Havells India

Havell’s India is likely to sustain its growth momentum on the back of booming user industries such as construction, engineering and power. The commissioning of new plants for electrical consumer durables – fans, CFL, etc, and switchgears in the excise- free zone of Uttaranchal and Himachal Pradesh would help it to expand its market share and improve margins

Boom in user industries Havell’s India is likely to sustain the growth momentum on the back of the boom in the user industries such as construction, engineering and power. Its top line has grown at a CAGR of over 45% during the past 5 years from Rs 171.08 crore in FY01 to Rs 1108.25 crore in FY06. During this period the bottom line grew at a CAGR of over 59% from Rs 6.21 crore to Rs 63.21 crore. Domestic & industrial switch gears, cables and consumer electrical equipment contribute an equal 25% to its revenues while the balance rest 18% and 7% is contributed by wires and the newly acquired Crabtree revenue (cater to premium segment of modular switches and bath fittings) respectively.

The company is currently trading at Rs 315, 18x the FY07E EPS of Rs 17.45. The company has an impressive return on equity of more than 45%, which along with margins expansion may trigger into further re-rating of stock. We expect the company to generate returns to the tune of 20% over 3-6 months with a target price of Rs 380.

Crude plunge

Crude plunges to biggest one-day decline since Aug '05


Crude prices plunged 4.3% at USD 56.26 a barrel, its biggest one-day decline since August 2005 on expectations that OPEC members may not reduce production and a warm US winter will curb demand.
Due to this fall Gold & silver are expected to trade weak.

On A New High

Sectoral Earning growth projections

Robust Growth

The country’s industrial production has kept up its brisk momentum, rising by 11.4% in September 2006 over last year. The Index of Industrial Production (IIP) released on Friday, indicates that the the growth was powered by the double-digit growth of 12% and 11.3% in the manufacturing and electricity sectors respectively. In the first half of this year, IIP has grown by 10.9% over the corresponding period of 2005-06. During the April-September months, manufacturing grew by 12.1%, electricity by 6.6% and mining by 3.1%. Mining has grown only by 3.9% during the period. Icrier director Dr Rajiv Kumar said the interesting feature of the current growth spell was the narrowing of differences in rates between manufacturing and electricity. He said this could make the trend sustainable. Among sectors, the growth rate has been the sharpest for intermediate goods at 14.7% for the month. It has logged 11.3% for Basic goods, but only 2.2% for capital goods. For the period of April-September 2006-07, the figures stood at 10.8%, 15.2% and 8.8% respectively. The Consumer durables and Consumer non-durables have recorded growth rates of 12.6% and 12.5% respectively, with the overall growth in Consumer goods being 12.5%. In terms of industries, the Beverages, Tobacco and Related Products sector as well as Basic Metal and Alloy Industries have shown the highest growth of 19.8%, followed by 19.6% in Wood, Wood Products, furniture and fixtures and 16.7% in Non-Metallic Mineral Products. In 2005, the manufacturing sector recorded only a 8.9% growth rate for September 2005, electricity had a negative growth of 0.8% for September last year. The mining sector however only grew by 3.9% in September 2006, as compared to a negative growth of 1.9% in the same month last year.

Hindalco

Hindalco is expected to reap the benefits of turnaround in copper business along with accelerated profitability from aluminium division on the back of firm prices and volume expansion.

Turnaround in copper business

The copper business witnessed a turnaround this year and has started contributing to profitability. The company’s copper mines division went through a difficult period over the last few years, caused by longer- than-expected development phase resulting in higher costs and large accumulated losses. The company addressed the problem by commissioning the Nifty sulphide mines in Australia, one of the largest mines discoveries in past 10 years with a resource base of 685,000 tonnes and an expected life of 12 years. This helped the company turn around its copper business. The business is expected to contribute about 23-24% to the groups EBIT in FY07E against a negative contribution during the last three years.

Accelerated profitability from aluminium division
The aluminium business is expected to sustain its growth momentum and would do even better on the back of aggressive capacity expansion undertaken by it, which would boost sales volumes. Hindalco is expanding its Hirakut smelter from 65,000 tpa to 143,000 tpa and power capacity from 167.5 MW to 367.5 MW. Simultaneously, it is also setting up an alumina green-field project in Orissa with a refining capacity of 1500,000 tpa, smelter capacity of 325,000 tpa and power plant with a capacity 750 MW. This green-field project is likely to be commissioned over the next three years and has already received SEZ approval. These series of green-field projects would transform the company into a global sized player with a rated capacity of 1.5 million tonnes over the next 6 years.

