Better-than-expected Q2 GDP growth helps market shrugs off terror attacks
Better-than-expected economic data and on reports that the operation to flush out terrorists at three spots in Mumbai was nearing an end. Volatility was intense ahead of the expiry of November 2008 derivative contracts. Expectations of a further rate cut by the central bank also supported the market.
The BSE Sensex held on the psychological 9,000 level. It had fallen below that level many times in intraday trade.
A denial by the Railways of shooting taking place near the Chhattrapati Shivaji Terminus (CST) station in Mumbai lifted the market in mid-afternoon trade. Earlier, two television channels had reported firing at the station which had pulled the market lower in afternoon trade.
After battling terrorists for two days at the Oberoi-Trident in Mumbai, the National Security Guards today cleared the hotel of terrorists, killing two of them while six bodies were recovered from the premises. Reports suggest that the operation to flush out terrorist at two other spots viz. the Nariman House and at Taj Hotel near the Gateway of India, is at a final stage. The battle between the police and terrorists was still going on in these two spots, more than 36 hours after the terror attacks in Mumbai on Wednesday, 26 November 2008
But the market breadth was negative as the terror attacks weighed on the sentiments which has already been hit by heavy outflow of foreign capital as a result of the global financial crisis which has hit markets worldwide. All the financial and commodity markets remained shut on Thursday, 27 November 2008, in the wake of the major terror strikes in Mumbai, India's financial capital late on Wednesday, 26 November 2008.
Volatility was high. Adding to the volatility was the November 2008 derivatives expiry today, 28 November 2008. As per reports, the Nifty rollover of positions from November 2008 series to December 2008 series stood at 54% while marketwide rollover was 60%, by end of trading on Wednesday, 26 November 2008. The stock exchanges had to postpone expiry of November 2008 contracts as the markets were shut on Thursday after the terror attacks. The November contracts were to expire on Thursday. All the financial and commodity markets remained shut on Thursday, 27 November 2008, after the major terror strikes in India's financial capital.
The BSE 30-share Sensex rose 66 points or 0.73% to 9,092.72.
Nifty rose 2.85 points or 0.10% to 2755.10, underperforming the Sensex. The reason why the Nifty underperformed the Sensex was due to sharp fall in some of its constituents which do not form a part of the Sensex. These three stock have a combined weightage of 1.16% in Nifty.
All the top 3 Nifty losers Unitech (down 11.30%), National Aluminium Company (down 7.74%), and Zee Entertainment (down 4.60%), don't form a part of the 30-share Sensex pack.
Saturday, November 29, 2008
Thursday, November 27, 2008
Stock market closed after terror attacks .Thursday, November 27, 2008
The stock exchanges have announced that there will be no trading today, 27 November 2008, after a series of major terrorist attacks in Mumbai late on Wednesday, 26 November 2008. At least 100 people died and more than 300 injured in the attacks, according to latest reports.
The expiry of November 2008 derivatives contracts has been postponed to Friday, 28 November 2008. The November contracts were to expire today, 27 November 2008.
The stock exchanges also said that the settlements scheduled for today stand postponed to tomorrow.
Terrorists opened fire using heavy machine guns, including AK-47s, and grenades at the city's most high-profile targets late on Wednesday, 26 November 2008. The attacks took place at the hyper-busy rail terminus Chhatrapati Shivaji Terminus (CST) terminus, the landmark Taj Hotel at the Gateway of India and the luxury Oberoi Trident at Nariman Point, the domestic airport at Santa Cruz, the Cama and GT hospitals near CST, the Metro Adlabs multiplex and Mazgaon Dockyard.
The expiry of November 2008 derivatives contracts has been postponed to Friday, 28 November 2008. The November contracts were to expire today, 27 November 2008.
The stock exchanges also said that the settlements scheduled for today stand postponed to tomorrow.
Terrorists opened fire using heavy machine guns, including AK-47s, and grenades at the city's most high-profile targets late on Wednesday, 26 November 2008. The attacks took place at the hyper-busy rail terminus Chhatrapati Shivaji Terminus (CST) terminus, the landmark Taj Hotel at the Gateway of India and the luxury Oberoi Trident at Nariman Point, the domestic airport at Santa Cruz, the Cama and GT hospitals near CST, the Metro Adlabs multiplex and Mazgaon Dockyard.
Tuesday, November 25, 2008
Bosch shrugs off production cut plan
Bosch was up 0.39% to Rs 2986.05 at 14:58 IST on BSE, on bargain hunting even as the company announced a cut in production.
The company made this announcement during trading hours today, 25 November 2008.
The stock hit a high of Rs 3010 and a low of Rs 2930.05 so far during the day. The stock hit a 52-week high of Rs 5880 on 4 December 2007 and a 52-week low of Rs 2675.05 on 27 October 2008.
The stock had lost 24.68% to Rs 2974.50 on Monday, 24 November 2008 from a recent high of Rs 3949.30 on 1 October 2008.
The company's current equity is Rs 32.05 crore. Face value per share is Rs 10.
The current price of Rs 2986.05 discounts the company's Q3 September 2008 annualized EPS of Rs 197.44, by a PE multiple of 15.12.
The company has announced a temporary shut down to the selected production areas/shops at its Nashik plant from 28 November 2008 to 29 November 2008. The company will also close the manufacturing activity of starters and generators at its Naganathapura plant starting from 26 November 2008 to 29 November 2008. The temporary shut down is to avoid the unnecessary inventory build up and to adjust the production to meet demand.
Bosch's net profit rose 15.7% to Rs 158.20 crore on 16.1% increase in net sales to Rs 1219.28 crore in Q3 September 2008 over Q3 September 2007.
The company is engaged in manufacturing automotive products and non-automotive products such as industrial equipments and consumer goods. Products include industrial equipment, auto electrical equipment, gear pumps for tractor applications, electric power tools, packaging machines, security technology products and blaupunkt car multimedia systems.
The company made this announcement during trading hours today, 25 November 2008.
The stock hit a high of Rs 3010 and a low of Rs 2930.05 so far during the day. The stock hit a 52-week high of Rs 5880 on 4 December 2007 and a 52-week low of Rs 2675.05 on 27 October 2008.
The stock had lost 24.68% to Rs 2974.50 on Monday, 24 November 2008 from a recent high of Rs 3949.30 on 1 October 2008.
The company's current equity is Rs 32.05 crore. Face value per share is Rs 10.
The current price of Rs 2986.05 discounts the company's Q3 September 2008 annualized EPS of Rs 197.44, by a PE multiple of 15.12.
The company has announced a temporary shut down to the selected production areas/shops at its Nashik plant from 28 November 2008 to 29 November 2008. The company will also close the manufacturing activity of starters and generators at its Naganathapura plant starting from 26 November 2008 to 29 November 2008. The temporary shut down is to avoid the unnecessary inventory build up and to adjust the production to meet demand.
Bosch's net profit rose 15.7% to Rs 158.20 crore on 16.1% increase in net sales to Rs 1219.28 crore in Q3 September 2008 over Q3 September 2007.
The company is engaged in manufacturing automotive products and non-automotive products such as industrial equipments and consumer goods. Products include industrial equipment, auto electrical equipment, gear pumps for tractor applications, electric power tools, packaging machines, security technology products and blaupunkt car multimedia systems.
Great Offshore sets sail on leasing vessels overseas
Great Offshore rose 2.52% to Rs 273.10 at 11:29 IST on BSE, cutting previous session's losses, after the company chartered two of its vessels to an Egyptian firm for $22 million.
The company made the announcement during market hours today, 25 November 2008.
The stock hit a high of Rs 276.50 and a low of Rs 256 so far during the day. The stock had a 52-week high of Rs 1149.95 on 8 January 2008 and a 52-week low of Rs 200 on 18 November 2008.
The small-cap offshore oilfield services provider has an equity capital of Rs 37.14 crore. Face value per share is Rs 10.
The current price of Rs 273.10 discounts its Q2 September 2008 annualised EPS of Rs 18.18, by a PE multiple of 15.02.
In the previous session, the stock had ended 8.03% lower at Rs 266.40 on reports Great Offshore promoter Vijay Sheth, who is also the company's vice-chairman and managing director, was in talks with banks, financial institutions and even rival companies to raise funds to escape possible margin calls from lenders. However, Great Offshore, during market hours on Monday, 25 November 2008, had clarified that there was no change in the promoter shareholding, as per company's record since the last intimation sent in this regard dated 24 October 2008.
Creditors are reported to have been putting pressure on Sheth to clear his dues, but they are unlikely to sell the pledged shares to a strategic investor, suggest report.
Report further suggested that Sheth had almost finalised a deal with Bharati Shipyard, wherein the latter would give him money by purchasing his shares. This, however, was strongly denied by Bharti Shipyard managing director PC Kapoor.
Vijay Sheth hed pledged most of his 16% stake to IL&FS and Motilal Oswal in June last year. Sheth's outstanding is Rs 200 crore to IL&FS alone, while his outstanding to Motilal Oswal could be Rs 75-100 crore.
As per reports, the problem began when the lenders gave margin calls as the valuation of the collateral fell below the loan amount. This has put Sheth in a fix as he does not have more shares to put up as collateral.
Great Offshore was spun out of Great Eastern Shipping two years ago as part of the demerger between the Sheth family. Vijay Sheth, who runs the company, holds a 16% stake in Great Offshore, almost all of which is currently pledged to the lenders.
Post demerger, KM Sheth and Ravi Sheth, Sheth's estranged cousins, continue to be in charge of Great Eastern, the parent company. They also hold a 5% stake in Great Offshore. Vijay Sheth does not hold any significant stake in Great Eastern.
Great Offshore's net profit fell 66% to Rs 16.88 crore on a 4.6% rise in sales to Rs 159.34 crore in Q2 September 2008 over Q2 September 2007.
Great Offshore is an integrated offshore oilfield services provider, offering a broad spectrum of services to upstream oil and gas producers.
The company made the announcement during market hours today, 25 November 2008.
The stock hit a high of Rs 276.50 and a low of Rs 256 so far during the day. The stock had a 52-week high of Rs 1149.95 on 8 January 2008 and a 52-week low of Rs 200 on 18 November 2008.
The small-cap offshore oilfield services provider has an equity capital of Rs 37.14 crore. Face value per share is Rs 10.
The current price of Rs 273.10 discounts its Q2 September 2008 annualised EPS of Rs 18.18, by a PE multiple of 15.02.
In the previous session, the stock had ended 8.03% lower at Rs 266.40 on reports Great Offshore promoter Vijay Sheth, who is also the company's vice-chairman and managing director, was in talks with banks, financial institutions and even rival companies to raise funds to escape possible margin calls from lenders. However, Great Offshore, during market hours on Monday, 25 November 2008, had clarified that there was no change in the promoter shareholding, as per company's record since the last intimation sent in this regard dated 24 October 2008.
Creditors are reported to have been putting pressure on Sheth to clear his dues, but they are unlikely to sell the pledged shares to a strategic investor, suggest report.
Report further suggested that Sheth had almost finalised a deal with Bharati Shipyard, wherein the latter would give him money by purchasing his shares. This, however, was strongly denied by Bharti Shipyard managing director PC Kapoor.
Vijay Sheth hed pledged most of his 16% stake to IL&FS and Motilal Oswal in June last year. Sheth's outstanding is Rs 200 crore to IL&FS alone, while his outstanding to Motilal Oswal could be Rs 75-100 crore.
As per reports, the problem began when the lenders gave margin calls as the valuation of the collateral fell below the loan amount. This has put Sheth in a fix as he does not have more shares to put up as collateral.
Great Offshore was spun out of Great Eastern Shipping two years ago as part of the demerger between the Sheth family. Vijay Sheth, who runs the company, holds a 16% stake in Great Offshore, almost all of which is currently pledged to the lenders.
Post demerger, KM Sheth and Ravi Sheth, Sheth's estranged cousins, continue to be in charge of Great Eastern, the parent company. They also hold a 5% stake in Great Offshore. Vijay Sheth does not hold any significant stake in Great Eastern.
Great Offshore's net profit fell 66% to Rs 16.88 crore on a 4.6% rise in sales to Rs 159.34 crore in Q2 September 2008 over Q2 September 2007.
Great Offshore is an integrated offshore oilfield services provider, offering a broad spectrum of services to upstream oil and gas producers.
Triveni Engineering Large block deal
Triveni Engineering and Industries jumped 5.41% to Rs 37 at 11:13 IST on BSE, after a block deal of 1.43 crore shares was executed on NSE at Rs 35.90 a share.
The block deal constituted 5.52% of the company's equity.
The stock hit a high of Rs 37.80 and a low of Rs 35.60 so far during the day. The stock hit a 52-week high of Rs 195.70 on 17 December 2007 and a 52-week low of Rs 29.55 on 27 October 2008.
The company's current equity is Rs 25.79 crore. Face value per share is Rs 1.
The current price of Rs 37 discounts the company's Q4 September 2008 annualized EPS of Rs 4.18, by a PE multiple of 8.85.
Triveni Engineering & Industries' net profit surged 439.2% to Rs 26.96 crore on 40.4% increase in net sales to Rs 427.14 crore in Q4 September 2008 over Q4 September 2007. The company declared its Q4 September 2008 results on 19 November 2008.
Triveni Engineering & Industries has business operations in sugar, turbines and water treatment.
The block deal constituted 5.52% of the company's equity.
The stock hit a high of Rs 37.80 and a low of Rs 35.60 so far during the day. The stock hit a 52-week high of Rs 195.70 on 17 December 2007 and a 52-week low of Rs 29.55 on 27 October 2008.
The company's current equity is Rs 25.79 crore. Face value per share is Rs 1.
The current price of Rs 37 discounts the company's Q4 September 2008 annualized EPS of Rs 4.18, by a PE multiple of 8.85.
Triveni Engineering & Industries' net profit surged 439.2% to Rs 26.96 crore on 40.4% increase in net sales to Rs 427.14 crore in Q4 September 2008 over Q4 September 2007. The company declared its Q4 September 2008 results on 19 November 2008.
Triveni Engineering & Industries has business operations in sugar, turbines and water treatment.
KS Oil jumps on acquisition
KS Oil jumped 4.45% to Rs 41.10 at 10:05 IST on BSE on acquiring an edible oil refinery in West Bangal for Rs 150 crore.
The company made the announcement before market hours today, 25 November 2008.
The stock hit a high of Rs 42.25 and a low of Rs 40.10 so far during the day. The stock had a 52-week high of Rs 142.40 on 8 January 2008 and a 52-week low of Rs 30 on 27 October 2008.
The mid-cap edible oil maker has an equity capital of Rs 33.24crore.
Face value per share is Rs 1.
The current price of Rs 41.10 discounts its Q2 September 2008 annualised EPS of Rs 5.08, by a PE multiple of 8.09.
K S Oils net profit rose 58.8% to Rs 42.22 crore on a 66.8% rise in sales to Rs 733.60 crore in Q2 September 2008 over Q2 September 2007.
K S Oils manufactures mustard and rapeseed oils. The company produces edible oils and non-edible solvent oils.
The company made the announcement before market hours today, 25 November 2008.
The stock hit a high of Rs 42.25 and a low of Rs 40.10 so far during the day. The stock had a 52-week high of Rs 142.40 on 8 January 2008 and a 52-week low of Rs 30 on 27 October 2008.
The mid-cap edible oil maker has an equity capital of Rs 33.24crore.
Face value per share is Rs 1.
The current price of Rs 41.10 discounts its Q2 September 2008 annualised EPS of Rs 5.08, by a PE multiple of 8.09.
K S Oils net profit rose 58.8% to Rs 42.22 crore on a 66.8% rise in sales to Rs 733.60 crore in Q2 September 2008 over Q2 September 2007.
K S Oils manufactures mustard and rapeseed oils. The company produces edible oils and non-edible solvent oils.
Post-Market Commentary. Tuesday, November 25, 2008
The BSE 30-share Sensex lost 207.59 points or 2.33%, to 8,695.53. At the day's low of 8,649.40, the Sensex lost 253.72. The Sensex opened 267.16 points higher at 9,170.28. At the day's high of 9,182.80, the Sensex gained 279.68 points in early trade.
The S&P CNX Nifty fell 54.25 points or 2% to 2654. Nifty November 2008 futures were at 2643.25, at a discount of 10.75 points as compared to the spot closing.
The market breadth, indicating the overall health of the market, was negative after strong star as small and mid-cap shares succumbed to selling pressure.
Volatility may rise in the coming days ahead of the derivatives expiry for November 2008 series on Thursday, 27 November 2008. As per reports, rollover of Nifty positions from November 2008 to December 2008 series stood at 30%, as on Monday, 24 November 2008.
Finance Minister P Chidambaram on Monday, 24 November 2008, said India is likely to miss the revenue and fiscal deficit targets in the current financial year as the government wants to spend additional money to boost the aggregate demand in the economy which has shown signs of slowing down. Thus, he said, the Centre would have to go for additional borrowings this year to meet higher expenditure. Higher government borrowing will restrict a further fall in interest rates.
The RBI has aggressively cut rates over the past two months to support growth and cushion the economy against the spreading global turmoil. The repo rate, the main short-term lending rate has been cut by 150 basis points to 7.5% since October 2008 and the cash reserve ratio, the proportion of deposits that banks have to keep with the central bank, has been reduced by 350 basis points to 5.5%.
The S&P CNX Nifty fell 54.25 points or 2% to 2654. Nifty November 2008 futures were at 2643.25, at a discount of 10.75 points as compared to the spot closing.
The market breadth, indicating the overall health of the market, was negative after strong star as small and mid-cap shares succumbed to selling pressure.
Volatility may rise in the coming days ahead of the derivatives expiry for November 2008 series on Thursday, 27 November 2008. As per reports, rollover of Nifty positions from November 2008 to December 2008 series stood at 30%, as on Monday, 24 November 2008.
Finance Minister P Chidambaram on Monday, 24 November 2008, said India is likely to miss the revenue and fiscal deficit targets in the current financial year as the government wants to spend additional money to boost the aggregate demand in the economy which has shown signs of slowing down. Thus, he said, the Centre would have to go for additional borrowings this year to meet higher expenditure. Higher government borrowing will restrict a further fall in interest rates.
The RBI has aggressively cut rates over the past two months to support growth and cushion the economy against the spreading global turmoil. The repo rate, the main short-term lending rate has been cut by 150 basis points to 7.5% since October 2008 and the cash reserve ratio, the proportion of deposits that banks have to keep with the central bank, has been reduced by 350 basis points to 5.5%.
Monday, November 24, 2008
GE Money to close around 170 branches in India
24 Nov 2008, 1252 hrs IST, Paramita Chatterjee, ET Bureau
NEW DELHI: GE Money India, the consumer finance company of General Electric (GE), has decided to shut down close to 50% of around 170 branches in India in the next
few months. The firm is into financial services business with a loan portfolio of around Rs 5,000 crore consisting of residential mortgages and home, personal and durable loans.
The company had last year announced that it is targeting to take the total number of branches to 250 by 2011. The move to cut the number of branches comes in the wake of the economic slowdown which has particularly hit retail lending business in the country.
It is not clear how many jobs will be cut due to the closure of these branches. A senior executive with GE Money who didn’t wish to be identified, confirmed the move and said the company has embarked on spending and cost reviews in the wake of global economic meltdown.
When contacted by ET, a GE India spokesperson replied through an email: "The entire industry in India is currently facing very challenging conditions due to an increasing interest rates and delinquencies. The current market realities have made it necessary for us to reassess our business model.
In the immediate term we are focusing on reducing operating expenditures and improving operating efficiencies, as well as building a more focused business in terms of product offerings and consolidating in cities where we have a competitive advantage and scale."
With the recent turmoil in the financial services sector, companies have initiated steps to keep their bottomlines intact. GE was earlier reportedly in talks with several finance companies in India and abroad for divesting a majority stake in GE Money. Morgan Stanley was given the mandate to find a strategic partner for the business.
But the negotiations did not fructify into a transaction and thereafter GE merged GE Money with GE Commercial Finance as part of an internal restructuring exercise. The merger was aimed at consolidating operations and synergising efficiencies of both the finance subsidiaries under the GE Capital umbrella.
GE Capital is one of four major units of GE and has sub units GE Aviation Financial Services, GE Energy Financial Services, GE Money (merged with GE Commercial Finance,) and GE Treasury. At one time, GE Capital was the financial services unit of GE and was headed by a single person. The unit, later split into various divisions.
via:E.T
NEW DELHI: GE Money India, the consumer finance company of General Electric (GE), has decided to shut down close to 50% of around 170 branches in India in the next
few months. The firm is into financial services business with a loan portfolio of around Rs 5,000 crore consisting of residential mortgages and home, personal and durable loans.
