Wockhardt Ltd: Buy

CMP: Rs.609.15

I have Not been a fan of pharmaceutical sector since the last few years, however I feel this stock is ready for upmove after the Q1FY19 results.

Wockhardt Ltd reported narrowing of its consolidated net loss to Rs.86 crore for the quarter ended June. The company had registered a loss of Rs 410 crore in the same period a year ago.  Its Consolidated Sales revenue increased by 13.13% to Rs.1,008 crore during the reported quarter from Rs.891 crore in the corresponding period of 2017-18. 

Buy the stock at the CMP of Rs.609.15 for short term targets of Rs.722/781; SL: Rs.560. This is a special stock recommendation for the ardent blog readers. This stock has NOT been recommended to the Premium Group Members. 

Note: I will be recommending a Small Cap Short Term Momentum Counter to the Premium Group members tomorrow, to be bought on Monday morning; apart from regular updates on the earlier recommended counters.

If you want to know the name, then you should either trade through my associated brokerage house or subscribe to my Yearly/Life Time Premium Services. Now Highly Discounted Life Time Subscription Offer is going on, which you can avail of... You can reach me at: suman2005s@rediffmail.com or sumanm2007s@gmail.com. 

Should You Prefer Mutual Funds over Equities?

Photo: The Financial Literates

I get lot of mails asking me, whether investing through Mutual Funds is less riskier than through direct investment in stock market. Also, they ask if the risk return  ratio is same in both the cases or not.

#No it is not at all less risky to invest through mutual funds, as they also deploy their funds in the stock market. However, in the initial stages, when an investor has not much exposure in the capital market, he/she can take the Mutual Funds route, provided they have some information on the quality of the fund manager.

#2ndly, Mutual Funds can only buy, they cannot sell, unless there is redemption of the fund. In case of open ended funds, they will keep on holding on to your investments in various  securities, unless you ask  them to sell and return your money. This means if the stocks in your portfolio suddenly falls, from the yearly highs, then you might also get negative returns in your portfolio, inspite of stocks making yearly highs, sometime in the year. 

Since, Mutual Funds cannot sell, you cannot do both ways trading in your portfolio which is very essential in a falling market or when the market is trading sideways. 

#In case of stock market, you research a stock and not only invest but also have keep track of the same. In case of Mutual Funds, you are at the mercy of the fund manager in terms of stock picking and at the same time you need to  keep a track on the NAV of the funds. This means you cannot sleep keeping your money in Mutual Funds.

#In case of equities, you can track a few stocks  and play. But in case of Mutual Funds, choice of funds is a big issues, as there are various types of dishes available, viz. small cap, mid cap, real estate, infrastructure, etc funds available at your disposal; apart from being close ended or open ended. A novice investor, generally gets confused as where to invest.  

#Investment through SIP can be dangerous, as the Mutual Funds will deploy your funds even when the market is at the peak. Their work is to invest in equities, so they will  not wait for market correction to invest. This could be perilous if the market is at the peak. 

However, there are some positives also in Mutual Funds, as seen in the above photo. 

Hence, looking from all these  angles, it is always better to invest directly through equities, provided you take the help of experts.

Winning Strokes: Think Different

The market jumped on Friday after two consecutive sessions of falls, boosted by banks stocks. The barometer index, the S&P BSE Sensex, rose 391 points or 1.05% to settle at 37,556.16. The Nifty 50 index rose 116.10 points or 1.03% to settle at 11,360.80. Shares got a boost after the weather department forecast a recovery in monsoon in August and September.

Among secondary barometers, the BSE Mid-Cap index rose 0.93%, underperforming the Sensex. The BSE Small-Cap index rose 1.16%, outperforming the Sensex.

The market breadth, indicating the overall health of the market, was tilted in favour of buyers. On BSE, 1771 shares rose and 936 shares fell. A total of 143 shares were unchanged.

The India Meteorological Department (IMD) said on Friday, 3 August 2018, the rainfall as a whole during the second half of the season (August and September) was likely to be 95% of a long period average.

On the macro front, the Indian service sector remained in expansion territory for the second consecutive month in July. The seasonally adjusted Nikkei India Services Business Activity Index posted above the neutral 50.0 threshold for the second consecutive month in July. Moreover, rising from 52.6 in June to 54.2 in July, the latest reading signalled the strongest rate of output growth since October 2016. Favourable demand conditions were cited by panellists as the key factor behind the latest upturn. The data was unveiled during trading hours today, 3 August 2018.

