Sharing what God has given us

As the year is coming to an end, I thought of writing a last post of the year in a positive note with not thinking about earning for ourself which we do whole year, but to thank god for all the gains of the year.

Charity is one basic tenets of our faith. Bear in mind that there are lot of underprivileged people around us with all the needs but without the means. I think we should share a part of our profits with these people.

In the spirit of sharing we help each other maturely, mutually, and as a result of that each one progresses. If we have that type of spirit there will be harmony, peace and progress; we will get everything and we will feel inwardly happy and peaceful.

The more you give, the more it comes back.

Wishing you all a very happy and prosperous year ahead. - Jai Hind!!

Read more >> Options >>

Buzzing Stocks!!

Recommended Stocks

Moser Baer, TV 18 , Network 18 all 5-10% up :-)

Punj Lloyd research report

Please follow the link to get the research report of my favorite stock - Punj LLoyd.

Punj Lloyd - Research Report

Financial Resolution for next year!!

Its year end and time has come again to have one or more new year resolutions.
Whats your new year resolution?




If financial independence is one of them , then following questions will be of your interest.

Are you saving enough for your retirement.?
Have you planned for an Life insurance?
Do you have medical/health cover?
Do you plan to buy a car/house.?
Do you plan to marry in few years? Or children if already married :-)
What is your current investment in debt/equity.?
Do you think you can maintain or improve your current lifestyle?
Does your current investment will help you in achiving your financial goal?

For each of the above you need to plan and save/invest regularly.

Some of the goals can be short term so money need to be in liquid instruments instead of locked-in long term instruments.

Sit back and analyze how your investment faired in the current year and what can be done to improve financial health.

You can ask yourself each of these questions and answers to them will automatically come and if you are not on the right track you will get your new year financial resolution.

"Instead of spending less than you earn, Earn more than you spend"

Money As Debt

Watch this video learning the mysteries around money.

Debt-government, corporate and household has reached astronomical proportions.

Where does all this money come from?

How could there BE that money to lend?

The answer is there isn't. Today money IS debt.

If there were no debt there would be no money

If this is puzzling to you. you are not alone. Very few people understand, even though all of us are affected.

You should see this either you are a chomskyan anarchist or an 80's Wall Street guy

Stock Pick : Aurobindo Pharma

Aurobindo Pharma was born of a vision. Founded in 1986 by Mr. P.V.Ramaprasad Reddy, Mr. K.Nityananda Reddy and a small, highly committed set of professionals, the company became a public venture in 1992. It commenced operations in 1988-89 with a single unit manufacturing semi synthetic penicillins (SSPs) at Pondicherry.

Aurobindo Pharma had gone public in 1995 by listing its shares in various stock exchanges in the country. The company is the market leader in semi-synthetic penicillin drugs. It has a presence in key therapeutic segments like SSPs, cephalosporins, antivirals, CNS, cardio-vascular, gastroenterology, etc.

Aurobindo’s R & D strengths lie in developing intellectual property in non-infringing processes and resolving complex chemistry challenges. In the process, Aurobindo develops new drug delivery systems, dosage formulations and applies new technology for better processes.


Over the years, the Aurobindo Pharma has evolved into a knowledge driven company. It is R&D focused, has a multi-product portfolio with multi-country manufacturing facilities, and is becoming a marketing conglomerate across the world.

Aurobindo Pharma created a name for itself in the manufacture of bulk actives, its area of core competence. After ensuring a firm foundation of cost effective production capabilities and a clutch of loyal customers, the company has entered the high margin speciality generic formulations segment, with a global marketing network.

The formulation business is systematically organised with a divisional structure, and has a focused team for each key international market. Aurobindo believes in gaining volume and market share in every business/segment it enters.

Aurobindo has invested significant resources in building a mega infrastructure for APIs and formulations to emerge as a vertically integrated pharmaceutical company. Aurobindo’s five units for APIs and four units for formulations are designed for the regulated markets.
[source : company website]

Aurobindo Pharma will go for a series of filings - totalling some 250 — in regulated markets, mainly in the US, in the next three years to tap emerging opportunities and to create new ones.

