Wednesday, 21 November 2018

HDFC Bank | NBCC | Suzlon Energy | Excel Industries | Dolphin Offshore

HDFC Bank | NBCC | Suzlon Energy | Excel Industries | Dolphin Offshore | IL&FS Engineering are the stocks which are in news today.

Here are the stocks which are in news today:
HDFC Bank: The bank acquired 4 percent equity stake in Clearing Corporation of India from Bank of Baroda for Rs 124 crore. It is proposed to increase the stake in CCIL from the current 5 percent to 9 percent from an investment perspective.
Excel Industries: CRISIL upgraded rating on long term bank loan facilities of the company to A+/ Stable from A/Stable and reaffirmed rating on short term bank loan facilities at CRISIL A1. The rating on fixed deposits has been withdrawn as the company has discontinued acceptance and renewal of the fixed deposits.
Dolphin Offshore Enterprises: Its wholly owned subsidiary, Dolphin Offshore Enterprises (Mauritius) Pvt. Ltd. won an arbitration award against Alcock Ashdown (Gujarat) Limited. The total award amount including interest till date will be around $1 million.
NBCC: Company has submitted the Expression of Interest (EoI) for submitting Resolution Plan for Jaypee Infratech (JIL) and the company has been provisionally shortlisted by Resolution Professional of JIL as Prospective Resolution Applicant.
Minda Corporation: Company has entered into definitive agreements with its joint venture partner, Furukawa Group of Japan, for change in equity structure of Minda Furukawa Electric Private Limited (JVCO). As per the proposed realignment, the equity stake of joint-venture partner in the JVCO will change from 49 percent to 75 percent and stake of Minda Corporation Ltd. will change from existing 51 percent to 25 percent.
Suzlon Energy: As first part of the transaction, Canadian Solar disposal acquired 49 percent stake in company's subsidiaries Amun and Avighna respectively for a combined cash consideration of Rs 26.42 crore. And as second part of the transaction, Canadian Solar acquired balance 51 percent stake in Amun and Avighna respectively for a combined cash consideration of Rs 28.11 crore.
IL&FS Engineering: Company filed application to SEBI requesting extension of time to file financial results.

Tuesday, 20 November 2018

These 12 BSE stocks posted steady earnings growth in 4 quarters; do you own any?

Interestingly, from these 12 names, there are three stocks that have already more than doubled investor’s wealth in last one year. Sadhana Nitro Chem, HEG and National Peroxide gained 1435%, 117% and 101%, respectively.

Index heavyweights such as Tata Consultancy Services, ITC and ONGC form a part of 12 marquee stocks that have consistently posted good earnings growth in the past four quarters. These names have been derived from a Moneycontrol analysis of all BSE companies for the last four quarters.
A query based on below-mentioned criteria sprang up 12 stocks: 
A) Consistent uptrend in sales, every quarter
B) Consistently seen at least a 20% profit margin in each of the quarters
C) Companies with market capitalisation of over Rs 500 crore
Tata Consultancy Services saw a steady growth of sales to Rs 36,850 crore during September quarter. Along with it, ONGC and ITC posted overall sales of Rs 28,000 and Rs 11,090 crore, respectively.
Refer to the table for details about these 12 companies.

Interestingly, out these 12 names, there are three stocks that have already more than doubled investor wealth in the last one year. Sadhana Nitro ChemHEG and National Peroxide gained 1435 percent, 117 percent and 101 percent, respectively.  However, five stocks have remained negative performers.

Case file
Earnings for the September quarter has been a mixed bag, experts said, with the Street throwing up almost equal amount of hits and misses.

Monday, 19 November 2018

HCL Info | Oil India | Yes Bank | Quess Corp | Deepak Nitrite | Dr Reddy’s Labs

Ashapura Intimates Fashion | Yes Bank | Syndicate Bank | Sical Logistics | Jet Airways | Mahindra & Mahindra and Oil India are stocks, which are in news today.

