has declared the Bank as Stable. The Indian Central Bank itself highlighted that the bank is well capitalised, with a high liquidity coverage ratio. 

RBL Bank's total deposits stood at Rs73,637cr in Q3FY22 rising by 9.61% from Rs67,184cr in the same quarter last year.

The lender's CASA stood at Rs25,316cr in Q3FY22 up by 21.32% yoy. CASA ratio came at 34.4%.

The bank's retail deposits and deposits from Small Business customers were at Rs27,871cr in Q3FY22 increasing by 14.16% yoy.

The lender's Liquidity Coverage Ratio comes at 146% in the December 2021 quarter.

Moreover, due to the spurt of the cases of Omicron, the RBI may defer the rate hike in the immediate future. This is positive for the whole of Automobile, Banking and Construction sectors.

Hence, this is the time to lift it's shares at dirt cheap price.

#The stock of Orissa Mineral Development Company Ltd (Rs.2792.95) made a high of Rs. 2924.80. The stock has a long way to move upward. Accumulate in market Declines. 

#The scrip of Marshall Machines Ltd (Rs.41), a poineer in CNC Technology made a high of Rs.42.85 today. The company's technology can be used in making Electric ⚡ Vehicles. It has a healthy order book of around Rs.54 Crores.

#The shares of my old favourite, A2Z Infra Engineering Ltd (Rs.10.85), a play on the Electric ⚡ Vehicles space is doing well today, after dipping to Rs.10, intraday. 

A2Z Infra Engineering, boasts of setting up Asia’s biggest single location Integrated Resource Recovery Facility (IRRF) at Kanpur. 

The scrip could hit upper circuit today. Keep watch!! 

#Start accumulating Future Retail Ltd (Rs.50.55), since it is all over for Amazon. It seems Mota Bhai, will not allow it to weild its influence in Future group stocks. Already there is a penalty of Rs.200 crore on Amazon, plus huge legal expenses.

It can't continue in this way -- logic says, good days are simply at arms length for the Future Retail Ltd (Rs.50.55).

Market Mantra

Market came out with a smart rally on last Thursday and Nifty closed with a massive gain of 104 points. It was a gap up opening followed by sustained buying all through the day taking it to a high  of 6783 and closing near the high of the day. 

Nifty is trading near it all-time high levels and Bulls are in total control of the market. As we know, in the past the levels above 6800 had attracted profit booking. However, buying interest on dips has pulled it back. This also shows that Nifty has again turned into Buy on Dips.

Resistance: 6800/ 6825

Support: 6760/6720 

Please Click on the Photo to expand

Today's call: Todays' call: Buy Hinduja Ventures Ltd  (BSE Code: 500189) at Rs.265-266, for a target of Rs.400, SL--Rs.248. The company is from the reputed Mumbai based Hinduja Group. The Book Value of the shares of Hinduja Ventures Ltd is Rs.398 per share, at the end of the financial year, FY13. The Net Worth grew from Rs.734.39 crores in the previous year to Rs.818.84 crores in FY13. The investments clocked a steady growth from Rs.225.96 crores in FY12 to Rs.320.19 crores in financial year 2013. It has P/E of only 6.88 against the Industry P/E of 26.49. A reasonable P/E re-rating of 10, can take the scrip above Rs.370. 
Brief Introduction: HVL (Hinduja Ventures Ltd) was incorporated in the year 198 as Mitesh Mercantile & Financing Ltd. In the year 1994, the company commenced operations and in 1995, Hinduja Finance Ltd was amalgamated with the company and subsequently the name was changed to Hinduja Finance Corporation Ltd with effect from February 9, 1995. The Company had been renamed 'Hinduja Ventures Limited' effective from October 23, 2007. The new name reflects both the commitment of promoter group and the value and wealth creation proposition that the company offers by identifying and investing in growth opportunities.
HVL is a part of Hinduja Group based in Mumbai. The company operates in the business of media & entertainment, real estate and treasury operations. The real estate activities encompass property development. Currently the company has properties located in Bangalore and Hyderabad, which could be developed in the near future. The treasury segment consists of activities relating to deployment of surplus funds in trade/ investments in shares and securities, other than subsidiaries. 
In March 2007, In Network Entertainment and In2Cable India, both wholly owned subsidiaries of the company were merged into IndusIndMedia and Communications (IMCL), a 60% subsidiary of HVL. HVL is the holding company of one of India’s largest integrated media companies IMCL, which is one of the largest multi-system operators (MSO) in the country. HVL with 8.5 million subscribers across 28 major cities offers over 301 channels in the digital mode (it also offers about 90 channels in the analog mode, which are a part of the digital package). It has a backbone of over 10,000 kms of hybrid fibre optic network through which it also offers broadband services with national ISP license. Over and above Digital cable distribution, HVL is also into content creation, acquisition & aggregation for TV services. IMCL has successfully deployed over 400,000 set top boxes for converting analogue home to digital homes. The Company is fully geared up to meet the subsequent addressable digital cable roll out as per Government policy & regulations.
Marg Ltd hits another buyer freeze at Rs.11.60. The scrip has been hitting buyer freezes, since the time it was recommended. 
IVRCL Ltd today touched Rs.17.79, intra-day and is now trading at around Rs.15.78. The scrip is all set to touch Rs.25-27, in the coming days.
My recommended Ahmednagar Forgings Ltd today touched Rs.164.25. The scrip was recommended around Rs.125-126, a couple of weeks back. 
Orchid Chemicals Ltd, today moved to Rs.57.50, after the outlook of the company changed to positive. The scrip slowly moving towards Rs.71-72, in the coming days. 
A2Z Maintenance and Engineering Services Ltd today is also doing fine today. The scrip was brought by the ace investor, Rakesh Jhunjhunwala at around Rs.10. He still holds substantial stake in the company. Wait for few upper freezes in the coming days as the company has completed the restructuring process and is expected move up the value chain. 
Accumulate Vijay Shanthi Builders Ltd (Rs.11.50) on all declines. This scrip will give you good returns over a period of time and is one of the safest bets in the real estate space. Its Q4FY14, results are expected to be good according to my close sources. 

Market Pulse

Today the S&P BSE Mid-Cap index rose 0.33%. The S&P BSE Small-Cap index advanced 0.37%. Both these indices outperformed the Sensex. The Sensex is now trading at  33,689.44 up 101.36  points (+0.30%) and Nifty is now at 10,387.20 up 38.45 points (+0.37%).

The breadth, indicating the overall health of the market, was strong, till writing this report. On BSE, 976 shares rose and 448 shares declined. A total of 50 shares were unchanged.

Reliance Industries gained 0.89% after Reliance Marcellus II, LLC, a subsidiary of Reliance Holding USA, Inc., and Reliance Industries announced the closing of recently announced sale of its interest in certain upstream assets; which were operated by Carrizo Oil & Gas, Inc to BKV Chelsea LLC, an affiliate of Kalnin Ventures.