Electrotherm

Electrotherm is doing excellent in field of Furnaces and also have become involved in battery operated two wheeler and other segments. Sky is the limit in energy saving sector and it is also involved in steel sector. We hope the company expected December EPS TTM will be around 79 and this stock may achieve PE of of 7.5 and telectrotherm price may be around Rs.600/- in January end. Best buy at present cost.

Apar Industries

Apar Industries has declared its second quarter results. The company's Q2 net profit is up at Rs 12.1 crore (Rs 121 million) from Rs 7.64 crore (Rs 76.4 million).
Its net sales are up at Rs 361.5 crore (Rs 3.61 billion) from Rs 283.9 crore (Rs 2.83 billion).
The company declared bonus at 1:3.
the company is in Transformer Oil Business. The sector is slated to see good growth side by side growth in power sector. The company holds 50% of the market share.

Prism Cement

Prism Cement has declared its first quarter results. The company posted net profit of Rs 22 crore (Rs 220 million) in the second quarter versus loss of Rs 1.3 crore (Rs 13 million) in the same period of last year

Prism Cement (CMP Rs.39.3) is on an uptrend, and should move to its target zone of Rs.50. major resistance at Rs.38, . For a small time, this scrip could be range bound between Rs.38 & 42.5, consolidate, and then move up towards .The You can add at around Rs.37-38 .

To be or not to be

We came out with a very strong buy call at 9900 level. At that time we believed that the market would go to 1300-13200 level. But at these level (13000-13200) some profit-booking should be done. One should look at re-entering after 500-700 point corrections. "I expect some correction despite the fact that FIIs are pumping in money and Fed did not alter the inetrest rates."

Buy TVS Motors Sell Hero Honda

Hero Honda will announce its second quarter numbers on Wednesday. The company increased prices during the quarter, but also suffered a loss in market share from over 50% to 44.4% in September. According to CNBC-TV18 estimates, Hero Honda's Q2FY07 revenues are seen up 1.4% at Rs 2,196.5 crore versus Rs 2,166.3 crore. But the company's net profit is estimated to be down 8% at Rs 218.5 crore versus Rs 237.9 crore. Hero Honda's EBITDA is also expected to move down 9.8% at Rs 301 crore versus Rs 333.6 crore.

TVS Motors is to announce its Q2FY07 results. According to CNBC-TV18 estimates, the company's net profit is expected to go up 13.4% to Rs 36.2 crore (RS 362 million) from Rs 32 crore (Rs 320 million) year-on-year, YoY.
Its revenues are seen going up 29.2% to Rs 1019.6 crore (Rs 10.19 billion) in the second quarter as compared to Rs 789.2 crore (Rs 7.89 billion) in the same period of last year.
The EBIDTA is seen up 30% to Rs 59.6 crore (Rs 596 million) from Rs 45.9 crore (Rs 459 million).

Results update

Infosys Technologies has announced its second quarter results. The company's Q2 net profit is up 17.13% at Rs 930 crore (Rs 9.30 billion) from Rs 794 crore (Rs 7.94 billion), quarter-on-quarter, QoQ.

Its revenues are up 14.46% at Rs 3,451 crore (Rs 34.51 billion) from Rs 3,015 crore (Rs 30.15 billion).

Tata Consultancy Services, TCS is to declare its Q2FY07 results. According to CNBC-TV18 estimates, the company's Q2 net profit is seen going up 8.78% from Rs 863 crore (Rs 8.63 billion) to Rs 938.84 crore (Rs 9.38 billion), quarter-on-quarter, QoQ.
Its revenues are going to seen up 8.08% from Rs 4144 crore (Rs 41.44 billion) to Rs 4479.12 crore (Rs 44.79 billion).

