🏦 TOWER TALK🏦
👍🏻 Both Indraprastha Gas and Mahanagar Gas have huge cash reserves and, are on an expansion spree. Both companies have the ability to pass on the increased cost to consumers. Buy for the long-term.
👍🏻 State Bank of India is looking at various fund-raising options. Its share price may rise on sentimental buying. Accumulate.
👍🏻 Hindustan Unilever posted excellent Q2FY19 results on the back of robust rural demand (up 10%). This trend is likely to continue. Accumulate in small lots.
👍🏻 IRB Infrastructure Developers has tied up Rs.981 crore from lenders for a project. The fact that the company could easily manage tie-up its financial resources at a time when funding is becoming dearer shows that it is on the right track. Buy selectively.
👍🏻 Karnataka Bank seems to be on a comeback trail. Its profitability is improving albeit slowly. Accumulate in small lots for the long-term.
👍🏻 Bhansali Engineering Polymers, India’s fastest growing manufacturer of Acrylonitrile Butadiene Styrene (ABS) and Styrene Acrylonitrile (SAN) resins, is reportedly faring very well. The stock has scope to rise further.
👍🏻 The panic in the stock markets could hardly dent the share price of Biocon. In fact the stock is becoming stronger. Some good news may be in the offing. Buy.
👍🏻 Himadri Speciality Chemical, a leading integrated manufacturer of coal tar pitch with 70% market share, reported strong double-digit sales growth and triple-digit earnings growth in all the four quarters of FY18. Its future looks bright. Buy.
👍🏻 Mirza International, makers of Red Tape shoes, is on an expansion drive. It has put up a subsidiary in Bangladesh. Buy for the long term.
👍🏻 Although analysts were septical about Indiabulls Housing Finance, the company posted fantastic Q2 results and declared a dividend of Rs.10/share. The stock may recover soon. Buy.
👍🏻 Natco Pharma has received a favourable judgment from the US Court for its Glatiramer Acetate injection. A big positive for the company. Buy.
👍🏻 Marketmen and analysts were confounded last week as Kotak Securities recommended sale of Hero MotoCorp on 17 October to institutional investors while asking retail investors to buy the same day by two separate reports. Wouldn’t retail investors gain more by buying after the sale of institutions? Case of the ‘left hand not knowing what the right hand doeth’!
👍🏻 Rakesh Jhunjunwala has raised his stake in Dewan Housing Finance Corporation. Its Q2 results are expected soon and the stock is likely to recover soon. Buy.
👍🏻 Federal Bank posted fairly good results for Q2. The bank looks stable with no major impact of the Kerala floods. Accumulate.
👍🏻 TV18 Broadcast reported good Q2FY19 numbers with all segments performing well. The stock is likely to appreciate 50% within a year. Buy.
👍🏻 Shakti Pumps reported excellent Q2FY19 results with 105% higher revenue and 207% higher PAT. It reported an EPS of Rs.5.04 against Rs.1.64 in Q2FY18. The stock is poised to take another big jump. Buy.
👍🏻 Although analysts are sceptical about entering Infosys at this stage, they must understand that the management sounded cautiously optimistic. Buy.
👍🏻 The government is eyeing higher gas utilisation in the northern states. It may be prudent to buy GAIL.
👍🏻 Trident reported good results with improvement in all segments. Accumulate.
👍🏻 Reliance Industries reported fantastic results for Q2FY19 with improvement in its Jio business. The stock has a long way to go. Buy.
👍🏻 There is no stopping Hero Motocorp. Rising volumes in the counter point to a brighter future in spite of the NBFC
woes. Buy.
👎🏻 Exit Tata Motors even at the current level. The company has umpteen problems to solve. Sell now, buy later.
👍🏻 Ramco Systems has received an order from Airbus Helicopter to develop a software for fleet maintenance and engineering. A positive for the company. Buy.
20.10.18 Economic News
👉The Delhi High Court has held that NCLT is empowered to decide the issues relating to allotment of share capital, alteration and rectification of the register of members. The court observed that the NCLT is not merely exercising the jurisdiction of a company court under the new Act, but is also vested with inherent powers and powers to punish for contempt
👉To help stem liquidity crisis, the RBI increased lenders' single borrower exposure limit for non-banking financial companies (NBFCs) which do finance infrastructure, to 15 per cent of capital funds. The limit has been raised from 10 per cent and is effective up till December 31, the Reserve Bank of India said in a notification.
👉SEBI passed an interim order directing several entities including Malvinder Singh, Shivinder Singh and their private companies to return Rs 403 crore to Fortis Healthcare within three months. Based on an independent forensic audit it commissioned, Sebi has established that out of the Rs 403 crore, Rs 203 crore was utilised by RHC Holding in two instalments to repay its obligations to Indiabulls debt fund and HDFC.
👉Insiders who use front entities, such as drivers or domestic help, to benefit from price-sensitive information could find the going tough as the SEBI will soon introduce more checks.Those who lend their names, trading accounts or execute trades on behalf of others will be subject to more scrutiny such as financial background checks. SEBI could soon deem trades by investors beyond their verifiable financial sources as fraudulent.
👉India has imposed anti-dumping duties of up to USD 185.51 per tonne for five years on certain varieties of Chinese steel to guard domestic players from cheap imports from the neighbouring country.
👉Traders' body CAIT warned that allowing central as well as state tax administrations to initiate action against any taxpayer irrespective of jurisdiction would lead to harassment of traders and complicate the tax system. CAIT in the letter to Jaitley pointed out that assessment by two authorities at any given point of time will flout the principle of ease of doing business and traders will find it difficult to comply with the prescribed rules and regulations being answerable to two tax authorities.