The company had last year announced that it is targeting to take the total number of branches to 250 by 2011. The move to cut the number of branches comes in the wake of the economic slowdown which has particularly hit retail lending business in the country.
It is not clear how many jobs will be cut due to the closure of these branches. A senior executive with GE Money who didn’t wish to be identified, confirmed the move and said the company has embarked on spending and cost reviews in the wake of global economic meltdown.
When contacted by ET, a GE India spokesperson replied through an email: "The entire industry in India is currently facing very challenging conditions due to an increasing interest rates and delinquencies. The current market realities have made it necessary for us to reassess our business model.
In the immediate term we are focusing on reducing operating expenditures and improving operating efficiencies, as well as building a more focused business in terms of product offerings and consolidating in cities where we have a competitive advantage and scale."
With the recent turmoil in the financial services sector, companies have initiated steps to keep their bottomlines intact. GE was earlier reportedly in talks with several finance companies in India and abroad for divesting a majority stake in GE Money. Morgan Stanley was given the mandate to find a strategic partner for the business.
But the negotiations did not fructify into a transaction and thereafter GE merged GE Money with GE Commercial Finance as part of an internal restructuring exercise. The merger was aimed at consolidating operations and synergising efficiencies of both the finance subsidiaries under the GE Capital umbrella.
GE Capital is one of four major units of GE and has sub units GE Aviation Financial Services, GE Energy Financial Services, GE Money (merged with GE Commercial Finance,) and GE Treasury. At one time, GE Capital was the financial services unit of GE and was headed by a single person. The unit, later split into various divisions.
via:E.T
Tata Chemicals raises Rs 15K cr to repay loan
24 Nov 2008, 1935 hrs IST, PTI
MUMBAI: Tata Group firm Tata Chemicals on Monday said its US-based subsidiary has raised $ 300 million (Rs 1,500 crore) by way of syndicate funding to repay loan taken to acquire a firm in the US.
The funds have been raised to repay the $350 million bridge loan taken by Valley Holdings Inc, the US subsidiary of Tata Chemicals, for the acquisition of General Chemical Industrial Products Inc (GCIP).
While, Tata Chemicals has already paid $ 50 million from internal accruals, the company said in a statement.
"Despite the current global financial market conditions, it was heartening to see the faith shown by financial institutions in underwriting the funding," Tata Chemicals Executive Vice President and CFO P K Ghose said.
GCIP has successfully completed the underwriting for the funding of $ 300 million, the statement added.
However, the facility is without any recourse to Tata Chemicals, it added.
At present, the global syndication process is underway and is expected to be completed by December 2008.
This is a six-year door to door facility with attractive pricing, it said.
The transaction has been managed by Standard Chartered Bank-led consortium, which includes ABN Amro Bank, ANZ Banking Group, HSBC Bank, Calyon and State Bank of India, Tata Chemicals said.
In early 2008, Valley Holdings had acquired the soda ash producer General Chemical Industrial Products.
Shares of the company closed at Rs 140.55, up 2.37 per cent on the Bombay Stock Exchange.
MUMBAI: Tata Group firm Tata Chemicals on Monday said its US-based subsidiary has raised $ 300 million (Rs 1,500 crore) by way of syndicate funding to repay loan taken to acquire a firm in the US.
The funds have been raised to repay the $350 million bridge loan taken by Valley Holdings Inc, the US subsidiary of Tata Chemicals, for the acquisition of General Chemical Industrial Products Inc (GCIP).
While, Tata Chemicals has already paid $ 50 million from internal accruals, the company said in a statement.
"Despite the current global financial market conditions, it was heartening to see the faith shown by financial institutions in underwriting the funding," Tata Chemicals Executive Vice President and CFO P K Ghose said.
GCIP has successfully completed the underwriting for the funding of $ 300 million, the statement added.
However, the facility is without any recourse to Tata Chemicals, it added.
At present, the global syndication process is underway and is expected to be completed by December 2008.
This is a six-year door to door facility with attractive pricing, it said.
The transaction has been managed by Standard Chartered Bank-led consortium, which includes ABN Amro Bank, ANZ Banking Group, HSBC Bank, Calyon and State Bank of India, Tata Chemicals said.
In early 2008, Valley Holdings had acquired the soda ash producer General Chemical Industrial Products.
Shares of the company closed at Rs 140.55, up 2.37 per cent on the Bombay Stock Exchange.
Firstsource revises annual guidance
24 Nov 2008, 1510 hrs IST, ECONOMICTIMES
MUMBAI: One of India's leading BPOs, Firstsource has revised its dollar revenue guidance for the year to 21 per cent from 34 per cent. The company said the scaledown in revenue guidance for the financial year FY-09 has been mainly due to cross currency movements and the affect of global economic slowdown.
The company reported a net profit of Rs 283 million in Q2FY09 compared to net loss of Rs 501 million in Q1 FY09.The company reported a second quarter revenue of Rs 4250 million with a sequential growth of 4.2 per cent
Firstsource has revenue split with the share of the US and UK accounts 45 per cent and 42 per cent respectively, and that of India is 13.2 per cent.
Firstsource provides customised business process management to banking and financial services, telecom, media and healthcare sectors.
MUMBAI: One of India's leading BPOs, Firstsource has revised its dollar revenue guidance for the year to 21 per cent from 34 per cent. The company said the scaledown in revenue guidance for the financial year FY-09 has been mainly due to cross currency movements and the affect of global economic slowdown.
The company reported a net profit of Rs 283 million in Q2FY09 compared to net loss of Rs 501 million in Q1 FY09.The company reported a second quarter revenue of Rs 4250 million with a sequential growth of 4.2 per cent
Firstsource has revenue split with the share of the US and UK accounts 45 per cent and 42 per cent respectively, and that of India is 13.2 per cent.
Firstsource provides customised business process management to banking and financial services, telecom, media and healthcare sectors.
Firstsource Solutions spurts on good Q2 numbers
Firstsource Solutions rose 4.07% to Rs 12.80 at 15:04 IST on BSE after the company reported a consolidated net profit of Rs 28.28 crore in Q2 September 2008 as against net loss of Rs 50.04 in Q1 June 2008.
The company declared the results during market hours today, 24 November 2008.
The stock hit a high of Rs 14.20 and a low of Rs 12.05 so far during the day. The stock had a 52-week high of Rs 89.80 on 3 January 2008 and a 52-week low of Rs 11.55 on 21 November 2008.
The small-cap Back-office firm has an equity capital of Rs 428.19 crore. Face value per share is Rs 10.
The current price of Rs 12.80 discounts its Q2 September 2008 annualised EPS of Rs 2.52, by a PE multiple of 5.07.
Firstsource Solutions' consolidated sales rose 5.17% to Rs 429 crore in Q2 September 2008 over Q1 June 2008.
Firstsource Solutions reportedly expects to see a slowdown in revenue growth for the year-ending March 2009 as business slows and on foreign currency volatility. The firm has revised downwards its annual dollar revenue guidance to 21% from 33-38% announced earlier.
Firstsource Solutions provides business process outsourcing services. The company provides services globally to companies in the banking, financial services, and insurance industries.
The company declared the results during market hours today, 24 November 2008.
The stock hit a high of Rs 14.20 and a low of Rs 12.05 so far during the day. The stock had a 52-week high of Rs 89.80 on 3 January 2008 and a 52-week low of Rs 11.55 on 21 November 2008.
The small-cap Back-office firm has an equity capital of Rs 428.19 crore. Face value per share is Rs 10.
The current price of Rs 12.80 discounts its Q2 September 2008 annualised EPS of Rs 2.52, by a PE multiple of 5.07.
Firstsource Solutions' consolidated sales rose 5.17% to Rs 429 crore in Q2 September 2008 over Q1 June 2008.
Firstsource Solutions reportedly expects to see a slowdown in revenue growth for the year-ending March 2009 as business slows and on foreign currency volatility. The firm has revised downwards its annual dollar revenue guidance to 21% from 33-38% announced earlier.
Firstsource Solutions provides business process outsourcing services. The company provides services globally to companies in the banking, financial services, and insurance industries.
Alphageo India bagged New order worth Rs 43.69 crore.
Alphageo India recovered from the sessions' low of Rs 104 after the company bagged an order worth Rs 43.69 crore.
The stock hit a high of Rs 110 and a low of Rs 104 so far during the day. The stock hit a 52-week high of Rs 1078.80 on 9 January 2008 and a 52-week low of Rs 103.80 on 20 November 2008.
The company's current equity is Rs 5.12 crore. Face value per share is Rs 10.
The company has bagged an order worth 43.69 crore from Oil & Natural Gas Corporation (ONGC) for acquisition of seismic data in Nagaland.
Alphageo India reported a net loss of Rs 0.70 crore in Q2 September 2008 as compared to net profit of Rs 5.82 crore in Q2 September 2007. Total income fell 99.1% to Rs 0.19 crore in Q2 September 2008 over Q2 September 2007.
The company provides seismic data services. The services of the company include seismic data acquisition, seismic data interpretation and seismic data processing.
The stock hit a high of Rs 110 and a low of Rs 104 so far during the day. The stock hit a 52-week high of Rs 1078.80 on 9 January 2008 and a 52-week low of Rs 103.80 on 20 November 2008.
The company's current equity is Rs 5.12 crore. Face value per share is Rs 10.
The company has bagged an order worth 43.69 crore from Oil & Natural Gas Corporation (ONGC) for acquisition of seismic data in Nagaland.
Alphageo India reported a net loss of Rs 0.70 crore in Q2 September 2008 as compared to net profit of Rs 5.82 crore in Q2 September 2007. Total income fell 99.1% to Rs 0.19 crore in Q2 September 2008 over Q2 September 2007.
The company provides seismic data services. The services of the company include seismic data acquisition, seismic data interpretation and seismic data processing.
HBL Power Systems trips on deferring rights issue
HBL Power Systems plunged 4.01% to Rs 128 at 13:17 IST on BSE, after the company said it has deferred a plan to raise funds by way of a rights issue.
The stock hit a high of Rs 135 and a low of Rs 127 so far during the day. The stock hit a 52-week high of Rs 497 on 11 December 2007 and a 52-week low of Rs 122.55 on 17 November 2008.
The company's current equity is Rs 24.28 crore. Face value per share is Rs 10.
The current price of Rs 128 discounts the company's Q2 September 2008 annualized EPS of Rs 34.70, by a PE multiple of 3.69.
The company has decided to defer the proposed rights issue due to unfavorable market conditions. Earlier, in September 2008, the company had decided to issue 9,71,182 equity shares on rights basis to the existing equity shareholders in the ratio of 1:25 at a price of Rs 150 per share.
HBL Power Systems is engaged in manufacturing and supplying industrial batteries and power electronics for use in defence, telecom, railways and industrial applications. The group operates in two segments: electronics and batteries. The group has international operations in Malaysia, United Kingdom and Nepal.
The stock hit a high of Rs 135 and a low of Rs 127 so far during the day. The stock hit a 52-week high of Rs 497 on 11 December 2007 and a 52-week low of Rs 122.55 on 17 November 2008.
The company's current equity is Rs 24.28 crore. Face value per share is Rs 10.
The current price of Rs 128 discounts the company's Q2 September 2008 annualized EPS of Rs 34.70, by a PE multiple of 3.69.
The company has decided to defer the proposed rights issue due to unfavorable market conditions. Earlier, in September 2008, the company had decided to issue 9,71,182 equity shares on rights basis to the existing equity shareholders in the ratio of 1:25 at a price of Rs 150 per share.
HBL Power Systems is engaged in manufacturing and supplying industrial batteries and power electronics for use in defence, telecom, railways and industrial applications. The group operates in two segments: electronics and batteries. The group has international operations in Malaysia, United Kingdom and Nepal.
Godawari Power slides to 52-week low on cancellation of buyback
Godawari Power & Ispat tumbled 7.90% to Rs 60 at 12:54 IST on BSE, after the company decided to cancell a proposal of buyback shares to conserve cash.
The stock hit a high of Rs 66.10 so far during the day. The stock hit a low of Rs 59.10 so far during the day, which is 52-week low for the counter. The stock hit a 52-week high of Rs 376.50 on 1 January 2008.
The company's current equity is Rs 28.07 crore. Face value per share is Rs 10.
The current price of Rs 60 discounts the company's Q2 September 2008 annualized EPS of Rs 45.30, by a PE multiple of 1.32.
Earlier, on 27 October 2008, the company's had board approved buying back a minimum three lakh shares at maximum price of Rs 135 a share.
The company has also decided to sell surplus power in open market in view of attractive price realization and better margins
The company also decided a temporarily cut down production of steel billets and ferro alloys until further decision in this regard. The other divisions sponge iron, power generation, wire drawing will continue to function normally, the company said.
Godawari Power & Ispat's net profit rose 48.3% to Rs 31.79 crore on a 86.1% rise in sales to Rs 331.61 crore in Q2 September 2008 over Q2 September 2007.
The company is engaged in manufacturing steel intermediate products like sponge iron and ferro alloys and finished long steel products like billets, wire rods and mild steel wires, which find application in the construction and infrastructure sectors. The group operates in three segments namely steel, electricity and others.
The stock hit a high of Rs 66.10 so far during the day. The stock hit a low of Rs 59.10 so far during the day, which is 52-week low for the counter. The stock hit a 52-week high of Rs 376.50 on 1 January 2008.
The company's current equity is Rs 28.07 crore. Face value per share is Rs 10.
The current price of Rs 60 discounts the company's Q2 September 2008 annualized EPS of Rs 45.30, by a PE multiple of 1.32.
Earlier, on 27 October 2008, the company's had board approved buying back a minimum three lakh shares at maximum price of Rs 135 a share.
The company has also decided to sell surplus power in open market in view of attractive price realization and better margins
The company also decided a temporarily cut down production of steel billets and ferro alloys until further decision in this regard. The other divisions sponge iron, power generation, wire drawing will continue to function normally, the company said.
Godawari Power & Ispat's net profit rose 48.3% to Rs 31.79 crore on a 86.1% rise in sales to Rs 331.61 crore in Q2 September 2008 over Q2 September 2007.
The company is engaged in manufacturing steel intermediate products like sponge iron and ferro alloys and finished long steel products like billets, wire rods and mild steel wires, which find application in the construction and infrastructure sectors. The group operates in three segments namely steel, electricity and others.
Great Offshore sinks as promoter may sell its stake on margin calls.
Great Offshore tumbled 8.67% to Rs 264.55 at 12:03 IST on BSE on reports its promoter may sell its stake in the company to escape possible margin calls.
The stock hit a high of Rs 295 and a low of Rs 263.10 so far during the day. The stock had a 52-week high of Rs 1149.95 on 8 January 2008 and a 52-week low of Rs 200 on 18 November 2008.
The mid-cap offshore oilfield services provider has an equity capital of Rs 37.14 crore. Face value per share is Rs 10.
The current price of Rs 264.55 discounts its Q2 September 2008 annualised EPS of Rs 18.18, by a PE multiple of 14.55.
Faced with margin calls from lenders, Great Offshore promoter Vijay Sheth, who is also the company's vice-chairman and managing director, is reported to be in talks with banks, financial institutions and even rival companies to raise funds.
Creditors are reported to have been putting pressure on Sheth to clear his dues, but they are unlikely to sell the pledged shares to a strategic investor, suggest report.
Report further suggested that Sheth had almost finalised a deal with Bharati Shipyard, wherein the latter would give him money by purchasing his shares. This, however, was strongly denied by Bharti Shipyard managing director PC Kapoor.
Vijay Sheth hed pledged most of his 16% stake to IL&FS and Motilal Oswal in June last year. Sheth's outstanding is Rs 200 crore to IL&FS alone, while his outstanding to Motilal Oswal could be Rs 75-100 crore.
As per reports, the problem began when the lenders gave margin calls as the valuation of the collateral fell below the loan amount. This has put Sheth in a fix as he does not have more shares to put up as collateral.
Great Offshore was spun out of Great Eastern Shipping two years ago as part of the demerger between the Sheth family. Vijay Sheth, who runs the company, holds a 16% stake in Great Offshore, almost all of which is currently pledged to the lenders.
Post demerger, KM Sheth and Ravi Sheth, Sheth's estranged cousins, continue to be in charge of Great Eastern, the parent company. They also hold a 5% stake in Great Offshore. Vijay Sheth does not hold any significant stake in Great Eastern.
Great Offshore's net profit fell 66% to Rs 16.88 crore on a 4.6% rise in sales to Rs 159.34 crore in Q2 September 2008 over Q2 September 2007.
Great Offshore is an integrated offshore oilfield services provider, offering a broad spectrum of services to upstream oil and gas producers.
The stock hit a high of Rs 295 and a low of Rs 263.10 so far during the day. The stock had a 52-week high of Rs 1149.95 on 8 January 2008 and a 52-week low of Rs 200 on 18 November 2008.
The mid-cap offshore oilfield services provider has an equity capital of Rs 37.14 crore. Face value per share is Rs 10.
The current price of Rs 264.55 discounts its Q2 September 2008 annualised EPS of Rs 18.18, by a PE multiple of 14.55.
Faced with margin calls from lenders, Great Offshore promoter Vijay Sheth, who is also the company's vice-chairman and managing director, is reported to be in talks with banks, financial institutions and even rival companies to raise funds.
Creditors are reported to have been putting pressure on Sheth to clear his dues, but they are unlikely to sell the pledged shares to a strategic investor, suggest report.
Report further suggested that Sheth had almost finalised a deal with Bharati Shipyard, wherein the latter would give him money by purchasing his shares. This, however, was strongly denied by Bharti Shipyard managing director PC Kapoor.
Vijay Sheth hed pledged most of his 16% stake to IL&FS and Motilal Oswal in June last year. Sheth's outstanding is Rs 200 crore to IL&FS alone, while his outstanding to Motilal Oswal could be Rs 75-100 crore.
As per reports, the problem began when the lenders gave margin calls as the valuation of the collateral fell below the loan amount. This has put Sheth in a fix as he does not have more shares to put up as collateral.
Great Offshore was spun out of Great Eastern Shipping two years ago as part of the demerger between the Sheth family. Vijay Sheth, who runs the company, holds a 16% stake in Great Offshore, almost all of which is currently pledged to the lenders.
Post demerger, KM Sheth and Ravi Sheth, Sheth's estranged cousins, continue to be in charge of Great Eastern, the parent company. They also hold a 5% stake in Great Offshore. Vijay Sheth does not hold any significant stake in Great Eastern.
Great Offshore's net profit fell 66% to Rs 16.88 crore on a 4.6% rise in sales to Rs 159.34 crore in Q2 September 2008 over Q2 September 2007.
Great Offshore is an integrated offshore oilfield services provider, offering a broad spectrum of services to upstream oil and gas producers.
'Super Tannery ' setting record date for bonus issue
Super Tannery India was locked at 5% upper limit at Rs 9.65 at 11:37 IST on BSE, on setting record date for a liberal 1:1 bonus issue.
The stock hit a high of Rs 9.65 and a low of Rs 8.51 so far during the day The stock hit a 52-week high of Rs 16.58 on 31 December 2007 and a 52-week low of Rs 7.01 on 27 October 2008.
The company's current equity is Rs 3.60 crore. Face value per share is Rs 2.
The current price of Rs 9.65 discounts the company's Q2 September 2008 annualized EPS of Rs 1.78, by a PE multiple of 5.42.
Super Tannery India has fixed 8 December 2008 as the record date for issue of bonus shares in the ratio of 1:1. The company fixed the record date during trading hours today, 24 November 2008.
Super Tannery India's net profit rose 56.9% to Rs 0.80 crore on 23.9% increase in net sales to Rs 65.78 crore in Q2 September 2008 over Q2 September 2007.
Super Tannery India is engaged in manufacturing and marketing leather chrome, soles, garments, shoe uppers, shoes and other leather related products.
The stock hit a high of Rs 9.65 and a low of Rs 8.51 so far during the day The stock hit a 52-week high of Rs 16.58 on 31 December 2007 and a 52-week low of Rs 7.01 on 27 October 2008.
The company's current equity is Rs 3.60 crore. Face value per share is Rs 2.
The current price of Rs 9.65 discounts the company's Q2 September 2008 annualized EPS of Rs 1.78, by a PE multiple of 5.42.
Super Tannery India has fixed 8 December 2008 as the record date for issue of bonus shares in the ratio of 1:1. The company fixed the record date during trading hours today, 24 November 2008.
Super Tannery India's net profit rose 56.9% to Rs 0.80 crore on 23.9% increase in net sales to Rs 65.78 crore in Q2 September 2008 over Q2 September 2007.
Super Tannery India is engaged in manufacturing and marketing leather chrome, soles, garments, shoe uppers, shoes and other leather related products.