Here are the stocks that are in news today:
PNB Gilts Q2: Loss at Rs 33.18 crore versus profit at Rs 28.84 crore; revenue from operations falls to Rs 218 crore versus Rs 221 crore YoY.
Siemens Q4: Net profit at Rs 279 crore, revenue up 25.4 percent at Rs 3,939.2 crore.
Ashapura Intimates Fashion Q2: Loss at Rs 34.21 crore versus profit at Rs 3.44 crore; revenue falls to Rs 51.01 crore versus Rs 51.12 crore YoY.
HCL Infosystems: Company received orders from Central Excise & Central Goods & Services Tax to pay Rs 74 crore with interest and penalty.
Shalimar Paints - proposed rights issue of 3.37 crore equity shares at Rs 64.50 per share
Yes Bank: ICRA has affirms Long–term rating AA+ for the bank with negative implications.
Syndicate Bank: The issue price for preferential issue to government fixed at Rs 39.63 per share, bank can allot up to 18.4 crore shares to government against capital infusion of Rs 728 crore.
Sical Logistics: 29,18,570 equity shares at Rs 195 per share allotted to Giri Vidhyuth [India] on preferential basis.
AU Small Finance board meeting on November 22, to consider and decide on raising Basel II compliant Tier II Non-Convertible, Redeemable Bonds in INR on private placement basis
GHCL: Cyclone Gaja has impacted one of the spinning units of the company located at Manapparai and also salt Works located at Vedaranium in Tamil Nadu which caters to consumer products division.
Jiya Eco-Products: Stock will trade ex-bonus from Monday (Bonus issue 1:1).
Emerald Leasing Finance: Board meeting is scheduled on Monday to fix the record date for right issue, the ratio and the price for the equity shares of the right issue.
Oil India: Board on Monday to consider the proposal for buyback of the fully paid-up equity shares of the company, and issuance of debt securities in domestic/overseas markets.
Deepak Nitrite: Company confirmed that there has been search operations being carried on by the Income Tax Department at the company.
Mahindra & Mahindra: EPC Industrie Limited, a listed subsidiary of the company, has incorporated a subsidiary company namely Mahindra Top Greenhouses Private Limited in India.
Jet Airways: Tata Sons said any discussion with the airline company has been preliminary and no proposal has been made.
Dr Reddy’s Labs: Audit of formulations Srikakulum Plant (SEZ) Unit II, Andhra Pradesh by the US FDA, has been completed with zero observations.
Infosys: Infosys completed the formation of a joint venture with Temasek, the global investment company headquartered in Singapore.
Oriental Bank of Commerce: Board approved the proposal for raising of capital for an amount upto Rs 250 crore by offering upto 5 crore new equity shares of face value of Rs 10.00 each to the employees of the Bank through Employee Stock Purchase Scheme (ESPS) in one or more tranches.
Quess Corp: Company completed acquisition of 70 percent equity in Quess East Bengal FC Private Limited.
Tata Investment Corporation: Board approved a proposal to buyback upto 45 lakh equity shares of the company for an aggregate amount not exceeding Rs 450 crore being 8.17 percent of the total paid-up equity share capital, at Rs 1,000 per share.
IDFC Bank: ICRA downgraded its rating for non-convertible debentures of the bank from AAA (Stable) to AA+ (Stable).
Alankit: CARE reaffirmed the rating BBB+ (Outlook: Stable) assigned to long term bank facilities and A3+ assigned to short term bank facilities.
SRF: The unit in Viralimalai, Tamil Nadu of the technical textiles business (engaged in manufacture of belting fabrics) of the company has been damaged by Cyclone GAJA today. It has adequate insurance cover for the said unit.
Bulk Deals
GSS Infotech: Sarvottam Securities Private Limited bought 1,62,000 shares of the company at Rs 123.34 per share on the NSE.
Indiabulls Housing Finance: Principal Global Investors LLC sold 27 lakh shares of the company at Rs 767.26 per share on the NSE.
Info Edge (India): Aranda Invest(Mauri) PTE LTD sold 11,72,000 shares of the company at Rs 1,370.39 per share on the NSE.
Analyst or Board Meet/Briefings
Mahindra & Mahindra Financial Services: Company’s officials will be participating in IDFC Securities Investor Conference on November 19.
Datamatics Global Services: Company will be meeting analysts / investors on November 20 at Mumbai.
S Chand and Company: Company will attend the IDFC Annual Investor Conference in Mumbai on November 20.
PSP Projects: Company’s officials will be meeting Blue Lotus Investments and Equirus Securities(P) on November 19, and Motilal Oswal Financial Services on November 30.
Avanti Feeds: Audio Conference Call for investors will be held on November 20 to discuss the un-audited financial results for the quarter ended 30.09.2018.
Dr Lal PathLabs: Company’s officials will be meeting analysts/investors on November 19, 21, 22 and 23.
Mindtree: Company’s officials will be meeting analysts/investors in a non-deal roadshow in Mumbai, India and Singapore on November 20 and November 22.
Welspun Corp: Company will attend the IDFC Securities Conference in Mumbai on November 19.
Music Broadcast: Company will attend the IDFC Securities Conference in Mumbai on November 19.
HOEC: Company will attend the IDFC Securities Conference in Mumbai on November 19.
KEC International: Company will attend the IDFC Securities Conference in Mumbai on November 19.
Gujarat Pipavav Port: Company will attend the IDFC Securities Conference in Mumbai on November 19.
Eclerx Services: Company’s officials will be meeting BoB Capital Markets on November 27 and Resona Bank on November 28.
Shaily Engineering Plastics: Company would be meeting a group of institutional investors at Mumbai on November 20.
Jindal Stainless: Investors conference/meeting with certain funds/investors will be held on November 20 and 21.
CESC: Company’s officials will be participating IDFC Annual Investor Conference on November 20 and Kotak Annual Investor Conference on November 21.
Tata Motors: Company’s officials will be meeting analyst / institutional investor from November 19 to November 23.
Castrol India: Company’s officials will be meeting Aberdeen Standard Investments on November 20.
Apar Industries: Company’s officials will be attending IDFC Annual Investor Conference on November 19.
Kalpataru Power Transmission: Company’s officials will be attending IDFC Annual Investor Conference on November 19.
PPAP Automotive: Company’s officials will be attending IDFC Annual Investor Conference on November 20.
Tata Sponge Iron: Extraordinary General Meeting is scheduled to be held on December 14.
Power Mech Projects: Conference Call for the analysts and investors to discuss on the financial and operational performance of the company for Q2FY19 will be held on November 20.
Eris Lifesciences: Company’s officials will be meeting Matthews India Fund on November 19.
Talbros Automotive Components: Company’s officials will be meeting a group of institutional investors and analysts on November 21 and 22.
Shriram Transport Finance: Company’s officials will be attending IDFC Annual Investor Conference on November 19 and will be meeting Somerset Capital on November 21.
Ashoka Buildcon: Company’s officials will be attending IDFC Annual Investor Conference on November 19.
Mahindra Logistics: Company’s officials will be meeting Morgan Stanley India on November 21.
AU Small Finance Bank: Board meeting will be held on November 22 to consider and decide on raising Basel II compliant Tier II non-convertible, redeemable bonds in INR on private placement basis.
Ramco Cements: Company’s officials will be attending IDFC Annual Investor Conference on November 20.
South Indian Bank: Company’s officials will be attending IDFC Annual Investor Conference on November 20.
Indo Count Industries: Company’s officials will be attending IDFC Annual Investor Conference on November 19.
Supreme Industries: Company’s officials will be meeting analysts/investors on November 19.