Results Dates

BASF : 11-OCT-06

Mastek : 11-OCT-06

TCI Finance : 11-OCT-06

Infosys : 11-OCT-06

iGATE Solutions : 11-OCT-06

Aztecsoft : 11-OCT-06

Apollo Tyres : 12-OCT-06

Indian Hotels : 12-OCT-06

Dalmia Cement : 12-OCT-06

Tamil Newsprint : 12-OCT-06

ILandFS : 12-OCT-06

Prime Securitie : 12-OCT-06

CRISIL : 12-OCT-06

GRUH Finance : 13-OCT-06

Rama Newsprint : 13-OCT-06

JK Bank : 13-OCT-06

Container Corp : 13-OCT-06

UTI Bank : 13-OCT-06

Macmillan : 13-OCT-06

Aban Offshore : 14-OCT-06

Crompton Greave : 14-OCT-06

Reliance Infra : 14-OCT-06

Finolex Ind : 14-OCT-06

Kamdhenu Ispat : 14-OCT-06

KEI Industries : 14-OCT-06

Tata Metaliks : 14-OCT-06

Praj Industries : 14-OCT-06

Sanghi Ind : 14-OCT-06

CMC : 14-OCT-06

Rama Newsprint : 14-OCT-06

Guj Amb Exports : 14-OCT-06

GP Electronics : 16-OCT-06

Kewal Kiran : 16-OCT-06

Cubex Tubings : 16-OCT-06

DeccanChronicle : 16-OCT-06

TCS : 16-OCT-06

UltraTechCement : 16-OCT-06

Triveni Engg : 16-OCT-06

Granules India : 16-OCT-06

IMP Powers : 16-OCT-06

GTC Industries : 16-OCT-06

HCL Tech : 16-OCT-06

S Kumars Nation : 16-OCT-06

Geometric Soft : 16-OCT-06

Vinyl Chemicals : 16-OCT-06

Fert and Chem : 16-OCT-06

Fedders Llyod : 16-OCT-06

Ballarpur Ind : 17-OCT-06

Gabriel India : 17-OCT-06

Kirloskar Bros : 17-OCT-06

Indo Rama Synth : 17-OCT-06

Mirza Intl : 17-OCT-06

Bihar Caustic : 17-OCT-06

Godavari Fert : 17-OCT-06

Micro Inks : 17-OCT-06

Alembic : 17-OCT-06

Kirloskar Oil : 17-OCT-06

Lanxess ABS : 17-OCT-06

Pidilite Ind : 17-OCT-06

HDFC Bank : 17-OCT-06

Bharat Forge : 17-OCT-06

Bajaj Auto Fin : 17-OCT-06

Centurion BoP : 17-OCT-06

Mahindra Gesco : 17-OCT-06

South Ind Bk : 17-OCT-06

India Infoline : 17-OCT-06

Xpro India : 17-OCT-06

Jubilant Org : 17-OCT-06

IPCL : 17-OCT-06

Polaris : 17-OCT-06

Jaiprakash Asso : 17-OCT-06

NDTV : 17-OCT-06

Mah Scooters : 17-OCT-06

Coromandel Fert : 17-OCT-06

Foseco India : 17-OCT-06

Chemfab Alkalie : 17-OCT-06

Bajaj Auto : 18-OCT-06

Marico : 18-OCT-06

Shanthi Gears : 18-OCT-06

Infotech Enter : 18-OCT-06

Vesuvius India : 18-OCT-06

JBF Industries : 18-OCT-06

MRPL : 18-OCT-06

Ipca Labs : 18-OCT-06

Finolex Cables : 18-OCT-06

HCL Info : 18-OCT-06

Hindalco : 18-OCT-06

Exide Industrie : 18-OCT-06

Biocon : 18-OCT-06

Vijaya Bank : 18-OCT-06

Wipro : 18-OCT-06

Unichem Labs : 18-OCT-06

Deepak Fert : 18-OCT-06

Bk Of Rajasthan : 18-OCT-06

Titan Industrie : 18-OCT-06

TTK Prestige : 18-OCT-06

ING Vysya Bank : 18-OCT-06

Emco : 18-OCT-06

UCAL Fuel : 18-OCT-06

Tech Mahindra : 18-OCT-06

Emkay Shares : 18-OCT-06

Thirumalai Chem : 18-OCT-06

Guj NRE Coke : 18-OCT-06

Grasim : 18-OCT-06

HPCL : 18-OCT-06

Essel Propack : 18-OCT-06

Adani Enterpris : 19-OCT-06

ACC : 19-OCT-06