EID Parry Overseas acquisition
EID Parry India (CMP=Rs:145/-), on acquisition of a 48% stake in a US nutraceuticals company.
The company made this announcement after trading hours on Friday, 21 November 2008.
The stock hit a high of Rs 145.85 and a low of Rs 142 so far during the day. The stock has a 52-week high of Rs 267 on 7 August 2008 and a 52-week low of Rs 125 on 27 October 2008.
The company's current equity is Rs 17.85 crore. Face value per share is Rs 2.
The current price of Rs 145.85 discounts the company's Q2 September 2008 annualized EPS of Rs 274.24, by a PE multiple of 0.53.
The company has acquired 48% stake in US based Valensa International, a nutraceuticals company for a consideration of $9 million.
Headquartered in Florida, US, Valensa International is a leading science based developer, formulator and provider of high quality naturally sourced products for the nutritional supplements and functional foods industry.
EID Parry is also in the process of setting up a life science division for developing novel formulations to address the various lifestyle diseases
On 29 October 2008, the company's board approved a proposal of buyback of equity shares of the company for a maximum price of Rs 160 per share.
EID Parry India reported a net profit of Rs 611.89 crore in Q2 September 2008 as compared to net loss of Rs 5.74 crore in Q2 September 2007. Total Income surged 462.40% to Rs 1066.34 crore in Q2 September 2008 over Q2 September 2007.
The company is engaged in manufacturing and marketing a wide-range of products such as sugar, bio-products and others. It also involves in the production of farm inputs and cogeneration of power.
The company made this announcement after trading hours on Friday, 21 November 2008.
The stock hit a high of Rs 145.85 and a low of Rs 142 so far during the day. The stock has a 52-week high of Rs 267 on 7 August 2008 and a 52-week low of Rs 125 on 27 October 2008.
The company's current equity is Rs 17.85 crore. Face value per share is Rs 2.
The current price of Rs 145.85 discounts the company's Q2 September 2008 annualized EPS of Rs 274.24, by a PE multiple of 0.53.
The company has acquired 48% stake in US based Valensa International, a nutraceuticals company for a consideration of $9 million.
Headquartered in Florida, US, Valensa International is a leading science based developer, formulator and provider of high quality naturally sourced products for the nutritional supplements and functional foods industry.
EID Parry is also in the process of setting up a life science division for developing novel formulations to address the various lifestyle diseases
On 29 October 2008, the company's board approved a proposal of buyback of equity shares of the company for a maximum price of Rs 160 per share.
EID Parry India reported a net profit of Rs 611.89 crore in Q2 September 2008 as compared to net loss of Rs 5.74 crore in Q2 September 2007. Total Income surged 462.40% to Rs 1066.34 crore in Q2 September 2008 over Q2 September 2007.
The company is engaged in manufacturing and marketing a wide-range of products such as sugar, bio-products and others. It also involves in the production of farm inputs and cogeneration of power.
Sterlite Industries drops on plant shutdown
Sterlite Industries fell 2.40% to Rs 213.50 at 10:35 IST on BSE after it said its south India-based plant had stopped production due to a breakdown.
The company made the announcement before market hours today, 24 November 2008.
The stock hit a high of Rs 219.90 and a low of Rs 209 so far during the day. The stock had a 52-week high of Rs 1140 on 7 December 2007 and a 52-week low of Rs 164.50 on 27 October 2008.
India's biggest copper and zinc produce has an equity capital of Rs 141.74 crore. Face value per share is Rs 2.
The current price of Rs 213.50 discounts its Q2 September 2008 annualised EPS of Rs 26.14, by a PE multiple of 8.16.
Sterlite Industries today, 24 November 2008, said it expects to shut its 4,00,000 tonnes-a-year capacity copper smelter at Tuticorin in southern India for a month following a breakdown. Sterlite, a unit of London-listed Vedanta Resources, is assessing the damage and taking steps to rectify the situation, the company said in a statement to the stock exchange.
Sterlite Industries (India)'s net profit surged 117.5% to Rs 462.93 crore on 5.5% increase in net sales to Rs 3738.65 crore in Q2 September 2008 over Q2 September 2007.
Sterlite Industries is a leading producer of copper in India. It is a part of Vedanta Resources, a London listed metals and mining major, with aluminum, copper and zinc operations in India and Australia.
The company made the announcement before market hours today, 24 November 2008.
The stock hit a high of Rs 219.90 and a low of Rs 209 so far during the day. The stock had a 52-week high of Rs 1140 on 7 December 2007 and a 52-week low of Rs 164.50 on 27 October 2008.
India's biggest copper and zinc produce has an equity capital of Rs 141.74 crore. Face value per share is Rs 2.
The current price of Rs 213.50 discounts its Q2 September 2008 annualised EPS of Rs 26.14, by a PE multiple of 8.16.
Sterlite Industries today, 24 November 2008, said it expects to shut its 4,00,000 tonnes-a-year capacity copper smelter at Tuticorin in southern India for a month following a breakdown. Sterlite, a unit of London-listed Vedanta Resources, is assessing the damage and taking steps to rectify the situation, the company said in a statement to the stock exchange.
Sterlite Industries (India)'s net profit surged 117.5% to Rs 462.93 crore on 5.5% increase in net sales to Rs 3738.65 crore in Q2 September 2008 over Q2 September 2007.
Sterlite Industries is a leading producer of copper in India. It is a part of Vedanta Resources, a London listed metals and mining major, with aluminum, copper and zinc operations in India and Australia.
Market ends on a flat note on 24th Nov’08
The Sensex ended the day with a loss of 12.09 points, or 0.14% at 8,903.12 after touching a high of 9,042.02 and a low of 8,701.93. The broad-based NSE Nifty gained 14.80 points, or 0.55% at 2,708.25 after hitting a high of 2,740.35 and a low of 2,633.80.
Sunday, November 23, 2008
Markets may go up on Monday (i:e:24th Nov'08)
MUMBAI: Equities are expected to inch higher on Monday, led by expectations of rate cuts by the Reserve Bank of India (RBI) shortly, and a slight improvement in the mood
in global markets on Friday. But investors are sceptical of Friday’s rally sustaining for long, since there is an overhang of further adverse news globally, especially in the financial sector. Market watchers say that any upside in the near term is likely to be restricted to selective frontline stocks.
Last week, key components of major indices like Reliance Industries, ONGC and Infosys Technologies fared much better than the Sensex and the Nifty, which were down around 5% each. Brokers advise investors to stay clear of realty and metal shares, which are expected to see further volatility in the near term.
Shares of oil marketing companies HPCL and BPCL were among the best-performing large caps last week, and are expected to extend their gains. Dealers say that these two stocks could see a breakout on the upside, if the overall mood in the market remains positive.
Before Friday, equity benchmarks had shed 10-12% in seven consecutive sessions, leading to technical analysts believing that the recent fall was in excess. They feel that unless the Nifty does not pierce below the 2,500-level, its year’s low of 2,252.75 may not be under threat. On Friday, the index ended at 2,693.45. technical research people expects the Nifty to face resistance at the 2,850-level.
Expectations of a rate cut here, coupled with speculation about a likely restructuring in US banking major Citigroup, triggered sharp upsides in equities on Friday, led by short-covering. On Friday, US markets rose 5-6% after the US nominated its new treasury secretary Timothy Geithner, who has been closely involved in the rescue of Bear Stearns and AIG.
Investors have been relieved by the general perception that the US government would not allow Citigroup to languish, as the bank’s failure could wreck further havoc in the already bleeding credit markets, following the Lehman Brothers’ debacle. Allowing Citigroup to fail could have deeper repercussions on emerging equity markets, including India, given the banking major’s quantum of investments, directly and indirectly, in these countries.
Though fund managers note that a possible Citigroup rescue does not compensate for the bigger problem of deepening recession in the US and other major economies
, it is felt that the move would somewhat soothe bruised investor sentiments.
“Citigroup’s position has been in question for a long time, so some clarity in this regard got a warm welcome, especially when the market looked oversold,” said the CEO of a foreign mutual fund’s domestic arm.
Investors’ lack of conviction in Friday’s rally was because foreign institutions extended selling, while mutual funds were marginal buyers that day. Market participants
do not expect foreign institutional sales to recede, at least, till the year-end.
As speculation about a likely rate cut intensifies, a section of the market bets that an announcement to this effect would be likely, if the inflation this week slows further. Last week, inflation dropped to 8.9%, a five-month low.
Market participants say that prompt rate cuts are key for India to insulate itself from the global recession.
Via: E.T
in global markets on Friday. But investors are sceptical of Friday’s rally sustaining for long, since there is an overhang of further adverse news globally, especially in the financial sector. Market watchers say that any upside in the near term is likely to be restricted to selective frontline stocks.
Last week, key components of major indices like Reliance Industries, ONGC and Infosys Technologies fared much better than the Sensex and the Nifty, which were down around 5% each. Brokers advise investors to stay clear of realty and metal shares, which are expected to see further volatility in the near term.
Shares of oil marketing companies HPCL and BPCL were among the best-performing large caps last week, and are expected to extend their gains. Dealers say that these two stocks could see a breakout on the upside, if the overall mood in the market remains positive.
Before Friday, equity benchmarks had shed 10-12% in seven consecutive sessions, leading to technical analysts believing that the recent fall was in excess. They feel that unless the Nifty does not pierce below the 2,500-level, its year’s low of 2,252.75 may not be under threat. On Friday, the index ended at 2,693.45. technical research people expects the Nifty to face resistance at the 2,850-level.
Expectations of a rate cut here, coupled with speculation about a likely restructuring in US banking major Citigroup, triggered sharp upsides in equities on Friday, led by short-covering. On Friday, US markets rose 5-6% after the US nominated its new treasury secretary Timothy Geithner, who has been closely involved in the rescue of Bear Stearns and AIG.
Investors have been relieved by the general perception that the US government would not allow Citigroup to languish, as the bank’s failure could wreck further havoc in the already bleeding credit markets, following the Lehman Brothers’ debacle. Allowing Citigroup to fail could have deeper repercussions on emerging equity markets, including India, given the banking major’s quantum of investments, directly and indirectly, in these countries.
Though fund managers note that a possible Citigroup rescue does not compensate for the bigger problem of deepening recession in the US and other major economies
, it is felt that the move would somewhat soothe bruised investor sentiments.
“Citigroup’s position has been in question for a long time, so some clarity in this regard got a warm welcome, especially when the market looked oversold,” said the CEO of a foreign mutual fund’s domestic arm.
Investors’ lack of conviction in Friday’s rally was because foreign institutions extended selling, while mutual funds were marginal buyers that day. Market participants
do not expect foreign institutional sales to recede, at least, till the year-end.
As speculation about a likely rate cut intensifies, a section of the market bets that an announcement to this effect would be likely, if the inflation this week slows further. Last week, inflation dropped to 8.9%, a five-month low.
Market participants say that prompt rate cuts are key for India to insulate itself from the global recession.
Via: E.T
Saturday, November 22, 2008
IMF economist says worst of crisis to come
23 Nov 2008, 0303 hrs IST, REUTERS
ZURICH: The financial crisis that has engulfed many top banks is spiraling into a broader economic crisis that has yet to peak, International Monetary Fund's top
economist Olivier Blanchard told a Swiss newspaper on Saturday.
Blanchard said the crisis would continue for another year and called on governments to promote fiscal expansion and on central banks
to cut rates toward zero.
"The worst is yet to come," he was quoted as saying in Finanz und Wirtschaft as he noted how the banking sector's woes had started to spill over into the real economy
by hitting the carmaking industry.
"This is only the beginning," he added. "The risk exists that the data will get worse and worse, which would then lead to more pessimistic expectations and accelerate a fall in demand. It will take a long time before we go back to normal conditions."
Blanchard said the crisis should last for another year, but normal growth would return only in 2011. "For 2009 we (the IMF) forecast negative growth on average in the industrialized nations," he said. "In 2010 there should be a recovery and we should go back to normal in 2011."
Blanchard said governments have up until now not done enough to address the crisis and called for fiscal stimulus both in the United States and Europe.
"In normal times the IMF would argue that budget deficits must be reduced ... But we are not living in normal times. Demand has collapsed. This is why a broad fiscal expansion is needed," he said.
Blanchard said central banks should cut rates as much as possible to avert the risk of a "Great Depression" scenario.
"They have to lower interest rates and bring them as close to zero as possible," he said. "We have to use all the ammunition that we have in order to limit the collapse of demand."
Via:E.T
ZURICH: The financial crisis that has engulfed many top banks is spiraling into a broader economic crisis that has yet to peak, International Monetary Fund's top
economist Olivier Blanchard told a Swiss newspaper on Saturday.
Blanchard said the crisis would continue for another year and called on governments to promote fiscal expansion and on central banks
to cut rates toward zero.
"The worst is yet to come," he was quoted as saying in Finanz und Wirtschaft as he noted how the banking sector's woes had started to spill over into the real economy
by hitting the carmaking industry.
"This is only the beginning," he added. "The risk exists that the data will get worse and worse, which would then lead to more pessimistic expectations and accelerate a fall in demand. It will take a long time before we go back to normal conditions."
Blanchard said the crisis should last for another year, but normal growth would return only in 2011. "For 2009 we (the IMF) forecast negative growth on average in the industrialized nations," he said. "In 2010 there should be a recovery and we should go back to normal in 2011."
Blanchard said governments have up until now not done enough to address the crisis and called for fiscal stimulus both in the United States and Europe.
"In normal times the IMF would argue that budget deficits must be reduced ... But we are not living in normal times. Demand has collapsed. This is why a broad fiscal expansion is needed," he said.
Blanchard said central banks should cut rates as much as possible to avert the risk of a "Great Depression" scenario.
"They have to lower interest rates and bring them as close to zero as possible," he said. "We have to use all the ammunition that we have in order to limit the collapse of demand."
Via:E.T
Coming soon: Mini N-power plants
23 Nov 2008, 0827 hrs IST,
They’re smaller than a garden shed but can provide electricity to 20,000 homes.
If things go according to plan, then these mini nuclear power plants will be on sale
soon.
Based on technology originally developed by scientists at Los Alamos National Laboratory in New Mexico, a power firm is creating mini nuclear fission reactors that will provide electricity and hot water to remote locations, reported Discovery Channel.
The US government has licensed the technology to Hyperion, a New Mexicobased company which said recently that it has taken its first firm orders and plans to start mass production within five years. “Our goal is to generate electricity for 10 cents a kilowatt hour anywhere in the world,” said John Deal, chief executive of Hyperion.
“They will cost approximately $25m [£16m] each. For a community with 10,000 households, that is a very affordable $2,500 per home.” Specifying that “there is a strong humanitarian bent to these reactors” , Deal said, “This was invented to provide electricity and hot water to remote locations, where people might not have electricity or clean water.”
The reactors will be factory-sealed , contain no weapons-grade material, have no moving parts and will be nearly impossible to steal because they will be encased in concrete and buried underground, reported The Guardian. Deal claims to have more than 100 firm orders, largely from the oil and electricity industries, but says the company is also targeting developing countries and isolated communities.
The firm plans to set up three factories to produce 4,000 plants between 2013 and 2023. “We already have a pipeline for 100 reactors, and are taking our time to tool up to mass-produce this reactor.”
The first confirmed order came from TES, a Czech infrastructure company, reported The Guardian. “They ordered six units and optioned a further 12. We are very sure of their capability to buy,” said Deal. The first one, he said, would be installed in Romania . “We have a six-year waiting list.”
The reactors, only a few metres in diameter , will be delivered on the back of a lorry to be buried underground. They must be refuelled every 7-10 years. Because the reactors are based on a 50-year-old design that has proved safe for students to use, few countries are expected to object to plants on their territory.
An application to build the plants will be submitted to the Nuclear Regulatory Commission next year, The Guardian reported. “You could never have a Chernobyltype event—there are no moving parts,” said Deal. “You would need nation-state resources in order to enrich our uranium. Temperature-wise it’s too hot to handle. It would be like stealing a barbecue with your bare hands.”
Using propriety technology, Deal says they can transfer over 99% of the 500 degrees produced inside the reactors to the surface of the sealed concrete container . Whoever buys the reactor will pipe water past the those 500-degree thermal conductors, boiling the water to purify it or produce steam that will power nearby generators.
The high surface temperature, along with the fact that the reactors will be installed deep underground and at facilities that already have good security, should also prevent theft, says Deal.
Max Carbon, author of the book, Nuclear Power: Villain or Victim, agrees that the security risk of Hyperion’s reactor is minimal. “This is low-enrichment uranium , which is not useful for making a bomb,” said Carbon. “If terrorists wanted to get radioactive material they could get it elsewhere much easier.”
PACKING A PUNCH
The mini reactors will be factory-sealed , contain no weapons-grade material, have no moving parts and will be nearly impossible to steal because they will be encased in concrete and buried underground They will cost around $25m each.
For a community with 10,000 households, that comes to $2,500 per home The reactors, only a few metres in diameter, will be delivered on the back of a lorry to be buried underground. They must be refuelled every 7-10 years.
Via:E.T
They’re smaller than a garden shed but can provide electricity to 20,000 homes.
If things go according to plan, then these mini nuclear power plants will be on sale
soon.
Based on technology originally developed by scientists at Los Alamos National Laboratory in New Mexico, a power firm is creating mini nuclear fission reactors that will provide electricity and hot water to remote locations, reported Discovery Channel.
The US government has licensed the technology to Hyperion, a New Mexicobased company which said recently that it has taken its first firm orders and plans to start mass production within five years. “Our goal is to generate electricity for 10 cents a kilowatt hour anywhere in the world,” said John Deal, chief executive of Hyperion.
“They will cost approximately $25m [£16m] each. For a community with 10,000 households, that is a very affordable $2,500 per home.” Specifying that “there is a strong humanitarian bent to these reactors” , Deal said, “This was invented to provide electricity and hot water to remote locations, where people might not have electricity or clean water.”
The reactors will be factory-sealed , contain no weapons-grade material, have no moving parts and will be nearly impossible to steal because they will be encased in concrete and buried underground, reported The Guardian. Deal claims to have more than 100 firm orders, largely from the oil and electricity industries, but says the company is also targeting developing countries and isolated communities.
The firm plans to set up three factories to produce 4,000 plants between 2013 and 2023. “We already have a pipeline for 100 reactors, and are taking our time to tool up to mass-produce this reactor.”
The first confirmed order came from TES, a Czech infrastructure company, reported The Guardian. “They ordered six units and optioned a further 12. We are very sure of their capability to buy,” said Deal. The first one, he said, would be installed in Romania . “We have a six-year waiting list.”
The reactors, only a few metres in diameter , will be delivered on the back of a lorry to be buried underground. They must be refuelled every 7-10 years. Because the reactors are based on a 50-year-old design that has proved safe for students to use, few countries are expected to object to plants on their territory.
An application to build the plants will be submitted to the Nuclear Regulatory Commission next year, The Guardian reported. “You could never have a Chernobyltype event—there are no moving parts,” said Deal. “You would need nation-state resources in order to enrich our uranium. Temperature-wise it’s too hot to handle. It would be like stealing a barbecue with your bare hands.”
Using propriety technology, Deal says they can transfer over 99% of the 500 degrees produced inside the reactors to the surface of the sealed concrete container . Whoever buys the reactor will pipe water past the those 500-degree thermal conductors, boiling the water to purify it or produce steam that will power nearby generators.
The high surface temperature, along with the fact that the reactors will be installed deep underground and at facilities that already have good security, should also prevent theft, says Deal.
Max Carbon, author of the book, Nuclear Power: Villain or Victim, agrees that the security risk of Hyperion’s reactor is minimal. “This is low-enrichment uranium , which is not useful for making a bomb,” said Carbon. “If terrorists wanted to get radioactive material they could get it elsewhere much easier.”
PACKING A PUNCH
The mini reactors will be factory-sealed , contain no weapons-grade material, have no moving parts and will be nearly impossible to steal because they will be encased in concrete and buried underground They will cost around $25m each.
For a community with 10,000 households, that comes to $2,500 per home The reactors, only a few metres in diameter, will be delivered on the back of a lorry to be buried underground. They must be refuelled every 7-10 years.
Via:E.T
Gold touches 13000 level again on higher global cues
22 Nov 2008, 1740 hrs IST, PTI
MUMBAI: Gold prices touched the Rs 13,000 level again after a gap of more than one month on the bullion market here on Saturday on heavy stockists buying, triggered by smart rise in global market.
Silver prices recovered on renewed industrial demand. Gold prices rallied in New York above $ 800 an ounce on strong physical demand due to economic uncertainties.
Spot gold rose to $ 800.70 an ounce, its highest since October 21. It ended at $ 798.15 up 7.2 per cent from Thursday's close.
