Showing posts from November 25, 2007

votlas --hold for taget rs 300

Voltas Limited
Hold (Target Price: Rs 300)
Market DataPrice on reco. date (Rs)240 (BSE)Mkt. Price BSE / NSE (Rs)241 / 243Change since reco. 0.5%52-week High/Low (Rs)243 / 75NSE SymbolVOLTASBSE Code500575No. of shares330.9 mFree float72.7%Market cap (Rs m)79,416Share price chartRs 100 invested is now worth...ShareholdingCategory(%)Promoters 27.3Banks,FIs and MFs 18.9FIIs 26.6Public 20.9Others 6.3Total 100.0By this recommendation of HOLD, what we mean is that existing shareholders would be better off holding onto the stock with a long-term perspective. However, if an investor would like to BUY this stock, then the upside from the current levels is about 25% point-to-point (compounded annual return of 10% during the period November 2007 to March 2010). Investors can take the investment decision based on this premise.
Investment RationaleOn to the 'next' phase of growth: Voltas, which has historically been closely associated with air conditioners (close to 40% share market share for …

Construction equipment - Building on the boom

Demand for infrastructure and construction equipment is set to increase. The Eleventh Plan, entailing an investment of about $492 billion on infrastructure projects alone, is likely to be the main growth driver.
Srividhya SivakumarCompanies in the engineering and construction sectors have never had it better. With increasing allocation of funds towards infrastructure development, the fortunes of these companies have changed dramatically. The spill-over effect from these investments has also pepped up the outlook for the equipment industry. Offering a proxy play on the infrastructure growth story of India, the equipment industry appears set to grow at a blistering pace.While the stocks in this segment enjoy premium valuations, the burgeoning order books stand testimony to strong prospects. What are the demand accelerators for this industry? How are the companies planning to take advantage of the demand? What are the key factors that will determine their suc…

atlas copco--over weight---morgan stanley

November 19, 2007Atlas CopcoOptimism in IndiaNirvana at the CMD?Quick comment: We met management of Atlas CopcoIndia on Friday, who provided optimism regarding i) thecompany's growth and return prospects but also ii) thereception of tomorrow's CMD in Orebro, Sweden.Firstly, management outlined how India should be the 3rdlargest market within three years, adding 1.5-2% groupgrowth p.a. and fuel mix. India plays a key role inexplaining how emerging markets reached 40% share ofgroup orders YTD. Secondly, AC India, who hostedglobal managers last week, emphasized that exportsfrom India to elsewhere in the world remains strong andindicated that the group's performance was strong inOctober. Investors are hoping for reassuring commentsfrom management at tomorrow's CMD. Our visit in Indiastrengthened our belief they can provide such respite.Big in India... India represents nearly 5% of group sales(6th largest country in the group), including revenues thatare not booked throug…

Mega power projects energises Reliance Energy

Reliance Energy rose 3.99% to Rs 1,730 at 14:38 IST on reports of Reliance Power receiving a Letter of Intent for setting up the 4,000 mega watt Krishnapatnam ultra mega power project in Andhra Pradesh. Meanwhile, BSE Sensex was up 354.24 points or 1.86% to 19,348.69 after comments on Thursday, 29 November 2007, by Federal Reserve Chairman Ben Bernanke reinforced expectations that the US central bank was willing to lower interest rates again at the 11 December 2007 meeting. On BSE, 10.36 lakh shares changed hands in the counter. The stock had an average daily volume of 18.97 lakh shares on BSE in past one quarter. The stock hit a high of Rs 1,747 and a low of Rs 1,670 so far during the day. It touched a 52 week high of Rs 2,000 on 1 November 2007 and a 52 week low of Rs 448.20 on 5 March 2007. The large-cap scrip underperformed the market over the past one month till 29 November 2007 declining 3.38% compared to the Sensex's decline of 1.58%. It however outperformed t…

8 ways to identify profitable shares

November 28, 2007
Though investment opportunities abound all the time and in almost all situations, they may not be very easy to identify. A shrewd and discerning investor will usually find opportunities for making money in places, and in situations, where a less discerning one will not. The best investment opportunities are often found in the most unlikely of places and situations. For example, in the beginning of 1994 few could have predicted that the shares of the then relatively unknown company like Infosys Technologies [Get Quote], focusing primarily on Y2K software projects, would provide one of the best investment opportunities of the last decade. Let us consider some typical situations which provide excelleent investment opportunities.1. Turnaround situationsA turnaround situation exists when a company that has been making losses for a number of years starts turning the corner and is expected to begin making profits. Since the company has been making losses, its shares are like…