Showing posts from June 14, 2009

Reliance Infrastructure builds on buzz of new order win

Reliance Infrastructure rose 3.03% to Rs 1237.65 at 10:52 IST on reports a consortium of the company and Hyundai Engineering is likely to win a contract worth Rs 1500 crore to connect Mumbai's Bandra-Worli sea link with Haji Ali. Meanwhile, the BSE Sensex was up 65.46 points, or 0.46%, to 14330.99. On BSE, 2.45 lakh shares were traded in the counter. The scrip had an average daily volume of 20.64 lakh shares in the past one quarter. The stock hit a high of Rs 1259 and a low of Rs 1217.90 so far during the day. The stock had hit a 52-week high of Rs 1373.70 on 1 June 2009 and a 52-week low of Rs 354 on 27 October 2008. The stock had outperformed the market over the past one month till 18 June 2009, rising 19.96% as compared to the Sensex's 0.13% decline. It had also outperformed the market in the past one quarter, soaring 150.05% as against the Sensex rise of 58.92%. The large-cap private sector utility and infrastructure developer has an equity capital of Rs 226…

Bonus shares offer big tax benefits?

Can you please confirm if what explained in this article still is true?Bonus shares offer big tax benefitsNikhil Lohade & Nimesh Shah in Mumbai | April 15, 2004 10:10 ISTWith big technology and pharma companies announcing bonus share
issues, it's time to reveal a secret: Bonus shares can be effectively
used a tax saving tool.How is this done? Simply, the loss incurred after selling a stock once
it turns ex-bonus can be used to set off against short-term capital
gains.Bimal Doshi, Mumbai-based chartered accountant and management
consultant, explains how shares of the company which announces bonus
shares can be effectively used as a tool of tax planning.As per the Income Tax Act, the cost of acquisition of bonus shares is
taken at NIL, while cost of original shares remains at the cost at
which there were purchased i.e. cum-bonus price. How effectively tax
can be saved is explained by the following example.Suppose short-term capital gain realised by an individual is Rs
200,000. An individu…

Some sectors hold promise for investors

By Vikas Agarwal, ET Bureau

The domestic stock markets have been through a spectacular rally over the last three months. The markets recorded a sharp rise in some of the most beatendown sectors during the last year.

After the formation of stable government at the centre, the first budget of the newly-elected government is to be announced in first week of July. Investors have high expectations from the first budget of this government and hence there is some very bullish undertones in the markets.

Here are some significant factors that investors should look for in a sector before choosing stocks from it: Auto

Stocks in the auto sector have been in an uptrend during the last few months and therefore, the valuations in the auto sector stocks are no longer cheap at the current levels. Those invested in auto stocks can book some profits and hold the remaining with a tight stop-loss target.

The expected initiatives from the govern…