Gold futures for December delivery jumped by $ 43.10 an ounce to $ 791.80 an ounce on the Comex division of the New York Mercantile Exchange.
Silver futures for March delivery also rose by 45.6 cents to $ 9.505 an ounce on Comex.
In the local market, standard gold (99.5 purity) shot up by Rs 665 per 10 grams to end at Rs 12,995 as against the yesterday's closing level of Rs 12,330, after crossing a 13k level at the opening session.
Pure gold (99.9 purity) also rose to Rs 13,060 from Rs 12,385 yesterday.
Silver ready (.999 fineness) firmed up by Rs 295 per kilo to Rs 16,775 from Rs 16,480 yesterday.
MUMBAI: Gold prices touched the Rs 13,000 level again after a gap of more than one month on the bullion market here on Saturday on heavy stockists buying, triggered by smart rise in global market.
Silver prices recovered on renewed industrial demand. Gold prices rallied in New York above $ 800 an ounce on strong physical demand due to economic uncertainties.
Spot gold rose to $ 800.70 an ounce, its highest since October 21. It ended at $ 798.15 up 7.2 per cent from Thursday's close.
Gold futures for December delivery jumped by $ 43.10 an ounce to $ 791.80 an ounce on the Comex division of the New York Mercantile Exchange.
Silver futures for March delivery also rose by 45.6 cents to $ 9.505 an ounce on Comex.
In the local market, standard gold (99.5 purity) shot up by Rs 665 per 10 grams to end at Rs 12,995 as against the yesterday's closing level of Rs 12,330, after crossing a 13k level at the opening session.
Pure gold (99.9 purity) also rose to Rs 13,060 from Rs 12,385 yesterday.
Silver ready (.999 fineness) firmed up by Rs 295 per kilo to Rs 16,775 from Rs 16,480 yesterday.
WEEK AHEAD :Market seen volatile on derivatives expiry
Key benchmark indices are more likely to be influenced by global cues as they have been in the recent past. On the domestic front, expectations have risen that the central bank would again cut interest rates to shore up a faltering economy. Volatility may rise as derivative contracts for November 2008 series expire on Thursday, 27 November 2008.
Sustained selling by the foreign institutional investors (FII) to shore up resources to beat the global liquidity crunch, have weighed heavily on the bourses since 2008. FII outflow reached Rs 53,476.90 crore in calendar 2008, till 20 November 2008.
Indian markets will continue to be influenced by developments on the global front. Reports the US economy could shrink by 0.2% through 2009 and that US automakers, General Motors Corp, Ford Motor Co and Chrysler LLC are at risk of bankruptcy if a last-minute bail-out plan fails, sent the world stock indices to 5-1/2 year lows on 20 November 2008. The rising jobless claim, which rose to a 16-year high in the US, is expected to worsen the US economy further.
Back home, volatility is likely to remain high as derivative contracts for November 2008 series expire on Thursday, 27 November 2008. Nifty rollovers in the December 2008 series has been low, of about 4.70 million shares, as on 20 November 2008, which is substantially lower than a rollover of 14.22 million shares in the November 2008 series by this time last month.
Closer home, inflation has retraced sharply in the past two weeks raising hopes the central bank will cut interest rates further to shield the domestic economy from the global economic slowdown. Lower interest rates boost stocks as lower borrowing costs help lift corporate profits. The central bank is monitoring the liquidity situation on a real-time basis and would take the desired steps to boost further liquidity in the system if and when required, Reserve Bank of India (RBI) governor D Subbarao said on Tuesday, 18 November 2008.
Inflation based on the wholesale price index rose 8.90% in the 12 months to 8 November 2008, marginally below the previous week's annual rise of 8.98%, data released on Thursday, 20 November 2008 showed. Inflation has been softening after hitting a 16-year high at 12.91% on 2 August 2008.
The RBI has aggressively cut rates over the past two months to support growth and cushion the economy against the spreading global turmoil. The repo rate, the main short-term lending rate has been cut by 150 basis points to 7.5% since October 2008 and the cash reserve ratio, the proportion of deposits that banks have to keep with the central bank, has been reduced by 350 basis points to 5.5%.
India's economy is slowing down after growing at an annual rate of 9% or more in the past three years. The economic growth slumped to 7.9% in the April-June 2008 quarter from 9.2% in the same period last year. The Reserve Bank of India has downgraded its growth forecast to 7.5% to 8% for the current financial year.
Sustained selling by the foreign institutional investors (FII) to shore up resources to beat the global liquidity crunch, have weighed heavily on the bourses since 2008. FII outflow reached Rs 53,476.90 crore in calendar 2008, till 20 November 2008.
Indian markets will continue to be influenced by developments on the global front. Reports the US economy could shrink by 0.2% through 2009 and that US automakers, General Motors Corp, Ford Motor Co and Chrysler LLC are at risk of bankruptcy if a last-minute bail-out plan fails, sent the world stock indices to 5-1/2 year lows on 20 November 2008. The rising jobless claim, which rose to a 16-year high in the US, is expected to worsen the US economy further.
Back home, volatility is likely to remain high as derivative contracts for November 2008 series expire on Thursday, 27 November 2008. Nifty rollovers in the December 2008 series has been low, of about 4.70 million shares, as on 20 November 2008, which is substantially lower than a rollover of 14.22 million shares in the November 2008 series by this time last month.
Closer home, inflation has retraced sharply in the past two weeks raising hopes the central bank will cut interest rates further to shield the domestic economy from the global economic slowdown. Lower interest rates boost stocks as lower borrowing costs help lift corporate profits. The central bank is monitoring the liquidity situation on a real-time basis and would take the desired steps to boost further liquidity in the system if and when required, Reserve Bank of India (RBI) governor D Subbarao said on Tuesday, 18 November 2008.
Inflation based on the wholesale price index rose 8.90% in the 12 months to 8 November 2008, marginally below the previous week's annual rise of 8.98%, data released on Thursday, 20 November 2008 showed. Inflation has been softening after hitting a 16-year high at 12.91% on 2 August 2008.
The RBI has aggressively cut rates over the past two months to support growth and cushion the economy against the spreading global turmoil. The repo rate, the main short-term lending rate has been cut by 150 basis points to 7.5% since October 2008 and the cash reserve ratio, the proportion of deposits that banks have to keep with the central bank, has been reduced by 350 basis points to 5.5%.
India's economy is slowing down after growing at an annual rate of 9% or more in the past three years. The economic growth slumped to 7.9% in the April-June 2008 quarter from 9.2% in the same period last year. The Reserve Bank of India has downgraded its growth forecast to 7.5% to 8% for the current financial year.
RIL gains on plan to restart fuel retailing
Reliance Industries rose 1.44% to Rs 1073.80 at 14:13 IST on BSE on recent reports the company is seeking nod to restart fuel retailing.
The stock hit a high of Rs 1114 and a low of Rs 1021 so far during the day. The stock had a 52-week high of Rs 3252.10 on 15 January 2008 and a 52-week low of Rs 930 on 27 October 2008.
India's largest private sector company by market capitalisation and oil refiner has an equity capital of Rs 1573.79 crore. Face value per share is Rs 10.
The current price of Rs 1073.80 discounts its Q2 September 2008 annualised EPS of Rs 113.40, by a PE multiple of 9.46.
As per recent reports, Reliance Industries that had shut down all its petrol pumps because of huge losses after crude oil price soared, has now written to the government to start fuel pumps again. Since the crude prices have fallen to the lowest level in three years, companies operating private fuel pumps can hope to start pushing sales more aggressively.
Meanwhile, RIL is reported to have raised Rs 1000 crore today (21 November 2008), through an issue of bonds. The five-year bonds carry a coupon rate of 11.45%, report suggested. Earlier on Wednesday, 19 November 2008, some reports had suggested that the company may raise Rs 5000 crore from the Life Insurance Corporation of India via 11.5% non-convertible debentures.
Reliance Industries (RIL)'s net profit rose 7.4% to Rs 4122 crore on 39.8% growth in net sales to Rs 44787 crore in Q2 September 2008 over Q2 September 2007.
On 3 October 2008, RIL said it had allotted 12 crore equity shares of face value Rs 10 each to various promoter group firms upon exercise of rights attached to warrants held by them. These equity shares would be subject to a lock-in for a period of three years from the date of allotment of the warrants. The conversion price for the warrants is Rs 1,402 per share.
RIL manufactures petrochemicals, synthetic fibers, fiber intermediates, textiles, blended yarn and polyester staple fiber. The company also owns a petroleum refinery cum petrochemicals complex in Jamnagar, Gujarat that produces a wide range of products such as gasoline, superior kerosene oil and liquified petroleum gas.
The stock hit a high of Rs 1114 and a low of Rs 1021 so far during the day. The stock had a 52-week high of Rs 3252.10 on 15 January 2008 and a 52-week low of Rs 930 on 27 October 2008.
India's largest private sector company by market capitalisation and oil refiner has an equity capital of Rs 1573.79 crore. Face value per share is Rs 10.
The current price of Rs 1073.80 discounts its Q2 September 2008 annualised EPS of Rs 113.40, by a PE multiple of 9.46.
As per recent reports, Reliance Industries that had shut down all its petrol pumps because of huge losses after crude oil price soared, has now written to the government to start fuel pumps again. Since the crude prices have fallen to the lowest level in three years, companies operating private fuel pumps can hope to start pushing sales more aggressively.
Meanwhile, RIL is reported to have raised Rs 1000 crore today (21 November 2008), through an issue of bonds. The five-year bonds carry a coupon rate of 11.45%, report suggested. Earlier on Wednesday, 19 November 2008, some reports had suggested that the company may raise Rs 5000 crore from the Life Insurance Corporation of India via 11.5% non-convertible debentures.
Reliance Industries (RIL)'s net profit rose 7.4% to Rs 4122 crore on 39.8% growth in net sales to Rs 44787 crore in Q2 September 2008 over Q2 September 2007.
On 3 October 2008, RIL said it had allotted 12 crore equity shares of face value Rs 10 each to various promoter group firms upon exercise of rights attached to warrants held by them. These equity shares would be subject to a lock-in for a period of three years from the date of allotment of the warrants. The conversion price for the warrants is Rs 1,402 per share.
RIL manufactures petrochemicals, synthetic fibers, fiber intermediates, textiles, blended yarn and polyester staple fiber. The company also owns a petroleum refinery cum petrochemicals complex in Jamnagar, Gujarat that produces a wide range of products such as gasoline, superior kerosene oil and liquified petroleum gas.
Core Projects strengthens on decent rating by ICRA
Core Projects & Technologies rose 2.83% to Rs 45.45 at 12:22 IST on BSE, after credit rating firm ICRA assigned ratings on short term loans, commercial paper and long term loan facilities of the company.
The stock hit a high of Rs 46.40 and a low of Rs 43.65 so far during the day. The stock has a 52-week high of Rs 464.40 on 28 December 2007 and a 52-week low of Rs 34.10 crore on 27 October 2008.
The company's current equity is Rs 17.25 crore. Face value per share is Rs 2.
The current price of Rs 45.45 discounts the company's Q2 September 2008 annualized EPS of Rs 7.77, by a PE multiple of 5.85.
ICRA has assigned 'A1' rating to the short-term fund based/non-fund based limits and to the commercial paper programme of the company. ICRA has also assigned 'LA' rating to the long-term loan facilities of the company.
A1 is the highest credit quality for the short term and short-term debt instrument assigned by ICRA. LA is the adequate credit-quality rating assigned by ICRA.
Core Projects & Technologies' net profit rose 25.75% to Rs 16.75 crore on a 36.99% rise in sales to Rs 88.91 crore in Q2 September 2008 over Q1 June 2008.
Core Projects & Technologies provides information technology products and services. The company provides services including onsite and offsite consulting and knowledge management services, systems integration, global postioning system based vehicle tracking and detection systems, application support for their products, and offshore outsourcing.
The stock hit a high of Rs 46.40 and a low of Rs 43.65 so far during the day. The stock has a 52-week high of Rs 464.40 on 28 December 2007 and a 52-week low of Rs 34.10 crore on 27 October 2008.
The company's current equity is Rs 17.25 crore. Face value per share is Rs 2.
The current price of Rs 45.45 discounts the company's Q2 September 2008 annualized EPS of Rs 7.77, by a PE multiple of 5.85.
ICRA has assigned 'A1' rating to the short-term fund based/non-fund based limits and to the commercial paper programme of the company. ICRA has also assigned 'LA' rating to the long-term loan facilities of the company.
A1 is the highest credit quality for the short term and short-term debt instrument assigned by ICRA. LA is the adequate credit-quality rating assigned by ICRA.
Core Projects & Technologies' net profit rose 25.75% to Rs 16.75 crore on a 36.99% rise in sales to Rs 88.91 crore in Q2 September 2008 over Q1 June 2008.
Core Projects & Technologies provides information technology products and services. The company provides services including onsite and offsite consulting and knowledge management services, systems integration, global postioning system based vehicle tracking and detection systems, application support for their products, and offshore outsourcing.
Selan Exploration Technology Buyback plan
Selan Exploration Technology rose 1% to Rs 132.35 at 11:40 IST on BSE after its board approved buyback of shares at up to Rs 230, a 73.78% premium over the ruling market price.
The stock hit a high of Rs 137.95 and a low of Rs 129 so far during the day. The stock had a 52-week high of Rs 329.90 on 30 July 2008 and a 52-week low of Rs 109 on 24 march 2008.
The small-cap oil explorer has an equity capital of Rs 14.42 crore. Face value per share is Rs 10.
The current price of Rs 132.35 discounts its Q2 September 2008 annualised EPS of Rs 64.16, by a PE multiple of 2.06.
The company said it would buy back up to 25% of its paid-up capital and free reserves at a maximum of Rs 230 a share. The company made the announcement after market hours yesterday, 20 November 2008.
Selan Exploration Technology's net profit soared 578.3% to Rs 23.13 crore on a 326.8% rise in sales to Rs 37.90 crore in Q2 September 2008 over Q2 September 2007.
Selan Exploration Technology is involved in oil exploration and production in India.
The stock hit a high of Rs 137.95 and a low of Rs 129 so far during the day. The stock had a 52-week high of Rs 329.90 on 30 July 2008 and a 52-week low of Rs 109 on 24 march 2008.
The small-cap oil explorer has an equity capital of Rs 14.42 crore. Face value per share is Rs 10.
The current price of Rs 132.35 discounts its Q2 September 2008 annualised EPS of Rs 64.16, by a PE multiple of 2.06.
The company said it would buy back up to 25% of its paid-up capital and free reserves at a maximum of Rs 230 a share. The company made the announcement after market hours yesterday, 20 November 2008.
Selan Exploration Technology's net profit soared 578.3% to Rs 23.13 crore on a 326.8% rise in sales to Rs 37.90 crore in Q2 September 2008 over Q2 September 2007.
Selan Exploration Technology is involved in oil exploration and production in India.
Banco Products at 52-week low on pruning operations
Banco Products India declined 5.41% to Rs 19.25 at 10:50 IST on BSE, on its decision to reduce the number of working days of operations due the slowdown in automobile industry.
The company made this announcement after trading hours on Thursday, 20 November 2008.
The stock hit a high of Rs 20.50 so far during the day. The stock hit a low of Rs 19.05 so far during the day, which is a 52-week low for the counter. The stock has a 52-week high of Rs 51.70 on 3 January 2008.
The company's current equity is Rs 14.20 crore. Face value per share is Rs 2.
The current price of Rs 19.25 discounts the company's Q2 September 2008 annualized EPS of Rs 5.96, by a PE multiple of 3.23.
Automobile industry is the user industry for the company's products. It is engaged in manufacturing and selling automobile ancillaries. It manufactures gaskets and radiators, which are used in sealing and cooling applications in automotive and industrial engines.
Banco Products India's net profit rose 11.5% to Rs 10.58 crore on 15.2% increase in net sales to Rs 79.97 crore in Q2 September 2008 over Q2 September 2007.
The company made this announcement after trading hours on Thursday, 20 November 2008.
The stock hit a high of Rs 20.50 so far during the day. The stock hit a low of Rs 19.05 so far during the day, which is a 52-week low for the counter. The stock has a 52-week high of Rs 51.70 on 3 January 2008.
The company's current equity is Rs 14.20 crore. Face value per share is Rs 2.
The current price of Rs 19.25 discounts the company's Q2 September 2008 annualized EPS of Rs 5.96, by a PE multiple of 3.23.
Automobile industry is the user industry for the company's products. It is engaged in manufacturing and selling automobile ancillaries. It manufactures gaskets and radiators, which are used in sealing and cooling applications in automotive and industrial engines.
Banco Products India's net profit rose 11.5% to Rs 10.58 crore on 15.2% increase in net sales to Rs 79.97 crore in Q2 September 2008 over Q2 September 2007.
ONGC jumps on winning 20 oil & gas exploration blocks
Oil & Natural Gas Corporation spurted 4.47% to Rs 679.50 at 10:37 IST on BSE on bagging 20 out of the 44 blocks that were awarded under the government’s New Exploration Licensing Policy.
The stock hit a high of Rs 685 and a low of Rs 640 so far during the day. The stock had a 52-week high of Rs 1356.70 on 4 January 2008 and a 52-week low of Rs 538.10 on 27 October 2008.
India's largest state-run oil explorer by market capitalisation has an equity capital of Rs 2138.87 crore. Face value per share is Rs 10.
The current price of Rs 679.50 discounts its Q2 September 2008 annualised EPS of Rs 89.92, by a PE multiple of 7.55.
Oil & Natural Gas Corporation (ONGC) and its partners have bagged 20 out of the 44 blocks that have been awarded under the seventh round of the New Exploration Licensing Policy (NELP-VII). Of the 20 blocks that ONGC and its partners bagged, three are for deep-water, five for shallow-water and the balance 12 for on-land blocks.
The Cabinet Committee on Economic Affairs (CCEA), which met on Thursday (20 November 2008), decided to award 44 out of the 45 oil and gas blocks to the first ranked/sole bidders.
The Centre had launched the NELP-VII on 13 December last year, offering 57 exploration blocks, which included 19 deep-water, nine shallow-water and 29 on-land blocks. The bids were opened on 30 June 2008. In all, 181 bids were received from 95 companies for 45 blocks (12 deep-water, seven shallow-water and 26 on-land).
The bids were, on 30 September 2008, considered by the Empowered Committee of Secretaries (CoS), which made recommendations to the CCEA for award of the blocks.
ONGC's net profit fell 5.7% to Rs 4808.41 crore on 12.9% increase in net sales to Rs 17,407.40 crore in Q2 September 2008 over Q2 September 2007.
ONGC specializes in the exploration and production of crude oil and gas. The company has joint ventures in oil fields in Vietnam, Norway, Egypt, Tunisia, Iran and Australia. The Group's other activities include deep-sea explorations on the east and west coasts of India, and the exploration of coal bed methane.
The stock hit a high of Rs 685 and a low of Rs 640 so far during the day. The stock had a 52-week high of Rs 1356.70 on 4 January 2008 and a 52-week low of Rs 538.10 on 27 October 2008.
India's largest state-run oil explorer by market capitalisation has an equity capital of Rs 2138.87 crore. Face value per share is Rs 10.
The current price of Rs 679.50 discounts its Q2 September 2008 annualised EPS of Rs 89.92, by a PE multiple of 7.55.
Oil & Natural Gas Corporation (ONGC) and its partners have bagged 20 out of the 44 blocks that have been awarded under the seventh round of the New Exploration Licensing Policy (NELP-VII). Of the 20 blocks that ONGC and its partners bagged, three are for deep-water, five for shallow-water and the balance 12 for on-land blocks.
The Cabinet Committee on Economic Affairs (CCEA), which met on Thursday (20 November 2008), decided to award 44 out of the 45 oil and gas blocks to the first ranked/sole bidders.
The Centre had launched the NELP-VII on 13 December last year, offering 57 exploration blocks, which included 19 deep-water, nine shallow-water and 29 on-land blocks. The bids were opened on 30 June 2008. In all, 181 bids were received from 95 companies for 45 blocks (12 deep-water, seven shallow-water and 26 on-land).
The bids were, on 30 September 2008, considered by the Empowered Committee of Secretaries (CoS), which made recommendations to the CCEA for award of the blocks.
ONGC's net profit fell 5.7% to Rs 4808.41 crore on 12.9% increase in net sales to Rs 17,407.40 crore in Q2 September 2008 over Q2 September 2007.
ONGC specializes in the exploration and production of crude oil and gas. The company has joint ventures in oil fields in Vietnam, Norway, Egypt, Tunisia, Iran and Australia. The Group's other activities include deep-sea explorations on the east and west coasts of India, and the exploration of coal bed methane.