On the macro front, the Government of India promulgated yesterday, 23 November 2017, the ordinance to amend the Insolvency and Bankruptcy Code, 2016 (the Code). Earlier the President of India had given his assent to the ordinance to amend the code.

The ordinance aims at putting in place safeguards to prevent unscrupulous, undesirable persons from misusing or vitiating the provisions of the code. The amendments aim to keep-out such persons who have wilfully defaulted, are associated with non-performing assets, or are habitually non-compliant and, therefore, are likely to be a risk to successful resolution of insolvency of a company.

In addition to putting in place restrictions for such persons to participate in the resolution or liquidation process, the amendment also provides such check by specifying that the committee of creditors ensure the viability and feasibility of the resolution plan before approving it. The Insolvency and Bankruptcy Board of India (IBBI) has also been given additional powers.

Overseas, Asian stocks were mixed while investors viewed Chinese shares with caution after their big fall the previous day. Japanese manufacturing activity expanded at the fastest pace in more than three years in November, a preliminary survey showed. The Markit/Nikkei Japan Manufacturing flash Purchasing Managers Index (PMI) rose to 53.8 in November on a seasonally adjusted basis from a final reading of 52.8 in October.

US stock markets remained closed yesterday, 23 November 2017 on account of Thanksgiving holiday.

#The 1st target of A2Z Infrastructure Ltd has been reached as the stock touched Rs.41.40, intraday. Those who have not booked intra-day profit yesterday, are suggested to book some profit and keep holding the rest with a SL of Rs.37, for the next target of Rs.42.

#Shilpi Cable Technologies Ltd recommended some days back around Rs..14.45, is up ~2% today and is now trading at around Rs.15. The investors are suggested to accumulate the scrip on all declines.

#BF Utility Ltd (Rs.521.40) which was recommended around Rs.129--130, fell from around Rs.149 yesterday, after profit booking was suggested in the counter. The investors are suggested to hold the stock with a SL of Rs.111.

#TVS Motors (CMP: Rs.740) was recommended to buy on declines at around Rs.731-732 with a target of Rs.746-752. It reached Rs.730.50 intra-day, after recommendation. Hope you have entered the scrip. Yesterday Full Intraday profit at Rs.737.40 was suggested. The stock touched an intraday high of Rs.743.95 today, which is very near the short term target of Rs.746. The investors can hold the scrip with appropriate stop losses, if they are not willing to book profit at the current market price; however raise the SL to Rs.737 today.

For complete guidance on stock market, you can either join my Premium Service or you can trade through my recommended brokerage house: BMA Wealth Creators Ltd, with a minimum portfolio size of Rs.1 lakh.

Today's Calls:

1. Buy Suzlon Energy Ltd at around Rs.13.90 - 14, for targets of Rs.17-17.5, in the short term. U.S. crude hit a two-year high in thin trade on Thursday as the shutdown of a major crude pipeline from Canada and a draw on fuel inventories pointed to a tightening market, despite rising output from U.S. producers. This is likely to give an upward kick to all the energy stocks in the near term.
Suzlon Energy, promoted by Tulsi Tanti, is a fully integrated wind power solutions provider. It provides services such as wind resource mapping, land and infrastructure development, creation of power evacuation facilities, component manufacturing, and wind turbine installation in both domestic and international markets.

Suzlon Energy also undertakes the manufacturing and machining of large forging and casting products through its various subsidiaries.

Suzlon Energy entered a corporate debt restructuring (CDR) exercise in 2013 after defaulting on foreign currency convertible debt (FCCB) repayments in 2012 as overall debt peaked close to Rs12,000 crore. The firm had debt of Rs6,198 crore in FY17.

The company has since then tried to cut debt by monetizing assets. In 2015, Suzlon sold its German subsidiary REpower Systems (now known as Senvion) to US private equity firm Centrebridge for Euro 1 billion (about Rs7,000 crore). The sale was followed by an investment of Rs1,800 crore in Suzlon Energy by Sun Pharmaceutical Industries Ltd chairman Dilip Shanghvi and his family for a 23% stake. According to recent report by credit rating agency Care Ratings, the financial position of Suzlon Energy has improved.

2.  Intraday SELL NIIT Tech at around Rs.662, SL: Rs.668,  T: Rs.655-650.

3. Buy (T+2) Hindustan Petroleum Corporation Ltd at around Rs.429, SL: Rs.418, T: Rs.445.

4. Intraday SHORT NICKEL at around Rs.777, SL above Rs.787, T: Rs.765.

~~ with inputs from Capital Market - Live News

 Winning Strokes

The India stock markets have recovered from the morning blues. The BSE Sensex was last seen trading at 61,359.93 up 51.02 points (+0.08%), while the Nifty was seen trading at 18,304.85 up 2.75 points (+0.02%). While the Nifty is likely to trade in a range, we are likely to witness a pre budget rally in the mid, small and micro cap counters. Buy good stocks and keep holding till the budget date.

#My Strongly recommended Silgo Retail Ltd hit the buyer Freeze today at Rs.41.60. the stock was recommended in this blog around Rs.33.70. I'm looking for targets of Rs.51/52.

#Buy the shares of Shriram EPC Ltd at Rs.10,  T: Rs.17/21.

There are media reports that the Shriram Group is  in talks to exit Orient Green Power Ltd (Rs.23.50). Interestingly, the Shriram Group through Shriram EPC, is currently the largest shareholder of Orient Green Power Ltd with a 49% stake in it. Hence, this value unlocking could give a huge boost to the financials of Shriram EPC Ltd. Photo: 2: MoneyControl.com

Meanwhile, the price of the shares of Orient Green Power Ltd has almost doubled in the last one month. We should see a corresponding appreciation of the share price of Shriram EPC Ltd (Rs.10). 

Earlier, there were media reports that, the Dubai-based family office Mark AB Capital will take over Shriram EPC, an engineering procurement and construction contractor and part of the financial services conglomerate Shriram group by picking up 26% stake for Rs.350 crore.

In 2017, Shriram EPC Ltd forayed into a completely new business vertical of transport engineering, by winning a Rs 71-crore order; which involved designing, manufacturing and maintaining a second ropeway at the Arulmigu Dandayuthapani Temple in Palani, Tamil Nadu that will serve 1,200 people every hour. For this it had tied up with France's Poma S.A, which has built over 8,000 ropeway installations globally, to supply technology equipment for the project.

Apart from this, the company is into sewage management, renewable energy, building metallurgical plants and in municipal services sector. Photo:1: Indiainfoline.com

There were media reports in December, 2021, that the company is looking to raise funds upto Rs.700 crore. The break - up:

• Rs.350 crores through equities.
• Rs.175 crores by compulsory convertible debentures.
• The balance, Rs.175 crores through non - convertible debentures.

#The stock of Coffee Day Enterprises Ltd (Rs.69.50) made a new 52 - week high today at Rs.73.70. If you remember the stock was strongly recommended at end of last year at Rs.29/31.

