Indian Equity Research and Investment Strategy
GVK Power & Infrastructure told us that Mumbai International Airport, an associate company of the company on 27 November 2007 has awarded the duty free contract to DFS Ventures Singapore for a period of three years with an option to extend for another year.
Mundra Port and SEZ which had recently concluded its IPO had a big bang listing with 125% appreciation on day one to successful allottees. Our IPO Analyst had a Subscribe recommendation on the IPO.
Colgate’s business has demonstrated strong growth over the 8 quarters, with sales growing in excess of 15%. It has gained share in rural areas through its “Cibaca” brand. Colgate has recently increased its focus on other personal care products (hand wash, shower gels), which though currently coming off a small base, set the tone for the next growth opportunity.
With major capital expenditure behind it, and incremental tax and excise savings from its new plants, cash generation is likely to accelerate. (more…)
Merill Lynch has initiated coverage on Titan Industries with a BUY recommendation.
Initiate with a Buy, PO of Rs1,850 – 30% potential upside Titan is a high quality, high growth domestic consumption story. Its offers strong brand equity, wide distribution & high quality mgmt coupled with strong structural growth drivers.
Titan sells watches through a mix of exclusive brand outlets (EBOs), multi brand outlets and dealers. (more…)
Sadbhav Engineering just a while ago faxed us that the company has been awarded projects worth Rs 99.01 crore by Government of Chhattisgarh for execution of Chhattisgarh state road sector development project.
IVRCL Infrastructures & Projects (IVRCL) has announced that the company has bagged orders worth Rs 329 crore. These orders are awarded separately by Naya Raipur Development Authority (NRDA) for the construction of state secretarial building, Pimpri Chinchwad Municipal Corporation for constructing tenements and by Tamilnadu Water Supply and Drainage Board for the construction of sewerage scheme for Thiruvarur Municipality.
Walchandnagar Industries has told us that its board has approved the issue of bonus shares in the ratio of (1:1) and splitting the face value of each share into five. The board also recommended a special dividend of Rs 10 a share.
The company’s net profit rose 118.81% to Rs 11.4 crore on 41.38% rise in total income to Rs 195.14 crore in Q4 September 2007 over Q4 September 2006. The net profit surged 167.56% to Rs 35.56 crore on 77.05% rise in total income to Rs 637.41 crore in FY 2007 over FY 2006.
Are you worried about sky rocketing fuel prices ? You wouldn’t be, if you are a shareholder of RIL. Mukesh Ambani’s intelligent move to bring in Chevron was one of the cleverest moves to create wealth for RIL shareholders. RIL is a cash rich company and it could have gone solo for the Reliance Petroleum Ltd [RPL] project, instead in the usual Ambani style it is creating wealth on others money 🙂
RIL held 75% and Chevron held 5% in RPL, remaining 20% is being held by others. RIL has acquired the shares at various prices with effective purchase price around Rs 20. It sold 4.01% stake in RPL at Rs 4023 crore thus making a profit of Rs 3662 crore for RIL shareholders.
Now according to IPO offering for Chevron, the latter has an option to (more…)