*TOWER TALK*
In a presentation to the media, the management of Advanced Enzymes was optimistic about its current working and future prospects. Add.
Mid-sized bank Karur Vysa Bank is witnessing rising volumes on the back of decreasing NPAs and rising profits. Add.
Defence major, Bharat Electronics Ltd., has orders of about Rs 51000 cr. but expects more order inflows given the friction with China. Buy.
Sterlite Technologies plans to achieve Rs. 10000 cr. of revenue by 2023. The indigenous 5G technology will also help boost its revenues. A very good long term haul.
Having failed to delist Vedanta, its promoters are now increasing their stake. The share may be bought for the long term.
Will Prabhat Dairy declare a big pay-out or not after the sale of it dairy business worth Rs. 1292 cr.? It has deposited Rs. 500 cr. in an escrow account as ordered by SAT. Although the intentions of the management look hazy, risk bearing investors may buy.
On the back of rising prices and demand for iron ore, SAIL plans to pare its debt in the next few months. This share is a good buy at current beaten down rates. Accumulate.
Bangladesh has drastically reduced the import duty on Rice. A big business opportunity for LT Foods, which exports is famous brand of Daawat Basmati Rice.
JMC Projects, a Kalpataru group company, has bagged fresh orders worth Rs. 798 cr. in South India. It already has orders of over Rs. 6700 cr. and the future looks good. Add.
Welspun Corpn, which makes pipes and accessories used in drilling, has bagged orders for about Rs. 1200 cr. mostly from Saudi Arabia based Aramco. A big order indeed. Buy.
BHEL has bagged order for reactor head assemblies from Nuclear Power Corpn. At CMP of around Rs. 35, the share is a good buy.
Titan Biotech, a 25-year old manufacturer and exporter of biological products to 75 countries is faring well. This Covid-19 proof share is unlikely to be hit after a market correction. Around Rs. 149, it is a good buy for multi-bagger returns.
VST Tillers Tractors, manufacturer of power tillers and tractors, is witnessing rising demand and sales. Its profitability is also on the rise. A good long term investment.
Varun Beverages, maker of Aquafina mineral water, Pepsi and other soft drinks, is witnessing steady recovery in sale volumes and profitability. At current prices, the share looks a good buy. Add.
Parag Milk is expanding its health & nutrition business by adding new products and capacities. Long term prospects look good. Buy.
PE funds, Apax Partners and Blackstone, are in the race to acquire the controlling stake in 3i Infotech. Buy for speculative gains.
JK Tyre is witnessing higher volumes and rising prices. The anti-dumping duty on imports is seemingly working for the Company. It is one of the cheaper tyre share. Add.
The export of medium range surface to air Akash Missile Systems will boost Bharat Dynamics. This high dividend PSU share, which saw a recent high of Rs. 460 is now available around Rs. 340. Buy immediately and retain for two years.
Housing sales recovered in Oct-Dec on the back of lower interest rate and stamp duty and this is likely to continue. Demand for housing loans will also rise. Buy Indiabulls Housing, which may declare a dividend along with its Q3 results.
To meet the ambitious target of 20% ethanol blending with petrol by 2030, the govt. has extended the soft loan scheme for capacity expansion to distilleries. Buy Praj Industries, which makes machinery for the distilleries.
Reliance Infra has completed the sale of the Delhi-Agra toll road to Cube Highways for Rs 3,600 cr. The entire money is being used to repay debts that will now reduce to Rs. 14,000 cr. A good buy at the CMP.
DigiSpice Technologies, owner of Spice Money e-wallet, is doing very well with H1FY21 revenue at Rs. 269 cr. vs. Rs.342 cr. in full FY20. The share trades at a market cap of just Rs.500 cr. As a start-up in the unlisted space, it would have been valued around Rs.5000 cr. and compared to Phonepe, Mobikwik, Paytm. It recently inducted actor Sonu Sood as its brand ambassador.
A multi-bagger in the making.
Despite tough competition from the likes of Dixon Technologies and others, Mirc Electronics, owner of the ONIDA brand, still manufactures TVs for VU, TCL, Realme, OnePlus, and BPL. This stock deserves a decent valuation and can more than double while racing ahead to the Rs.40 mark.
Rane Holdings is a dark horse in the auto ancillary space as it has an auto ancillary division of its own. This stock used to trade at Rs.2500+ in FY18 and is available cheap around Rs.670. Buy on declines for good long term gains.