#The share of A2Z Infra Engineering Ltd (Rs.12.30) buoyed by Electric Vehicle story and RDF Technology used for waste disposal, hit the buyer Freeze today. 

Meanwhile, the Union Government has made it easier for public and private enterprises to open public charging stations for electric vehicles.

India's EV policy has evolved over time, driven in large part by rising pollution levels, the country's green commitments, and a desire to reduce reliance on crude oil imports.

The list of GoI measures that are directly or indirectly intended to further EV adoption are:

• The scrappage policy, FAME (which is currently in its second phase).
• The PLI scheme for EV components
• Allowing sales of EVs sans batteries.
• Courting bigwigs like Tesla (high import duties notwithstanding)
• Incentivising domestic battery manufacturing.
• Amending the Model Building Bye-Laws to include charging station provisions.
• Liberalisation of the electricity distribution sector.
• Encouraging fossil fuel vending outlets to have EV charging stations.
• The National Electric Mobility Mission Plan.
• GST rate cuts on EVs and batteries.
• Tax incentives on EV auto loans.
• Permit exemption for battery-operated electric vehicles (BEVs) and so on.

The new rules allow any individual or entity to set up public charging stations (PCS) without the need for a licence. This means that (1) EV owners can charge their vehicles at home or at work at domestic tariffs, and (2) public and private entities can obtain Government land to set up and operate PCS on a revenue-sharing basis.

Furthermore, a national online database of all charging stations in the country will be compiled and made available via a web portal and mobile app.

Overall, the goal is to have one PCS in every three-square-kilometer grid in major cities and every 25 kilometres on highways within the next five years.

We can therefore, look for targets of Rs.17/19/24/31/46 in the coming days. Accumulate.

#Accumulate the shares of Global Vectra Helicorp Ltd near Rs.62/63 for targets above Rs.100. 

Under the new policy, the government will establish a dedicated helicopter acceleration cell within the Civil Aviation Ministry to investigate issues affecting the helicopter industry.

As part of the policy, there will be no landing fees or parking deposits for heliports or helicopter companies.

To begin, four Heli Hubs and Training Units will be established in Mumbai, Guwahati, Delhi, and Bengaluru, and helicopter corridors will be established in 10 cities and 82 routes across the country.

Surprisingly, the share is still languishing in the T - group when there is no volume in the counter. The stock exchange regulator is requested to look into the matter and take the necessary actions.

Financials:

According to BSE website the company has a CEPS (TTM) of Rs.41.70. The total income of the company came as Rs.87.26 crore in the September, 2021 quarter as against Rs.68.13 crore in the same quarter previous year.

The net loss of the company got reduced to Rs.1.66 crore as against a loss of Rs.11.07 crore, showing a huge improvement in performance on Q - o - Q basis.

Not only that, the operating profit margin (OPM) of the company almost doubled to 22.03% in September, 2021 quarter as against 12.85% in September, 2022 quarter. 

The net profit margin (NPM) of the company improved to - 2.33% in Q2FY22 as against - 16.99% in Q2FY21, showing tremendous improvement on Y - o - Y basis.

MARKET MANTRA

Land Bank of Anant Raj Industries Ltd

A2Z Infra Engineering Limited hit the upper circuits at Rs.20.90 in the BSE. The scrip if you remember was recommended as a speculative buy at around Rs.16.40, couple of weeks back. The scrip touched all its short term targets. 

ARSS Infrastructure Projects Ltd today touched Rs.53.25 in the NSE and is now trading at around Rs.50.55. The scrip was repeatedly recommended in this blog, as a must buy. I hope most of you have made money today. Book some profits in the counter. 

A buy call was initiated today in Anant Raj Ltd (formerly Anand Raj Industries Ltd) at Rs.47.55, for  a short term target of Rs.56. I have placed a brief report on the company at: http://sumanspeaksplus.blogspot.com.
Today HDIL touched its short term target of Rs.72, as it hit Rs.72.45, intra-day. However, those who are holding can continue to do the same for the next target of Rs.84. Keep a SL of Rs.71.40, for any short term trade. 
My recommended Pipavav Defence Ltd today again touched Rs.47.20 and is now trading at around Rs.45.50. The traders are suggested to book short term profit in the counter and shift to any real estate / construction stock. 
PVP Ventures Ltd today touched Rs.8.90, intra-day and is now trading at Rs.8.35, above its strong support of Rs.8.20. This is another scrip which is also expected to give decent returns over a period. 
The Nifty is  now down by 6.35 points while the mid-cap index is up by 34.80 points--this points towards towards the general of the market. Therefore, while the Nifty is expected to trade range-bound most of the actions would be seen in the small and mid-cap space. The traders and investors are suggested to buy good stocks in the small and mid-cap space and keep holding with strict stop losses. 

 Winning Strokes

The Indian bourses are getting sold off strangely due to American Flue. 

The BSE Sensex was last trading at 52,692.68 down a whopping 1,460.19 points (-2.80%), while the Nifty was last seen trading at 15,781.60 down a massive 444 points. But I feel the fall is absolutely unnecessary. The SEBI should look into this issue and see if it is a case of market manipulation in collusion with the media.

In another significant development in the US, a few companies have reported lower earnings because of inflation effect, and this spooked Dow Jones and Nasdaq. The companies said that they are witnessing a fall in consumer demand due to spike in inflation. Fine! However, what is important to note is that India has a domestic economy which is showing high growth. Moreover, if demand destruction is really seen in the US, this means demand - push - inflation is coming down, which is a good sign. This further means that, the US Fed will refrain from going for agressive rate hikes in the near term. Hence, today's selling in India bourses simply doesn't make any sense, especially when the FIIs are buying in the F&O Market.

#Those who have a portfolio size of Rs.1 (one) lakh (Rs.50,000 offer is Fully Subscribed and no more quota is left) can join my associate brokerage house and get my guidance to maximize your returns from the stock market investments. 

Also, if you want me to play in the stock market on your behalf, on 70:30 profit sharing basis through the #Crorepati #Scheme, it can also be done, provided you compulsory have a Trading Account in my associate brokerage house. 

That facility of having trading account of any brokerage house to avail of this facility has been removed, from this month, due to foul play by some of the participants. You may send me a mail at: suman2005s@rediffmail.com or sumanm2007s@gmail.com.

Today's recommendation: Buy the shares of Vodafone Idea Ltd near Rs.8.90/8.95 for short term targets of Rs.11/13. The company is coming with a preferential issue at Rs.13.20. Hence, it is now certain that the stock will invariably touch Rs.13/14 by September, 2022. Moreover, there are talks of government of India, taking stake in Vodafone Idea Ltd. Also, the 5G launch will further sweeten the deal. Hence, Buy the shares of Vodafone Idea Ltd near the CMP (in BULK) and keep holding. This is now the golden goose of Indian telecom sector.

