Little known speciality chemical manufacturing company Amal is going great guns and is now in the fold of the Lalbhai group. Buy for bumper returns.
LIC Housing Finance disappointed the market by reporting higher NPAs. Its NIM was also the lowest in the last 11 quarters. Stay away from this counter till some clarity is received.
As per the new debt repayment plan, Reliance Communications envisages equity sway from some its lenders of ~Rs.100 crore apart from sale of certain assets worth Rs.17500 crore. Steps to cut down the debt (asset monetisation) may excite investors with a risk appetite.
The government is aggressive about converting all its automobiles into e-vehicles over the next few years. PSUs will follow suit. A good time to buy Tata Motors and Mahindra & Mahindra.
Max Life Insurance is keen to acquire up to 10% stake in Lakshmi Vilas Bank. The stock could surge if that happens. Debottlenecking at IG Petrochemicals is over. With all its plants functioning well, the stock could take a big leap any time. Buy immediately.
USFDA is likely to lift its ban on the import alert on Divi’s Laboratories’ Vizag plant. The company should be on a comeback trail very soon. Buy.
Torrent Pharmaceuticals is reportedly buying out Unichem for ~Rs.3250 crore, which will place it amongst the coveted pharma companies in India. It makes sense to buy. Transmission giant Power Grid Corporation of India continues to report sustainable growth. A stable long-term investment bet.
The demand for copper is likely to double by 2020. Hindustan Copper can be bought for stellar gins.
Rama Steel Tubes has won two orders worth Rs.288 crore for the supply and erection of transmission lines for rural electrification in its JV company Pir Panchal Construction from Uttarkhand Power Corporation and Himachal Pradesh Electricity Board for execution in 24 months.
Sanco Industries, manufacturer of PVC pipes & allied products is in limelight on reports of major expansion and likely export order.
The Cabinet has approved the sale of government's entire 73.47% stake in Dredging Corporation of India. A bumper dividend may be announced. A good buy even at the current level.
ITC is pursuing to re-launch some of its prestigious and high margin personal care products and brands. Keep accumulating in small lots.
SRF, a manufacturer of refrigerants, has signed a deal to buy Mexichem’s HFC, which is into zero ozone depleting hydrocarbons. A big positive for the company. Buy. Merchant banker, Devonshire Capital, plans to buy 51% stake in Ruchi Soya Industries for ~Rs.4000 crore. A positive for its shareholders. Transport Corporation of India posted excellent results for Q2. The management is confident of better figures in H2FY18. A good buy. Tech Mahindra reported good numbers for Q2 with 30% higher PAT. It has added 1,250 employees, which is indicative of better business in the coming few quarters. A safe bet.
Alembic Pharmaceuticals has completed its acquisition of US-based Orit. The next few months are likely to be good for the entire pharma sector. Buy for sure shot gains. Asian Granito India has formed a JV with a Gujarat-based company to set up a greenfield plant. The affordable housing sector is booming and this company should benefit by this move. There is no stopping for Hero Motorcorp (India’s largest two-wheeler maker), which posted PAT of Rs.1010 crore for Q2FY18. Buy for the long-term. TVS Motor Company posted good Q2 results with 20% higher PAT. Its future looks equally good. The stock can still be accumulated. Tata Steel has shown strong investment support on the back of declining risks in Corus, which is on a comeback trail. Accumulate in small lots.
With oil prices slowly rising, the demand for rigs will also rise. It would make sense to buy Aban Offshore at the current beaten down share price.
United Breweries Ltd (UBL) has moved up from Rs.840 to Rs.1140 within a month. But its holding company, McDowell Holdings, which holds 61 lakh shares of UBL, has not moved yet. Buy for 50% returns in the short-term. Be cautious on Sai Baba Investment & Commercial Enterprises, which is being circulated as mass SMS by operators. There is nothing in the company’s fundamentals. An Ahmedabad-based analyst recommends Amal, Mindteck (India), IOL Chemicals & Pharmaceuticals, Kushal, Lactose (India), Sun Pharmaceutical Industries and Tanla Solutions. From his past recommendations, Super Crop Safe recommended at Rs.153.20 on 23 October 2017, zoomed to Rs.180 last week; Chandni Textiles & Engineering Industries recommended at Rs.39.30 on 23 October 2017, zoomed to Rs.60.7 last week; Sree Rayalaseema Alkalies & Allied Chemicals recommended at Rs.30.3 on 28 August 2017, zoomed to Rs.59.80 last week; Ultramarine & Pigments recommended at Rs.173.65 on 26 June 2017, zoomed to Rs.282.90 last week; Meghmani Organics recommended at Rs.46.2 on 19 June 2017, hit a high of Rs.123.5 last week.
The latest grey market premium for Reliance Nippon Life Asset Management Co. IPO is Rs.45-47; Mahindra
Logistics IPO is Rs.3-4 and HDFC Standard Life Insurance Co. is Rs.14-15.