Saturday, 17 November 2018

Market ends higher amid lower crude prices, rising rupee, mixed earnings

The BSE Largecap index rose 0.69 percent, while the BSE Midcap index gained 0.36 percent and the BSE Smallcap fell 1.27 percent

The market, which remained range-bound for the better part of the week gone by, ended it on a positive note.
The Sensex and Nifty closed close to 1 percent higher week on week amid a mixed set of results from India Inc, some appreciation in the rupee, weakening crude oil prices and positive global cues.
In the week ended November 16, the Sensex rose 0.84 percent to 35,457, while Nifty rose 0.91 percent to 10,682.2.
On a weekly basis, the rupee appreciated around 1 percent and ended at 71.92 to the dollar. Crude oil prices fell by over 4 percent to end at $66.76 per barrel.
"Albeit Nifty50 appears to have registered a breakout, above its 8-day old consolidation zone between 10,440-10,650 levels, it is not looking that convincing enough as the said breakout is on the back of negative advance:decline ratio and with a 64-point narrow range which depicted a small bullish candle on daily chart where as a Hanging Man kind of formation on weekly charts," said Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory,
The Wholesale Price Index (WPI) for October came in at 5.28 percent, as against 5.13 percent for September. The country's Index of Industrial Production (IIP) for September was at 4.5 percent, as against 4.7 percent for August.