#Average the shares of RBL Bank Ltd (Rs.113.75), Canara Bank Ltd (Rs.186.20), Wockhardt Ltd (Rs.269.25), Indowind Energy Ltd (Rs.15.20) and Suzlon Energy Ltd (Rs.9.10). You will benefit in the near future, from June onwards the markets is likely to show a definitive trend. 

Moreover, you should buy stocks, whose stories you know. And therefore, this kind of massive fall gives opportunity to buy good stocks at reasonable valuations, with the SIP method.

#By the way, A2Z Infra Engineering Ltd hit another Buyer Freeze at Rs.12.75. Those who have entered early should think of booking partial profits and hold the rest with a SL of Rs.12.30.

 Winning Strokes

Yesterday, the BSE Sensex closed at 58,576.37 down 388.20 points (-0.66%), the Nifty ended the day at 17,530.30 down 144.65 points (-0.82%). 

The FIIs were net sellers to the tune of Rs.3128.39 crore, while DIIs were net buyers of Rs.870.01 crore. But FII selling only on the peg of expected US interest rate hike is too childish.

The broader market declined sharply. The BSE Mid-Cap index slipped 1.45% and BSE Small-Cap index lost 1.47%.

On the BSE, 1,110 shares rose and 2,316 shares fell. A total of 90 shares remained unchanged.

Last week, the RBI kept repo rate unchanged at 4%, while maintaining its accommodative stance after the conclusion of the MPC meeting on 8 April 2022.  Reverse repo rate stands at 3.35%.

The MPC voted unanimously to maintain an accommodative stance. For FY23, real GDP growth is projected to be 7.2% (down from 7.8% estimated in the previous policies). The CPI inflation is seen averaging at 5.7% (up from 4.5% estimated earlier).

#The shares of Global Vectra Helicorp Ltd (Rs.56.20) moved to Rs.59, intraday. I've been asking all to accumulate when the share recently fell to around Rs.46/47 ranges. The problem is that most investors, don't buy a scrip when it falls to lower levels inspite of my repeated reminders.  I'm looking for a target of Rs.120/180 in the coming days, as the crude oil prices has started to slip below $100 per barrel. However, the welness of the Crude Oil Exploration sector is directly proportional to the fundamentals of the company, though too high price of Crude Oil will dent its fundamentals.

Oil prices dropped on Monday amid fears that COVID - 19 lockdowns in China would depress global demand. International benchmark Brent crude declined 4.18% to settle at $98.48 per barrel.

#The shares of shipbuilders were in demand yesterday. Garden Reach Shipbuilders & Engineers (up 15.42%), Mazagon Dock Shipbuilders (up 8.97%) and Cochin Shipyard (up 5.33%) soared.

I had already mentioned that the fortunes of the Shipping sector is directly proportional to the buoyancy in the Crude Oil space. I had already recommended Reliance Naval and Engineering Ltd (Rs.3.50) for short to medium term gains. This is a sophisticated ship building yard. Due to the downturn in the sector and also due to unfavorable government of India's policies, the company suffered. Now, the new management is likely to put fresh blood in the company. I'm looking at a price of Rs.10/12 by this Deepawali. Accumulate on declines.

#In another major development, Adani Green came out with wonderful Q4FY22 numbers backed by robust performance in both solar and wind portfolios. 

I've telling since sometime that the rise in crude oil and coal prices is likely to spike up the tariffs of wind generation or to specify broadly, Renewable Energy companies.

Taking this perspective in mind, I've already recommended the shares of Indowind Energy Ltd (Rs.17.70). The company has started to perform excellently well in the fundamental front. 

Meanwhile, the Board of directors of Indowind Energy Limited at its meeting held on 7th January 2022, had decided to issue shares on the rights basis to existing shareholders for an amount not exceeding Rs.50 crores only. On that day the shares touched Rs.41.40, intraday.

Accumulate for a target 🎯 of Rs.71/72 in the short to medium term. Stay invested in Suzlon Energy Ltd (Rs.11.20), too.

#The scrip of A2Z Infra Engineering Ltd (Rs.11.50) is consolidating around the CMP. I'm expecting a turnaround in Q1FY23. The share is liked to cross Rs.15 by this Deepawali. Stay invested.

 Tit - bits

*D B Realty Ltd (Rs.91)* has taken the support at Rs.87/88 ranges and is moving up. We can again see the targets of Rs.131/135, as the company is selling its Andheri East land parcel at a whooping Rs.480 Cr. Also, if the media reports are to be believed then it is a takeover candidate by *Adani Group*. As per market rumour, they are likely to name it *Adani Reality*.

*A2Z Infra Engineering Ltd (Rs.10)* has tied up with Airtel for installation of telecom infrastructure in India. Accumulate!!

*RTN Power Ltd (Rs.4)* the erstwhile Indiabulls Power, an  A - grade power company, is struck up in a range. It will however break out of the current levels as its fundamentals are improving constantly. It has two sprawling factories in Amravati and Nashik, the former is *profitable*, while the latter is slowly coming out of debts. *You can start to accumulate once it gives a closing above Rs.4.20.*

The *Mukhesh Ambani owned media Behemoth, *TV18 Broadcast Ltd (Rs.37)* is consolidating around the current ranges, before charting the next upmove. The fall in inflation is likely to push up advertisement revenues of the company.

-----------------------------

*Important:* When the market is not in Bull 🐂 phase, the prudent investors should accumulate, beaten down small caps to make windfall gains during the Bull run, which generally comes after every couple of years. 

Moreover, the NDA Government could come up with a *Populist Budget* this year in view of the ensuring *Parliamentary elections*, next year. This may give us the required opportunity to make good gains from our investments.

SMALL AND MID CAP COUNTERS WERE HAMMERED PROBABLY DUE TO THE FEAR OF INCREASE IN THE COST OF FUNDING  &...

Mr. S P Tulsiyan and his statements on Small Caps: An Analysis...

Yesterday, Rakesh Jhunjhunwala's A2Z MAINTENANCE & ENGINEERING SERVICES LTD made 52-week's low, which rang alarm bells in the bear infested Dalal Street.  Many market-men have given explanation to this fact, but one of the most weirdest came from none other than Mr.S P Tulsiyan, a popular investment analyst hopping across business forums and channels, especially CNBC TV18. Many investors have a habit of investing in any share which has the "divine" touch of Mr.Tulsiyan, who apparently has solutions to all your problems in share market, how much Utopian it may be. Therefore, let us examine him, in view of his latest comments on the movements on some small cap counters, which Mr.Tuslsiyan says is due to "Operators moving out of them". But strangely, Mr.Tulsiyan failed to define what he meant by an operator and if the operations carried by operators are legal in the Indian bourses. 