Solar companies are the favourites. Adani Green and Borosil Renewables have given multi-bagger returns last year. Sterling & Wilson Solar- a Shapoorji Pallonji group co. is an EPC player in the solar space cannot be left far behind. Buy to double your investment.
After months, Vodafone Idea has crossed the Rs.11 mark and the stock shows a technical breakout. Fundamentally, too, when there is a gush of global liquidity, it will not be tough for it to raise money. Buy at every decline.
Modison Metals makes electrical contact materials and finished contacts for Low, Medium, High & Extra High Voltage switchgear industry and can notch FY21EPS of Rs 8. The share may cross the Rs 80 mark at a reasonable P\E of 10.0x. Buy.
Maan Aluminium, manufacturer and exporter of Aluminium extruded products is likely to post FY21 EPS of Rs 15 on its small equity of Rs 6.7 cr. The share is expected to cross the Rs 150 mark at a forward P/E of 10x. Accumulate.
Mangalam Cement with 5 MMTPA capacity and 30 MW captive power has notched 45% higher Q2FY21 EPS of Rs 8 and H1FY21 EPS of Rs 13.2. Given the strong demand for cement, it may post FY21 EPS of Rs 28. A reasonable P/E of 12.5x can take its share price to Rs 350 in the medium term. Buy.
Welspun Corp, a US$ 2.7 billion enterprise in the Ductile Pipes business has received new orders of Rs.1200 cr. from Saudi Aramco taking its total outstanding orders to Rs 7,100 cr. With a likely FY21 EPS of Rs 24, the share is available at a steep discount of over 40% from its 52-week high of Rs 234. Accumulate for decent gains.
Vindhya Telelinks, which is into cables and EPC business, has notched FY20 EPS of Rs 200 on a small equity of Rs 11.8 cr. It also holds sizeable stake in Birla Corporation and Universal Cables. The share is trading at a forward P/E of 3.5. Accumulate for hefty gains.
Federal Bank with 1263 branches and 1936 ATMs is likely to post FY21 EPS of Rs 9. In view of the substantial growth in Deposits and Advances and CASA of over 32%, its share trading at a forward P/E of 8.4 has all the potential to appreciate by 30%. Buy.
Mallcom (India) Ltd., leading producer & exporter of Personal Protective Equipments such as helmets, face masks, garments, rainwear, leather gloves, nitrile gloves, and shoes has notched FY20 EPS of Rs 25. It has presence in over 50 countries in six continents. Buy for mega gains.
Expleo Solutions is from Expleo Technology of Germany and has excellent relations in the Banking & Financial Services and posted 43% higher Q2FY21 net profit and 80% higher H1FY21. With a likely FY21 EPS of Rs 60+, the share may touch Rs 900 at a reasonable P/E of 15x.
Everest Industries with six building-product plants, two board panel plants and three pre-engineered-building plants and an extensive marketing network boasts of a book value of Rs 270. With Q2FY21 EPS of Rs 11.4 and H1FY21 EPS of Rs 24.8, it is expected to post FY21 EPS of Rs 45+. The share is poised to cross the Rs 450 mark. Buy.
Rama Phosphate, a diversified, multi-location and multi-product and manufacturer of Phosphatic and Fortified fertilizers, Micronutrients, Sulphuric Acid, Soya oil has notched Q2FY21 EPS of Rs 6.3 and H1FY21 EPS of Rs 9.8, which could lead to FY21 EPS of Rs 20. A conservative P/E of 6x can take its share price to Rs 100 in the short run. Accumulate.
Trigyn Technologies offers a comprehensive range of services including Offshore Development and Maintenance Solution & Services to the IT industry. It posted 21% higher Q2FY21 EPS of Rs 5.8 and H1FY21 EPS of Rs.11.6 and may end FY21 EPS of Rs 24. The share is likely to advance by over 30% in the medium term. Buy.
Voith Paper Fabrics, formerly Porrits & Spencer, is a German MNC with 74% equity has posted Q2FY21 EPS of Rs 18.1 and H1FY21 EPS of Rs 28.5. Undergoing an expansion, it may post FY21 EPS of Rs 65 and Rs 75 in FY22 post expansion. Buy for hefty gains.
An Ahmedabad based analyst recommends to buy BEL, Chennai Petro, Cupid GEE, IOL Chemicals, JTEKT India, MSTC Ltd, Nahar Industrial, TPL Plast, Tinplate, Visaka Industries and VLS Finance.
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Forwarded as Received
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