ASM TECHNOLOGIES LTD - BUY

ASM TECHNOLOGIES is a Bangalore based IT company engaged in enterprise applications and enterprise product development for manufacturing, retail, oil and gas verticals.This company was earlier known as Advanced Synergic Microsystems Ltd .Company is generating about 45% of its total turnover from US and 38 % from India.Its associate/Subsidiary companies includes Advanced Synergic Pte Singapore, Pinnacle Talent USA and ESR Associates USA.Company is now expanding its operation by introducing new tools for industries like Sugar ,e-learning etc.Business Intelligence, data warehousing,Product lifecycle management  ..etc  are another areas of concentration.ASM is also active in outsourced product development for Telecom,Networking ,wireless and Mobile Applications. Company were in back even in the tough times of IT industry and dividend paying for the past three years.Now ,with the expected  revival in IT sector ,company is expected to perform even well in future.For the latest qtr ASM posted a turnover of Rs.17 Cr v/s Rs.10 Cr and a net profit of Rs.1.77 Cr v/s Rs 96 lac Nine month EPS is close to Rs.10/- and it is expected to complete the full year with an EPS above Rs.13/-.At CMP of of Rs.71/- there is reasonable scope for further appreciation.

How to change your operator through mobile number portability

The procedure.. 

1. Send an SMS to 1900 in the following format:

         

PORT

e.g. PORT 9123456789      

 

(Note: 'PORT' is not case sensitive and keep space between port and your number).

 

2. You will receive a reply which will contain a unique 'porting code'.

 

3. Send this unique code to the mobile operator that you have selected, through an SMS. The number to which you have to send your text message can be obtained from an operator's website or, of course, from the ad blitz that will start soon.

 

Remember, again, this unique code is valid only for a few days (say, 15 to 30 days). You will have to send this SMS to your new operator at the earliest. Else, you will have to repeat the procedure described in point (1) above all over again.

 

4. Your existing operator will communicate with the new operator after checking if you have any outstanding amount. If your account has a clear balance, the existing operator will go ahead with the approval for the number porting.

 

5. The subscriber would also have to fill and submit the prescribed form for MNP to the new operator. The subscriber would have to submit documents (like photo ID and address proof) along with the MNP form to the new operator. Post-paid subscribers will have to submit a copy of their latest bill as well.

 

6. You will receive an SMS, which will provide the time and date for porting. According to TRAI, it is mandatory for both the existing and the fresh operators to complete the process for number portability within four days after the first SMS.

 

7. You will receive another SMS from the new operator, confirming the switch. Your mobile phone may remain 'dead' or without network coverage for about two hours while the porting takes place. But don't worry—you will be able to go 'live' again with the new operator—and your old number.

 

8. Remember, you can change your operator only once in every 90 days. 

 

 

Courtesy :Moneylife

RESULT UPDATES

1) ORCHID CHEMICALS

I have recommended a BUY on Orchid Chemicals at Rs.161/- ( old reports are  HERE and HERE) ,which is currently trading at Rs.301/- .Company posted excellent result for the qtr ended Dec.2010.Sales is Rs.478 Cr v/s Rs.360 Cr and NP is Rs.57 Cr v/s a loss of Rs.19 Cr . It is expected to perform better in coming years too. One can HOLD at current level and a 10 % correction from current level may take as an opportunity to BUY it for long term

2) GEI INDUSTRIAL SYSTEMS LTD

I have recommended a BUY on GEI INDUSTRIAL SYSTEMS at Rs120/-( old report HERE ) which is currently quoting at Rs190/-. Company posted good result for the qtr ended December 2010  with sales moved up from Rs.62 Cr to Rs.110 Cr and net profit from Rs.4 Cr to Rs.8.6 Cr .One can HOLD at current level. Keep a close watch on new order additions and movement of the price of raw materials.

ARIES AGRO - ACCUMULATE

Aries Agro  recommended more than twice  at various price points from Rs100 to 150  level.After touching a high of Rs.203/- in the month of September , currently it is ruling around  116/- . Aries showing  good performance in its operations in quarter after quarter and also having a transparent management.  I reiterate an ACCUMULATE at current level for decent return in  long term.