Overseas, European equities were trading higher helped by a rally in banking shares after Royal Bank of Scotland Group announced plans to resume payouts. Asian stocks ended mixed. The mood was cautious amid an elevation in trade tensions between the US and China. The trade war between the world's top two economies intensified midweek after US President Donald Trump raised pressure on China by proposing a higher 25% tariff on $200 billion worth of Chinese imports. China reportedly responded on Thursday, saying that it was fully prepared to defend the interests of the people and free trade.

Investors were also cautious ahead of the July US jobs report due later on Friday, which will give a reading on the health of the world's largest economy and possible clues about the pace of Federal Reserve interest rate rises.

US stocks ended a rocky session decidedly higher on the back of a record rally by Apple that took the iPhone maker to a market cap above $1 trillion, a runup that helped Wall Street set aside bothering trade issues between the US and China.

On the US data front, initial jobless claims rose by 1,000 in the latest week, however they were near their lowest levels since the 1970s. The report comes a day ahead of the highly anticipated July jobs report. Separately, factory orders rose 0.7% in June.

Investors also digested the latest moves from the Bank of England (BoE), which pushed interest rates above their financial crisis lows on Thursday but signalled it was in no hurry to raise them further with an uncertain Brexit on the horizon. BoE raised its main interest rate by 25 basis points to 0.75%, as had been expected.

#The stock of 3i Infotech Ltd was given a buy 1st to Premium Members and also to the followers of this blog only some weeks back at around Rs.3.60. The stock hit the UC in the BSE at Rs.3.94 before closing at Rs.3.92. 

#The scrip of Kwality Ltd hit another buyer freeze today in the BSE at Rs.15.15. The share of this company was recommended to the Premium Members at around Rs.11. Today, I have recommended another small cap counter to the Premium Members, whose name will be disclosed on next Monday. Those  who are interested for Yearly/Lifetime Premium Membership, they can contact me at: suman2005s@rediffmail.com.

#The stock of SKM Egg Products Exports (I) Ltd was given to the Premium Members yesterday at around Rs.78.10. The scrip hit the UC in the BSE at Rs.81.4, before closing at Rs.80.40. We can expect for targets of Rs.91-92 in the coming days. 

#The share of TV Vision Ltd hit another buyer freeze in the BSE today at Rs.5.51. Its group company Sri Adhikar Brothers Television Network Ltd also hit the upper circuits in the BSE at Rs.6.87. I hope most of you have averaged the scrip and is looking for good returns, going forward. 

#

~~with inputs from Capital Market - Live News...

Market Mantra

Shares jumped on bargain hunting after a recent sell off. The indices opened higher and firmed up in mid-morning trade. Indices turned range bound in early afternoon trade. The Sensex rose 297.42 points, or 0.80% at the day's high of 37,462.58 in mid-morning trade. At 13:48, the Sensex was trading at 37,484.12 up 318.96  points (+0.86% and NSE was at 11,333.85 up 89.15 points (+0.79%).

Among secondary barometers, the BSE Mid-Cap index was up 0.98%. The BSE Small-Cap index was up 1.11%. Both these indices outperformed the Sensex.

The market breadth, indicating the overall health of the market, was tilted in favour of buyers. On BSE, 1695 shares rose and 702 shares fell. A total of 120 shares were unchanged.

On the macro front, the Indian service sector remained in expansion territory for the second consecutive month in July. The seasonally adjusted Nikkei India Services Business Activity Index posted above the neutral 50.0 threshold for the second consecutive month in July. Moreover, rising from 52.6 in June to 54.2 in July, the latest reading signalled the strongest rate of output growth since October 2016. Favourable demand conditions were cited by panellists as the key factor behind the latest upturn. The data was unveiled during trading hours today, 3 August 2018.

Overseas, Asian stocks were mixed. The mood was cautious amid an elevation in trade tensions between the US and China. The trade war between the world's top two economies intensified midweek after US President Donald Trump raised pressure on China by proposing a higher 25% tariff on $200 billion worth of Chinese imports. China reportedly responded on Thursday, saying that it was fully prepared to defend the interests of the people and free trade.