Aurobindo is also preparing for a major foray in Japan which is the world’s third-largest pharmaceuticals market after the US and Europe. However, though Japan is a huge branded generics market, Aurobindo is looking to pitch for the unbranded generics where the margins are huge[source DNA]

This stock seemed to have bottomed out and is trading at around 8-9 PE. This is very cheap for a high growth good stocks.

While most of its peers are trading at around 25-30 PE like cipla and ranbaxy. This stock can give great returns in next 1-2 years from current market price .

Mint money!! :-)

Wanna Multibaggars in your portfolio??

Do you always wish to buy a stock which is going to be a multibaggar.??

Here is how you can go about selecting your dream stock.

-->Buy stock which is currently undervalued relative to its peers.
--> I am saying relative because it might be the situation that whole industry has lower PE, that doesn't mean that a particular stock is cheap.

-->Buy a stock which is trading below its book value.

-->Buy stock of the industry which is going to flourish atleast for next 3-4 years.

--> Buy stock where earnings are expected to grow atleast by 50% CAGR for next 2-3 years.

--> Buy stocks of a company which is going for huge Capital Expenditure. This signifies higher earning potential in the future and expansion is good for future unless it is going to create over capacity.

-->Hold on to the stocks once you have identified and bought. If you sell after some small profits then that stock will be never a multibaggar for you :-D

Happy Investing !!

Seamless Pipes Global Industry Scenario

Stocks in this industry : Jindal Saw,Maharashtra Seamless, Welspun gujrat, man industries etc....

Source Excerpted From: ICICI Direct. Article from StockIdeas.org

Growing oil and gas demand across the world and the zeal with which oil companies are investing on adding pipeline infrastructure promise higher revenues for Indian steel pipes makers.

• Global demand-supply scenario favours Indian manufacturers

• Depleting crude reserves stimulating demand for seamless pipes

• Global demand – supply set to remain in favor of India…

• Depleting reserves stimulating seamless pipes’ demand …

• Booming oil economy to boost pipe demand
  

• US to be the largest consumer

• Asia to lead pipe demand with strong growth in energy consumption

• Middle East – an important destination for Indian players

• Gas transportation pipelines – a major boost

• Water resources management – another key area

• India set to benefit from global demand supply imbalance

Source Excerpted From: ICICI Direct. Article from StockIdeas.org

PSTL update

PSTL has moved to 18% up from 6% up.

After recommendation almost 30% up

Its Rocking!!

Pantaloon Retail again 8% up.

Pyramid Siamara 6% up.

Watch out this space for other recommendation soon.

Though I put these returns here....I still recommend buying value stock and wait to get a great returns.

Don't expect overnight gains everytime tough it will come sometime your way :-)

GMR News

REL & GMR Infra short-listed for Tuas Pwr bidding: Srcs

GMR Group mulls listing of energy subsidiary

DIAL working on new revenue model

market whispers

ADAG might be interested in buying Moser Baer Entertainment Business.

It is already in film making, fim distribution and multiplex business. To consolidate its position and huge cash in hand ADAG can buy out moser baer.

Hope this turns out to be true...good news for moser baer share holders...

Tops pics for 2008 : 1 year view

Some more stocks which you can buy from 1 year perspective

1. GMR
2. Punj LLoyd.
3. Reliance Energy.
4. Indian Hotels ( 2 years)
5. Reliance Comm.

noida toll moves up smartly

Noida Toll flared up 10%. Enjoy!!

pantaloon retail

Recommended Stock Pantaloon Retail 11% up.

Enjoy!!

BHEL opens up smartly

BHEL is trading up 3% after sliding for past few days giving us the oppurtunity to enter into the stock....

Here is some more news to munch.....

