DIWALI WISHES ......

Recommending few stocks below for your consideration on this special event :

·      IDFC  (CMP Rs.112) 

# Showing good resilience even in tough business environment.

# Expecting improvement in target sectors

# Good balance sheet

# Potential candidate for banking License, which may help (at least sentimentally) for a re-rating .
 Link to company website HERE

 DEWAN HOUSING FINANCE (CMP- Rs.160)

# India’s third largest housing finance company .

# Good presence in low and middle  income segments of Tier II and III cities ,where the real potential lies in.    

# Cheaply valued stock from this sector with a P/E of less   than 5 which is 1/3^rd of the average P/E of other companies in the same sector.

# showing steady growth in business for the past many years.

Link to company website HERE

   TATA STEEL (CMP- Rs 336)

# Expecting improvement in target sectors

# Effect of recent and ongoing capacity expansion

# Better realisation from overseas operations 

 Link to company website HERE

·      WOCKHARDT (CMP – Rs.445)

# Distressed valuation due to regulatory overhang

# Possibility of clearance by next Diwali or near to it.

 Link to company website HERE

 

Recently discussed the current situation of Wockhardt in detail .Due to pending USFDA decision, better to avoid buying this stock in single lot.Buy only 30% of the desired qty now and wait with patience .If USFDA decision is negative ,one may get better  opportunity to buy more either at the time of announcement or at the time of declaration of the quarterly result post implementation of decision

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DIWALI WISHES ....

WISHING A HAPPY DIWALI AND PROSPEROUS  YEAR AHEAD.THIS TIME I AM CHOOSING  'BRAND' AS THE THEME FOR  STOCK SELECTION.WE ALL KNOW HOW A BRAND IS IMPORTANT FOR COMPANIES AND HOW STOCK MARKET VALUING COMPANIES WITH GOOD BRANDS .WE HAVE MANY EXAMPLES BOTH FROM MNC AND INDIAN SPACE LIKE NESTLE,GSK CONSUMER,P&G,TTK PRESTIGE,PAGE INDUSTRIES..Etc.THEIR BRANDS ARE THEIR BIGGEST ASSETS AND THE MAIN FACTOR DRIVING GROWTH YEAR AFTER YEAR.BUT IT IS A FACT THAT STOCK PRICE OF COMPANIES HAVING GOODS BRANDS ARE HIGHLY PRICED AND OUT OF REACH OF MANY SMALL RETAIL INVESTORS . BUT STILL THERE ARE SMALL BUT GROWING  COMPANIES WITH GOOD BRANDS IN SOME NICHE SPACES.MANY OF THE SELECTED COMPANIES ARE ALREADY RECOMMENDED HERE AND SOME OF THEM ARE TRADING AT THEIR 52 WEEK HIGH LEVELS.SOME STOCKS EARLIER RECOMMENDED FOR PROFIT BOOKING ,BUT NOW CONSIDERED ALL POSITIVE DEVELOPMENTS INCLUDING FINANCIAL PERFORMANCE AND OTHER FACTORS HAPPENED THEREAFTER WHILE SELECTING THESE STOCKS.I BELIEVE EVEN THESE COMPANIES ARE TRADING AT SUBSTANTIALLY HIGHER RATES ,INDIA'S FAVORABLE DEMOGRAPHIC TRENDS WILL DRIVE THE GROWTH OF THESE COMPANIES GOING FORWARD.

 Company :Heritage Foods                

 Industry  : Dairy
 CMP :440
 Initially Rec.Price : Rs.200
 Sales   FY 2008           FY 2012
              Rs.588 Cr        Rs.1394 Cr
Link to Old Recommendation  HERE
Link to Company website       HERE
Link To Latest Annual Report HERE

Company :La-Opala RG                
 Industry  : Houseware
 CMP :Rs165
 Initially Rec.Price : Rs.50
 Sales   FY 2008         FY 2012
              Rs.55 Cr        Rs.115 Cr
 Link to Old Recommendation  HERE
 Link to Company website       HERE
 
  

Company :Bambino Agro                
 Industry  :  Packaged Foods
 CMP : Rs.61                                  
Initially Rec.Price:Rs.40                          
 Sales FY 2008      FY 2011
           Rs.92 Cr        Rs.215 Cr
        Link to Old Rec. HERE
        Link to Company web.HERE

Company :Acrysil        
Industry : Designer H.Wares
CMP :Rs.117                        
Initially Rec.Price : Rs.85 (Adj.to Bonus Issue)
Sales   FY 2008         FY 2012
              Rs.30 Cr        Rs.62 Cr
 Link to Old Recommendation HERE
 Link to Company website       HERE
 Link to Latest Annual Report   HERE 

Company :Orient Bell        
Industry : Building Materials
CMP :Rs.69                        
Initially Rec.Price :NA
Sales   FY 2008         FY 2012
              Rs.214 Cr        Rs.546 Cr
  Link to Company website       HERE
 Link to Latest Annual Report   HERE 

WISHING A HAPPY DIWALI TO ALL MY READERS...

Happy Diwali


 MY DIWALI PICKS 

KAVERI SEED COMPANY

FORTIS HEALTHCARE

 ADITYA BIRLA NUVO

TATA CHEMICALS

YES BANK