Old report is Reproducing Below
-----------------------------------------------------------------------------------------------------------

Mounting food inflation is a serious threat to the economies worldwide. But some companies are benefiting from this situation .All governments are forced to take steps to improve food production using scientific methods and most modern techniques. Companies from the agri- related sectors are the major beneficiaries of  government’s such efforts.In India micro irrigation sector is getting very big boost in every budget .Even though fertilizer companies are also important in this perspective ,government control on fertilizer prices limiting their potential. Along with fertilizers, micronutrients  are  also gaining acceptance among Indian farmers. Moreover micronutrients  are not subject to the regulatory constraints that fertilizers face. The micronutrients business has considerable potential in the Indian context. Factors such as low yields of major food grains and horticultural crops, high soil alkalinity and intensive cultivation are the key demand drivers for micronutrients. The market for micronutrients such as zinc, iron and copper in India, is expected to double over the next two decades. ARIES AGRO is the largest player in micronutrients from the organised sector in India. The other two players in this sector(from organized space)  is Ranade Nutrients and Karnataka Agrochem ,but both are only regional players. Aries has 65 branded products coming from six  manufacturing units in India , one each at Mumbai, Kolkatta, Hyderabad , Bangalore ,Ahmedabad ,Lucknow and one new factory in UAE which is mainly for catering middle east region and North Africa .Aries is in the process of launching new products which include Natural amino acid chelates,Boidegradable chelates and Boidegradable plant protection products. With the inauguration of its Ahmedabad factory company entered into a new space of  Bio fertilizers too. Company’s largest  distribution network of 5500 distributors and 76500 (seventy six thousand five hundred) retail outlets  across India  is the main attraction for a rural centric business like this. In future company can easily roll out allied products throughout this network without much marketing efforts. In addition to this distribution points company has added a fleet of 100 rural retail vehicles called ‘Krishi Vinjan Vahan ‘ in 9 states in India.This is mainly for improving company’s rural reach and advisory services.

Going forward big corporates are expected to coming into the farming  sector of India in a big way. This will surely improve the prospects of  the products of  companies like Aries along with the initiatives of governments to increase food production. 

INTERNATIONAL TRAVEL HOUSE - REPEAT

I have recommended a BUY on this ITC Group company @ Rs.165 /- on 25 th April ,2010.After touching a high of Rs.316/-  ,currently it is trading around Rs.199/- .Considering the better performance of the company  and the bright prospects of the Travel and Tourism industry , I reiterate a BUY at current level.For the Six month ended September ,ITHL posted a net profit of Rs.8.17 Cr v/s Rs.3.64 Cr for the same period in last FY.

Old Report Can be accessed HERE

L G BALAKRISHNAN & BROS - BUY ON DECLINE

L G BALAKRISHNAN & BROS.  is belongs to the Coimbatore based Elgi Group. Company is the market leader in Transmission Chains.Most of the company’s income is derived from automobile sector .Apart from its supply to OEM’s like Hero Honda,TVS Motors ,Bajaj Auto,Tata Motors ,L & T ,company have a 50% market share in replacement market with its brand’ROLON’ .LGB is also producing sprockets , tensioners, cogged belts and brake shoes. Company is now paying much attention for export and currently selling its products in 30 countries overseas.Revival of auto market in outside countries  is expected to mitigate any negative effects occurred locally .For the Six months ended Sep,LGB posted a turnover of Rs.340 Cr ,NP of Rs. 20 Cr and an EPS of  Rs.25/- .Earlier company splited its FV  to Rs.1/- and later it consolidated to Rs.10/- itself. Long term investors may consider a Buy in decline ,close to Rs.300 /- which is currently trading around Rs.315/-