Bharat Gears : 19-OCT-06

Cholamandalam : 19-OCT-06

Lloyds Finance : 19-OCT-06

Merck : 19-OCT-06

SKF India : 19-OCT-06

Sun Pharma : 19-OCT-06

Hexaware Tech : 19-OCT-06

Ranbaxy Labs : 19-OCT-06

Mysore Cement : 19-OCT-06

Kotak Mahindra : 19-OCT-06

ONGC : 19-OCT-06

Lupin : 19-OCT-06

Guj Alkali : 19-OCT-06

Hind Constr : 19-OCT-06

JSW Steel : 19-OCT-06

GSFC : 19-OCT-06

EID Parry : 19-OCT-06

Ingersoll Rand : 19-OCT-06

Larsen : 19-OCT-06

3i Infotech : 19-OCT-06

HT Media : 19-OCT-06

AdityaBirlaNuvo : 19-OCT-06

HDFC : 19-OCT-06

GNFC : 19-OCT-06

SBI : 19-OCT-06

State B Bikaner : 19-OCT-06

Satyam : 20-OCT-06

Hitachi Home : 20-OCT-06

Grindwell Norto : 20-OCT-06

Sundrmbrak : 20-OCT-06

Suprajit Eng : 21-OCT-06

India Cements : 23-OCT-06

Chennai Petro : 23-OCT-06

FCI OEN : 24-OCT-06

Electrosteel : 25-OCT-06

M&M Financial : 25-OCT-06

Kothari Sugars : 26-OCT-06

Agro Tech Foods : 26-OCT-06

Easun Reyrl : 26-OCT-06

Esab India : 26-OCT-06

Allahabad Bank : 26-OCT-06

VST : 26-OCT-06

TIL : 26-OCT-06

Tata Power : 26-OCT-06

PSL : 26-OCT-06

Mah and Mah : 26-OCT-06

GlaxoSmith Con : 26-OCT-06

Kotak Mahindra : 26-OCT-06

Monsanto India : 26-OCT-06

Nagarjuna Fert : 26-OCT-06

Bata India : 27-OCT-06

Binani Ind : 27-OCT-06

Hyderabad Ind : 27-OCT-06

Everest Ind : 27-OCT-06

Century : 27-OCT-06

Abhishek Ind : 27-OCT-06

Alok Industries : 27-OCT-06

Wyeth : 27-OCT-06

Bharat Elec : 27-OCT-06

Century Enka : 27-OCT-06

AstraZeneca : 28-OCT-06

Kamat Hotels : 28-OCT-06

Seshasayee Pape : 28-OCT-06

Chambal Fert : 28-OCT-06

Karnataka Bank : 28-OCT-06

Carborundum : 28-OCT-06

Torrent Pharma : 28-OCT-06

Sudarshan Chem : 28-OCT-06

Zuari Inds : 28-OCT-06

Himatsingka Sei : 28-OCT-06

ABB : 30-OCT-06

NEPC India : 30-OCT-06

Unity Infraproj : 30-OCT-06

IDFC : 30-OCT-06

Tata Chemicals : 30-OCT-06

Godrej Consumer : 30-OCT-06

SBandT Int : 30-OCT-06

Prism Cement : 30-OCT-06

Guj Heavy Chem : 30-OCT-06

Clariant Chem : 30-OCT-06

Avaya GlobalCon : 30-OCT-06

SAIL : 30-OCT-06

ATN Int : 30-OCT-06

Saitele : 30-OCT-06

RPG Life Sci : 30-OCT-06

STC India : 30-OCT-06

NEPC Agro Foods : 30-OCT-06

Dabur India : 31-OCT-06

Guj Gas : 31-OCT-06

Kansai Nerolac : 31-OCT-06

Mangalam Cement : 31-OCT-06

HEG : 31-OCT-06

Karur Vysya : 31-OCT-06

Pricol : 31-OCT-06

Motor and Gen F : 31-OCT-06

Colgate : 31-OCT-06

Thermax : 15-NOV-06

Infy Upadate

Infosys Technologies is to announce its Q2FY07 results. According to CNBC-TV18 estimates, the company's Q2 net profit is seen going up 7.59% from Rs 794 crore (Rs 7.94 billion) to Rs 854.26 crore (8.54 billion), quarter-on-quarter, QoQ.
Its revenues are expected to go up 10.35% from Rs 3015 crore (Rs 30.15 billion) to Rs 3327 crore (Rs 33.27 billion).