BHEL can now supply bigger power generation equipment

Norms may be tweaked to power BHEL

BHEL to invest Rs 220cr in Haridwar plant

BHEL to spend Rs 1,000 cr for R & D in 11th Five Year Plan

Larsen & toubro turns 70

Founded in 1938 L& T has completed 70 years journey and now it is working and growing in full steam.

Already in Infrastructure,Capital Goods, IT and finance.

Heres some recent news about the company...

L&T floats power firm, to invest Rs 5,000cr

Larsen & Toubro (L&T) is set to foray into an FPSO (floating production storage and offloading)

L&T bags Rs 287.37 cr contract from MMRDA

L&T to pump in Rs 2000 cr in 3 shipyards

L&T forms JV to build Oman refinery equipment factory

Rcom News

• RCom Gets license for PAN India GSM license
• RCom Gets telecom license in Uganda . to spend 800 cr
• Tribunal to decide on FLAG(RCom Subsidiary)-VSNL dispute soon

BHEL News

As part of its manufacturing capacity expansion to 15,000 MW per annum in the next two years, Bharat Heavy Electricals Ltd (BHEL) is setting up a new fabrication plant and a central stamping unit at Jagdishpur in Uttar Pradesh. The new units are being set up by BHEL at a cumulative initial investment of Rs 306 crore. The plant would produce around 25,000 tonne per annum, including about 16,000 tonne of structures of boilers for direct dispatch to power plant sites in the eastern and northern regions.

The plant will become fully operational in three years. A financial turnover of about Rs 270 crore is envisaged for the plant in the stabilised year of production. The central stamping unit is being set up to meet the increased requirement of stampings, a critical part of electrical machines, on account of increasing demand for generators and electrical motors. Currently, stampings are being manufactured in the Bhopal, Hyderabad and Haridwar units of BHEL with a total installed capacity of about 77 lakh stampings per annum. The demand for stampings is estimated to go up to 130 lakh per year by 2010-11.

News from Ventura Securities....

Stocks to buy now

Are you upset after the current fall??

or Do you see this as an opportunity to buy stocks which you always wanted to???

Please don't panic and buy fundamentally good companies.

Currently following stocks are buys :-

1. RIL
2. BHEL
3. Larsen
4. GMR Infra
5. RCom
6. Bharti
7. ICICI Bank.

ICICI advance tax

ICICI is going to report good quarter 3 results...

Its health advance tax numbers which are double than previous quarters gives indication that results are going to be good.

(Rs Cr) Q3FY08 Q3FY07
ICICI Bk 500 250

Pyramid Saimira Details

As I have said earlier, I try to keep my recommendation simple and clean for novice investors...

My recent recommendation on PSTL didn't had any explanation why one should go for it.

To my surprise and happiness I got lot of queries how you are putting so and so target.

So here is a post which will help you in understanding the basics about the company...


http://deadpresident.blogspot.com/2007/12/pyramid-saimira.html

current F&O curb list

The derivative contracts in the below mentioned securities have crossed 95% of the market-wide position limit and are currently in the ban period. It is hereby informed that all clients/ members shall trade in the derivative contracts of said securities only to decrease their positions through offsetting positions.

Sr. No.	Symbol
1	ADLABSFILM
2	ALOKTEXT
3	BONGAIREFN
4	ESSAROIL
5	GITANJALI
6	GMRINFRA
7	HOTELEELA
8	MRPL
9	NAGARFERT
10	NEYVELILIG
11	POWERGRID
12	RAJESHEXPO
13	TTML

attractive stock

BHEL looks attractive at 2500. this has been told by me to many of my friends......

currently it is subdued and consolidating.....FII interest and next rally should take it beyond 3000.

Buzzing Stock

Recommended stock PSTL up 7% enjoy!!

Thought for the day

Instead of learning the tricks of the trade, learn the trade.

Bangalore Property

Now is the time to buy property in Bangalore.

With interest rates peaked and over capacity problem, bangalore housing properties are showing 25-30% decline.

Prices are quoted almost 1000rs per sq feet cheaper.

