Everybody wants a Multibagger but most of them end up with Junk Stocks in search of it. The better approach we recommend our investors is to go with modest stocks which can double in the next 3 years i.e deliver in excess of 25% compound annual returns. In an Analysts survey, the stocks that made it to the top 20 are as follows. (more…)
Author: CP
Indian Banks Margins set to Collapse – SELL
In a faster than expected surprise, Morgan Stanley pushed the report on Indian Banks saying that Margins are headed for a Collapse and Downgraded the Indian PSU Banking Space to Underweight. Morgan expects the NIM to fall between 40-70 bps.
The pre-provision operating profit (PPOP) will drop to single digits after the 40%+ growth in F11. PSU Bank F12E multiples have (more…)
What is Cost of Raising Funds in India or Going IPO ?
One of our associates was doing a research on the cost of raising funds in India as an established Business [not startup ]. Here is how the Book Running Lead managers break up their schedule of charges for taking your company public from drafting, filing of REd Herring Prospectus to Listing with NSE / BSE.
Rs 10 Lakh on the date when you assign the contract to the (more…)
Infosys Technologies – End of an Era ?
Engineering Wage Arbitrage / Trading Company – Infosys Technologies was in a Chaos on Friday as two Sr. Members of the board quit with its CEO announcing dismal Q4 performance and a tepid guidance for the next fiscal. Infosys has lagged peers in the recent past – leading to a relative de-rating. 4Q results are weak.
4Q was weak on most counts – volumes declined ~1.4% qoq and the company missed the lower end of revenue guidance in constant currency terms. Management attributed this (more…)
Reliance Growth Fund Underperforms Market
The Markets have firmly closed above the 200 DMA and we wanted to update you on the performance of the Funds that we have recommended here. Reliance Growth fund controlled by Reliance ADAG has underperformed by a whopping 9% and the reasons could be that the funds exposure to its own group company stocks which are on the LOSING edge.
Data suggests that on 19/11/2010, SENSEX closed at 19585 while Reliance Growth Fund NAV was 506.41. SENSEX made a low of 17463 on 10/2/2011 and the Fund NAV dropped to 421.63 – a drop of 16.74% compared to the drop in SENSEX by (more…)
NHAI to resume Awarding Road Projects Soon
The Rampant Corruption Wave that rocked the Weakest Government of Free India brought the award of Road Contracts to stand still as former Minister Kamal Nath did nothing to stop the Hooligans. Dr. Singh, took some step and brought in Dr. C P Joshi as the Minister of Surface Transport to check Corruption. Mr. Joshi took a step to introduce point based qualification so that Large Infrastructure Companies with Fantastic Track Record like Punj LLoyd, IL&FS Transportation Network etc don’t get dis-qualified by Corrupt Bureaucrats.
NHAI has informed us that it is gearing up to step-up (more…)