March 11 - 17, 2019
✅ An independent chartered accountant firm has confirmed that Dewan Housing Finance Corporation has not
created shell companies to divert funds. The Cobrapost allegations are not genuine. A big positive for the company.
Buy.
✅ Reliance Capital plans to reduce debt by Rs.12000 crore, which is 50-60% of its total debt by selling 43% stake in Reliance Nippon Life Asset Management and 49% stake in Reliance General Insurance Company. Buy.
✅ Maruti Suzuki (India) expects good sales from its new variant - WagonR S-CNG launched recently. Its future looks bright. Buy.
✅ Lakshmi Vilas Bank is scouting for partners to improve its liquidity issue. There is news of its merger with
IndiaBulls Housing Finance, which may provide a good buying opportunity for good returns.
✅ BGR Energy Systems is a good turnaround story and is likely to report better earnings this year. Buy.
✅ Grasim Industries has signed a definitive agreement to acquire 100% stake in Soktas India for Rs.165 crore. A big positive for the company. Buy.
✅ With rising volumes, the share price of Piramal Enterprises is also rising. Some positive news may be in the offing.
Accumulate.
✅ Allcargo Logistics reported an improved performance for Q3 on account of higher volumes at its container freight stations. The management expects this trend to continue. The stock has the potential to rise by about 50% within a year.
✅ Mahindra & Mahindra intends to launch its E-vehicles soon to capitalise on the incentives offered for this industry.
Huge gains around the corner. Buy.
✅ NTPC intends to buy the stressed power projects facing insolvency proceedings at the National Company Law Tribunal. This cash-rich company will benefit due to its bargaining power. Buy.
✅ Bank of Baroda has slashed its lending rates and is on a comeback trail. Accumulate.
✅ Canada’s institutional fund manager CDPQ will invest Rs.1800 crore in Edelweiss Financial Services soon. A
positive for the company. Buy.
✅ Tata Motors plans to launch its new variants ‘Altroz’ and ‘H@X’ this year, which is likely to boost its top-line
significantly. Accumulate the stock at the current beaten down level.
✅ Coal India is likely to declare a huge dividend in the next few days. A smart buy.
✅ The metal sector is set to boom. Hindalco Industries and Nalco look attractive.
✅ Bosch has received big orders to supply components that meet the new emission norms. Its performance is likely
to be excellent. Accumulate on every decline.
✅ Canfin Homes is expected to report superb numbers this year. Buy for the long term.
✅ The Aavas Financiers counter witnessed heavy volumes after CARE upgraded the company’s credit rating. Accumulate.
✅ Biocon is capable of addressing the six USFDA observations it received and has many patents in the pipeline. Do not sell the stock in a panic. Buy on dips.
✅ ITC expects its FMCG business to reach a wider market due to better logistics hubs, which will improve its overall performance this year. Buy for the long term.
✅ Power Finance Corporation has clarified that the REC deal will not jeopardise its finances given Rs.6000 crore
sanction from a consortium of banks. It is likely to declare a big interim dividend within a few days. Buy.
✅ With a likely EPS of Rs.25/26, J Kumar Infra shares are like to cross the Rs.250/260 mark. Heavy fund buying has been reported in the counter.
✅ Shreyans Industries is the cheapest share in the paper industry. With a likely EPS of Rs.32 in FY19, the share is
expected to touch Rs.240 mark at a conservative P/E of 7.5.
✅ Talwalkar Lifestyles (Talwlakar Gym) is expected to post an EPS of Rs.27 in FY19 if its half-yearly results are any indication. The share is likely appreciate by over 50%.
✅ Jindal Poly Films is the cheapest packaging share on the bourses with a forward P/E of just 6 on expected EPS of Rs.45 in FY19. A reasonable P/E of 10 will take its share price to Rs.450.
✅ BCL Industries may post an EPS of Rs.24 in FY19. A reasonable P/E of 6 will take its share price to Rs.144.
✅ Meghmani Organics, a dyes, pigments, pesticides and soda ash major is expected to notch an EPS of Rs.11 in FY19 and Rs.13 in FY20. The reasonable P/E of 10 will take its share price to Rs.110 in the medium term and Rs.130 thereafter.
✅ Pondy Oxides is expected to notch an EPS of Rs.75 in FY19 on tiny equity of Rs.5.6 crore. Based on Its 9MFY19 EPS of Rs.57, the share is expected to double from the current level.
✅ An Ahmedabad-based analyst recommends to buy Jiya Eco, Royal Orchid Hotel, Super Crop Safe and Tarmat.
From last week’s recommendation, Premier Explosive shot up to Rs.273.95 from Rs.235.50 during the week.
