It is true that Indian Mutual Fund industry is very small compared to Insurance and FIIs. However, it is one of the best regulated and somewhat directly under SEBI [Can you believe HDFC was sending their top Agents on a Foreign Trip and SEBI asked if the Agents have disclosed this to their Clients ?] We strongly (more…)
Year: 2010
Jan Inflation Up 8.6%, Breaches RBI’s 10 March Estimate
The Indian Inflation as measured by the WPI rose 8.6% in Jan, higher than expectations and breaching the RBI’s 8.5% estimate for 10 March. On a seasonally adjusted MoM basis, inflation was up 1.3% vs. 0.9% last month. Going forward, while primary product prices are likely to abate, an impending fuel price adjustment coupled with rising manufactured prices is likely to result in headline numbers crossing 9% in Feb and heading towards double-digits in March. (more…)
Bharti-Zain deal – Weak Signals for Airtel
Bharti Airtel management confirmed that it is in exclusive talks with Zain for buying the African assets of Zain (15 countries excluding Sudan & Morocco) for US$10.7b. Bharti and Zain are likely to be in exclusive talks till March 25, 2010. Bharti’s Zain acquisition is likely to lead to weakness in Bharti’s share price in the short term. (more…)
Coverage of BHEL + GMR + Punj LLoyd + GVK Infra Stocks
In continuing our coverage on the Indian Capital Goods Space, we present to you the latest views on the street.
BHEL – BHEL’s order book at the end of 9M FY10 stood at Rs1,340 bn, recording an 18% yoy growth rate. This is significantly below the yoy growth rate of 37% at end-FY09, reflecting increasing competition and unfavorable base effect. Surplus equipment supply in the domestic market is likely by FY2012, leading to pressure on pricing. (more…)
Buy the Capital Goods Sell Off – Glodman Sachs
Goldman Sachs Equity Analysts in a report released just a while ago on the Indian Capital Goods sector express the SELL-OFF has created an opportunity to BUY Capital Goods / Infrastructure stocks as the entry levels are attractive. We present to you mix of Goldman and Merill’s Views on select stocks for investment consideration.
The Indian infrastructure sector as we believe spending on this sector is increasing at a rapid pace, offering substantial asset growth opportunities. Execution has improved, but (more…)
Post Correction – FII India Equity Strategy
Post Correction of 10% in Indian Equities, FIIs are weighing their Equity Strategy in India and their Long Term Investment Outlook. Before we present to you about their Strategies, we are just little over 2 weeks away from the second budget by the new Government – so this month will be a month of volatility. We have always advised you to BUY on correction [dalalstreet on twitter] and maintain the same tone – BUY.
So far into Q3, FY10 results Media, Banks, Telecom, IT have been (more…)