SEAMEC LTD - BUY

Companies belongs to the industries with cyclical nature provides lot of opportunities to patient investors for wealth creation. Understanding the top and bottom of cycles and fixing correct entry and exit points according to this top and bottom are the key of success in investing in  such companies. South East Asia Marine Engineering and Construction (SEAMEC) is a company  from offshore support services and its fortunes are closely related with the up and downs of Oil and Gas Industry. SEAMEC is a 75% subsidiary of French major 'TECHNIP' which is one of the leading companies providing support to energy sector and listed in Paris stock exchange. Company is operating multipurpose support vessels for diving, underwater construction and maintenance required by oil companies for their offshore operations .Currently company having four offshore vessels namely SEAMEC 1, SEAMEC 2, SEAMEC 3 and SEAMEC Princess  . SEAMEC is also a debt free company with reasonable cash reserves. As mentioned above, its performance is closely related with the oil and gas industry. In 2009 ,company posted a net profit of Rs.203 Cr but because of the stagnation in oil exploration activities due to lower  crude price, company could not deploy all of its vessels in 2010 and it posted a loss of Rs.33 Cr for the six month ended September. After a sluggish 2010,company is now receiving enquiries and the revival in oil price is expected to bring better business for the company in coming years . Technical and financial support from the world leader‘TECHNIP’  is a big advantage for SEAMEC. Investors with sufficient patience may considering a BUY at current level of Rs. 138/-

PERSISTENT SYSTEMS - BUY

Persistent Systems is a Pune based mid size IT company concentrating in
areas like

Cloud Computing/SaaS, Analytics, Enterprise Mobility and Enterprise Collaboration Services ..etc. This debt free ,cash rich IT player performing reasonably well even in tough times of IT sector. Company having  offshore development centers in Pune, Nagpur, Goa and Hyderabad. Company’s customer list includes biggies like Microsoft and Oracle.About 50% of the total income of the company is generated from independent software vendors and 25% from telecom related sectors. One of the biggest advantage of this company is that ,it is earning more than 85% income from the services delivered from India. This is helping the company a lot at a time of visa rate hike ..etc by foreign countries.For the FY 2010 company posted a turnover of  Rs.600 Cr and a net profit of Rs.115 Cr .On an equity base of Rs.40 Cr company posted an EPS of Rs.36. For the six month ended September 2010 ,Persistent posted a turnover of Rs.368 Cr and a net profit of Rs.70 Cr. At a time of revival in IT sector ,Persistent is one of the best companies available from this sector to include in your portfolio with a long term view .CMP is Rs.430/-

TUNIP AGRO - CHEATING - NEW DIMENSIONS

Cheating,Fraud ,Manipulation ..etc are the buzz words of Dalal Street in recent times .Here is another one in this series in the form of an IPO.TUNIP AGRO is a company which filed DRHP with SEBI recently for raising funds through an IPO .This company claiming as the producers of  Onjus brand fruit juice. Shareholders of another listed company may wonder how it possible ? Story of magic is like this .

                                                                         Originally , 'Onjus' is a brand owned by another listed company  Enkay Tex-o –food .This company had two divisions – Textile and Food.Enkay was in trouble due to mismanagement and poor performance of its textile division due to lack of working capital. Even then,its fruit juice division was a hit and lot of retailers invested their hard earned money in this company citing the bright prospects of food division Att that time there were  many companies like  Dabur and Parle was ready to buy out this brand at a huge value. Then ,promoters had two options- either to de-merge the food division and list it separately or sell the food division and save the textile division using the realization . But the promoters never ready to sell it at any cost  or save the company by de-merging the food division. Later this company went for BIFR  and subsequently suspended from trading . Without transferring the brand name or take over the company or any such arrangements ,now Tunip Agro is claiming that ‘Onjus’ is their brand. There are many questions – Why the promoters not interested to sell this brand earlier even there was many attractive offers ? .How a new company claiming a popular brand without paying anything  to the original owner ? .What is the current stand of the promoters of Enkay Tex-o-food in this matter. It is really funny  to see that in a latest statement by the old promoters of Enkay is saying that they have never registered 'Onjus' brand and no problem for using this brand by any other company  and they are not going for any legal action against Tunip Agro.(See the following link - http://www.thehindubusinessline.com/2004/09/30/stories/2004093001210900.htm ).What is interesting is that the MD of Tunip agro Mr Siddhant Goyal is the son of Mr Tulsidas B Goyal who was the MD of Enkay Tex-o-food.This is the reason why they unwilling to sell the Onjus brand even there were many takers at heavy price and save Enkay Tex. This is a clear case of pre-planned cheating by the entire family to the minority share holders of Enkay Tex-o -food . SEBI SHOULD NOT PERMIT THIS TYPE OF CULPRITS TO COLLECT MONEY FROM PUBLIC AGAIN AND AGAIN.