The volatility index (India VIX) was up 3.2 percent this week. The BSE Largecap index rose 0.69 percent, while the BSE Midcap index gained 0.36 percent and the BSE Smallcap fell 1.27 percent.

The Nifty PSU Bank outperformed other sectoral indices with a gain of 2.5 percent during the week.

Friday, 16 November 2018

Time to bag small & midcaps after recent decline? 15 stocks fall 40-70% since August

Selling in some small & mid-cap stocks started at the beginning of 2018 also —thanks to high valuations, but the pressure increased further post-August

Small & midcaps, which were the wealth creators in 2017, witnessed selling pressure in 2018. They have fallen up to 80 percent since August 2018 when the S&P BSE Sensex touched a record high.
Selling in some small & mid-cap stocks started at the beginning of 2018 also —thanks to high valuations, but the pressure increased further post August on a host of global as well as domestic factors.
Among the domestic factors which grappled the broader market in the past few months were — the resignation of auditors in the small & mid-cap companies highlighting lack of governance, stretched valuations, the absence of earnings growth; and additional surveillance measures that were introduced by the market regulator to bring down volatility.
In the S&P BSE 500 index as many as 15 stocks fell 40-77 percent since August which includes Infibeam Avenues, 8K Miles, Kwality, Dewan Housing, Central Bank of India, Bombay Dyeing, Navkar Corporation, Dish TV, Indiabulls Ventures, CG Power, Dilip Buildcon, Reliance Capital, Shankara Building Products, Jaiprakash Associates and Yes Bank.

In the S&P BSE Smallcap index, as many as 32 stocks fell 40-80 percent since August, such as Ashapura Intimates Fashion, Goenka Business, Rolta India, Bombay Dyeing, Nitco, Navkar Corporation, Dish TV, Gitanjali Gems, etc.

Should you buy?
So does it make sense to put your money in the falling stocks? Well, the answer might not be a clear ‘yes’ or a ‘no’. Yes, valuations have come down to a more reasonable level, but there are company-specific concerns which investors have to factor in while punching their buy orders.
“Our Sensex target for 2019-end is 45,000. And, at an aggregate level, we believe that large caps offer a better risk-return profile, however, some individual stock names among small and midcaps look better, investors should stick to quality,” Vivek Ranjan Misra, Head of Fundamental Research at Karvy Stock Broking told Moneycontrol.
“I think investors are better off by a staggered buying as more volatility is expected in the near term before elections,” he said.
However, if someone is looking to build their portfolio for the next 2-3 years then this is the right time to catch the falling knife but stock selection remain the key.
A lot of stocks which have corrected significantly from their highs present a good opportunity for investors to add quality to their portfolio, suggest experts.
“Over the next 2-3 years, wealth will be created in select small and mid-cap stocks. Stocks with high weight in Sensex and Nifty will find it challenging to eke our earnings growth due to high base effect and downturn in the industry cycles they are present in,” Dipan Mehta, Director, Elixir Equities told Moneycontrol.
“Select small and mid-cap stocks will continue to deliver earnings growth and as and when macro and political uncertainties are resolved, PE multiples for these segments will again expand,” he added.

Thursday, 15 November 2018

Which Shares Should Purchase - TradeIndia Research

सीएनबीसी-आवाज़ के मार्केट्स एडिटर, प्रदीप पंड्या ने भारत गियर्स में खरीदारी करने की सलाह दी है। प्रदीप पंड्या के मुताबिक तिमाही दर तिमाही आधार पर भारत गियर्स का मुनाफा 4.01 करोड़ रुपये रहा है। कंपनी की बिक्री में 19.08 फीसदी की बढ़ोतरी देखने को मिली है जबकि एबिटडा में 48.51 फीसदी का इजाफा देखने को मिला है। कंपनी ने 15 करोड़ रुपये का राइट इश्यू एलान किया है। पंड्या का मानना है कि भारत गियर्स में 195 रुपये का स्तर देखने को मिल सकता है।