Investors were also cautious ahead of the July US jobs report due later on Friday, which will give a reading on the health of the world's largest economy and possible clues about the pace of Federal Reserve interest rate rises.

US stocks ended a rocky session decidedly higher on the back of a record rally by Apple that took the iPhone maker to a market cap above $1 trillion, a runup that helped Wall Street set aside bothering trade issues between the US and China.

On the US data front, initial jobless claims rose by 1,000 in the latest week, however they were near their lowest levels since the 1970s. The report comes a day ahead of the highly anticipated July jobs report. Separately, factory orders rose 0.7% in June.

Investors also digested the latest moves from the Bank of England (BoE), which pushed interest rates above their financial crisis lows on Thursday but signalled it was in no hurry to raise them further with an uncertain Brexit on the horizon. BoE raised its main interest rate by 25 basis points to 0.75%, as had been expected.

#Yesterday, the stock of SKM Egg Product Exports Ltd, was recommended to the Premium Members at around Rs.78.1. The stock rose to Rs.81.95 intraday and is now trading at Rs.81. Egg prices have increased by more than a rupee, up to Rs.5.50 apiece, as compared to the same period last year, due to a combination of reasons including the recent truckers strike and increased consumption in northern India. Egg traders said the increased supply to Andhra Pradesh, where the government had increased the number of eggs served under its midday meal scheme, has also contributed to the rise in price.  All the export oriented companies are likely to do well in the cominjg days due to INR depreciation.
For targets  and other details, you either need to trade through my recommended brokerage house or subscribe to my Yearly/Lifetime Premium Services. 

#An Exit from Unitech Ltd (Rs.4.15) was suggested to the Premium Members yesterday. The short term traders who follow my blog,can leave the counter with either no profit or no loss or with minimum loss. The company is beset with a host of problems and the stock is not performing as expected. 

#The scrip of TV Vision Ltd has hit another buyer freeze in the NSE today at Rs.5.4. Similarly, the stock of its group company Sri Adhikari Brothers Ltd has also hit the upper circuits at Rs.6.8. If you remember, I have repeatedly asked the investors to accumulate both the stocks in all market dips. 

#The scrip of HDIL touched Rs.25.35 today. You should look for targets of Rs.31, unless Rs.21 is broken on the upside. The point is that the real estate market all over India is still to gather optimum steam. 

#The stock of Kwality Ltd hit another buyer freeze today at Rs.15.1. I am expecting it to touch Rs.19, in the coming days. Keep accumulating on dips (if any).

#The share of Monnet Ispat and Energy Ltd hit Rs.18.2 and is now trading at Rs.16.7. Since the scrip reached its first target of Rs.17, the investors and traders are requested to book some profits in the counter. 

~with inputs from Capital Market - Live News...

Winning Strokes: Think Different

Stocks drifted lower in volatile trade after the Reserve Bank of India's monetary policy committee raised repo rate by 25 basis points. The barometer index, the S&P BSE Sensex, fell 84.96 points or 0.23% to settle at 37,521.62. The Nifty 50 index fell 10.30 points or 0.09% to settle at 11,346.20.

Broader market bucked negative market trend. Among secondary barometers, the BSE Mid-Cap index rose 0.19%. The BSE Small-Cap index rose 0.26%. Both these indices outperformed the Sensex. The market breadth, indicating the overall health of the market, was positive. On BSE, 1401 shares rose and 1295 shares fell. A total of 144 shares were unchanged.

Among the sectoral indices on BSE, the S&P BSE Healthcare index (up 1.11%), the S&P BSE Oil & Gas index (up 0.99%), and the S&P BSE FMCG index (up 0.77%) outperformed the Sensex. The S&P BSE Auto index (down 0.77%), the S&P BSE Metal index (down 0.62%), the S&P BSE Bankex (down 0.55%) underperformed the Sensex.

The Reserve Bank of India (RBI) concluded its two-day monetary policy meeting today, 1 August 2018. The resolution of the Monetary Policy Committee (MPC) was unveiled at 14:30 IST. On the basis of an assessment of the current and evolving macroeconomic situation at its meeting today, the MPC decided to increase the policy repo rate under the liquidity adjustment facility (LAF) by 25 basis points to 6.5%. Consequently, the reverse repo rate under the LAF stands adjusted to 6.25%, and the marginal standing facility (MSF) rate and the Bank Rate to 6.75%. The decision of the MPC is consistent with the neutral stance of monetary policy in consonance with the objective of achieving the medium-term target for consumer price index (CPI) inflation of 4% within a band of +/- 2%, while supporting growth.