But before that let us focus on his outrageous comments on the small cap counters. This is what he said, to a business channel yesterday,(without giving more convincing reasons for the fall), which precipitated the fall  in the small cap counters, which is most unfortunate. I had a touch time yesterday, speaking with clients who were worried with their investments in this space. Why? Courtesy: Mr.S P Tulsiyan's irresponsible statements on a Television Channel.  
According to him, "I don’t think operators have the strength to pump in more money because they have already exhausted their cash resources. We have seen operators getting tired and since the carnage of US and Europe I don’t think there is any strength left with them, either of the funds or of the market operations. In that event the financials will really be compelling upon them to liquidate and release their payments. So only thing it needs to be seen whether they expose themselves or they try to salvage, there are no chances of any upside. All the traders trying to identify the lower levels in case of the stocks like KS Oil or Karuturi should really avoid taking call on these kinds of stocks".

This is the kind of statements Mr.S P Tulsiyan is famous for, and which go unnoticed when the stock price moves up.

Now before going for a full fledged discussion let me say, if  Mr.Tulsiyan, knew who the operators were then why did he not complain to the specific authorities, giving the proof of the stock price manipulation? Also, on what basis does he say that some stocks are moved by so and so person? A person  having love for some stock does not automatically become an operator. Right? So, what is the basis of such horrendous statements in front of television cameras? Also, if we assume that Mr.Tulsiyan is speaking based on truth, then instead of coming up with such wild allegations against some persons and groups, he should have complained to SEBI or the respective stock exchanges for price rigging in the scrips.Isn't it? If he has not done that, should we believe him? 
Any logical conclusion would say, NO, because Mr.Tulsiyan knows that, in bathroom all are naked, but it is only those, whose walls are transparent, gets noticed. 

Now let me show you how honest is Mr.S P Tulsiyan in his utterings in front of Television Cameras, which many people (investors/traders) take as face value.

Let me now talk of one such stock, named Reliance Industrial Infrastructure Ltd. Reliance Group has always been his "Pet animal" since a long time, though this group has been notorious for all sorts of manipulation both inside the market and outside. 
This stock (Reliance Industrial Infrastructure Ltd) from the Mukesh Ambani pack, suddenly rose from Rs.318 on 2nd April, 2009 to Rs.820 on 9th April, 2009---in three trading sessions it rose by whooping 158%.  

Observing this, one of Mr.S P Tulsiyan's patrons, CNBC TV 18 called him up on 12 or 13 th April, 2009 (don't remember exactly), to give explanation, when he said, "However, it is learnt that RIL is planning to make RIIL as a gas carrier & distribution company. Reliance Gas Transportation Infrastructure Ltd. (RGTIL) is a closely held company of Mukesh Ambani, which had put up 1,400 kms., 48 inches diameter pipeline from Kakinada to Bharuch, capable to transport 120 mmscmd of gas , having set at a project  cost of Rs.15,000 crores. The present paid up equity of RGTIL is at Rs.700.05 crores with face value of Re.1 and are presently held by 6 private limited companies, with each company holding 1166.75 million shares. In addition to this, it has Preference Share Capital of Rs.330 crores, with face value of Rs.10 each. This company is capable to generate revenue of Rs.700 crores, if we presume a transport of 80 mmscmd at US$ 0.13 per mBtu.

Apart from this, RIL has plans to set up gas pipelines in various parts of the country, originating from KG Basin, as also to take up gas distribution for domestic households in over 150 cities, of the country. It is learnt that the Group is contemplating to bring all this pipeline network and business into RIIL, with a view to attain leadership in the sector. This move was also expected in the past, but got deferred due to delay in gas production by RIL from KG Basin. It is learnt that the Group is contemplating to bring all this pipeline network and business into RIIL, with a view to attain leadership in the sector. This move was also expected in the past, but got deferred due to delay in gas production by RIL from KG Basin.

Maybe now, if this gets implemented, RIIL paid up equity, which is now at Rs.15.10 crores may get raised to Rs.100 crores with promoters holding of 90%, which is allowed for an infrastructure company. The whole exercise is aimed with a view to raise US$ 2 Billion for new projects. This will be possible only if RIIL has a mega size of projects coupled with respectable market capitalisation".

"RIIL has a market cap of Rs. 1,240 crores, inspite of recent surge in the share price, which is not befitting to the level of RIL Group. So, if these plans are required to get implemented. RIIL must become a $4 billion company in terms of size of assets and market capitalisation".

"We hope that these expected plans are implemented by the Group this time for RIIL and not to indulge in market operations again"--this time the sword is on perhaps senior Ambani.

But again, around a couple of years later, on Mon, Jun 13, 2011, Mr.S P Tulsiyan states, the following regarding the same scrip, Reliance Industrial Infrastructure, "Reliance Industrial Infrastructure can move to anywhere between Rs.750 to Rs.1,000. The stock of course made 52-week low on 17th August, 2011. 
So should we now conclude that Mr.S P Tulsiyan was the operator in the stock? 
Anyway, let's dive a little deeper and observe his statements on a scrip, listed in Bombay Stock Exchange. Mr.Tulsian told CNBC-TV18, "Reliance Industrial Infrastructure is a company belonging to Reliance Group in which Reliance Industries is directly holding 45.45% stake. This company came into the fold as promoter by Reliance Industries about 5 to 6 years back. Since then there has been the flat performance. This is because the company is owning about 56 kilometer pipeline which transports the crude from Chembur to Patalganga. That is the reason why the company identical top-line and bottom-line with EPS close to Rs.15 every year. This has been lying low with market cap of less than Rs.1,000 crore. There have always been expectations that this company will get activated by Reliance Industries. The value accretion game may start because the company which belongs to Reliance Industries with market cap of less than Rs.1,000 crore cannot remain at those levels. The trigger has really started, we have seen that Reliance Group has acquired 74% in Bharti AXA Life and Bharti AXA General Insurance with 17% having acquired by this company. This company presently has networth of about Rs.200 crore of which about Rs.160 to 170 crore is laying as cash in bank balances with the company.

He further added, "The process of putting in other businesses in the company has started. If insurance may not come in a full fledged way we will see these kinds of new businesses coming into the company. I am quite hopeful as a value creation game by the group. One does not know maybe the similar other projects can come in a smaller way. That is the reason, with EPS of Rs 15 that translates into a PE of 30-35 which the share has been ruling for ages. For years this has been ruling at 30-35 mainly on this hope. The hope of this has started with the 17% stake of Bharti AXA and I hope that this can really be a big trigger for the company. Going forward if somebody can keep a view of about one year share can move to anywhere between Rs 750 to Rs 1,000 I am giving a broader range so that is the trigger."

NOW THE TOTAL SCENARIO HAS CHANGED GIVING WAY TO A NEW CANVAS--TALK OF “RIL is planning to make RIIL as a gas carrier & distribution company” has suddenly vanished from our vision. 

So, these are the kinds of predatory analysts we have on television channels these days. They are always bent on showing themselves as "Holy Cows" while criticizing the others to the lowest common denominator. Therefore, always do your own research and never ever invest in any company, based on the recommendation of these analysts who come up on Television channels and give lectures on buying or selling scrips. 