यस बैंक के चेयरमैन अशोक चावला का इस्तीफा

यस बैंक के नॉन एक्जिक्यूटिव चेयरमैन अशोक चावला ने अपने पद से इस्तीफा दे दिया है। बैंक ने प्रेस रीलीज जारी कर कहा है कि मौजूदा
वक्त में बैंक को एक फुलटाइम चेयरमैन की जरूरत है और आरबीआई से मंजूरी मिलने के बाद नए चेयरमैन के नाम का एलान किया जाएगा। दूसरी तरफ उत्तम प्रकाश अग्रवाल को 5 साल के लिए एडिशनल डायरेक्टर बनाया गया है।

Source -

Wednesday, 14 November 2018

M&M | Tata Steel | Sun Pharma | NMDC | Hindalco | JSPL | Zee Entertainment

Coffee Day Enterprises | Cox & Kings | Vodafone Idea | Dilip Buildcon | NMDC |PTC India and Mahanagar Gas are stocks, which are in news today.

Here are the stocks that are in news today:
Results TodayMahindra and Mahindra, Coffee Day Enterprises, Cox & Kings, Vodafone Idea, Indian Hotels, Infibeam, JK Lakshmi Cement, Motherson Sumi, Page Industries, PC Jeweller, Rain Industries, SpiceJet, Ujjivan Financial Services and Unitech.
Zee Entertainment promoter \ promoter group to sell/divest up to 50 percent of their equity stake in company to strategic partner
Jet Airways clarified on Tata begins due diligence to buy Jet Airways from Naresh Goyal is that news is speculative in nature and that there is no discussions or decision by board
PNB & Carlyle group had made a joint communication on July 10, 2018 to initiate a joint stake sale process of the PNBHFL
Carlyle Group has withdrawn from the joint stake sale process and the joint stake sale process has been terminated

PNB will continue to pursue and proceed with an independent sale of its shareholding in PNBHFL
Sun Pharma: Q2 show affected by one-time loss; posts net loss of Rs 218 crore
Hindalco - Novelis invests USD 175 million to expand aluminum production and recycling capabilities in Brazil
Ashok Leyland: Q2 net profit rises 38% YoY at Rs 460 crore; Vinod Dasari resigns
NMDC: Net profit falls 25 percent YoY to Rs 636.4 crore
Entertainment India: The company posted a fall in net profit at Rs 98 Cr down 18 percent from last year at Rs 119.2 crore.
Sasken Technologies received an assessment order under Section 143(3) of the Income Tax Act, 1961 for the Assessment Year 2016-17 wherein a sum of about Rs 68 crore including interest was raised as tax demand on the Company
GE T&D India: Q2 profit up 8% at Rs 51 crore
Fortis: IHH acquires controlling 31.1% stake for Rs 4,000 crore.
Walchandnagar Industries approved raising of funds by way of issue of securities for an amount not exceeding Rs 200 crore
Glenmark Q2: Net Profit up 93.3 percent at Rs 414 crore versus Rs 214.1 crore, YoY
PTC India Q2: Net Profit was down 26.7 percent at Rs 96 crore versus Rs 130.5 crore, YoY
Mahanagar Gas Q2: Net Profit up 6 percent at Rs 136.3 crore versus Rs 128.3 crore, QoQ
Tata Steel Q2: Net Profit at Rs 3,604.2 crore versus Rs 975.9 crore, YoY
Dilip Buildcon Q2: Net Profit was down 67 percent 67.4 percent at Rs 83.2 crore versus Rs 254.9 crore, YoY
JSPL Q2: Net Profit at Rs 279 crore versus loss of Rs 498 crore, YoY
EIL Q2: Net Profit was down 18 percent at Rs 98 crore versus Rs 119.2 crore, YoY
Infosys to open technology and innovation hub in Texas and hire 500 American workers by 2020
BPCL appointed N Vijayagopal as the chief financial officer of the company with effect from November 14
ACUITE Ratings & Research has reaffirmed the long term rating of ACUITE A on Hinduja Ventures
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Tuesday, 13 November 2018

Jet Airways | Tata Steel | MMTC | Coal India | Sun Pharma | HCL Tech |Lupin

Jet Airways, Bank of India, Sun Pharma, Usha Martin, Aurobindo Pharma, MMTC, JK Paper and Tata Motors are stocks, which are in news today.