Manufacturing conditions across India improved at a modest and slower pace at the start of the quarter, reflecting softer rises in output, new orders and employment. The Nikkei India Manufacturing Purchasing Managers' Index (PMI) posted 52.3 in July, down from 53.1 in June. Although modest, the latest improvement in the health of the manufacturing sector was the second-strongest (behind June) since January. The data was released during trading hours today, 1 August 2018.

The stock of Unitech Ltd (Rs.4.20) was recommended today in this blog at around Rs.4.25, for short term targets of Rs.5.5-7, as the company is slowly becoming debt light. The company will soon sell off 600 acres of land. Stay invested, it is expected to give a strong move soon.

The scrip of Kwality Ltd today hit another buyer freeze at Rs.13.75. To know the approximate target prices, you need to join the Premium Information Service. Now there is cheap Life Time Offer going on....so avail of the same, before the price shoots up.  

3i Infotech Ltd will be one of the biggest beneficiaries of the devaluation of the INR Vs USD, as the company has office in more than 50  countries. The stock closed flat at Rs.3.55 before touching Rs.3.65 intraday.

The stock of Monnet Ispat & Energy Ltd recommded in this blog at around Rs.11 last month hit another buyer freeze today at Rs.15.80. It closed above a major resistance today in the NSE. The next targets for the scrip are Rs.19-21.

~~ with inputs from Capital Market Live News..

Market Mantra

Key benchmark indices were trading higher in early trade on positive global cues. At 10.26 am, the BSE Sensex was trading at 37,645.53 up 38.95 points or 0.10% while NSE was trading at 11,380.40 up 23.90  or 0.21%.

Among secondary barometers, the BSE Mid-Cap index was up 0.50%. The BSE Small-Cap index was up 0.39%. Both these indices outperformed the Sensex. The market breadth, indicating the overall health of the market, was strong. On BSE, 769 shares rose and 302 shares fell. A total of 43 shares were unchanged.

The Reserve Bank of India (RBI) will conclude its two-day monetary policy meeting today, 1 August 2018. The resolution of the Monetary Policy Committee (MPC) will be unveiled at 14:30 IST today, 1 August 2018. RBI raised its benchmark policy repo rate by 0.25% to 6.25% in its second bi-monthly monetary policy for 2018-2019 on 6 June 2018.

Overseas, most Asian stocks edged higher, taking cues from the positive session seen in the US market following news that the US and China may restart official talks about their months-long trade dispute.

US stocks closed higher Tuesday, as investors continued to digest an onslaught of quarterly earnings reports, with the vast majority beating expectations. But headline news on trade continued to drive markets.

#Buy Unitech Ltd at around Rs.4.25 for short term targets of Rs.5.5-7. According to the Simply Wall St, Unitech Ltd’s level of debt is appropriate relative to its total equity, at 36.91%. This range is considered safe. At the current liabilities level of ₹168.08B liabilities, it seems that the business has been able to meet these obligations given the level of current assets of ₹232.50B, with a current ratio of 1.38x. Generally, for Real Estate companies, this is a reasonable ratio since there is a bit of a cash buffer without leaving too much capital in a low-return environment. In the last hearing, the honourable Supreme Court of India had directed the committee it had set up in the Unitech case, to speedily auction over 600 acres of unencumbered land properties of the embattled firm located in Agra, Varanasi, Bengaluru, and Sriperumbudur near Chennai so that money is refunded to homebuyers. This is expected to substantially cut the debts of the company. Unitech Ltd recently sold its Bangaluru land to Devas LLP at Rs.49 crore. The company has deposited Rs.42.73 crore in court after tax deduction at source (TDS). It had already deposited Rs 5 crore, legal sources present at the hearing say.In this slowly and slowly the company is coming out of the debt fiasco. The stock price is getting hit due to wrong reasons. I hope by October, '18, the stock should trade near Rs.7 levels.

#Kwality Ltd has hit another buyer freeze today in the Rs.13.75 in the NSE. Recently, there were some positive news in the media, which is propelling it to rise. The scrip was recommended to the Premium Members on this Sunday to be bought on Monday. 