Anyway, shifting topic I think it is high time the government, should do something, to stem the tide in the small and mid cap counters and Indian Capital Markets in general.

But much of it is due to the reckless rate hikes by the morons in the Reserve Bank of India, who wants to kill the golden goose of India Inc, by starving them of the required cash.

Moreover, how can the small companies go for the ECB route to raise capital?? So, from where will the cheap credit come to the India Inc, for the SMEs....!! Does the government not understand or they are busy making money for themselves, while the Roam is Burning.........??!!

Earlier, the Indian rating agency CRISIL had cautioned that the primary impact of the US downgrade could be felt on the availability and cost of funding, both in domestic and international fronts.

The spike in uncertainty in international markets following a downgrade of US sovereign debt by rating agency, Standard & Poor’s is expected to force Indian companies to put in their foreign fund-raising plans on the back burner or slow down their capexes. Some companies have already done that and some are contemplating on the same. So, the demand pull inflation could increase further, as the RBI bosses goes in for rate hike sprees.

Further, even the borrowing cost might also go up. While the foreign debt had been cheaper than domestic debt (for India Inc), but now with the US treasury papers themselves witnessing a higher rate, the borrowing cost is bound to get expensive in future, as international bonds are linked to US treasuries.

Therefore it is already a bad news for the fund raisers, at a time when domestic credit is unviable or is very expensive; thanks to the RBI's strict monetary tightening, foreign money is now probably, the only recourse. The latter has been at least 5-7% cheaper than domestic debt and the hedging costs have also been low.

But the question is: is it viable for the SMEs to go for the ECB route to raise capital--doubtful, except may be through GRD or ADR...!!

While the same may get evened out in the long run, the short term pain itself could be very taxing for companies, especially in the SME SECTOR, that are heavily dependent on leverage.

What is interesting here is that the notion of "cheap credit" is slowly getting phased out, in an environment of harder rates, both in the domestic and international fronts. This is expected to bring in more rational re-pricing of risks and more optimum allocation of funds in future....

Besides this during any recession (or fear of slowdown), it is the small cap companies who suffer the most than the large caps; which could also be a possible cause for selling in the small cap counters. Calling them operator based manipulation is just a one side of the story or in many cases a misnomer. 

Market Mantra

Tulip Telecom Ltd hits the buyer freeze in the mid-afternoon trade. The company has an enviable business model and it is pity that the scrips are available at such dirt cheap price. CMP: Rs.16.70. I would like to reiterate again that it would be difficult for you to make money only following this blog, as there are lot of things which needs to be taken into consideration, during the market hours, which is not possible to upload in this blog at this moment. Therefore, join either the Paid Service or you can Join my recommended brokerage house/s or allow me to trade on your behalf in your account to get maximum gains. If you are looking forward to minimizing your losses then you can think of joining my service at the earliest. The markets are moving up and this is the time to make maximum money.

Buy United Bank of India Ltd at Rs.57--57.50, T--Rs.65-66, SL--Rs.55. The Q4FY13 of the company is though not too good, but this kind of results were anticipated and is factored in the current price. The net profit got a hit due to higher provisioning, which is more than double on Q-o-Q basis. However, this is expected to come down in the coming days. Having said, that I would like to say, that non--risk taking investors can try Central Bank Ltd at Rs.69-70, T--Rs.76-77, instead of United Bank of India. Also, with April inflation hitting a 41-month low of 4.89% vs 5.96% in March, the stocks in the banking and construction sectors (basically EPC companies, Eg. A2Z Maintenance and Engineering Services Ltd) are expected to do well in the coming days. The inflation targeting is more or less now over, and we can now look forward for a more expansionary economic goals.

Yesterday's trade was very much in line with expectation. The markets got a jolt at the resistance of 6100  resulting into straight fall of Nifty_Spot to 5973. Finally it settled at 5980 with a net loss of 127 points. However, uptrend being intact, Nifty may find support at sundry levels among which 5950--6000 and 5920 are important. Today, since the morning trade the Nifty_Spot is trading firm, though it dipped slightly in between due to strengthening of the USD against the major currencies. As long as the Nifty_Spot trades above the levels mentioned earlier, it will be a great relief for the bulls. The traders can take long positions, with  a SL in 5920--5900 ranges. The correction was healthy and was needed after such a fierce upmove. Buy the stocks in the Banking, Construction, and Auto Sectors. The RBI is expected to for a CRR cut in the next policy meet and this would be positive for all the sectors mentioned above. Every dip should be used as a buying opportunity.  Nifty_Spot is now trading at 5994, but it is expected to close above 6000.

WINNING STROKES: THINK DIFFERENT 

Today Indian bourses went in for late selling plunging the Nifty down by a massive 62.75 points, while the Sensex nosedived by 184.52 points. But what is good is that, at the end the Nifty got support at the crucial level of 6650. Today also FIIs were net buyers to the tune of Rs.119.11 Cr. The selling is basically coming from the DIIs and clueless retail investors. However, today's fall at the fag end of the day, I believe was more due to the rumours of Jignesh Shah, the 46-year old founder of the FT group, being apprehended by the Mumbai Police. Now what will be the next course of action of  Nifty? Where is expected to trade from here? Should we buy 6700 call or 6600 put? To know all these Join either the Premium Service or my recommended brokerage  houses, before 15th May, 2014, to avail of the Old Rates. Those who will trade through my recommended brokerage house with a minimum portfolio of Rs.1 lakh would get Paid Service Free of Charge. 

Today a scrip was recommended to the Paid Members, whose share is trading at Rs.10.52, has a book value of Rs.39.97 and P/E of only 6.49 against the Industry P/E of 16.57. Also, it has 29.97% of equity (stake) in Haldia Coke and Chemicals Ltd, which in turn hold 60.85% in Ennore Coke Ltd. It is also into Wind Energy in  a major way, and is currently expanding its capacity. What is the name of the company? The scrip is expected to hit non-stop upper circuits from here. The scrip hit Upper Circuits today.

Panic Selling was seen in IVRCL Ltd (Rs.13.50) after some pink dailies published that due to El Nino effect, there could be impact on inflation leading to the RBI going for hard stance on already high Repo rates. But, I feel the correction is over in IVRCL Ltd and the scrip should bounce from Rs.13.20-13.30 levels and move up vertically. It is because, the problems in infrastructure companies is more due to government policies and their slow implementation, rather than high interest rate; though the latter has a sentimental effect. Besides, since IVRCL Ltd is going in for loan restructuring, it is given that the consortium of banks would give it some leeway, to clear its pending debts. Also, once a stable government comes, quick clearances might take place for stalled projects. Therefore our work is to vote the parties who can form a stable government rather than giving our mandates to anyone, who would cater to the local needs. When one is voting for the Lok Sabha (or Parliamentary) elctions, they should always think of the conglomeration they are vouching for. Moreover, restructuring is set to continue with another 12 accounts worth Rs.3,400 crore earmarked to be recast over the next two to three quarters, the management of Canara Bank said last month. IVRCL Ltd alone makes up for half the restructuring pipeline, it added. However, the problems in the sector will persist for at least another three to six months as issues such as slow award of new projects, delay in existing projects and working-capital issues will continue as clients might not release money on schedule.