Here are the stocks that are in news today
Results Today: Tata Steel, Apollo Tyres, Ashok Leyland, Corporation Bank, Dilip Buildcon, Jindal Steel & Power, Lemon Tree Hotels, Mahanagar Gas, NMDC, Sun Pharma
HCL Technologies and NetBrain announce partnership to help enterprises accelerate their network automation journey
Bank of India: The bank reported Q2 net loss at Rs 1,156 crore.
Shree Cement: Q2 net profit at Rs 49.3 crore.
Shree Cement
Capacity Addition of 3.00 MTPA to be made at Athagarh Tehsil in Cuttack District of Odisha for Rs 423 crore

Capacity Addition of 2.5MTPA to be made at Seraikela- Kharsawan District in Jharkhand for Rs 480 crore
NBCC has received letter of appointment from Ministry of AYUSH, Govt. of India of Rs 260 crore
Lupin launches generic Atovaquone Oral Suspension USP in the US
Aurobindo Pharma's subsidiary to acquire a product under development and related assets from Advent Pharmaceuticals Pty, Australia
Jet Airways: The company reported Q2 net loss at Rs 1,297.5 crore against loss of Rs 1,323 crore (QoQ).
Godrej Industries: Net profit rises 59 percent at Rs 189.5 crore against Rs 119.3 crore last year.
Union Bank of India board approved proposal to raise capital through issue of equity shares upto Rs 600 crore under ESPS
Himadri Speciality Chemical board approved raising of fund by further issue of securities by way of Preferential Issue/QIP / FCCBs / FCEBs / ADRs / GDRs and/or other eligible securities convertible into equity shares for an aggregate amount not exceeding Rs 1,000 crore
Eicher Motors Q2 net profit up 5.9 percent at  Rs 548.8 crore versus Rs 518 crore, YoY
TVS Motor Company launches the new TVS Apache RTR 160 4V in Bangladesh
Tata Motors: The Group’s global sales rose 5.62% in October.
Piramal Enterprises said meeting of the administrative committee of the board of directors of the company will be held on November 15, to consider and approve the issue of secured non-convertible debentures on private placement basis
Coal India Q2 net profit at Rs 3,080 crore against Rs 370 crore, YoY
Aurobindo Pharma Q2 consolidated net profit was down 21.7 percent at Rs 611.4 crore versus Rs 781 crore, YoY
Intracom Telecom and Intellect Design Arena to transform the Digital Banking Systems in Armenia
UCO Bank: The net loss has been reported at Rs 1,136.4 crore against a loss of Rs 622.6 crore (YoY).
Oil India: The net profit has risen 22.6% at Rs 862 crore against Rs 703.2 crore (QoQ).
NALCO Q2 net profit at Rs 510 crore versus Rs 234.6 crore, YoY
MMTC: Q2 net profit rises three-fold to Rs 32 crore
JK Paper: Q2 net profit jumps 93.4% to Rs 109 crore
HUDCO has raised Funds of Rs. 3000 crore through Issue of Government of India Fully Serviced, Unsecured, Taxable HUDCO Bonds Series -I
Jet Airways: Shaastra Securities has traded over 10.57 lakh shares of the firm at Rs 245.47-245.54 apiece.
MIC Electronics: Malaxmi Infra Ventures sold 1.4 crore shares at Rs 2.2 apiece, while Malaxmi Property Ventures purchased 1.31 crore shares at Rs 2.2 per share.
PC Jeweller: Shaastra Securities traded 25.15 lakh shares at Rs 92.01-92.13 apiece.
Usha Martin: Societe Generale bought 18.92 lakh shares at Rs 44.88
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Friday, 2 November 2018

Top 12 bets to light up your portfolio

Moneycontrol Research identifies 12 stocks across sectors that hold the promise of decent returns.