Thursday, November 20, 2008
Wockhardt slips to all-time low on patent infringement suit
Wockhardt slipped 3.66% to Rs 90.75 at 13:03 IST on BSE, on reports US drug major Eli Lilly has sued the company for patent infringement on antidepressant drug.
The stock hit a high of Rs 93 so far during the day. The stock hit a low of Rs 89 so far during the day, which is record low for the counter. The stock has a 52-week high of Rs 448 on 17 December 2007.
The company's current equity is Rs 54.72 crore. Face value per share is Rs 5.
The current price of Rs 90.75 discounts the company's Q3 September 2008 annualized EPS of Rs 4.91, by a PE multiple of 18.48.
As per reports, Eli Lilly and Co has sued Wockhardt in the US Federal court after the later filed abbreviated new drug applications (ANDA) with US Food & Drug Administration (USFDA) to manufacture and market Lilly's blockbuster drug, Cymbalta.
Wockhardt's net profit fell 77.2% to Rs 13.43 crore on 20.9% increase in net sales to Rs 416.83 crore in Q3 September 2008 over Q3 September 2007.
Wockhardt has presence in different drug segments like inflammation and pain, anti-infective, cough syrups, corticosteroids and medical nutrition.
The stock hit a high of Rs 93 so far during the day. The stock hit a low of Rs 89 so far during the day, which is record low for the counter. The stock has a 52-week high of Rs 448 on 17 December 2007.
The company's current equity is Rs 54.72 crore. Face value per share is Rs 5.
The current price of Rs 90.75 discounts the company's Q3 September 2008 annualized EPS of Rs 4.91, by a PE multiple of 18.48.
As per reports, Eli Lilly and Co has sued Wockhardt in the US Federal court after the later filed abbreviated new drug applications (ANDA) with US Food & Drug Administration (USFDA) to manufacture and market Lilly's blockbuster drug, Cymbalta.
Wockhardt's net profit fell 77.2% to Rs 13.43 crore on 20.9% increase in net sales to Rs 416.83 crore in Q3 September 2008 over Q3 September 2007.
Wockhardt has presence in different drug segments like inflammation and pain, anti-infective, cough syrups, corticosteroids and medical nutrition.
Asian Paints on shutting unit
Asian Paints plunged 5.23% to Rs 895 at 11:38 IST on BSE, on shutting phthalic anhydride plant in Gujarat due to inventory build up and for maintenance.
The stock hit a high of Rs 922 and a low of Rs 895 so far during the day. The stock has a 52-week high of Rs 1319.95 on 31 January 2008 and a 52-week low of Rs 830 on 27 October 2008.
The company's current equity is Rs 95.92 crore. Face value per share is Rs 10.
The current price of Rs 895 discounts the company's Q2 September 2008 annualized EPS of Rs 50.75, by a PE multiple of 17.64.
Asian Paints' net profit rose 12.2% to Rs 121.71 crore on 31.1% increase in net sales to Rs 1168.34 crore in Q2 September 2008 over Q2 September 2007.
The company manufactures and markets paints. The group also manufactures phthalic anhydride and pentaerythritol. The group operates in Australia, Fiji, Solomon Islands, Tonga, Vanuatu, Myanmar, China, Thailand, Malaysia, Singapore, Bangladesh, Nepal, Srilanka, Bahrain, the UAE, Oman, Barbados, Jamaica, Trinidad, Tobago, Egypt, Mauritius and Malta.
The stock hit a high of Rs 922 and a low of Rs 895 so far during the day. The stock has a 52-week high of Rs 1319.95 on 31 January 2008 and a 52-week low of Rs 830 on 27 October 2008.
The company's current equity is Rs 95.92 crore. Face value per share is Rs 10.
The current price of Rs 895 discounts the company's Q2 September 2008 annualized EPS of Rs 50.75, by a PE multiple of 17.64.
Asian Paints' net profit rose 12.2% to Rs 121.71 crore on 31.1% increase in net sales to Rs 1168.34 crore in Q2 September 2008 over Q2 September 2007.
The company manufactures and markets paints. The group also manufactures phthalic anhydride and pentaerythritol. The group operates in Australia, Fiji, Solomon Islands, Tonga, Vanuatu, Myanmar, China, Thailand, Malaysia, Singapore, Bangladesh, Nepal, Srilanka, Bahrain, the UAE, Oman, Barbados, Jamaica, Trinidad, Tobago, Egypt, Mauritius and Malta.
Cummins India skids
Cummins India tumbled 5.02% to Rs 205.20 at 10:57 IST on BSE, after board approved sale of its power generation rental business.
The stock hit a high of Rs 217 and a low of Rs 200 so far during the day. The stock has a 52-week high of Rs 441 on 6 December 2007 and a 52-week low of Rs 190 on 18 November 2008.
The company's current equity is Rs 39.60 crore. Face value per share is Rs 2.
The current price of Rs 205.20 discounts the company's Q2 September 2008 annualized EPS of Rs 18.97, by a PE multiple of 10.82.
Cummins India's board has approved to sell its power generation rental business to Pune based Aggreko Energy Rental India, which rents generator sets across the country, for a total consideration not less than Rs 29 crore. The sale will enable the company to focus its attention on growing its core business.
Cummins India's net profit surged 41.3% to Rs 93.92 crore on 49.5% increase in net sales to Rs 789.82 crore in Q2 September 2008 over Q2 September 2007.
Cummins India is engaged in manufacturing and selling internal combustion engines, diesel generating sets and special purpose machines. The products of the engine business segment are used for various applications such as power generation, construction, compressor, mining, marine, locomotive and fire fighting.
The stock hit a high of Rs 217 and a low of Rs 200 so far during the day. The stock has a 52-week high of Rs 441 on 6 December 2007 and a 52-week low of Rs 190 on 18 November 2008.
The company's current equity is Rs 39.60 crore. Face value per share is Rs 2.
The current price of Rs 205.20 discounts the company's Q2 September 2008 annualized EPS of Rs 18.97, by a PE multiple of 10.82.
Cummins India's board has approved to sell its power generation rental business to Pune based Aggreko Energy Rental India, which rents generator sets across the country, for a total consideration not less than Rs 29 crore. The sale will enable the company to focus its attention on growing its core business.
Cummins India's net profit surged 41.3% to Rs 93.92 crore on 49.5% increase in net sales to Rs 789.82 crore in Q2 September 2008 over Q2 September 2007.
Cummins India is engaged in manufacturing and selling internal combustion engines, diesel generating sets and special purpose machines. The products of the engine business segment are used for various applications such as power generation, construction, compressor, mining, marine, locomotive and fire fighting.
SAIL consider cut in production due to the global economic slowdown
Steel Authority of India slumped 4.75% to Rs 56.15 at 9:55 IST on BSE,on 20th Nov'08, on reports it may consider cut in production due to the global economic slowdown.
The stock hit a high of Rs 57 so far during the day. The stock hit a low of Rs 55.25 so far during the day, which is 52-week low for the counter. The stock has a 52-week high of Rs 292.50 on 13 December 2007.
The company's current equity is Rs 4130.40 crore. Face value per share is Rs 10.
The current price of Rs 56.15 discounts the company's Q2 September 2008 annualized EPS of Rs 19.46, by a PE multiple of 2.89.
As per reports, Steel Authority of India (Sail) is considering scaling down production after a surge in inventories, due to sudden and sharp fall in demand.
In October 2008, Sail signed a memorandum of understanding (MoU) with Larsen & Toubro (L&T) to set up captive power plants to meet the future power requirements of the company.
Sail's net profit rose 18.2% to Rs 2009.60 crore on a 33.6% rise in sales to Rs 12238.59 crore in Q2 September 2008 over Q2 September 2007.
Sail is an integrated steel manufacturing company. The company's products include pig iron, steel ingots, liquid steel, alloy steel, special steel, stainless steel, ferro alloys, spirally welded pipes, and calcium ammonium nitrate. The Government of India currently holds 85.82% in the company.
The stock hit a high of Rs 57 so far during the day. The stock hit a low of Rs 55.25 so far during the day, which is 52-week low for the counter. The stock has a 52-week high of Rs 292.50 on 13 December 2007.
The company's current equity is Rs 4130.40 crore. Face value per share is Rs 10.
The current price of Rs 56.15 discounts the company's Q2 September 2008 annualized EPS of Rs 19.46, by a PE multiple of 2.89.
As per reports, Steel Authority of India (Sail) is considering scaling down production after a surge in inventories, due to sudden and sharp fall in demand.
In October 2008, Sail signed a memorandum of understanding (MoU) with Larsen & Toubro (L&T) to set up captive power plants to meet the future power requirements of the company.
Sail's net profit rose 18.2% to Rs 2009.60 crore on a 33.6% rise in sales to Rs 12238.59 crore in Q2 September 2008 over Q2 September 2007.
Sail is an integrated steel manufacturing company. The company's products include pig iron, steel ingots, liquid steel, alloy steel, special steel, stainless steel, ferro alloys, spirally welded pipes, and calcium ammonium nitrate. The Government of India currently holds 85.82% in the company.
Shares of Citigroup-backed companies tumble
Nine firms in which Citigroup held major stake declined by 0.42% to 13.68% on fears the US firm may sell its stake to offset its sub-prime related losses.
Shetron (down 13.68%), Educomp Solution (down 11.18%), Tanla Solutions (down 6.05%), Fedders Lloyd (down 5.66%), Himadri Chemicals & Industries (down 5%), K S Oils (down 3.14%), Spentex Industries (down 1.93%), Zenith Computers (down 1.68%), and Elder Pharma (down 0.42%), declined sharply.
Citigroup's stake in these companies range between 5.48% to 27%.
Citigroup tumbled to a 13-year low in the US market on Wednesday, 19 November 2008, as investors questioned survival prospects on concerns about mounting losses from credit cards, mortgages and toxic debt. Tuesday's decline came a day after Citi's chief executive Vikram Pandit announced it will eliminate 52,000 of Citigroup's work force.
Citigroup is reported to have lost $20.3 billion in the financial crisis the last year.
Shetron (down 13.68%), Educomp Solution (down 11.18%), Tanla Solutions (down 6.05%), Fedders Lloyd (down 5.66%), Himadri Chemicals & Industries (down 5%), K S Oils (down 3.14%), Spentex Industries (down 1.93%), Zenith Computers (down 1.68%), and Elder Pharma (down 0.42%), declined sharply.
Citigroup's stake in these companies range between 5.48% to 27%.
Citigroup tumbled to a 13-year low in the US market on Wednesday, 19 November 2008, as investors questioned survival prospects on concerns about mounting losses from credit cards, mortgages and toxic debt. Tuesday's decline came a day after Citi's chief executive Vikram Pandit announced it will eliminate 52,000 of Citigroup's work force.
Citigroup is reported to have lost $20.3 billion in the financial crisis the last year.
Wednesday, November 19, 2008
RIL sells first crude oil consignment from KG basin to HPCL
19 Nov 2008, 1918 hrs IST, PTI
NEW DELHI: Reliance Industries has sold the first crude oil consignment from its eastern offshore Krishna Godavari basin KG-D6 field to Hindustan Petroleum Corp.
HPCL's Vizag refinery in Andhra Pradesh was to receive the consignment of 65,000-70,000 tonne on November 17, but the ship carrying the oil could not offload it due to bad weather.
"It is clear today and the oil will reach the refinery this evening," a top company official said. Reliance is currently producing 10,000 barrels of crude oil per day from the predominantly gas-rich KG-D6 block. The MA-1 oilfield started production in September.
The company sold the first consignment to HPCL at a USD 5.34 a barrel discount to Nigerian crude grade Bonny Light.
The official said HPCL would study the properties of the crude oil for appropriate benchmarking. Thereafter, Reliance may enter into one-year sale contracts.
Besides Vizag, Chennai Refinery is also keen on KG-D6 crude, which is likely to peak to 40,000 bpd (2 mn tonne a year) in the second calendar quarter of 2009. In all likelihood, Reliance may split the volumes equally between the two.
Reliance is the operator with 90 per cent stake in 7,645 sq km KG-D6 block, lying off the Andhra coast. Niko Resources of Canada holds the remainder 10 per cent interest.
The official said crude oil from MA-1 field is stored on a floating, production, storage and off-loading vessel (FPSO) at the well-head and once critical volumes are reached it is transfered to a ship for transportation to a refinery.
Reliance, which had budgeted USD 1.5 bn for development of the oil field, has till now spent USD 950 mn and would invest the remainder in drilling and tieing in four additional wells.
NEW DELHI: Reliance Industries has sold the first crude oil consignment from its eastern offshore Krishna Godavari basin KG-D6 field to Hindustan Petroleum Corp.
HPCL's Vizag refinery in Andhra Pradesh was to receive the consignment of 65,000-70,000 tonne on November 17, but the ship carrying the oil could not offload it due to bad weather.
"It is clear today and the oil will reach the refinery this evening," a top company official said. Reliance is currently producing 10,000 barrels of crude oil per day from the predominantly gas-rich KG-D6 block. The MA-1 oilfield started production in September.
The company sold the first consignment to HPCL at a USD 5.34 a barrel discount to Nigerian crude grade Bonny Light.
The official said HPCL would study the properties of the crude oil for appropriate benchmarking. Thereafter, Reliance may enter into one-year sale contracts.
Besides Vizag, Chennai Refinery is also keen on KG-D6 crude, which is likely to peak to 40,000 bpd (2 mn tonne a year) in the second calendar quarter of 2009. In all likelihood, Reliance may split the volumes equally between the two.
Reliance is the operator with 90 per cent stake in 7,645 sq km KG-D6 block, lying off the Andhra coast. Niko Resources of Canada holds the remainder 10 per cent interest.
The official said crude oil from MA-1 field is stored on a floating, production, storage and off-loading vessel (FPSO) at the well-head and once critical volumes are reached it is transfered to a ship for transportation to a refinery.
Reliance, which had budgeted USD 1.5 bn for development of the oil field, has till now spent USD 950 mn and would invest the remainder in drilling and tieing in four additional wells.
UTI MF scheme likely to mop up over Rs 300 crore
19 Nov 2008, 2100 hrs IST, PTI
At a time when mutual funds are coming under redemption pressure, UTI MF is likely to mop more than Rs 300 crore under UTI Wealth Builder Fund—Series II, which closed for subscription under new fund offer.
"UTI Wealth Builder Fund--Series II was sold three times more than our expectations. In the first week itself, we collected Rs 50 crore. We expect more than Rs 300 crore investment," UTI Asset Management Chief Marketing officer Joydeep Bhattacharya said.
The scheme, a diversified open ended scheme, is expected to be subscribed by more than one lakh investors, he said.
"It has been an extremely successful NFO. Indian investors bullish in long term," Bhattacharya said. The scheme will allocate the fund across equity, exchanged traded gold funds and debt.
"In our view, the stock market is closer to the bottom than the top. For people, investing now have greater chance for good returns as the valuations are attractive. Everyone is bullish on Indian economy in the long term," he said.
Today India has a highest saving rate, so if the funds are not launched, it will go to other forms of investment, he added. On investing the part of fund to exchange traded gold funds, Bhattacharya said gold is the best hedge against inflation.
In the last year, gold has given 16 per cent return, while the stock market has been down by 55 per cent, he added.
via:E.T
At a time when mutual funds are coming under redemption pressure, UTI MF is likely to mop more than Rs 300 crore under UTI Wealth Builder Fund—Series II, which closed for subscription under new fund offer.
"UTI Wealth Builder Fund--Series II was sold three times more than our expectations. In the first week itself, we collected Rs 50 crore. We expect more than Rs 300 crore investment," UTI Asset Management Chief Marketing officer Joydeep Bhattacharya said.
The scheme, a diversified open ended scheme, is expected to be subscribed by more than one lakh investors, he said.
"It has been an extremely successful NFO. Indian investors bullish in long term," Bhattacharya said. The scheme will allocate the fund across equity, exchanged traded gold funds and debt.
"In our view, the stock market is closer to the bottom than the top. For people, investing now have greater chance for good returns as the valuations are attractive. Everyone is bullish on Indian economy in the long term," he said.
Today India has a highest saving rate, so if the funds are not launched, it will go to other forms of investment, he added. On investing the part of fund to exchange traded gold funds, Bhattacharya said gold is the best hedge against inflation.
In the last year, gold has given 16 per cent return, while the stock market has been down by 55 per cent, he added.
via:E.T
Ess Dee Aluminium acquires majority stake in IndiaFoils
Ess Dee Aluminium spurted 8.97% to Rs 145.10 at 15:05 IST on BSE on reports the company will announce acquisition of a majority stake in India Foils later today, 19 November 2008.
The stock hit a high of Rs 146.45 and a low of Rs 131.45 so far during the day. The stock had a 52-week high of Rs 842.80 on 10 January 2008 and a 52-week low of Rs 110.75 on 27 October 2008.
The small-cap aluminum foil maker has an equity capital of Rs 27.82 crore. Face value per share is Rs 10.
The current price of Rs 145.10 discounts its Q2 September 2008 annualised EPS of Rs 27.35, by a PE multiple of 5.30.
Reports suggest the Board for Industrial and Financial Reconstruction (BIFR), the agency monitoring the revival of the ailing Vedanta group firm India Foils, has sanctioned Ess Dee's acquisition proposal.
Ess Dee will formally take over India Foils today, the reports added. Ess Dee will pay Rs 120 crore for a 90% stake in the firm.
India Foils manufactures aluminium foils and aluminium container sheets and light gauged strips which are used as packaging materials. The company also manufactures laminated flexible packages and treated, processed and laminated paper, paper board and containers.
Ess Dee Aluminium's net profit rose 66.7% to Rs 19.02 crore on a 61.1% rise in sales to Rs 102.37 crore in Q2 September 2008 over Q2 September 2007.
Ess Dee Aluminum manufactures aluminium foils for packaging purpose. The company cold-rolls aluminum into foil stock, and further processes it into printers stock and packaging for pharmaceuticals. Ess Dee also manufactures thermoforming polyvinyl chloride films.
The stock hit a high of Rs 146.45 and a low of Rs 131.45 so far during the day. The stock had a 52-week high of Rs 842.80 on 10 January 2008 and a 52-week low of Rs 110.75 on 27 October 2008.
The small-cap aluminum foil maker has an equity capital of Rs 27.82 crore. Face value per share is Rs 10.
The current price of Rs 145.10 discounts its Q2 September 2008 annualised EPS of Rs 27.35, by a PE multiple of 5.30.
Reports suggest the Board for Industrial and Financial Reconstruction (BIFR), the agency monitoring the revival of the ailing Vedanta group firm India Foils, has sanctioned Ess Dee's acquisition proposal.
Ess Dee will formally take over India Foils today, the reports added. Ess Dee will pay Rs 120 crore for a 90% stake in the firm.
India Foils manufactures aluminium foils and aluminium container sheets and light gauged strips which are used as packaging materials. The company also manufactures laminated flexible packages and treated, processed and laminated paper, paper board and containers.
Ess Dee Aluminium's net profit rose 66.7% to Rs 19.02 crore on a 61.1% rise in sales to Rs 102.37 crore in Q2 September 2008 over Q2 September 2007.
Ess Dee Aluminum manufactures aluminium foils for packaging purpose. The company cold-rolls aluminum into foil stock, and further processes it into printers stock and packaging for pharmaceuticals. Ess Dee also manufactures thermoforming polyvinyl chloride films.
GE Shipping sets sail on block deal
Great Eastern Shipping Company rose 1.63% to Rs 162.25 at 14:44 IST on BSE, after a block deal of 6.24 lakh shares was executed on BSE at Rs 163.25 a share.
The block deal constituted 0.41% of the company's equity.
The stock hit a high of Rs 166.90 and a low of Rs 154 so far during the day. The stock has a 52-week high of Rs 572 on 31 December 2007 and a 52-week low of Rs 138.60 on 27 October 2008.
The company's current equity is Rs 152.28 crore. Face value per share is Rs 10.
The current price of Rs 162.25 discounts the company's Q2 September 2008 annualized EPS of Rs 132.95, by a PE multiple of 1.22.
Great Eastern Shipping Company's net profit rose 47.7% to Rs 506.15 crore on 43.7% increase in net sales to Rs 864.09 crore in Q2 September 2008 over Q2 September 2007.
The company has two main businesses, shipping and offshore. The shipping business is involved in transportation of crude oil, petroleum products, gas and dry bulk commodities. The offshore business services to the oil companies in carrying out offshore exploration and production activities, through its wholly owned subsidiary Greatship (India).
The block deal constituted 0.41% of the company's equity.
The stock hit a high of Rs 166.90 and a low of Rs 154 so far during the day. The stock has a 52-week high of Rs 572 on 31 December 2007 and a 52-week low of Rs 138.60 on 27 October 2008.
The company's current equity is Rs 152.28 crore. Face value per share is Rs 10.