#Buy the shares of 3i Infotech Ltd at the CMP of Rs.3.60 for short term targets of Rs.6-6.3. The company is likely to benefit from the depreciating INR as it has huge overseas presence. For example in Q1FY19, the tech giant Infosys Ltd's  Dollar revenue grew by 0.9% at $2,831 million versus $2,805 million (QoQ). In Q1FY19, the consolidated revenue of 3i  Infotech Ltd rose to Rs.241.98 crore versus Rs.239.31 crore though profit fell marginally to Rs.15.19 crore versus Rs.16.88 crore on YoY basis.

Recently, 3i Infotech Limited, the global Information Technology company launched Maggie – a Virtual IT Engineer. Maggie is part of cognitive service desk that promises to help contact centres to address hundreds of user requests simultaneously of the digital-age users anytime, from anywhere.

#The shares of both TV Vision Ltd (Rs.4.95) and Sri Adhikari Brothers Television Network Ltd (Rs.6.20) hit their respective buyer freezes today. The stocks were repeatedly asked to be accumulated in this blog. I have already given the short term targets for both the scrips, in my last blog post. 

~~with inputs from Capital Market - Live News...

Winning Strokes: Think Different

On last Sunday, the share of Kwality Ltd (Rs.13.10) recommended to the Premium Members to be bought at 9.15 am, this Monday. The stock fell to Rs.12.20 yesterday before hitting the UC. Should you buy tomorrow or give it a go? 

The name of Housing Development & Infrastructure Ltd was mentioned yesterday, along with a few Bombay based real estate counters to the Premium Members, after a daily posted some encouraging reports on  the real estate sector . Today HDIL made a high of Rs.24.15 before  closing at Rs.24.10 up 19.65%. The company has one of the highest land parcels among all the Mumbai based real estate companies. 

The stock of TV Vision Ltd (Rs.4.75) as expected has started to hit the buyer freeze. I am expecting it touch Rs.7-8  very soon. Keep accumulating on declines. 

The investors and traders who are looking to invest in tea scrips can go for Peria Karamalai Tea & Produce Company Ltd at the CMP of around Rs.300 for short term targets of Rs.317-387. This is from the reputed LNB Group, one of India's leading diversified business conglomerate headquartered in Kolkata. The Peria Karamalai Tea & Produce Company Limited was incorporated in the year 1913 and is one of the oldest high quality black tea manufacturers in the country with modernised manufacturing facilities in South India producing RC & NRC CTC Teas. It has 5,500 acres of land in Tamil Nadu with a planted area of 3,900 acres across 4 gardens - Karamalai, Akkamalai, Vellamalai and Nadumalai. The Company also manages Pepper and Timber plantations and is planning to invest over~$2 Million to establish a Green Tea Production facility. In the early 90's the company commissioned 9 Wind mills with a total capacity of 2.5 MW in Tamil Nadu and is currently developing a 3MW captive solar facility. With a production capacity of over 5 million kilos of quality tea every year, the company prides itself on running a successful business which directly employees over 3000 families. 

In the international front even as there has been a drop in orthodox tea prices on account of uncertainty in Iran, prices of dust teas have risen about 9% compared to a year ago as leading blenders are buying good volumes of tea bags, the consumption of which is picking up in the country. 

The scrip of Sri Adhikari Brothers Ltd has hit the buyer freeze today at Rs.5.95. I am expecting it move to around Rs.8-9 in the coming days. The stock of this reputed media player has fallen from grace and should recover.  I been asking to accumulate this share along with TV Vision Ltd since the last few months; after the price stabilizes. According to my sources, the company has placed a resolution in front of the lenders, which is expected to further ease selling pressure on the scrip. 

Premium Members who till now have not given their Whatsapp Numbers are requested to do the same at the earliest. It is because I have lost all your cell numbers due to my earlier mobile going for a toss. If you do not give your mobile numbers, then you  might miss sudden intraday inputs from me; as I get news/rumours from the sources. However, you would continue to get mails in your mail boxes, as usual. 

Also, the offer of Premium Life Time subscription is going on, at a cheap rate till the end of October. Those who are interested can mail me at: suman2005s@rediffmail.com. 

