Category: Economy, Markets and Macro Views

SBI Caps Securities has initiated coverage on Bilpower Ltd and Lakshmi Energy and Foods Ltd with a BUY rating.

Bilpower Ltd:
Consolidation of businesses should lead to enhanced synergies, as Bilpower becomes an integral player across the value chain. Bilpower incurred a CAPEX of Rs 390 mn in FY08. This has led to increase in capacity of electrical laminations to 16,500 tpa and added new stamping line with capacity of 15,000 MT. For FY09, the company has lined up Rs 50 crore CAPEX in adding Transformer manufacturing capacity. (more…)

Just a while ago Citigroup Analysts have turned BUYERS into Aluminium stocks in India [Upgrading NALCO and Hindalco from SELL to BUY]. Citi’s global Analyst, expects an emerging power crunch and shortage of high quality bauxite to cause a shift in the competitive landscape for aluminium, driving aluminium & alumina prices up. New aluminium prices are US$3,600/t (+22%) in FY09 and US$4,500/t in FY10 (+71%). (more…)

India is the 10th largest oil importing nation in the world (oil imports are close to 70% of its crude oil requirements). If the average price of crude oil for FY09 is $105 / bbl, then, it will result in the FY09 trade deficit coming in at US$115bn. According to Citi, (more…)

The markets seem to be in correction mode and it is really difficult to recommend a stock. However, Nomura Securities has initiated coverage on Green and Clean Energy giant – Suzlon energy with a STRONG BUY.

Growth in the global wind industry continues to accelerate, driven by climate concerns, energy security, increased electricity demand from developing countries and improvement in yields. The cumulative installed wind power capacity is forecast to grow from 94GW in 2007 to 288GW in 2012F, a CAGR of 25%. Energy Law is targeting 20% of energy from renewables by 2020F and in the US the Renewable Portfolio Standard (RPS) means that 21 nations have mandates to generate 10% to 20% of their energy needs via renewables. (more…)

American Financial Crisis, Historically High Oil Prices and the worst factor for Indian economy is Business Inflation – The rising cost of doing busines, together have all triggered the downgrading of Indian Equity Markets by Citigroup. In a report released just minutes ago, (more…)

This is the Best BSE Sensex historical graph I have ever seen and hence sharing it with you all. The Graph image can be enlarged to see Mean, Mean SD, Mean+ 2SD and Roll P/E.
As the economy improved and the breadth of the markets increased, the SENSEX Rolling P/E has made lower peaks. 1992-93 peak was a result of Harshad Mehta Scam and 1999-2000 is Ketan Parekh + Sandeep Sabharwal IT Stocks Scandal [Inline with Global Dot Com Boom]
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