The time to add quality stocks to your portfolio is always now. And if it happens to coincide with the festival of lights, there is a feel-good element as well. What better way to welcome the Goddess of wealth than by investing in shares that can help grow your money over the long term. Moneycontrol Research has identified 12 stocks across sectors that hold the promise of decent returns.
Happy Diwali and happy investing!!
Bajaj Auto
Significant rise in raw material prices and aggressive pricing to capture market in entry level have put operating profitability under pressure. However, despite overall weak demand, the company continues to witness strong growth across segments and geographies. Change in permit regime for three wheelers, strong growth outlook for export markets and rupee depreciation is expected to aid to growth, going forward.
Balaji Amines
Balaji along with Alkyl Amines dominate the near duopoly market of aliphatic amines industry in India. Not only does the company benefits from the improving end markets, recent results have been supported by anti-dumping duties, forward integration, improved exports due to lower production in China and commissioning of newer facilities. The company’s strategy of focusing on import substitution opportunities is expected to aid higher trajectory of earnings growth.
Despite its large size, HDFC is growing its mortgage book faster than the industry. On the margin front, spreads continue to remain in a narrow range of 2.2-2.35 percent irrespective of the interest rate cycle. The current interest rate cycle shouldn’t alter the lender’s financials significantly as it continues to have edge on funding vis-à-vis competition. While the core mortgage business is on a stable growth trajectory, the financial conglomerate stands to gain from equally strong performance of its subsidiaries.
HOEC (Hindustan Oil Exploration Company)
HOEC has a healthy portfolio of discovered assets and is rapidly monetising and ramping up production which has led to a stellar performance in the last quarters. It has a debt free balance sheet and plans to fund further expansion through internal cash generation. The monetization of the discovered blocks and further ramp up of production volumes leaves scope for rerating.
With 2020 vision in place and new management at helm of ICICI Bank, investors should expect much lower NPA formation and normalised credit cost in FY20, mid-teen loan growth, steady interest margin and commencement of the journey to reach RoE (return on equity) of 15 percent. With a strong capital adequacy, we don’t see many constraints in delivering its targets. While credit cost may remain elevated in FY19, the risk-reward is extremely favourable.

Indian Hotels
Post aggressive restructuring, Indian Hotels Co. has a clean balance sheet. The company has exited unprofitable ventures in the international segment and plans to monetise its brand with increased focus on the flagship domestic business. Slowdown in supply growth along with steady demand is facilitating improvement in room rates and occupancies that should reflect in earnings growth, going forward.
IRB Infra
IRB has emerged as a strong player within road constriction space, with better balance sheet and execution capabilities. On the back of reasonable traffic growth, proceeds from InvIT and strong order book of close to Rs 14000 crore (4x FY18 sales), the company is well placed to capitalise on growth in the segment.
The public sector engineering major, IRCON International, which caters to railway projects, is expected to deliver 20% revenue growth over the next two years backed by strong capex in railways and robust order book of close to Rs 22,400 crore (5.6x FY18 sales). The stock trades at an undemanding valuation of 8 times its FY19 estimated earnings, offering a dividend yield close to 5%. This is even more attractive in the context of cash in the books and high RoE of about 23 percent.
JK Paper
JK Paper is well positioned in high-quality paper segment with cost leadership and integrated production capacities. Favorable industry factors such as improved supply-demand dynamics and raw material availability in proximity will continue to aid profitability. With strong earnings visibility and potential upside triggers arising from ramping up the additional capacity acquired (Sirpur Paper Mills), valuation re-rating should be on the cards.
Mahindra & Mahindra Financial Services (M&MF)
M&MFS, the NBFC from the Mahindra stable has a deep penetration in rural geographies and stands to benefit from a near normal monsoon and improvement in rural purchasing power. The liquidity crisis engulfing the NBFC sector will have much lesser impact on corporate backed NBFC like M&MF. In fact, the reduced competition should give it a better pricing power amid rising rates. While margin compression is a headwind, its impact on earnings could be countered by falling credit cost.
Macroeconomic and regulatory headwinds have dampened the demand for passenger vehicles and impacted the performance of Maruti Suzuki India Limited (MSIL) in the latest quarter. Today, MSIL is a very strong franchisee, with a market share of close to 57 percent, in passenger vehicle market in India led by strong dealership network, brand loyalty on the back of competitive prices and resale value. This coupled with reasonable valuation beckons attention.
Transport Corporation of India (TCI)
The Multimodal logistics service provider, has a consistent financial track record of delivering industry leading growth over the past few years. Aided by government initiatives (Dedicated Freight Corridors, Sagarmala and BharatMala) and increased economic activity, company is expected to post mid-teen revenue growth over FY18-20. TCI continues to perform well on the operational front and the current valuations (16x FY20 Price-earnings ratio) makes the stock noteworthy.

HDFC Bank | NBCC | Suzlon Energy | Excel Industries | Dolphin Offshore

HDFC Bank | NBCC | Suzlon Energy | Excel Industries | Dolphin Offshore | IL&FS Engineering are the stocks which are in news today. ...