Moreover, if you have around Rs.3-5 lakhs then we can go for joint venture with 60:40 profit sharing ratio between you and me. This will be mainly anchored on investment based themes, with proper stop losses and rare trading initiatives. If the trading is limited then there is more chance to make profits; though sometimes prudent trading also gives good returns. However, the long term investment goals in stock market suffered, after this insane Narendra Modi government brought in LTCGT. 

Winning Strokes: Think Different

At the onset I would like to say, that this blog could not be updated during the last few days, as I am having repeated attacks of fever. Don't know the reasons, but this has recently become an eyesore for me, affecting my overall activities. Anyway, the fever has subsided a bit, and hence I thought to update the blog, so that you get some hint on my recommended counters. 

Shree Renuka Sugars Ltd, which was recommended on the basis of ethanol story and GST reached it target of Rs.13 (intraday high of Rs.13.5). I hope most of the Premium Members booked profits today as it closed at Rs.12.81.

The stock of Sintex Industries Ltd today made a high of Rs.14.1 before closing at Rs.13.91. Pan-India strike by truckers over six days hits the textile sector hard and this is probably reflected in the share price of the company. However, I feel with no immediate triggers in the sight, it will take sometime for the stock to move up. 

The stock of BPL Ltd which today  mad a high of around Rs.61.2, closed at Rs.57.25. The investors and traders should book profits in the counter and hold the rest with a SL at Rs.56.

I will be recommending a small cap momentum stock to the Premium Members on Monday, apart from updates on stocks like Rasoya Proteins Ltd, Southern Online Bio Technologies Ltd, etc.. Those who are interested to know the name of scrip and get updates are requested to join Premium Service. Now life time offer (30 years) at the rate of Rs.2000 per  year is going on; you can take advantage of the same before the price shoots up.  

Also, female investors/traders are requested to send a proper mail to me, when they inquire about the details of the Premium Service. Incomplete mails without name will be summarily rejected and their e-mails will be blacklisted. I don't understand why majority of Females, have this habit of sending me mails without  a name.. If you are so fearful that your email addresses or names might be misused by me, then kindly don't send me mail. I will be better off, without you...!! If you cannot write a proper email, then take admission in 7th standard once again....

Winning Strokes: Think Different

The stock of BPL Ltd recommended to the Premium Members at Rs.47.5 this week, jumped 20% today and hit the Upper Circuits. The stock closed at Rs.57.80 in the BSE. Where is the stock heading?

The stock of IFCI Ltd recommended to the Premium Members at Rs.15.65 this week, touched a high of Rs.16.90 intraday, before closing at Rs.16.27. We can look for targets of Rs.19-21 in the coming days, due to the positives mentioned in my earlier post. 

The stock of Shree Renuka Sugars Ltd recommended to the Premium members at around Rs.10.10 today made an intraday high of Rs.12.30 in the BSE before closing at Rs.11.5, with a gain of 11.43%.

The share of Dwarikesh Sugar Industries Ltd which was recommended to the Premium Members this week at around Rs.14.5, today made an intraday high of Rs.16.3, before closing at Rs.16.05 up 10.31% in the BSE. What is the next target for the scrip?

The scrip of Sintex Industries Ltd recommended to the Premium Members and in this blog at around Rs.13.65 made a high of Rs.14.43 today in the BSE before closing at Rs.14.13. We can look forward for targets of Rs.17-19 in the coming days. You should accumulate the scrip in intraday declines, so that your average price comes down.

The share of Globus Spirits Ltd recommended to the Premium Members at Rs.109 this week made an intraday high of Rs.118.85 before closing at Rs.118.30 up 5.58%. We can look for targets of Rs.121-122, in the coming days. But then on what grounds was the share recommended?

I have come out with a Cheap Lifetime Subscription Package (for 30 years) of my information Service, both for the Cash and the F&O market. Those who are interested can send in a mail at: suman2005s@rediffmail.com. The price of this offer is going to rise post Durga Pooja/Dusshera in 2018. This is much better (9 times cheaper) than what you pay for one year. 

Also, I am looking forward for some ace investors, who is ready to have a JV with me on the share market investments. The said angel investor should have a minimum investment capacity of Rs.5-10 lakhs, with around Rs.5 lakhs as buffer, to average the scrip/s in case market gives opportunity. There will be no trading in the counters, only investment based strategy would be employed. The time period of holding would be 2-3 years. The sharing ratio would be 60:40, between you and me.