The current price of Rs 162.25 discounts the company's Q2 September 2008 annualized EPS of Rs 132.95, by a PE multiple of 1.22.
Great Eastern Shipping Company's net profit rose 47.7% to Rs 506.15 crore on 43.7% increase in net sales to Rs 864.09 crore in Q2 September 2008 over Q2 September 2007.
The company has two main businesses, shipping and offshore. The shipping business is involved in transportation of crude oil, petroleum products, gas and dry bulk commodities. The offshore business services to the oil companies in carrying out offshore exploration and production activities, through its wholly owned subsidiary Greatship (India).
Sterlite Industries up as copper futures gained on the London Metal Exchange.
Sterlite Industries (India) jumped 5.64% to Rs 230.10 at 14:06 IST on BSE as copper futures gained overnight on the London Metal Exchange.
The stock hit a high of Rs 234.90 and a low of Rs 219 so far during the day. The stock had a 52-week high of Rs 1140 on 7 December 2007 and a 52-week low of Rs 164.50 on 27 October 2008.
India's biggest copper and zinc produce has an equity capital of Rs 141.74 crore. Face value per share is Rs 2.
The current price of Rs 230.10 discounts its Q2 September 2008 annualised EPS of Rs 26.14, by a PE multiple of 8.80.
On the London Metal Exchange, copper for delivery in three months rose $90, or 2.5%, to $3,750 a tonne, on Tuesday, 18 November 2008. Weak metals demand and fears the world is in for a long recession have sent copper prices tumbling around 58% since hitting a record high of $8940 in July this year.
Sterlite Industries (India)'s net profit surged 117.5% to Rs 462.93 crore on 5.5% increase in net sales to Rs 3738.65 crore in Q2 September 2008 over Q2 September 2007.
Sterlite Industries is a leading producer of copper in India. It is a part of Vedanta Resources, a London listed metals and mining major, with aluminum, copper and zinc operations in India and Australia.
The stock hit a high of Rs 234.90 and a low of Rs 219 so far during the day. The stock had a 52-week high of Rs 1140 on 7 December 2007 and a 52-week low of Rs 164.50 on 27 October 2008.
India's biggest copper and zinc produce has an equity capital of Rs 141.74 crore. Face value per share is Rs 2.
The current price of Rs 230.10 discounts its Q2 September 2008 annualised EPS of Rs 26.14, by a PE multiple of 8.80.
On the London Metal Exchange, copper for delivery in three months rose $90, or 2.5%, to $3,750 a tonne, on Tuesday, 18 November 2008. Weak metals demand and fears the world is in for a long recession have sent copper prices tumbling around 58% since hitting a record high of $8940 in July this year.
Sterlite Industries (India)'s net profit surged 117.5% to Rs 462.93 crore on 5.5% increase in net sales to Rs 3738.65 crore in Q2 September 2008 over Q2 September 2007.
Sterlite Industries is a leading producer of copper in India. It is a part of Vedanta Resources, a London listed metals and mining major, with aluminum, copper and zinc operations in India and Australia.
Sesa Goa strengthens on block deal
Sesa Goa rose around 1% to Rs 78 at 12:31 IST,ON 19TH Nov'08, on BSE, aftr a block deal of five lakh shares was executed on BSE at Rs 77.75 a share.
The block deal constituted 0.06% of the company's equity.
The stock hit a high of Rs 79.30 and a low of Rs 76.20 so far during the day. The stock has a 52-week high of Rs 219.5 on 5 May 2008 and a 52-week low of Rs 63.60 on 27 October 2008.
The company's current equity is Rs 78.72 crore. Face value per share is Rs 1.
The current price of Rs 78 discounts the company's Q2 September 2008 annualized EPS of Rs 15.55, by a PE multiple of 5.02.
Sesa Goa's net profit surged 272.63% to Rs 306.08 crore on 151.6% increase in sales to Rs 832.92 crore in Q2 September 2008 over Q2 September 2007.
Sesa Goa, an iron ore mining company of the Vedanta group, has been involved in iron ore mining, beneficiation and exports besides. It is also into the manufacture of pig iron and metallurgical coke.
The block deal constituted 0.06% of the company's equity.
The stock hit a high of Rs 79.30 and a low of Rs 76.20 so far during the day. The stock has a 52-week high of Rs 219.5 on 5 May 2008 and a 52-week low of Rs 63.60 on 27 October 2008.
The company's current equity is Rs 78.72 crore. Face value per share is Rs 1.
The current price of Rs 78 discounts the company's Q2 September 2008 annualized EPS of Rs 15.55, by a PE multiple of 5.02.
Sesa Goa's net profit surged 272.63% to Rs 306.08 crore on 151.6% increase in sales to Rs 832.92 crore in Q2 September 2008 over Q2 September 2007.
Sesa Goa, an iron ore mining company of the Vedanta group, has been involved in iron ore mining, beneficiation and exports besides. It is also into the manufacture of pig iron and metallurgical coke.
Diamond Power Infrastructure - Block deal
Diamond Power Infrastructure rose 2.89% to Rs 105 at 10:44 IST on BSE, after a block deal of seven lakh shares was executed on BSE at Rs 104 a share.
The block deal constituted 3.98% of the company's equity.
The stock hit a high of Rs 105 and a low of Rs 99.10 so far during the day. The stock has a 52-week high of Rs 599.20 on 1 January 2008 and a 52-week low of Rs 81.45 on 28 October 2008.
The company's current equity is Rs 17.57 crore. Face value per share is Rs 10.
The current price of Rs 105 discounts the company's Q2 September 2008 annualized EPS of Rs 47.33, by a PE multiple of 2.22.
Diamond Power Infrastructure's net profit surged 99.7% to Rs 20.79 crore on 93% increase in net sales to Rs 175.43 crore in Q2 September 2008 over Q2 September 2007.
Diamond Power Infrastructure manufactures wire products such as cables, conductors and wire rods.
The block deal constituted 3.98% of the company's equity.
The stock hit a high of Rs 105 and a low of Rs 99.10 so far during the day. The stock has a 52-week high of Rs 599.20 on 1 January 2008 and a 52-week low of Rs 81.45 on 28 October 2008.
The company's current equity is Rs 17.57 crore. Face value per share is Rs 10.
The current price of Rs 105 discounts the company's Q2 September 2008 annualized EPS of Rs 47.33, by a PE multiple of 2.22.
Diamond Power Infrastructure's net profit surged 99.7% to Rs 20.79 crore on 93% increase in net sales to Rs 175.43 crore in Q2 September 2008 over Q2 September 2007.
Diamond Power Infrastructure manufactures wire products such as cables, conductors and wire rods.
Supreme Industries surges on buyback plan
Supreme Industries surged 4.80% to Rs 113.55 at 10:17 IST,on 19th Nov'08, on BSE, on share buyback plan.
The stock hit a high of Rs 116 and a low of Rs 113 so far during the day. The stock has a 52-week high of Rs 420 on 20 December 2007 and a 52-week low of Rs 100 on 7 November 2008.
The company's current equity is Rs 27.62 crore. Face value per share is Rs 10.
The current price of Rs 113.55 discounts the company's Q1 September 2008 annualized EPS of Rs 15, by a PE multiple of 7.57.
Supreme Industries' board will meet on 26 November 2008 to consider buyback of equity shares of the company. The company announced the board meet after trading hours on Monday, 18 November 2008.
Supreme Industries' net profit rose 11.5% to Rs 10.36 crore on 15.9% increase in net sales to Rs 294.50 crore in Q1 September 2008 over Q1 September 2007.
The Mumbai based company manufactures plastic products. The group's products include PVC pipes and fittings, material handling crates and plastic moulded chairs, moulded furniture, storage and material handling creates, cross laminated and products, petrochemicals, food service ware and protective packaging products. The group operates in India and outside country.
The stock hit a high of Rs 116 and a low of Rs 113 so far during the day. The stock has a 52-week high of Rs 420 on 20 December 2007 and a 52-week low of Rs 100 on 7 November 2008.
The company's current equity is Rs 27.62 crore. Face value per share is Rs 10.
The current price of Rs 113.55 discounts the company's Q1 September 2008 annualized EPS of Rs 15, by a PE multiple of 7.57.
Supreme Industries' board will meet on 26 November 2008 to consider buyback of equity shares of the company. The company announced the board meet after trading hours on Monday, 18 November 2008.
Supreme Industries' net profit rose 11.5% to Rs 10.36 crore on 15.9% increase in net sales to Rs 294.50 crore in Q1 September 2008 over Q1 September 2007.
The Mumbai based company manufactures plastic products. The group's products include PVC pipes and fittings, material handling crates and plastic moulded chairs, moulded furniture, storage and material handling creates, cross laminated and products, petrochemicals, food service ware and protective packaging products. The group operates in India and outside country.
Ruchi Soya, Gokul Refoils surges on import duty
19 Nov 2008, 1148 hrs IST
Shares of Ruchi Soya Industries, India's largest soymeal producer, jumped as much as 20 per cent triggered by the government's decision late on Tuesday to impose 20 per cent customs duty on import of crude soybean oil.
Gokul Refoils, another major edible oil maker, was up 5.4 per cent at Rs 207.9 per cent.
Shares of Ruchi Soya Industries, India's largest soymeal producer, jumped as much as 20 per cent triggered by the government's decision late on Tuesday to impose 20 per cent customs duty on import of crude soybean oil.
Gokul Refoils, another major edible oil maker, was up 5.4 per cent at Rs 207.9 per cent.
Steel stocks gain on 5% import duty
19 Nov 2008, 1040 hrs IST
Steel shares gained momentum after the government imposed a 5 per cent duty on imports of steel and iron products to protect domestic makers from cheaper imports.
The BSE metal index was up by 3.14% in early trade. Steel Authority of India was up 4.2 percent at Rs 64, Tata Steel rose 3 per cent to Rs 169.7, JSW Steel traded at Rs 244.5, up 1 per cent while Ispat Industries was up 1.9 percent at Rs 10.8.
The government on Tuesday (18 November 2008) slapped a 5% import duty on specified iron and steel products and 20% duty on crude soyabean oil in a move aimed at safeguarding the interests of domestic industry. While bringing cheer to the industry, the move is also expected to give a marginal relief to the government revenues as well.
Steel shares gained momentum after the government imposed a 5 per cent duty on imports of steel and iron products to protect domestic makers from cheaper imports.
The BSE metal index was up by 3.14% in early trade. Steel Authority of India was up 4.2 percent at Rs 64, Tata Steel rose 3 per cent to Rs 169.7, JSW Steel traded at Rs 244.5, up 1 per cent while Ispat Industries was up 1.9 percent at Rs 10.8.
The government on Tuesday (18 November 2008) slapped a 5% import duty on specified iron and steel products and 20% duty on crude soyabean oil in a move aimed at safeguarding the interests of domestic industry. While bringing cheer to the industry, the move is also expected to give a marginal relief to the government revenues as well.
Sensex closes below 9000; Reliance in red. 19 Nov 2008
Equities pared intra-day gains to end sharply lower Wednesday as investors booked profits at higher levels. Capital goods, power and banks were the worst hit.
Falling share price of Reliance Industries added to the woes.
Bombay Stock Exchange’s Sensex closed at 8723.31, down 204.89 points or 2.29 per cent. The index touched a low of 8732.31 and high of 9236.27 during the day.
National Stock Exchange’s Nifty ended at 2619.25, down 2.38 per cent or 63.90 points. The broader index touched an intra-day high of 2772.40 and an intra-day low of 2617.90.
ITC (2.61%), Ranbaxy Laboratories (2.14%), Tata Consultancy Services (0.29%) and Mahindra & Mahindra (0.2%) were the only gainers in the 30-share index.
Losses in Reliance Communications (-5.96%), Jaiprakash Associates (-5.74%), Hindalco Industries (5.29%), BHEL (5.25%) and Grasim Industries (5.18%) dragged down the indices.
Shares of Reliance Industries plunged around 7 per cent from intra-day high of Rs 1220 to close Rs 1133.15, down 0.66 per cent from its previous close.
Market breadth on BSE remained negative with 1711 declines against 786 advances.
(All figures are provisional)
Falling share price of Reliance Industries added to the woes.
Bombay Stock Exchange’s Sensex closed at 8723.31, down 204.89 points or 2.29 per cent. The index touched a low of 8732.31 and high of 9236.27 during the day.
National Stock Exchange’s Nifty ended at 2619.25, down 2.38 per cent or 63.90 points. The broader index touched an intra-day high of 2772.40 and an intra-day low of 2617.90.
ITC (2.61%), Ranbaxy Laboratories (2.14%), Tata Consultancy Services (0.29%) and Mahindra & Mahindra (0.2%) were the only gainers in the 30-share index.
Losses in Reliance Communications (-5.96%), Jaiprakash Associates (-5.74%), Hindalco Industries (5.29%), BHEL (5.25%) and Grasim Industries (5.18%) dragged down the indices.
Shares of Reliance Industries plunged around 7 per cent from intra-day high of Rs 1220 to close Rs 1133.15, down 0.66 per cent from its previous close.
Market breadth on BSE remained negative with 1711 declines against 786 advances.
(All figures are provisional)
Monday, November 17, 2008
Sterlite Industries loses sheen as ADR tumbles
Sterlite Industries India declined 4.49% to Rs 217 at 11:01 IST on BSE, after its American depository receipt tumbled 13.11% to $4.44 on Friday, 14 November 2008.
The stock hit a high of Rs 232.90 and a low of Rs 215.90 so far during the day. The stock has a 52-week high of Rs 1140 on 7 December 2007 and a 52-week low of Rs 164.50 on 27 October 2008.
The company's current equity is Rs 141.74 crore. Face value per share is Rs 2.
The current price of Rs 217 discounts the company's Q2 September 2008 annualized EPS of Rs 26.14, by a PE multiple of 8.30.
Sterlite Industries India's net profit surged 117.5% to Rs 462.93 crore on 5.5% increase in net sales to Rs 3738.65 crore in Q2 September 2008 over Q2 September 2007.
Sterlite Industries is a leading producer of copper in India. It is a part of Vedanta Resources, a London listed metals and mining major, with aluminum, copper and zinc operations in India and Australia.
The stock hit a high of Rs 232.90 and a low of Rs 215.90 so far during the day. The stock has a 52-week high of Rs 1140 on 7 December 2007 and a 52-week low of Rs 164.50 on 27 October 2008.
The company's current equity is Rs 141.74 crore. Face value per share is Rs 2.
The current price of Rs 217 discounts the company's Q2 September 2008 annualized EPS of Rs 26.14, by a PE multiple of 8.30.
Sterlite Industries India's net profit surged 117.5% to Rs 462.93 crore on 5.5% increase in net sales to Rs 3738.65 crore in Q2 September 2008 over Q2 September 2007.
Sterlite Industries is a leading producer of copper in India. It is a part of Vedanta Resources, a London listed metals and mining major, with aluminum, copper and zinc operations in India and Australia.
Elecon Engineering Promoter buying
Elecon Engineering Company rose 2.56% to Rs 46 at 15:30 IST on BSE, on news of a promoter firm acquiring shares from the open market.
The stock hit a high of Rs 46.50 and a low of Rs 43.05 so far during the day. The stock has a 52-week high of Rs 343 on 20 December 2007 and a 52-week low of Rs 36.25 on 27 October 2008.
The company's current equity is Rs 18.57 crore. Face value per share is Rs 2.
The current price of Rs 46 discounts the company's Q2 September 2008 annualized EPS of Rs 6.90, by a PE multiple of 6.67.
Prayas Engineering, promoter of the company, has acquired 19,000 shares or 0.02% of equity capital of the company through open market purchases, Elecon Engineering said in a filing to the Bombay Stock Exchange. The company made this announcement during trading hours today, 17 November 2008.
In October 2008, the company secured an order worth Rs 17.75 crore from Techpro Systems, Chennai.
Elecon Engineering Company's net profit fell 7% to Rs 16.02 crore on 37.3% increase in net sales to Rs 252.23 crore in Q2 September 2008 over Q2 September 2007.
Elecon Engineering Company manufactures all kinds of mechanical handling equipment such as bucket elevators, belt conveyors, gravity roller conveyors, bag-filling machines, bag stacking machines, overhead chair conveyors.
The stock hit a high of Rs 46.50 and a low of Rs 43.05 so far during the day. The stock has a 52-week high of Rs 343 on 20 December 2007 and a 52-week low of Rs 36.25 on 27 October 2008.
The company's current equity is Rs 18.57 crore. Face value per share is Rs 2.
The current price of Rs 46 discounts the company's Q2 September 2008 annualized EPS of Rs 6.90, by a PE multiple of 6.67.
Prayas Engineering, promoter of the company, has acquired 19,000 shares or 0.02% of equity capital of the company through open market purchases, Elecon Engineering said in a filing to the Bombay Stock Exchange. The company made this announcement during trading hours today, 17 November 2008.
In October 2008, the company secured an order worth Rs 17.75 crore from Techpro Systems, Chennai.
Elecon Engineering Company's net profit fell 7% to Rs 16.02 crore on 37.3% increase in net sales to Rs 252.23 crore in Q2 September 2008 over Q2 September 2007.
Elecon Engineering Company manufactures all kinds of mechanical handling equipment such as bucket elevators, belt conveyors, gravity roller conveyors, bag-filling machines, bag stacking machines, overhead chair conveyors.
Exports incentive for Steel Sector
The government on Friday, 14 November 2008, announced restoring export incentives in the form of duty entitlement pass book (DEPB) scheme to steel exports. Under the DEPB scheme, companies can avail of refund of customs duty paid on imported raw material for manufacturing products meant to be exported under the Directorate General of Foreign Trade norms.
The government also announced that the two sectors steel and cement have been included in the Focus Market Scheme which will enable these distressed industries to boost their exports to the third world.
Steel stocks fell as a possible slump in Chinese demand offset the government's export incentives for the sector.
Tata Steel, Steel Authority of India, JSW Steel, Maharastra Seamless, and Bhushan Steel fell by 1.82% to 6.18%.
Global steel prices have been falling due to global economic slowdown and due to fall in Chinese demand post Olympics. Earlier this month, JSW Steel had announced a 20% production cut.
A few days back, Tata Steel's UK-based unit Corus had announced cutting back production by 30% for a six month period as steel prices and demand crashes.
The government also announced that the two sectors steel and cement have been included in the Focus Market Scheme which will enable these distressed industries to boost their exports to the third world.
Steel stocks fell as a possible slump in Chinese demand offset the government's export incentives for the sector.
Tata Steel, Steel Authority of India, JSW Steel, Maharastra Seamless, and Bhushan Steel fell by 1.82% to 6.18%.
Global steel prices have been falling due to global economic slowdown and due to fall in Chinese demand post Olympics. Earlier this month, JSW Steel had announced a 20% production cut.
A few days back, Tata Steel's UK-based unit Corus had announced cutting back production by 30% for a six month period as steel prices and demand crashes.
RBI measures do not benefit housing finance firms
Realty shares hit by slowdown in the sector
Realty shares dropped on concerns banks may not raise lending to realty firms despite the latest Reserve Bank of India measures to ease lending to the cash-stripped sector.
At 10:45 IST, the BSE Realty index was down 4.92% at 1,912.50, underperforming the barometer index the BSE Sensex, which was down 2.24% at 9,174.86.
DLF, Unitech, Indiabulls Real Estate, Housing Development & Infrastructure, Sobha Developers, Mahindra Lifespace Developers, and Omaxe were down 1.55% to 9.40%.
The Reserve Bank of India (RBI) on Saturday (15 November 2008) announced fresh steps to free up liquidity for the troubled realty sector. The RBI reduced the risk weightage on bank exposure to the real estate sector and non-deposit taking non-banking financial institutions (NBFCs) from 150% to 100% -- it means, banks will need less capital to give such loans.
Additionally, standard provisioning requirements for commercial real estate sector has been reduced to a uniform level of 0.40%.
Despite the measures, it remains to be seen whether banks will raise lending to the realty sector given the severe slowdown and increasing risk of non performing assets (NPAs).
RBI measures do not benefit housing finance firms
Shares of the housing finance firms dropped as concerns of slowdown in demand for new homes and fears of rise in delinquencies in a weakening economy offset latest measures announced by the central bank to help the firms raise funds.
Housing Development Finance Corporation (HDFC), LIC Housing Finance, Dewan Housing Finance Corporation, GIC Housing Finance, were down 1.22% to 5.53%.
The Reserve Bank of India (RBI) on Saturday (15 November 2008) allowed housing finance companies to raise short-term foreign-currency loans. This is a temporary step only available to companies registered with the National Housing Bank.
But the demand for housing loans has slowed down due to higher cost of borrowing.
