DCB – Development Credit Bank.
You can check the allotment status of DCB IPO here.
The Basis of allotmenet of DCB is made available here.
Tags: IPO India
Author: CP
UBS puts a BUY recommendation on Unitech
UBS has initiated coverage on Unitech Limited with a BUY2 rating. UBS analysts are little bit over-optimistic about the land bank saga without realizing the shady deals of the operators in Unitech counter.
UBS report is expecting income of Rs 2,703, Rs 6,382 and Rs 11,309(in crores) and EPS of Rs8.43, Rs 22.95 and Rs43.00 for the financial years 2007, 2008 and 2009. 100% YoY growth for the next 2 years. Sounds bit over optimistic projections.
UBS has set a price target of Rs444 with a Buy 2 rating. You can read the report and make your investment decision[PDF] yourself.
Citi and Reliance to launch Retail brokerage and Investments in India
Close on the heels of Reliance ADAG launching retail brokerage and investment advisory services in India under the brand Reliance Money and not RTrade as publicized, Citigroup also made public about their plans to start the same operations in India.
Reliance Money is Reliance ADAG’s brand under which you can trade on BSE, NSE or in Commodities market. Reliance Money is targeting from beginners to advanced level users. Check out their website, RelianceMoney.Com
Citigroup in the USA has retail investment and advisory services under the brand name CitiTrade.
Tags: RTrade, Reliance Capital , Reliance Money , India Online Trading
SEBI Tightens Pre-IPO Advertising
The Indian stock market regulator, SEBI has tightened the Pre-IPO publicity. You may have noticed pre-IPO publicity in case of GMR Infrastructure, Voltamp Transformers and other third rate companies like Deep Industries.
Now lately you may have witnessed another real estate company Parsvanath builders advertising heavily as it plans to raise money on Dalal Street. Now a company going for IPO cannot advertise from the time the companys board approves the IPO till the time the allotment of shares is done.
The issuer company is also required to make prompt, true and fair disclosure of all material developments that take place during the period referred to above, relating to its business and securities and also relating to the business and securities of its subsidiaries, group companies, etc., which may have a material effect on the issuer company, by issuing public notices in newspapers.
Prabhudas Lilladhar puts a BUY recommendation on ITC
Mumbai’s leading Broking firm, Prabhudas Lilladhar has put a BUY recommendation on the company’s stock at Rs194.
Their team met ITC company officials before writing the research report. Key highlights of the report are as follows. Increase in tobacco prices not a key concern for ITC. In non-cigarette’s FMCG, Foods, LifeStyle Retailing and Stationery to be key growth drivers. Agri trading business is expected to show a robust performance. Capacity additions in Paperboard.
ITC is expected to report an EPS of Rs7.1 and Rs8.3 for FY2007 and FY2008. Prabhudas research says @ Rs194 it is quoting at 26.2X FY07Eand 22.4X FY08E which is wrong. However, if you calculate on the expected EPS, it is actually quoting at 27.32XFY07 and 23.37XFY07. The entire report on ITC can be accessed here. [PDF]
DalalStreet.Biz Recommendation: I maybe wrong but for me the stock looks expensive at Rs194 levels and wouldn’t buy at this level.
HCL Tech to grow 30-40 in the next 8-12 quarters
The management of HCL Technologies Limited is positive on the prospects of their company. You might have observed, HCL Tech lagged behind its peers in earnings during 2003 through 2005, mainly because of the vertical nice they were into. In the past 2 years they have expanded into every possible domain from Application Development to IT Infrastructure Management(Another big outsourcing opportunity, where HCL Tech is the leader).
HCL Technologies enjoyed poor PE discounting because of the fact their quarterly earnings were not consistent. The restructuring in the past two years has streamlined their earnings and you can expect HCL Tech to report QoQ growth rates just like Infosys or TCS. The stock is likely to be re-rated if it consistently grows over 8-10% QoQ and I expect an EPS of Rs33 for the FY ending June 2007. At current discounting of 20X, the one year price target is Rs660 for the stock. However, on re-rating, I would expect the stock to quote around Rs750, 25% upside from current levels.
Disclosure: I hold HCL Tech in my folio.