Entegra Ltd (Rs.3.41) has started hitting non-stop buyer freezes before the monsoons. The company is into renewable energy and its hydro-electric power plant is likely to go on stream soon. The scrip has been asked to be accumulated repeatedly, in this blog. 

A2Z Maintenance and Engineering Services Ltd (Rs.9.84) is consolidating near the current price for the next set upmove. The company recently spoke of taking shareholder's approval to confirm and enable the implementation of Corporate Debt Restructuring Package ("CDR Package'’) approved by the Corporate Debt Restructuring Empowered Group ("CDR EG”) on December 24, 2013 and communicated vide Letter of Approval dated December 28, 2013 (“CDR LOA”). It also, taked about taking shareholders' consent to ssue of Equity Shares on preferential basis in accordance with SEBI (ICDR) Regulations to the Promoter/Promoter Group. Buy the shares of the company and keep holding. It will give you one of the best returns in the days to come. 

Gitanjali Gems Ltd (Rs.62.95) today rose to Rs.64.80 during the intra-day. The company has taken multi-pronged strategy to come out of the blues. Also, after the election results are over, the government of the day, might come up with a package to revive the Gems and Jewelry sector, which bore the brunt of India's high CAD and FD. 

Opto Circuits Ltd (Rs.32.15) closed in the green today, up 1.58%. The worst seems to be over for the company. Opto Circuits (India) Ltd has informed BSE that the Board of Directors of the Company at its meeting held on May 06, 2014, inter alia, have subject to the approval of the share holders and other necessary regulatory approvals whatever required. Approved the following;

• Increasing the Authorised Share Capital of the Company to Rs.700.00 crores from present Authorised Share Capital of Rs.300.00 crores and also to make necessary amendments in the Memorandum of Association of the Company in this regard.
• To raise funds for the Company and/or for its Indian/Overseas Subsidiaries by way of issue of securities, including Global Depositary Receipts (GDRs) and or American Depository Receipts (ADRs) convertible into equity shares, or any instrument or securities representing convertible securities such as convertible debentures, bonds or warrants etc., convertible into equity shares, in one or more tranches, in Indian or Foreign Market(s) as applicable, whether optionally or otherwise or any combination thereof (hereinafter referred to as "Securities") up to an aggregate amount not exceeding US$ 250 million (Two hundred Fifty million US Dollars). I am looking for a target of Rs.50, in the short term. 

WINNING STROKES: THINK DIFFERENT

Yesterday's "Brahma-Astra" call, Southern Online Bio Technologies Ltd at Rs.4.95-5, today hit 20% buyer freeze at Rs.6;as expected. This scrip, has always given returns to investors, since I started to recommend it. The company's two plant has started to run at optimum capacity, apart from its ISP business and therefore, we are likely to see to some more non-stop Upper Circuits going forward. Like yesterday, today also it rose with good volumes. Meanwhile, the company is coming up with a Prefence Issue at price which is much higher than the CMP of Rs.6.

There is no stopping of IVRCL Ltd as the scrip touched Rs.18.59 intra-day. The company has huge order book and it is rising in tandem with many other construction counters.

That scrip which was recommended on 7 May, 2014 hit another buyer freeze at the opening trade at Rs.13.39. The stock, has a book value of Rs.39.97 and has 29.97% of equity (stake) in  Haldia Coke and Chemicals Ltd, which in turn hold 60.85% in Ennore Coke Ltd. It is also into Wind Energy in  a major way, and is expanding capacity. Join the Premium Service to get such scintillating calls. Also, if you are running losses, then cover all of that, through some correct trades. Do that before 15 May, 2014, after which the price of Paid Service is going to increase. 

Plethico Pharma Ltd today touched a high of Rs.40.30, intra-day before closing almost flat at Rs.38.35. The company is tentative to declare its Q4Fy14 results at the last week of this month, which are likely to be along the expected lines. One should buy the scrip and keep holding as once this scrip starts hitting the UCs, then it is difficult to get hold. There is large scale accumulation going on in the counter. 

My recommended, Ahmednagar Forgings Ltd at Rs.125-126, a couple of months back, today touched Rs.218.75. Congratulations to all those who made money in this scrip. 

My recommended Suzlon Energy Ltd at around Rs.8-9 today touched Rs.15.18. Another of my recommended counter, HCC Ltd at around Rs.12-13 today touched Rs.26.40, in just 3-4 months. Follow this blog and make tons of money.
A2Z Maintenance Engineering Services Ltd today closed flat at Rs.10.18. Once should accumulate the counter and keep holding. The scrip could suddenly start moving up. 
My recommended Shiv Vani Oil and Gas Exploration Ltd moved to Rs.14.49, before closing at Rs.14.23. The scrip is expected to give good returns going forward. One should accumulate it on all declines. 

Market Mantra

Strongly recommended call of HDIL touched Rs.52.50, before the results on 29th May, 2013. The scrip which has a book value of Rs.238.53 is now trading at a joke. I am  looking at a target of Rs.120-122 in the next few weeks. The company has huge land bank and there is no reason to worry about its financials. HDIL had land bank of 229.93 mn sq ft  (1 million= 10 lakhs) as on 30th June, 2012. The TDR price as of August, 2012 were ~ Rs.2500 to Rs.3000 per sq. ft. Now calculate and compare the figures with the Gross debt of the company. Did you see the worth in the company's shares? Buy it and keep holding, even at this price of Rs.51-52. Also, the news that  RBI has barred banks from lending against gold exchange traded-funds and gold mutual funds is positive for the equity markets. This is expected to keep the Bulls happy.

Buy ARSS Infrastructure Projects Ltd (BSE Code: 533163) at Rs.31-31.50, T--Rs.37, SL--Rs.29.  The company has reduced the losses in the Q3FY13 as compared to Q3FY12. However, the most important part is that CEPS turned positive to Re.0.51 in Q3FY13 against (-) Rs.1.86 on Q-o-Q basis. There was also an improvement in both the OPMs and NPMs in Q3FY13. on Q-o-Q basis. The Book value of the shares of ARSS Infrastructure Projects Ltd is Rs.238.63.