Realty shares dropped on concerns banks may not raise lending to realty firms despite the latest Reserve Bank of India measures to ease lending to the cash-stripped sector.
At 10:45 IST, the BSE Realty index was down 4.92% at 1,912.50, underperforming the barometer index the BSE Sensex, which was down 2.24% at 9,174.86.
DLF, Unitech, Indiabulls Real Estate, Housing Development & Infrastructure, Sobha Developers, Mahindra Lifespace Developers, and Omaxe were down 1.55% to 9.40%.
The Reserve Bank of India (RBI) on Saturday (15 November 2008) announced fresh steps to free up liquidity for the troubled realty sector. The RBI reduced the risk weightage on bank exposure to the real estate sector and non-deposit taking non-banking financial institutions (NBFCs) from 150% to 100% -- it means, banks will need less capital to give such loans.
Additionally, standard provisioning requirements for commercial real estate sector has been reduced to a uniform level of 0.40%.
Despite the measures, it remains to be seen whether banks will raise lending to the realty sector given the severe slowdown and increasing risk of non performing assets (NPAs).
RBI measures do not benefit housing finance firms
Shares of the housing finance firms dropped as concerns of slowdown in demand for new homes and fears of rise in delinquencies in a weakening economy offset latest measures announced by the central bank to help the firms raise funds.
Housing Development Finance Corporation (HDFC), LIC Housing Finance, Dewan Housing Finance Corporation, GIC Housing Finance, were down 1.22% to 5.53%.
The Reserve Bank of India (RBI) on Saturday (15 November 2008) allowed housing finance companies to raise short-term foreign-currency loans. This is a temporary step only available to companies registered with the National Housing Bank.
But the demand for housing loans has slowed down due to higher cost of borrowing.
Godawari Power & Ispat shrugs off decision to reconsider buyback
Godawari Power & Ispat was at the day's high of Rs 77.80, up 4.01% at 10:12 IST on BSE on bargain hunting shrugging of a likely cancellation of buyback proposal that was approved on 27 October 2008.
The company made the announcement after market hours on Friday, 14 November 2008. The stock had lost 3.48% to Rs 74.80 on that day, ahead of the announcement.
The stock hit a low of Rs 72.50 so far during the day. The stock had a 52-week high of Rs 376.50 on 1 January 2008 and a 52-week low of Rs 63.25 on 27 October 2008.
The stock fell 16.28% in three straight sessions to Rs 74.80 on 14 November 2008 from Rs 89.35 10 November 2008, ahead of the announcement.
The small-cap metal producer has an equity capital of Rs 28.07 crore. Face value per share is Rs 10.
The current price of Rs 77.80 discounts its Q2 September 2008 annualised EPS of Rs 45.30, by a PE multiple of 1.71.
The company's decision to reconsider buyback has raised fears that it may cancel the buyback programme which it had announced on 27 October 2008. The board of Godawari Power had approved buying back minimum 3 lakh shares at maximum price of Rs 135 a share. The aggregate amount to be spent on buyback was set at Rs 36 crore, or 9.37% of the paid up capital and free reserves of the company as on 31 March 2008.
Godawari Power & Ispat's net profit rose 48.3% to Rs 31.79 crore on a 86.1% rise in sales to Rs 331.61 crore in Q2 September 2008 over Q2 September 2007.
The company is engaged in manufacturing steel intermediate products like sponge iron and ferro alloys and finished long steel products like billets, wire rods and mild steel wires, which find application in the construction and infrastructure sectors. The group operates in three segments namely steel, electricity and others.
The company made the announcement after market hours on Friday, 14 November 2008. The stock had lost 3.48% to Rs 74.80 on that day, ahead of the announcement.
The stock hit a low of Rs 72.50 so far during the day. The stock had a 52-week high of Rs 376.50 on 1 January 2008 and a 52-week low of Rs 63.25 on 27 October 2008.
The stock fell 16.28% in three straight sessions to Rs 74.80 on 14 November 2008 from Rs 89.35 10 November 2008, ahead of the announcement.
The small-cap metal producer has an equity capital of Rs 28.07 crore. Face value per share is Rs 10.
The current price of Rs 77.80 discounts its Q2 September 2008 annualised EPS of Rs 45.30, by a PE multiple of 1.71.
The company's decision to reconsider buyback has raised fears that it may cancel the buyback programme which it had announced on 27 October 2008. The board of Godawari Power had approved buying back minimum 3 lakh shares at maximum price of Rs 135 a share. The aggregate amount to be spent on buyback was set at Rs 36 crore, or 9.37% of the paid up capital and free reserves of the company as on 31 March 2008.
Godawari Power & Ispat's net profit rose 48.3% to Rs 31.79 crore on a 86.1% rise in sales to Rs 331.61 crore in Q2 September 2008 over Q2 September 2007.
The company is engaged in manufacturing steel intermediate products like sponge iron and ferro alloys and finished long steel products like billets, wire rods and mild steel wires, which find application in the construction and infrastructure sectors. The group operates in three segments namely steel, electricity and others.
RNRL shares fall more than 6 % on govt intervention on pricing of KG basin
Shares of Anil Ambani promoted Reliance Natural Resources fell more than 6
per cent on Monday after the government said it will decide the sale price of natural gas produced from Reliance Industries' Krishna-Godavari (KG) basin.
At 2:15 pm on BSE, the RNRL share was down 6.43 per cent at Rs 46.55. The stock hit a high of Rs 50.70 and low of Rs 46 so far in trade. The stock hit a 52-week high of Rs 249.70 on January 9 and low of Rs 36.40 on Oct 27, 2008.
The government affidavit on the case RIL-RNRL gas dispute said, that the sale of gas at a price less than $4.20 per million metric British thermal unit is not envisaged as per the Empowered Group of Ministers' decision taken in accordance with Production Sharing Contract between government and Reliance Industries.
The government in the affidavit also states that selling price should be determined based on arm's length concept- where transaction is conducted purely on commercial terms.
As per the allocation policy, fertiliser plants will have the first claim followed by idle power plants and city gas distribution in that order.
The dispute between RIL and RNRL is over gas supply agreement pertaining to supply of natural gas from RIL's KG reserves to RNRL's power plants at a predetermined price.
RNRL has been laying claim on a portion of the gas reserves at a lower rate, citing a family agreement that formed the basis of a split between the estranged Ambani brothers in 2005.
per cent on Monday after the government said it will decide the sale price of natural gas produced from Reliance Industries' Krishna-Godavari (KG) basin.
At 2:15 pm on BSE, the RNRL share was down 6.43 per cent at Rs 46.55. The stock hit a high of Rs 50.70 and low of Rs 46 so far in trade. The stock hit a 52-week high of Rs 249.70 on January 9 and low of Rs 36.40 on Oct 27, 2008.
The government affidavit on the case RIL-RNRL gas dispute said, that the sale of gas at a price less than $4.20 per million metric British thermal unit is not envisaged as per the Empowered Group of Ministers' decision taken in accordance with Production Sharing Contract between government and Reliance Industries.
The government in the affidavit also states that selling price should be determined based on arm's length concept- where transaction is conducted purely on commercial terms.
As per the allocation policy, fertiliser plants will have the first claim followed by idle power plants and city gas distribution in that order.
The dispute between RIL and RNRL is over gas supply agreement pertaining to supply of natural gas from RIL's KG reserves to RNRL's power plants at a predetermined price.
RNRL has been laying claim on a portion of the gas reserves at a lower rate, citing a family agreement that formed the basis of a split between the estranged Ambani brothers in 2005.
Market ends lower. (Monday, November 17, 2008 )
The Sensex ended the day with a loss of 94.41 points, or 1.01% at 9,291.01 after touching a high of 9,435.89 and a low of 8,956.68. The broad-based NSE Nifty fell 10.80 points, or 0.38% at 2,799.55 after hitting a high of 2,835.70 and a low of 2,694.50.
Major gainers in the 30-share index were Wipro (4.59%), ACC (4.29%), Tata Motors (2.56%), Maruti Suzuki India (2.45%), Bharti Airtel (2.29%), and NTPC (1.24%).
On the other hand, HDFC Bank (7.71%), Reliance Energy (6.23%), Tata Steel (4.01%), DLF (3.92%), Housing Development Finance Corporation (3.84%), and Satyam Computer Services (3.76%) were the biggest losers in the Sensex.
Overall market breadth was sharply negative. Out of the total 2,539 stocks traded at BSE, 681 advanced, 1,798 declined while 60 remained unchanged.
Major gainers in the 30-share index were Wipro (4.59%), ACC (4.29%), Tata Motors (2.56%), Maruti Suzuki India (2.45%), Bharti Airtel (2.29%), and NTPC (1.24%).
On the other hand, HDFC Bank (7.71%), Reliance Energy (6.23%), Tata Steel (4.01%), DLF (3.92%), Housing Development Finance Corporation (3.84%), and Satyam Computer Services (3.76%) were the biggest losers in the Sensex.
Overall market breadth was sharply negative. Out of the total 2,539 stocks traded at BSE, 681 advanced, 1,798 declined while 60 remained unchanged.
Sunday, November 16, 2008
Analysts say G-20 summit failed to impress
16 Nov 2008, 1515 hrs IST, PTI
NEW YORK: Describing as a "plain-vanilla stuff" the outcome of the G-20 summit on the financial crisis, analysts have said it left substantive issues to future meetings and
was unable to bridge the ideological gap and articulate a coordinated global response.
For all the talk of action and history-making change, some experts said the outcome was disappointing. "This is plain-vanilla stuff they could have agreed on without holding a meeting," Simon Johnson, an economist at the Massachusetts Institute of Technology (MIT) and a former chief economist of the IMF said. "What's new, except that this is the G-20 instead of the G-7?"
The influential financial daily, the 'Wall Street Journal' said, the group left most tough decisions to President-elect Barack Obama who will have to confront a tangle of high-stake economic and regulatory issues immediately after taking office.
"Many of the issues discussed this weekend - including credit rating agency reform, accounting standards convergence, and affirmation of open trade and investment - were issues already being studied," Tim Ryan, President of the Securities Industry and Financial Markets Association, told the Journal. "We hope this summit will provide additional political will to move these important issues forward."
The group vowed to help developing countries get access to financing, including ensuring the International Monetary Fund and other multilateral development banks have sufficient funding. And it said the poorest countries should have a greater voice at the World Bank and IMF.
But an economist at California State University Sung Won Sohn told the Journal, "the devil is in details. Despite the good intentions, progress will be arduous and slow. Each nation has its own agenda complicating matters."
NEW YORK: Describing as a "plain-vanilla stuff" the outcome of the G-20 summit on the financial crisis, analysts have said it left substantive issues to future meetings and
was unable to bridge the ideological gap and articulate a coordinated global response.
For all the talk of action and history-making change, some experts said the outcome was disappointing. "This is plain-vanilla stuff they could have agreed on without holding a meeting," Simon Johnson, an economist at the Massachusetts Institute of Technology (MIT) and a former chief economist of the IMF said. "What's new, except that this is the G-20 instead of the G-7?"
The influential financial daily, the 'Wall Street Journal' said, the group left most tough decisions to President-elect Barack Obama who will have to confront a tangle of high-stake economic and regulatory issues immediately after taking office.
"Many of the issues discussed this weekend - including credit rating agency reform, accounting standards convergence, and affirmation of open trade and investment - were issues already being studied," Tim Ryan, President of the Securities Industry and Financial Markets Association, told the Journal. "We hope this summit will provide additional political will to move these important issues forward."
The group vowed to help developing countries get access to financing, including ensuring the International Monetary Fund and other multilateral development banks have sufficient funding. And it said the poorest countries should have a greater voice at the World Bank and IMF.
But an economist at California State University Sung Won Sohn told the Journal, "the devil is in details. Despite the good intentions, progress will be arduous and slow. Each nation has its own agenda complicating matters."
Global crisis to hit India economy more in 2009: WEF
14 Nov 2008, 1830 hrs IST, REUTERS
NEW DELHI: The global downturn will pressurise the Indian economy more next year and the government has to speed up reforms and boost investment to sustain high growth rates, a report said on Friday.
The report jointly prepared by World Economic Forum and Confederation of Indian Industry also said India could see a sharp outflow of capital, and a fall in share and asset prices due to the global financial crisis.
The report was released ahead of the annual India Economic Summit starting Nov. 16 in New Delhi, where top government officials are expected to interact with heads of global firms.
"India's dependence on capital flows to finance
its current account deficit is a macroeconomic risk and the global crisis could generate a sharp increase in capital outflows and a reduction in the availability of finance," it said.
"Clearly, the global economic picture will be harsher next year and there will be greater pressures on Indian economy."
The global credit crisis has rattled Indian markets as foreign investors
sold shares worth more than $12.5 billion so far this year while the rupee fell by more than 20 percent.
"It (global crisis) could also weaken the balance sheets of the financial institutions, cause a further fall in share and asset prices, and challenge the macroeconomic situation due to shrinking global growth," WEF said.
Indian policymakers expect a moderation in economic growth to less than 8 percent in the year to March 2009, compared with 9 percent recorded in 2007/08 fiscal year.
Earlier this month, Prime Minister Manmohan Singh cautioned that the global financial crisis could be more severe and prolonged, and the government would take all necessary steps -- monetary and fiscal -- to protect growth.
"A tighter environment may also help speed reforms and encourage greater efficiency," WEF said, adding a great deal of political will and dialogue with different stakeholders would be required to take reforms forward.
"...India's growth is still strong relative to other economies and its growth story will continue to be one that will unfold over decades rather than years," it added.
NEW DELHI: The global downturn will pressurise the Indian economy more next year and the government has to speed up reforms and boost investment to sustain high growth rates, a report said on Friday.
The report jointly prepared by World Economic Forum and Confederation of Indian Industry also said India could see a sharp outflow of capital, and a fall in share and asset prices due to the global financial crisis.
The report was released ahead of the annual India Economic Summit starting Nov. 16 in New Delhi, where top government officials are expected to interact with heads of global firms.
"India's dependence on capital flows to finance
its current account deficit is a macroeconomic risk and the global crisis could generate a sharp increase in capital outflows and a reduction in the availability of finance," it said.
"Clearly, the global economic picture will be harsher next year and there will be greater pressures on Indian economy."
The global credit crisis has rattled Indian markets as foreign investors
sold shares worth more than $12.5 billion so far this year while the rupee fell by more than 20 percent.
"It (global crisis) could also weaken the balance sheets of the financial institutions, cause a further fall in share and asset prices, and challenge the macroeconomic situation due to shrinking global growth," WEF said.
Indian policymakers expect a moderation in economic growth to less than 8 percent in the year to March 2009, compared with 9 percent recorded in 2007/08 fiscal year.
Earlier this month, Prime Minister Manmohan Singh cautioned that the global financial crisis could be more severe and prolonged, and the government would take all necessary steps -- monetary and fiscal -- to protect growth.
"A tighter environment may also help speed reforms and encourage greater efficiency," WEF said, adding a great deal of political will and dialogue with different stakeholders would be required to take reforms forward.
"...India's growth is still strong relative to other economies and its growth story will continue to be one that will unfold over decades rather than years," it added.
Unitech's mortgaged Office property with HDFC for Sale
Unitech fell 2.35% to Rs 47.85 at 12:56 IST,on 14th Nov'08, on BSE on buzz it is in talks with HDFC to sell a 2-lakh square feet office in New Delhi.
The stock hit a high of Rs 51.90 and a low of Rs 46.35 so far during the day. The stock had a 52-week high of Rs 546.80 on 2 January 2008 and a 52-week low of Rs 26.60 on 24 October 2008.
The large-cap stock has an equity capital of Rs 324.68 crore. Face value per share is Rs 2.
The current price of Rs 47.85 discounts its Q2 September 2008 annualised EPS of Rs 10.24, by a PE multiple of 4.67.
Unitech's Saket office property in New Delhi was mortgaged with HDFC as collateral for Rs 30 crore by the real estate developer. A capital crunch has forced the company to sell the office, reports suggest. Most real estate firms have been facing a severe cash crunch as sales have slowed down and credit has become tight. With the crisis deepening in the real estate space, rating agencies have been downgrading realty firms.
Unitech's net profit rose 200.9% to Rs 415.56 crore on 59.5% rise in sales to Rs 844.65 crore in Q2 September 2008 over Q2 September 2007.
Unitech develops residential areas, commercial spaces, amusement parks, infrastructure development, thermal power plants, transmission lines, highways, flyovers, industrial facilities, steel plants, and overseas turnkey projects.
The stock hit a high of Rs 51.90 and a low of Rs 46.35 so far during the day. The stock had a 52-week high of Rs 546.80 on 2 January 2008 and a 52-week low of Rs 26.60 on 24 October 2008.
The large-cap stock has an equity capital of Rs 324.68 crore. Face value per share is Rs 2.
The current price of Rs 47.85 discounts its Q2 September 2008 annualised EPS of Rs 10.24, by a PE multiple of 4.67.
Unitech's Saket office property in New Delhi was mortgaged with HDFC as collateral for Rs 30 crore by the real estate developer. A capital crunch has forced the company to sell the office, reports suggest. Most real estate firms have been facing a severe cash crunch as sales have slowed down and credit has become tight. With the crisis deepening in the real estate space, rating agencies have been downgrading realty firms.
Unitech's net profit rose 200.9% to Rs 415.56 crore on 59.5% rise in sales to Rs 844.65 crore in Q2 September 2008 over Q2 September 2007.
Unitech develops residential areas, commercial spaces, amusement parks, infrastructure development, thermal power plants, transmission lines, highways, flyovers, industrial facilities, steel plants, and overseas turnkey projects.
Jyothy Laboratories fixing record date for stock-split
Jyothy Laboratories rose 1.28% to Rs 238 at 11:45 IST,on 14th Nov'08, on BSE on setting the record date for a 5-for-1 stock split.
The stock hit a high of Rs 250 and a low of Rs 222 so far during the day. The stock had a 52-week high of Rs 964.40 on 2 January 2008 and a 52-week low of Rs 210.10 on 29 October 2008.
The small-cap stock has an equity capital of Rs 7.26 crore. Face value per share is Rs 5.
The current price of Rs 238 discounts its Q1 September 2008 annualised EPS of Rs 14.02, by a PE multiple of 16.97.
Jyothy Laboratories has set 19 December 2008 as the record date for stock-split. The company announced the record date during the market hours today, 14 November 2008.
The company's net profit fell 37.9% to Rs 5.09 crore on 17.3% rise in sales to Rs 86.76 crore in Q1 September 2008 over Q1 September 2007.
Jyothy Labs is engaged in the fabric care, household insecticide, surface cleaning, personal care and air care segments of the Indian market. It offers branded products including fabric whitener, mosquito repellent, dish washing, bath and incense products.
The stock hit a high of Rs 250 and a low of Rs 222 so far during the day. The stock had a 52-week high of Rs 964.40 on 2 January 2008 and a 52-week low of Rs 210.10 on 29 October 2008.
The small-cap stock has an equity capital of Rs 7.26 crore. Face value per share is Rs 5.
The current price of Rs 238 discounts its Q1 September 2008 annualised EPS of Rs 14.02, by a PE multiple of 16.97.
Jyothy Laboratories has set 19 December 2008 as the record date for stock-split. The company announced the record date during the market hours today, 14 November 2008.
The company's net profit fell 37.9% to Rs 5.09 crore on 17.3% rise in sales to Rs 86.76 crore in Q1 September 2008 over Q1 September 2007.
Jyothy Labs is engaged in the fabric care, household insecticide, surface cleaning, personal care and air care segments of the Indian market. It offers branded products including fabric whitener, mosquito repellent, dish washing, bath and incense products.
Ispat Industries defaulting on loan repayment to UTI
Ispat Industries fell 1.49% to Rs 11.88 at 10:26 IST ,on 14th Nov'08,on BSE on reports of defaulting on loan repayment to the Unit Trust of India.
The stock hit a high of Rs 12.60 and a low of Rs 11.50 so far during the day. The stock had a 52-week high of Rs 87.40 on 20 December 2007 and a 52-week low of Rs 9 on 27 October 2008.
The mid-cap steel manufacturer has an equity capital of Rs 1,222.44 crore. Face value per share is Rs 10.
Ispat Industries was scheduled to make a payment of around Rs 100 crore to Unit Trust of India (UTI) by June 2008 as part of a Rs 550-crore loan settlement reports added.
Reports also said company has advanced temporary closure of its blast furnace by six months, which would reduce its total steel production in the current year by about 40%.
Ispat Industries reported a net loss of Rs 26.74 crore in Q2 September 2008 compared to a net profit of Rs 13.54 crore in Q2 September 2007. The company's sales rose 58% to Rs 3,199.70 crore in Q2 September 2008 over Q2 September 2007.