For a 1000 sqfeet house its almost 5-10 lacs cheaper :-)

In an years time interest rates will come down making your floating interest rate EMI less.

With lower interest rate more people will chase property and will make these properties again expensive even with lower interest rate.

What you gain now?

1. Lower price for the property.
2. Easy availability making your choice wider.
3. Making your priced possession cheaper going forward with lower interest rate.
4. Faster appreciation from current depressed prices.

Read more.....

http://www.rediff.com/money/2007/dec/12bang.htm

Thought for the day

Time is one loan which no one can repay.....

Are you paying tax on equity gains??

Ever wondered how tax will be calculated on the profits earned by you?

First Basics :-
If you sell shares within 1 year of buying then you have to pay short term capital gain tax.

If you sell shares after 1 year then it will be considered as long term capital gain which is completely tax free.

Dividends are tax free.

Intricate matter :-

You might be buying same share multiple times and selling it multiple times, how would you identify whether it falls in 1 year or less than 1 year bracket.?

According to Income Tax Act, which specifies that for shares sold in the demat form, the First In First Out (FIFO) system had to be applied.

What does this mean you dont have option to choose which shares you want to sell .

If you bought 100 XYZ share in Jan 2006 and again 100 XYZ shares on Jan 2007. If you sell 100 shares now then shares bought in Jan 2006 will be deemed to sold first.

If you have both demat and physical shares of a company and if you sell it now demat shares will be sold first even if the physical shares are older.

Please Note : This calculation is currently only for shares in demat form. You can still choose which mutual fund to sell first.

Enjoy investing. :-)

RIL - RPL merger

Here are few good posts which I found out on RIL RPL merger

http://www.orkut.com/CommMsgs.aspx?cmm=163277&tid=2572204225901402272&na=1&nst=1

http://gyanguru.org/dsp-merrill-lynch-rpl-and-ep-evaluation-of-rils-options/

First Refinery which was also called RPL was also merged in 2002.

http://outlook-money.com/scripts/IIH021C1.asp?articleid=3099&categoryid=93&sectionid=1

http://outlook-money.com/scripts/IIH021C1.asp?articleid=3099&categoryid=93&sectionid=1



but merger is not going to happen soon so no need to self off immidiately and let the whole story pan out and get a clear picture on the whole issue.

Sectorial Mutual Funds

Some Sectoral Mutual Fund Pics for 2-3 years

• BIRLA GEN NEXT FUND GROWTH
• Canara Robeco Infrastructure
• Birla Infrastructure Fund
• Reliance Media & Entertainment Fund Growth Plan
• UTI Banking Sector Fund
• Reliance Power Sector Fund
• SBI Magnum Tax Gain
• Tata Infrastructure Fund - Growth
• UTI Energy Fund
• UTI Infrastructure Fund
• UTI-India Lifestyle Fund

Note :- Funds are not in order of preference.

Theme for 2008

As the year 2007 comes to an end and people start thinking of new strategies for the next year. Here is my take.

2008 is a leap year and you should try to use it as a spring board to take a giant leap in accumulating financial wealth.

I think the interest cycle has peaked and it will take a downward trend.
Financial,Housing and Auto Sector will benefit.

Rupee will continue its downward journey with bouts of upside from RBI and goverment support.
Neutral stance on IT sector.

Infrastructure and Power will continue its boom.

Cement consumption will increase with money spent of Infrastructure and it is bound to benefit.

Play around these stories and pick your stocks from these sectors.

PSTL - Multibaggar stock

Pyramid Saimira Theatre Ltd.

"PYRAMID SAIMIRA" Group is one of the India’s largest entertainment group spanning across four countries (India, Malaysia, Singapore and USA). Its business includes Film Production, TV Content Production, Theatres (exhibition). Currently it is the largest theatre chain company in India, rising to become world’s largest theatre chain company shortly.