Central Bank of India Ltd, another strongly recommended counter today touched Rs.68.45. Buy the scrip and keep holding for some decent gains going forward. This is not a momentum counter, but will act as an hedge in volatile times. CMP: Rs.67.80. 
Today A2Z Maintenance and Engineering Ltd, is showing some signs of bottoming out. Keep a close watch on the company and start averaging  on any pull back. Remember, the big Bull Rakesh Jhunjhunwala is having huge position in the company. CMP: Rs.16.95.
Glodyne Tech Ltd is consolidating before the declaration of the results on 30th May, 2013. The company is now doing a bit better and should turn black within the next few quarters. The debt levels have also come down, a bit due to some strong measures during the last few months. I have already recommended a speculative buy on the scrip. CMP: Rs.11.45.

WINNING STROKES: THINK DIFFERENT

Allied Digital India Office Directory

A2Z Maintenance Engineering Services Ltd hit another buyer freeze yesterday. The scrip closed at Rs.17.20.  During the period ended September 30, 2014, the Company has secured EPC contracts worth approx. Rs.240,000 lacs.

Allied Digital Services Ltd which came out with good set of numbers for the September, 2014, closed at Rs.22.40, yesterday. The company came out with a net profit of Rs.6.14 Cr and EPS of Rs.1.33 in the September, 2014 quarter.. For FY15, the EPS is likely to be Rs.3-3.5. The scrip will cross Rs.30, within a short time. 

Seeing the share price of Resurgere Mines and Minerals Ltd (Rs.1.41) not going anywhere, during this raging bull run, might have left many of you disappointed.....But off late there are lot of happenings in the Indian Mining Sector. On December 3, 2014, the Hindu Business Line reported:

In October, Sandvik announced a plan to set up its sixth manufacturing base in India at $ 45 million (approximately 280 crore at current exchange). But that may not be the end of the investment proposals to the country. According to Kobus Malan, President emerging markets, Sandvik Mining, the company is also relocating number of its global mining equipment facilities from USA and Europe to India and China as part of a two year business reorganisation plan that will be completed in the next fiscal. 

Not only this,  The Times of India, 18 December 2014 reported that, "....Maharashtra has announced lifting of a ban on sand mining in Konkan's eco-sensitive zones". Also, Hellenic Shipping News Worldwide wrote, on 18-Dec-2014: "India Joins Iron Ore Output Surge". All this makes Resurgere Mines and Minerals Ltd,  an ideal takeover candidate (Market cap of only Rs.28.04 Cr and Book Value of Rs.27.14).
Western India Shipyard Ltd moved up by 3.28% and closed at Rs.1.89, in the BSE. Inspite of the company constantly improving its performance during the last few months, the share price is not moving up (March quarter, net loss: Rs.12.12 Cr;  In June quarter the net loss came down further to Rs.9.27 Cr and in the September quarter, the net loss came down even further to Rs.4.51 Cr. Also, there was a surge in net revenues to Rs.12.60 Cr in the September quarter, as compared to Rs.7.19 Cr in Q1FY15 and 11.18 Cr in Q4FY14). . Really, strange!! I think it would start to show a major up-move, once a TV-analyst gives a Buy Call in front of Camera....Huh!! These days, 24x7 business channels have entered into the psyche of common man (investors/traders) in such a way that, that most consider their words as "Gospels". Or else why should Eicher Motors Ltd (Rs.14607.60; Book Value: Rs.303.07), Ashok Leyland Ltd (Rs.50.55; Book Value: Rs.15.69), etc trade at such a high price? Bring some market-men and ask they them to hammer "BUY, BUY, BUY", hundred times in front of TV-cameras, a scrip will move up---there is no  need of any fundamentals.

P.N: I am  not keeping well since the last few days--suffering from Fever, Cough, Diarrhea, etc. Hence the blogs could not updated in proper time. Please bear with me. 

WINNING STROKES: THINK DIFFERENT

Photo: Pearl Potluri
Can you recognize the woman in the photo ?

Yesterday, a buy call was initiated on Nifty ('Therefore, LIGHT long term positions may be taken, with a target of 7750 on the upside'), after it moved above 7600 and was threatening to break the immediate resistance of 7630. Today also the buy call was continued on the Paid Blog ('There are lot of shorts in the market and the market is expected to move up further on short covering alone'). I  hope those Premium Members who play on the Nifty Futures must have made good money, in the two days (Yesterday and today).

Western India Shipyard Ltd (Rs.2.08), which came up with comparatively good results in Q1FY15, on sequential basis, surprisingly came down today also. Also, both the net and operating profit margins improved sequentially, which indicates that good days are ahead for the company. In turnaround companies, we should always look at sequential results instead of Y-o-Y view. 

PVP Ventures Ltd (Rs.6.54), came out with slightly better results on sequential basis in Q1FY15, but what is surprising is the net profit, which is only Rs.57 lakhs, inspite of having the wife of Potluri Vara Prasad, who is one of the promoters of PVP Square Mall in Vijayawada, as one of the promoters of PVP Ventures Ltd!! Where is the money of PVP Ventures Ltd going? Moreover, when Sureddi Jhansi (the wife of Potluri Vara Prasad) and Potluri Sai Padma, could not bring any good to, PVP Ventures Ltd during the last 4-5 years, then on what basis the banks gave loans to them, to open PVP Square Mall? So, are the banks aware that the money is being siphoned off from the PVP Ventures Ltd by balance sheet mismanagement? The management has sucked up the company in such a way that even when the Nifty is near 7000, the share of PVP Ventures Ltd (CMP: Rs.6.54, Face Value: Rs.10) is still trading not only below its book value but also its face value. Meanwhile both Sureddi Jhansi and Potluri Sai Padma were able to come up with a mega-enterprise in Vijayawada, as Potluri Vara Prasad, dabbled with politics. In between, Potluri Vara Prasad was able to create a personal fortune worth crores, while the shareholders of PVP Ventures Ltd were left with a begging pan, like what is happening in SEL Manufacturing Company Ltd (Rs.4.43). How strange!! Now they might talk of buying the PVP Square mall, with whatever money is left in the kitty of PVP Ventures Ltd--this time the money going directly to the accounts of Sureddi Jhansi and Potluri Sai Padma. The moot point is that, the condition of the shareholders remains the same whether it is the UPA or NDA rule. Unfortunate!! Another point which I would like to stress is the gradual transformation of the Hyderabad (Erstwhile Andhra Pradesh) based companies to "Ahmedabadi Companies" (earlier the companies based in Gujarat had a very bad reputation of balance sheet manipulation) 

Allied Digital Services Ltd (Rs.18.65), having a Gujarati Promoter is coming up with Q1FY15 results on 14th August, 2014. It would be interesting to see if the company, comes up with dividend or not. It is to be noted that the company's fundamentals' have improved slightly during the last few quarters. 
It seems the correction in IVRCL Ltd (Rs.19.50) is over. The sock could move up in the near term as the SEBI on Sunday approved Real Estate Investment Trust norms. The company has an order book of around Rs.20, 000 crores and got its loans restructured, through a CDR package. 
My recommended A2Z Maintenance and Engineering Services Ltd hit another buyer freeze today at Rs.17.75. I received lot of flak when the scrip was recommended in this blog at around Rs.11-12.