Best returns are typically on investments made in bad times.  You may not feel comfortable investing money into falling/uncertain markets but smart investors will take this as an opportunity to invest for long term.

The truth is, if you want to earn a lot of money from stock markets, the worst time to invest is when the economy looks good, corporate earnings are good, consumers are happy and there are many buyers for expensive stocks. You simply shouldn’t buy when these factors converge, you’ll never make any money. You WANT to buy when the economy looks bad, corporate earnings look bad, consumers are dejected and every one is afraid of buying even the large cap stocks that are trading at 20-30% cheaper than their book value.


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29
Dec

Buy Bharti-Airtel Ltd.(Emkay)

   Posted by: admin   in Free Share Tips

Price:- Rs741.80    

Target Price:- Rs1,025

No surprises, but going is good

Bharti Airtel’ Q2FY09 results were slightly below our estimates primarily due to higher than expected fall in the mobile ARPU (Q2FY09 ARPU came was at Rs331 v/s our estimate of Rs341). The net sales for the quarter grew by 6.3% QoQ to Rs90.2bn v/s our estimate of Rs91.4bn. EBIDTA grew 5% sequentially to Rs37bn while EBIDTA margins declined by 51bps QoQ to 41% (v/s our estimate of 41.7%) owing to higher network operating expenses. Although tax reversal of Rs3bn gave some boost, the higher than expected forex loss of Rs5.9bn led to muted 1% rise in PAT to Rs20.5bn. Overall, though ARPU decline was higher than expected, the strong subscriber growth helped in keeping up growth momentum.

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Price :- Rs 717.80
Target price:- Rs 850.00

Oil & Natural Gas

 Oil forecasts revised:—
We are adjusting our estimates for ONGC on the back of a revision in our global oil forecasts to US$101/bbl (US$105/bbl earlier) for 2008E, US$65/bbl (US$90/bbl) for 2009E, US$75/bbl (US$90/bbl) for 2010E, US$80/bbl (US$95/bbl) for 2011E, and long-term crude assumption (2012E onwards) at US$85/bbl (US$100/bbl).

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Price :- Rs 74.85
Target price:- Rs69.00

Sell: Core Business Good, But Valuations Still Lofty

 Maintain Sell; Valuations still lofty — PGCIL shares have outperformed the BSE
Sensex post its IPO. Despite correcting more than 55% from its peak, we believe it is not in the value zone yet; trading on par with NTPC (NTPC.BO; Rs151.10; 1L), which appears unjustified. Key upside risks: 1) favourable CERC regulations for FY10-14E; 2) faster-than-expected project execution; and 3) higher non-core business profits.

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24
Dec

BUY AIA ENGINEERING LTD

   Posted by: admin   in Free Share Tips

PRICE: RS.128   TARGET PRICE: RS.200

We recently met the management of AIA Engineering and following are key
takeaways:

q Limited impact of slowdown in economy
q Negative impact of cement project business to be offset by mining segment
q Revise FY09 EPS downwards by 8%
q Upgrade to BUY with revised price target of Rs.200 (Rs.275 earlier)

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