Its Production Division is producing concurrently more than six films and plans to produce 50 films in all Indian languages. Its TV Content Division will produce more than 16 hours of original programming per day, making it the largest TV content supplier in India. Pyramid Saimira Group plans to become a giant in the entire entertainment industry’s sphere and also will become one of the largest content agglomorators of international films in Asia / Pacific region. It operates theatres in four countries and produces films in six languages.

Interview with Madhu Terdal of GMR Infrastructure

Interview in TV18

RIL - A true wealth creator

The oldest wealth creator.

Whats a portfolio without RIL. RIL is the most widely held stock in the world!! A feat in itself.

With interest in diverse industries like petrochemicals,oil and gas, polyester, retail, textile, SEZ, this behemoth is the largest private sector company in India with Highest market capitalization.

Investors have gained immensely from this company from decades and people will vouch for it.

Recent News
1. Global Acquisition plan of more than 10 billion dollars.
2. Entering Uranium Exploration business.
3. Huge expansion in retail with investment in tune of 25000 crore.
4. Biggest refinery to be started in March 8 months ahead of schedule.
5. Oil and Gas Exploration with huge success rate in KG basin.
6. Developing multi-product SEZ in gurgoan and mumbai.
7. Entering Jewellery business.
8. RIL ,GAIL joining hands for petro complexes abroad.

I am not delving too much into details of this company as every one knows about it.

All I would say is that as always it is geared -

"Towards A Quantum Leap"

Stock News

• Punj Lloyd bags one more order worth 560 cr from IOC. Stock up!!
• RPL may delist , if RIL plans RPL merger with itself.
• Praj Industries has started gaining momentum
  
• RCom,HFCL to rock in coming days.
• RIL looks good at current price for INVESTMENT.
• GMR Infra accumulate at current levels.
• Jindal saw cross 1000 from recommended price of 550 in 2 months.
• TV18 bought Infomedia. Good news for Network 18 and tV18 share holders.
• BHEL off its highs, can be considered a buy if it falls below 2550.
• ICICI bank too look attractive.
• City Union bank - risk reward r
  

GMR News

Don't panic with GMR going down, this is a long term multibaggar stock. Forget the short term volatility.

I reiterate buy on dips....

F&O curb and problems in Delhi Airport will soon vanish.

Enjoy!!

PLAYING WITH INVESTOR/TRADER PSYCHE

With so many blogs and so many articles , people are loaded with huge amount of data and analysis. With our emphasis on saving time for our readers and providing them quality and selective articles. Here I provide another good article to glance over.

PLAYING WITH INVESTOR/TRADER PSYCHE

Go through the link and enrich your experience in the stock market.

The Art of Converting Notional Gain to Notional Loss!

A very good article written by my friend Nikhil on his blog...

Do read it....

The Art of Converting Notional Gain to Notional Loss!

GMR Infra

GMR Infra is a great company in infrastructure space with expertise in Airports and Power Plants. It can be considered for Medium to Long term perspective.

Highlights


1. Value unlocking in GMR Energy.
2. Delhi Airport and Hyderbad Airport in their pocket.
3. 2800 MW power plants under development.
4. Bidding for Ganga Expressway.
5. Won bid to develop Istanbul Airport
6. Bidding for Prague airport.
7. GMR Infrastructure plans to invest more than Rs 60,000 crore over the next 6 years
8. Huge land bank near its airport for commercial development.
9. GMR to restart power plant in AP Vemagiri power project from January 2008 .

Punj Lloyd news

Punj Lloyd Upstream to buy 4 onshore drilling rigs
Pipavav Shipyard to file DRHP with SEBI shortly

Network 18 rocking

Regular Readers ........Network18 is 10% up 40% up after recommendation.

Enjoy!!

Thought for the Day

As a bull market continues, almost anything you buy goes up. It makes you feel that investing in stocks is a very easy and safe and that you're a financial genius.

Pantaloon Retail India Limited

Pantaloon Retail (I) Limited

Want to be a part of Great Indian Retail Revolution. You should have Pantaloon Retail in your portfolio.
Though this stock has risen a lot, potential of upside is immense. Any correction in the stock should be seen as buying oppurtunity.