Ispat Industries, promoted by the Mittals group, is into manufacture of all types of galvanized plain/corrugated steel sheets/strips, coils and sponge iron.
The stock hit a high of Rs 12.60 and a low of Rs 11.50 so far during the day. The stock had a 52-week high of Rs 87.40 on 20 December 2007 and a 52-week low of Rs 9 on 27 October 2008.
The mid-cap steel manufacturer has an equity capital of Rs 1,222.44 crore. Face value per share is Rs 10.
Ispat Industries was scheduled to make a payment of around Rs 100 crore to Unit Trust of India (UTI) by June 2008 as part of a Rs 550-crore loan settlement reports added.
Reports also said company has advanced temporary closure of its blast furnace by six months, which would reduce its total steel production in the current year by about 40%.
Ispat Industries reported a net loss of Rs 26.74 crore in Q2 September 2008 compared to a net profit of Rs 13.54 crore in Q2 September 2007. The company's sales rose 58% to Rs 3,199.70 crore in Q2 September 2008 over Q2 September 2007.
Ispat Industries, promoted by the Mittals group, is into manufacture of all types of galvanized plain/corrugated steel sheets/strips, coils and sponge iron.
Thursday, November 13, 2008
Political uncertainty ahead of state polls
Five Indian states go to the polls in the next few weeks in what is widely seen as a test of the popularity of the country's main political parties viz. the Congress and the BJP, ahead of national elections in the first half of calendar year 2009. Polls will be held in two phases on 14 November 2008 in Chhattisgarh, followed by Madhya Pradesh on 25 November 2008. Delhi and Mizoram will go to the polls on 29 November 2008 and Rajasthan on 4 December 2008. The results of these five states are expected on 8 December 2008.
Tata Teleservices (Maharastra) TTML getting partner from JAPAN
Tata Teleservices (Maharastra), a unit of Tata Teleservices, spurted 8.25% to Rs 18.10, on reports NTT DoCoMo Inc, Japan's biggest mobile phone carrier, is set to announce a plan to buy a stake in TTML's parent firm Tata Teleservices today (12 November 2008).
As expected the deal was announced after trading hours. NTT DoCoMo Inc, acquired a 26% stake for $2.7 billion (Rs 13,070 crore) in Tata Teleservices, to expand into the world's fastest-growing major wireless market, valuing the company at $10.4 billion. Seperately, DoCoMo also expects to make an open offer to acquire up to 20% of TTML through a joint offer with Tata Sons.
TTML has an equity capital of Rs 1897.19 crore. Face value per share is Rs 10.
TTML reported a net loss of Rs 47.35 crore in Q2 September 2008 as against a net loss of Rs 49.31 crore in Q2 September 2007. Sales rose 16.4% to Rs 487.14 crore in Q2 September 2008 over Q2 September 2007.
As expected the deal was announced after trading hours. NTT DoCoMo Inc, acquired a 26% stake for $2.7 billion (Rs 13,070 crore) in Tata Teleservices, to expand into the world's fastest-growing major wireless market, valuing the company at $10.4 billion. Seperately, DoCoMo also expects to make an open offer to acquire up to 20% of TTML through a joint offer with Tata Sons.
TTML has an equity capital of Rs 1897.19 crore. Face value per share is Rs 10.
TTML reported a net loss of Rs 47.35 crore in Q2 September 2008 as against a net loss of Rs 49.31 crore in Q2 September 2007. Sales rose 16.4% to Rs 487.14 crore in Q2 September 2008 over Q2 September 2007.
Siemens wins order from SAIL
Siemens rose 1.93% to Rs 317,on 12th Nov'08, at 13:48 IST on BSE after the company won a Rs 176 crore order from the state run Steel Authority of India for modernisation a steel plant.
The stock hit a high of Rs 324 and a low of Rs 303.10 so far during the day. The stock had a 52-week high of Rs 1125 on 23 November 2007 and a 52-week low of Rs 210 on 27 October 2008.
The mid-cap engineering firm has an equity capital of Rs 67.44 crore. Face value per share is Rs 2.
The current price of Rs 317 discounts its Q3 June 2008 annualised EPS of Rs 20.10, by a PE multiple of 15.77.
Siemens' net profit spurted 107.2% to Rs 169.43 crore on a 1.5% rise in sales to Rs 1809.68 crore in Q3 June 2008 over Q3 June 2007. The company will declare Q4 September 2008 ended results on 25 November 2008.
Siemens manufactures and distributes switchgear items, electric motors and generators, switchboards, control boards, control systems and protection systems.
The stock hit a high of Rs 324 and a low of Rs 303.10 so far during the day. The stock had a 52-week high of Rs 1125 on 23 November 2007 and a 52-week low of Rs 210 on 27 October 2008.
The mid-cap engineering firm has an equity capital of Rs 67.44 crore. Face value per share is Rs 2.
The current price of Rs 317 discounts its Q3 June 2008 annualised EPS of Rs 20.10, by a PE multiple of 15.77.
Siemens' net profit spurted 107.2% to Rs 169.43 crore on a 1.5% rise in sales to Rs 1809.68 crore in Q3 June 2008 over Q3 June 2007. The company will declare Q4 September 2008 ended results on 25 November 2008.
Siemens manufactures and distributes switchgear items, electric motors and generators, switchboards, control boards, control systems and protection systems.
Allcargo Global Logistics up 78% in 8 days
Allcargo Global Logistics was locked at upper limit of 5% at Rs 490.85 on BSE,on 12th Nov'08, extending gains for the eighth trading session in a row, on reports it is adequately funded and is not expecting any slowdown due to the global financial crisis.
The stock had a 52-week high of Rs 1028.95 on 19 November 2007 and a 52-week low of Rs 271.85 on 31 October 2008.
The the stock is up 77.87% from a recent low of Rs 275.95 on 31 October 2008. The strong rebound came after a steep fall caused by the company's decision, on 25 October 2008, to defer the sub-division of face value of equity shares due to uncertain market conditions. From Rs 718.90 on 22 October 2008, the stock had plunged 61.62% in just six trading sessions to Rs 275.95 on 31 October 2008.
The mid-cap logistic service provider has an equity capital of Rs 22.36 crore. Face value per share is Rs 10.
The current price of Rs 490.85 discounts its Q3 September 2008 annualised EPS of Rs 46.51, by a PE multiple of 10.55.
On 4 November 2008, Allcargo Global's chief financial officer had told in a television interview that the company was adequately funded and was not expecting any slowdown due to the global financial crisis.
The company had acquired 53 cranes and expects revenues to trickle in from the third quarter of the current fiscal, he said. The company is also looking for acquisitons overseas and plans to finalise them if the pricing is good, he further added.
Allcargo Global Logistics' net profit spurted 129.3% to Rs 26 crore on a 76.7% rise in sales to Rs 138.61 crore in Q3 September 2008 over Q3 September 2007.
Allcargo provides logistics service in India. Its present operations are in five key areas of the logistics business: multi-modal transport operations, container freight stations, project cargo handling, airfreight and transport logistics.
The stock had a 52-week high of Rs 1028.95 on 19 November 2007 and a 52-week low of Rs 271.85 on 31 October 2008.
The the stock is up 77.87% from a recent low of Rs 275.95 on 31 October 2008. The strong rebound came after a steep fall caused by the company's decision, on 25 October 2008, to defer the sub-division of face value of equity shares due to uncertain market conditions. From Rs 718.90 on 22 October 2008, the stock had plunged 61.62% in just six trading sessions to Rs 275.95 on 31 October 2008.
The mid-cap logistic service provider has an equity capital of Rs 22.36 crore. Face value per share is Rs 10.
The current price of Rs 490.85 discounts its Q3 September 2008 annualised EPS of Rs 46.51, by a PE multiple of 10.55.
On 4 November 2008, Allcargo Global's chief financial officer had told in a television interview that the company was adequately funded and was not expecting any slowdown due to the global financial crisis.
The company had acquired 53 cranes and expects revenues to trickle in from the third quarter of the current fiscal, he said. The company is also looking for acquisitons overseas and plans to finalise them if the pricing is good, he further added.
Allcargo Global Logistics' net profit spurted 129.3% to Rs 26 crore on a 76.7% rise in sales to Rs 138.61 crore in Q3 September 2008 over Q3 September 2007.
Allcargo provides logistics service in India. Its present operations are in five key areas of the logistics business: multi-modal transport operations, container freight stations, project cargo handling, airfreight and transport logistics.
Tuesday, November 11, 2008
Aries Agro slides
Aries Agro slipped 1.18% to Rs 41.85 at 15:18 IST on BSE on reports the company has deferred the launch of a manufacturing unit to March 2009 due to higher project cost.
The stock hit a high of Rs 44.50 and a low of Rs 40.10 so far during the day. The stock had a 52-week high of Rs 264.70 on 14 January 2008 and a 52-week low of Rs 35.10 on 27 October 2008.
The small-cap agro chemical maker has an equity capital of Rs 13 crore. Face value per share is Rs 10.
The current price of Rs 41.85 discounts its Q2 September 2008 annualised EPS of Rs 17.32, by a PE multiple of 2.41.
The specialty fertilisers making unit was expected to be operational by December this year. The company had earlier projected the manufacturing unit to cost Rs 25 crore - Rs 30 crore.
Aries Agro's net profit fell 0.4% to Rs 5.63 crore on a 12.4% rise in sales to Rs 36.79 crore in Q2 September 2008 over Q2 September 2007.
Aries Agro is engaged in the manufacture of agricultural products. It operates in five categories that are multi-micro nutrient fertilizers, chelated micro nutrient fertilizers, specialty soluble fertilizers and anti-bacterial products for agricultural use and nutritional products for animals. Its manufacturing facilities are located at Bangalore, Mumbai, Hyderabad and Kolkata.
The stock hit a high of Rs 44.50 and a low of Rs 40.10 so far during the day. The stock had a 52-week high of Rs 264.70 on 14 January 2008 and a 52-week low of Rs 35.10 on 27 October 2008.
The small-cap agro chemical maker has an equity capital of Rs 13 crore. Face value per share is Rs 10.
The current price of Rs 41.85 discounts its Q2 September 2008 annualised EPS of Rs 17.32, by a PE multiple of 2.41.
The specialty fertilisers making unit was expected to be operational by December this year. The company had earlier projected the manufacturing unit to cost Rs 25 crore - Rs 30 crore.
Aries Agro's net profit fell 0.4% to Rs 5.63 crore on a 12.4% rise in sales to Rs 36.79 crore in Q2 September 2008 over Q2 September 2007.
Aries Agro is engaged in the manufacture of agricultural products. It operates in five categories that are multi-micro nutrient fertilizers, chelated micro nutrient fertilizers, specialty soluble fertilizers and anti-bacterial products for agricultural use and nutritional products for animals. Its manufacturing facilities are located at Bangalore, Mumbai, Hyderabad and Kolkata.
Pennar Industries shines on large block deal
Pennar Industries surged 3.29% to Rs 25.15 at 15:01 IST on BSE, after a block deal of 98 lakh of equity shares was struck on the counter on BSE at Rs 24.30.
A block deal constituted 7.75% of the company's equity.
The stock hit a high of Rs 25.40 and a low of Rs 24 so far during the day. The stock has a 52-week high of Rs 46.60 on 3 January 2008 and a 52-week low of Rs 18.15 on 15 October 2008.
The company's current equity is Rs 63.24 crore. Face value per share is Rs 5.
The current price of Rs 25.15 discounts the company's Q2 September 2008 annualized EPS of Rs 3.17, by a PE multiple of 7.93.
Pennar Industries' net profit rose 74.7% to Rs 10.03 crore on 34.1% increase in net sales to Rs 171.50 crore in Q2 September 2008 over Q2 September 2007.
The company is engaged in manufacturing steel products. The company manufactures cold rolled steel strips, cold formed metal profiles and pressed components. It exports to China, Indonesia, Belgium, Thailand, Nigeria, France, Brazil and Saudi Arabia.
A block deal constituted 7.75% of the company's equity.
The stock hit a high of Rs 25.40 and a low of Rs 24 so far during the day. The stock has a 52-week high of Rs 46.60 on 3 January 2008 and a 52-week low of Rs 18.15 on 15 October 2008.
The company's current equity is Rs 63.24 crore. Face value per share is Rs 5.
The current price of Rs 25.15 discounts the company's Q2 September 2008 annualized EPS of Rs 3.17, by a PE multiple of 7.93.
Pennar Industries' net profit rose 74.7% to Rs 10.03 crore on 34.1% increase in net sales to Rs 171.50 crore in Q2 September 2008 over Q2 September 2007.
The company is engaged in manufacturing steel products. The company manufactures cold rolled steel strips, cold formed metal profiles and pressed components. It exports to China, Indonesia, Belgium, Thailand, Nigeria, France, Brazil and Saudi Arabia.
Uniphos Enterprises moves Up ,plans to start realty business.
Uniphos Enterprises gained 3.03% to Rs 17 at 12:45 IST on BSE, on reports the company plans to start realty business.
The stock hit a high of Rs 17.30 and a low of Rs 16 so far during the day. The stock has a 52-week high of Rs 68.90 on 7 January 2008 and a 52-week low of Rs 14.30 on 5 November 2008.
The company's current equity is Rs 5.09 crore. Face value per share is Rs 2.
As per reports, Uniphos Enterprises plans to use gains from a share transfer last week to start real estate business, retire its debt or pay dividends. The company has some real estate assets in Mumbai and neighbouring locations.
On 6 November 2008, Uniphos Enterprises transferred 28.50 lakh equity shares of United Phosphorus to Nerka Chemicals for Rs 110 per share.
Uniphos Enterprises reported a net loss of Rs 0.38 crore in Q2 September 2008 as compared to net loss of Rs 0.84 crore in Q2 September 2007. Total income rose 234.8% to Rs 3.08 crore in Q2 September 2008 over Q2 September 2007.
Uniphos Enterprises markets pesticides and pesticides intermediates. It also markets phosphorus and its compounds, mercury salts and other chemicals.
The stock hit a high of Rs 17.30 and a low of Rs 16 so far during the day. The stock has a 52-week high of Rs 68.90 on 7 January 2008 and a 52-week low of Rs 14.30 on 5 November 2008.
The company's current equity is Rs 5.09 crore. Face value per share is Rs 2.
As per reports, Uniphos Enterprises plans to use gains from a share transfer last week to start real estate business, retire its debt or pay dividends. The company has some real estate assets in Mumbai and neighbouring locations.
On 6 November 2008, Uniphos Enterprises transferred 28.50 lakh equity shares of United Phosphorus to Nerka Chemicals for Rs 110 per share.
Uniphos Enterprises reported a net loss of Rs 0.38 crore in Q2 September 2008 as compared to net loss of Rs 0.84 crore in Q2 September 2007. Total income rose 234.8% to Rs 3.08 crore in Q2 September 2008 over Q2 September 2007.
Uniphos Enterprises markets pesticides and pesticides intermediates. It also markets phosphorus and its compounds, mercury salts and other chemicals.
Maharashtra Seamless on large order win
Maharashtra Seamless rose 0.93% to Rs 190 at 12:00 IST on BSE, on bagging a large order worth Rs 757 crore.
The stock hit a high of Rs 200 and a low of Rs 180 so far during the day. The stock has a 52-week high of Rs 660 on 4 January 2008 and a 52-week low of Rs 132.40 on 27 October 2008.
The company's current equity is Rs 35.27 crore. Face value per share is Rs 5.
The current price of Rs 190 discounts the company's Q2 September 2008 annualized EPS of Rs 36.24, by a PE multiple of 5.24.
Maharashtra Seamless has bagged an order worth Rs 757 crore from Oil & Natural Gas Corporation for supply of seamless casing pipes. The project is to be completed in next 15 months.
With this latest order, Maharashtra Seamless' total order book stands at Rs 1370 crore.
Maharashtra Seamless' net profit rose 9.9% to Rs 63.91 crore on 52.2% increase in net sales to Rs 586.93 crore in Q2 September 2008 over Q2 September 2007.
Maharashtra Seamless manufactures carbon and alloy steel seamless pipes. Seamless pipes find application in oil exploration, boilers, ball bearings, roller bearings, automobiles, fertilizers and petrochemicals.
The stock hit a high of Rs 200 and a low of Rs 180 so far during the day. The stock has a 52-week high of Rs 660 on 4 January 2008 and a 52-week low of Rs 132.40 on 27 October 2008.
The company's current equity is Rs 35.27 crore. Face value per share is Rs 5.
The current price of Rs 190 discounts the company's Q2 September 2008 annualized EPS of Rs 36.24, by a PE multiple of 5.24.
Maharashtra Seamless has bagged an order worth Rs 757 crore from Oil & Natural Gas Corporation for supply of seamless casing pipes. The project is to be completed in next 15 months.
With this latest order, Maharashtra Seamless' total order book stands at Rs 1370 crore.
Maharashtra Seamless' net profit rose 9.9% to Rs 63.91 crore on 52.2% increase in net sales to Rs 586.93 crore in Q2 September 2008 over Q2 September 2007.
Maharashtra Seamless manufactures carbon and alloy steel seamless pipes. Seamless pipes find application in oil exploration, boilers, ball bearings, roller bearings, automobiles, fertilizers and petrochemicals.
L G Balakrishnan & Bros skids on laying off employees at Bengaluru unit
L G Balakrishnan & Bros fell 3.29% to the day's low of Rs 9.70 at 11:53 IST on BSE on laying off employees at its Bengaluru manufacturing unit due to poor market conditions
The stock hit a high of Rs 10.24 so far during the day. The stock had a 52-week high of Rs 45.40 on 31 December 2007 and a 52-week low of Rs 7.15 on 27 October 2008.
The small-cap auto parts maker has an equity capital of Rs 7.85 crore. Face value per share is Rs 1.
The current price of Rs 9.70 discounts its Q2 September 2008 annualised EPS of Rs 14.65, by a PE multiple of 0.66.
L G Balakrishnan & Bros' net profit surged 504% to Rs 28.75 crore on a 5.3% rise in sales to Rs 148.38 crore in Q2 September 2008 over Q2 September 2007.
L G Balakrishnan & Bros makes automobile and industrial components, cold, hot & warm forging components, fine blanking components and also variety of flat wires and shaped wires.
The stock hit a high of Rs 10.24 so far during the day. The stock had a 52-week high of Rs 45.40 on 31 December 2007 and a 52-week low of Rs 7.15 on 27 October 2008.
The small-cap auto parts maker has an equity capital of Rs 7.85 crore. Face value per share is Rs 1.
The current price of Rs 9.70 discounts its Q2 September 2008 annualised EPS of Rs 14.65, by a PE multiple of 0.66.
L G Balakrishnan & Bros' net profit surged 504% to Rs 28.75 crore on a 5.3% rise in sales to Rs 148.38 crore in Q2 September 2008 over Q2 September 2007.
L G Balakrishnan & Bros makes automobile and industrial components, cold, hot & warm forging components, fine blanking components and also variety of flat wires and shaped wires.
Binani Industries gallops on buyback plan
Binani Industries soared 15.65% to Rs 35.85 at 11:46 IST on BSE, on buyback plan.
The stock hit a high of Rs 37.20 and a low of Rs 32.40 so far during the day. The stock has a 52-week high of Rs 307.80 on 3 January 2008 and a 52-week low of Rs 27.05 on 27 October 2008.
The company's current equity is Rs 29.60 crore. Face value per share is Rs 10.
Binani Industries' board will meet on 18 November 2008 to consider buyback of equity shares. The company made this announcement after trading hours on Monday, 10 November 2008.
Binani Industries reported net loss of Rs 4.12 crore in Q2 September 2008 as compared to net loss of Rs 2.89 crore in Q2 September 2007. Total income rose 1610% to Rs 3.42 crore in Q2 September 2008 over Q2 September 2007.
The company is engaged in manufacturing and marketing cement and non-ferrous metal. The group operates in three segments: cement, zinc and by-products and glass fibre.
The stock hit a high of Rs 37.20 and a low of Rs 32.40 so far during the day. The stock has a 52-week high of Rs 307.80 on 3 January 2008 and a 52-week low of Rs 27.05 on 27 October 2008.
The company's current equity is Rs 29.60 crore. Face value per share is Rs 10.
Binani Industries' board will meet on 18 November 2008 to consider buyback of equity shares. The company made this announcement after trading hours on Monday, 10 November 2008.
Binani Industries reported net loss of Rs 4.12 crore in Q2 September 2008 as compared to net loss of Rs 2.89 crore in Q2 September 2007. Total income rose 1610% to Rs 3.42 crore in Q2 September 2008 over Q2 September 2007.
The company is engaged in manufacturing and marketing cement and non-ferrous metal. The group operates in three segments: cement, zinc and by-products and glass fibre.
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