Winning Strokes

The stock of PC Jeweller Ltd (Rs.93.70), today made a high of Rs.97.55 in the NSE. The 1st target has been reached and I am sure most of the Premium Members booked profit in the counter. However, the fact is that the gold prices could rise in the international market in the short term and hence unless Rs.86 is breached on the downside, the long term investors can keep holding the counter for the next targets of Rs.111-112. 

Recently, there was media reports that Rakesh Jhunjhunwala has increased his stake in J P Associates Ltd (Rs.15.15) to 1.98%, raising lot of eyebrows. It is because I feel may be RJ is thinking that in 2019, the BSP might have a better standing than of today.  Its CMD, Mr.Manoj Gaur has high political connections and it is unlikely that this company is going to fade from the Indian map. 

This company basked in limelight throughout the last decade, building India’s first F1 racing tracks, laying out one of the country’s showcase expressways, launching India’s biggest housing project and rapidly diversifying into multitude of business areas, where it quickly captured large market shares. The company continued to grow during 2004-07 period till the global financial crisis, knocked down the essential pillars of the Indian economy. 

The company piled up debts and the stock Stock of JP Associates Ltd fell from its peak price level of Rs.340 (adjusted basis) in April 2008 to around Rs.6 in 2016. I remember giving a buy at around Rs.8 in this blog, a couple of years back; after which the scrip traveled near Rs.30, giving ~four fold returns to the patient investors. 

There is a news today that, FMO has introduced a bill to further amend the BIA, therefore, till the contours of that fiat comes out in the public domain, I would prefer to have a range play between Rs.13-21.

Sintex Industries Ltd went through selling pressure today and closed at Rs.13.20, even though the company is expected to get benefited due to the duties imposed on imported apparel. The company came out with good set of numbers for the Q1FY19, and I am sure over the medium term, the patient investors would make money in this counter. 

The stock of IFCI Ltd (Rs.15.55) was recommended to the Premium Members this week on the hope that it  is likely to recover ~Rs 2,000 crore from NPA resolution in FY'19. Also, the company is planning to raise around Rs.3000 crore through debt, to fund its new businesses. This Infrastructure lender recently recovered Rs.280.30 crore and has been allotted over 5.79 lakh equity shares of debt-ridden Bhushan Steel (BSL), which has been acquired by Tata Steel, under the insolvency process. The value of 5.79 lakh of Bhusan Steel Ltd at the CMP of Rs.24.05 comes to around Rs.139 lakhs. You can buy, at the CMP  of Rs.15.55, for a short term target of Rs.19.

The stock of BPL Ltd (Rs.48) was recommended today as the company would be a major beneficiary of the GST cut on some of the electric and electronics items (or say consumer good). The company has a major presence in the rural market.  I am looking for a short term target of Rs.53, in the coming days. 

The scrips of Renuka Sugars Ltd (Rs.10.30) and Dwarikesh Sugar Industries Ltd (Rs.14.50) were given a buy to the Premium Members today. In fact a buy was initiated for all the ethanol manufactures, after positive report oozed out from the government regarding GST. With the crude oil on the boil, I am looking forward for short term targets of Rs.13-15 for Shree Renuka Sugars Ltd and Rs.17 for the latter. 

Today, the S&P BSE Mid-Cap index rose 1.29%. The S&P BSE Small-Cap index rose 0.93%. Both these indices outperformed the Sensex. The market breadth, indicating the overall health of the market, was positive. On the BSE, 1,529 shares rose and 1,061 shares fell. A total of 186 shares were unchanged.

I have come out with a Cheap Lifetime Subscription Package (for 30 years) of my information Service, both for the Cash and the F&O market. Those who are interested can send in a mail at: suman2005s@rediffmail.com. The price of this offer is going to rise post Durga Pooja/Dusshera in 2018. This is much better (9 times cheaper) than what you pay for one year. 

Also, I am looking forward for some ace investors, who is ready to have a JV with me on the share market investments. The said angel investor should have a minimum investment capacity of Rs.5-10 lakhs, with around Rs.5 lakhs as buffer, to average the scrip/s in case market gives opportunity. There will be no trading in the counters, only investment based strategy would be employed. The time period of holding would be 2-3 years. The sharing ratio would be 60:40, between you and me. 

~~with inputs from Capital Market Live News