Pantaloon Retail is listed company of future group.

Future Group is diversifying into many streams of business.

One of the new bet is finance and insurance through Future Money.

Pantaloon Retail India Ltd, is India’s leading retail company with presence across food, fashion, home solutions and consumer electronics, books and music, health, wellness and beauty, general merchandise, communication products, E-tailing and leisure and entertainment. [Wiki]

Company has chain of super markets, branded malls etc. You would be aware of all the names mentioned below.

Super Store

• Big Bazaar
• Food Bazaar
• Pantaloons
• Central
• Depot
• Brand Factory
• Home Town
• e-Zone
• Planet Sports

Online Format

• FutureBazaar

Brands

• Indigo Nation
• Scullers
• Urban Yoga
• John Miller

Entertainment

• Bowling Alleys

Others

1. Fashion Station
2. Star Sitara
3. Navaras
4. Tusi
5. Blue Sky
6. Gini & Jony
7. Shoe Factory

All these stores are growing leaps and bounds.

Stay invested for long term and you will reap rich dividends.

Current Market Price - 670
Enter Around - 620-630 levels for medim term. current market price for long term.

Thought for the Day

A fool and his money are parted soon
-George Buchanan

Follow up news on earlier recommendation

1. Punj Lloyd

Wholly owned subsidiary Sembawang Engineers and Constructors Pte Ltd got $450 million contract.

2. Moser Baer

Moser Baer Photo Voltaic to set Solar Power project in Rajasthan.

RNRL demystified

Future of RNRL

Current scenario : RNRL top gainer on the chart with 10% rise.

This stock after lying low at around 20 levels for long time has been a high flier in recent times.
From 20 something it is now trading at 160 levels (from high of 200) much beyond comprehension.

Why is this stocks rising?
Will it continue to rise?
What does this company do?
Should you invest in this stock?

And there will be many more questions cropping up in your mind.

History of RNRL
This company was formed in year 2000 as Reliance Platforms Communications.Com Private Limited.
Later it was made a public company in the name of RNRL after the split between ambani brothers.

RNRL got the share of gas from RIL discoveries in KG basin.

Currently as I see it this company doesn't do any thing, it paper company with rights of gas.

RNRL and RIL are fighting the gas share and its price from long time.

What RIL wants : Higher price realization for its gas.

What REL wants :- Long term sustained gas supply for its power plant at low cost.

What RNRL has :- Assured gas supply from RIL at low cost which is being battled it court. Otherwise their is no real business of RNRL and no reason for its existence. No future businesses to hold other than some news of city gas distribution.

This company is only being used as a leverage. If RIL and REL has gas they can directly start business which RNRL would plan so no real benefit of this company.

Current rumours :- RIL going to buy RNRL which is being denied publicly.

If RIL buys out RNRL it can directly sell gas to REL.

REL gets much needed gas and RIL gets the money. Everyone wins RNRL loses out.

Future of RNRL depends on What Anil ambani wants to do with this company.

If RNRL has tomake profits it has to sell gas at higher price to REL or Reliance Power.

Then RNRL is profitable and REL(RPL) profit margin will reduce.

Which company he wants to keep profitable would be his decision.

Obviosly he will secure intrest of his bigger company with defined business model.

What holds out for RNRL.

1. If status quo is maintained , all the profits from gas coming into RNRL is factored in. Price hike is not possible because it is long term fixed price contract. Share price other than what trades speculate will not change much. maximum 20-30 rupees. No point in entering at this point if you don't already hold it.

2. RNRL is sold out to either company. Share price will fall or if it is delisted there will be share swap so instead of buying and RNRL and getting RIL in share swap go and directly buy RIL.

3. Unless RNRL gets new businesses like city gas distribution very little chance of appreciation.

After all being said, Reliance stocks are currently fancy of traders and almost opposite can happen.

But long terms bets are against it. You would be better of staying invested in other blue chip reliance pack companies.

Happy investing!!