Indian Equity Research and Investment Strategy
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…)
Reliance money has initiated coverage on Indoco Remedies with a BUY rating. Indoco has recently entered into a JV partnership with US based Amneal Pharmaceuticals to develop, manufacture, market and distribute 10 ophthalmic products for the US market.The patents of 3 products have already expired and rests are under patent. Indoco expects few Para-IV opportunities from these product baskets. The important aspect worth noting is that the cost of product development and manufacturing would be borne by the duo equally. (more…)
Kishore Biyani-led Future Group’s – Future Logistics Solutions Limited (FLSL), will invest Rs 400 crore in next three years to operate additional mega merchandising hubs and warehouses as it aims to touch a top line of Rs 800 crore by 2010.
Within three years, FLSL plans to operate about seven new mega merchandising hubs ranging from 70,000-100,000 sq feet and 30 smaller warehouses in cities across India, which would extend service to non-group companies also.
Future Logistics CEO Anshuman Singh said,
Going further, in line with Future Retail’s growth, FLSL plans to operate additional seven hubs and 30 warehouses. These hubs will receive products from vendors and then feed the other smaller warehouses across the country. Currently, sites which meet our requirements are being identified and evaluated. While development of all hubs will happen simultaneously, we expect the first mega hub to be completed in early 2009 in Western India.
If all the dreams of Kishore Biyani come true, then he may create more wealth for his shareholders than Dhirubhai Ambani in the long run.