North korea Goes Nuclear

North Korea goes nuclear, claims its first nuke test


New Delhi: North Korea claimed on Monday that it has performed its first-ever nuclear weapons test.
Korean Central News Agency (KCNA) reported that the test had been performed successfully and that there had been no radioactive leakage from the site.
"The nuclear test is a historic event that brought happiness to the our military and people. The nuclear test will contribute to maintaining peace and stability in the Korean peninsula and surrounding region," said KCNA.
South Korean President Roh Moo-hyun convened a meeting of security advisers over the issue, South Korea's Yonhap news agency reported and intelligence over the test has been exchanged between concerned countries.
Full text of the official announcement
The field of scientific research in the DPRK (North Korea) successfully conducted an underground nuclear test under secure conditions on October 9, Juche 95 (2006) at a stirring time when all the people of the country are making a great leap forward in the building of a great prosperous powerful socialist nation.
It has been confirmed that there was no such danger as radioactive emission in the course of the nuclear test as it was carried out under a scientific consideration and careful calculation.
''The nuclear test was conducted with indigenous wisdom and technology 100 per cent. It marks a historic event as it greatly encouraged and pleased the KPA (Korean People's Army) and people that have wished to have powerful self-reliant defence capability.
It will contribute to defending the peace and stability on the Korean peninsula and in the area around it.The news agency reported that North Korea nuclear test was conducted at 1036 hrs (local time) (0706 hours IST) in Hwaderi near Kilju city, citing defense officials.
North Korea had said last week that it would conduct a test, sparking regional concern and frantic diplomatic efforts aimed at dissuading Pyongyang from such a move.
It had said that it would conduct a nuclear test as part of its deterrent against a possible US invasion.
North Korea has long claimed to have nuclear weapons but had never before performed a known test to prove its arsenal.
India silent
India has not reacted to North Korea's move as yet and is likely to go through the usual route of approaching UNSC.
"This nuclear test does change the power equation in the world. But we all knew this was coming. Now the situation changes for South Korea, Japan and that part of the world. But India should learn that we should not jump into any deal that changes our programme that could lead to our other tests being marred," former chairman of Atomic Energy Regulatory Board of India, Dr A Gopalakrishnan told CNN-IBN.
"This move by North Korea will make Japan rethink it’s nuclear and defense policy. Secondly, it will help Bush strengthen his efforts in building defense against North Korea. Thirdly, this means that US can be now subjected more to nuclear attacks. Lastly, Pakistan has nuclear arsenal but they are not willing to give access to Osama. North Korea has followed the Pakistan example,” said Defence Analyst, K Subramaniam.
North Korea’s nuclear quest: A chronology
North Korea is one of the world's most authoritarian and secretive nations, with an economy in dire straits after decades of mismanagement
Following World War II, the Korean peninsula was split, with the north coming under Communist domination and the south portion eyeing Western ways.
The Democratic People's Republic of Korea was established as an authoritarian socialist government in 1948.
Kim Jong Il has led North Korea since 1994 after the death of his father, Kim Il Sung, the country's first leader.
The North relies heavily on international aid to feed its people and fuel resources for its one million-man army.

Sugar Surge

Ambareesh Baliga of Karvy Stock Broking is of the view that Balrampur Chini Mills has target of Rs 140-150.

Baliga told CNBC-TV18, "For the last three-four months we have been taking a contrarion call on sugar asking people to buy at lower levels, infact, we have been buying and holding onto stocks like Balrampur Chini, which not had that much good move, possibly a 10-15% move from the lows but then we have a target of Rs 140-150 for it and I think this should be achievable over the next six-eight months. Sugar is a decent contrarion buy even at this point of time."

Results update

Shree Cements is to announce its Q2FY07 results. According to CNBC-TV18 estimates, the company's net sales are seen going up 89.69% at Rs 294.6 crore (Rs 2.94 billion) from Rs 155.3 crore (Rs 1.55 billion).
Its net profit is expected to go up 111.4% at Rs 78.85 crore (Rs 788.5 million) from Rs 37.3 crore (Rs 373 million).
Its OPM is expected to be at 41% versus 33.6%.
Q1FY07
The company's Q1FY07 net profit was up at Rs 90.4 crore (Rs 904 million) from Rs 26 crore (Rs 260 million).
Its net sales were up at Rs 309.3 crore (Rs 3.09 billion) from Rs 142.5 crore (Rs 1.42 billion).

What's in store for mkts next week?

Bonus alerts

*Alert* Bonus Issues and Right Issues
1) Rights issue propels Orient Paper
Rights issue propels Orient Paper. Orient Paper & Industries climbed 4.72%to Rs 610.90, after the board approved raising Rs 175 crore through arights issue, to fund expansion. As many as 84,657 shares were traded on the BSE.
2) Hazoor Media Board approves bonus issue
Recommended Issue of bonus shares. The record date for issue of bonus shares shallbe decided after obtaining consent of the members of the Company.
3) Jhantla Investments Board approves Bonus Issue
Jhantla Investments Ltd has informed BSE that the Board of Directors ofthe Company at its meeting held on October 03, 2006, has decided to issue 3,00,000 equity shares of Rs 10/- each at par on preferentialbasis to the various parties from whom the proposal have been received. Decided further to issue Bonus Shares subject toapproval of members.

Commodity watch

Gold and silver are good buys at current levels

Market Watch

after two days of sliding markets have bounced back today and will continue to move upwards. TCS is a gret buy on current levels with a target of 1200-1400 in six months.
It is expected to post strong half yearly numbers .

Commodity watch

Gold and sliver prices are going to go upwards. Though crude prices are weak but will ultyimately go up in coming weaks due to increasing demands in Europe and US. One can take long position in both gold and silver.

Market Watch

Following weak global clues Indian market is moving sideways in absense of any major trigger.
Half yearly results are round the corner and strong number are expected. That will take the market to the new highs in comming weeks

Markets closed at its weekly, monthly and quarterly highs and experts expect the Sensex to test its previous high next week. While the support lies in the 12300-12100 area one can expect bit of a resistance in the 12600-12700 zone.

However, oil hardening above USD 65 can bring some bearishness. A 300-400 point correction can also be expected going ahead.

Market report

market is showing lot of strenght at current levels. Bullish trend will continue in near term. watch Hindalco, TCS, Voltas, Sugar stocks

Stock Picks

Keep an eye on TCS, Voltas,BluStar Co, Godrej Ind & Sugar Stocks

Tommorrows call

The settlement passed without any hiccups market will move upwards tommorrow.

Commodity Watch

Gold and silver sre on a uptrend becuause crude is firming up and domestic demand increasing. One can take a long position in Gold and Silver

Market watch

Markets are trading flat todaydue to settlement. But seems to be bullish in short term

market watch

European markets opened firm. BSE may touch 12500 today

Sugar Surge

Govt is considering to remove export restrictions on Sugar. Keep an eye on Sugar Stocks (Balrampur Chini, Bajaj Hidustan)

Commodity Watch

Crude has gone up again after touching intra day low due to OPEC intention of cutting production if prices keep on falling. The Gold and Silver prices will go up .

Markets today

Market is facing stiff resistance to break free of current levls. But eventually it will scale new peaks

Balrampur Chini

Buy: Balrampur Chini is a great buy on current levels(Rs93.50). Will go upto Rs 105 in 7 to 10 days.

Commodity Update

Though crude prices have softened but Gold & Silver will not go down from current levels because of buoyant domestic demands

Markets are trading in green and are expected to close strong. They are heading towards new highs in comming week.

Buy: BlueStar Comapany at its current level (Rs 135.20) it has the potential to go up to Rs 160 in short term (7 to 15 days)

Share Pundit

Share Pundit
Hi folks ,Will market go southwards from current position or there is more steam left in the short term.

Share Pundit

Share Pundit
Focus on cement, banks, capital goods

The markets have recovered and have moved in the positive terrain. Sensex was trading at 12,287 up 14 points and the Nifty was also in greens

Welcome note

Hi all there interested in Indian stock & Commodities you all are welcome to share and express your views ideas and investment tips over here.