Stock Reports - 29.12.09

10 fastest growing cos


10 worst performing cos

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	Aditya Birla Chemicals: A Value Buy Rathin Shah
	Solvay Pharma: Buy at CMP Rs1760 Abhishek Jain
	Technical calls: Buy Aban Offshore & Ashok Leyland HDFC Sec Nifty spot: No significant upside above 5200 level Angel Broking Technical calls: Buy Akruti City, Escorts, Hindustan Zinc HDFC Sec Uptrend intact as Nifty makes new highs HDFC Sec

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Two Attractive Mid Cap Stocks

Sanjay Chhabria
Dec 24, 2009

Gruh Finance Ltd (Rs 205)
(BSE Code - 511288, NSE Code - GRUH)
(P/E - 12, Equity - Rs34.65 cr, HDFC’s stake - 61.5%, Market Cap - Rs710 cr)

Gruh Finance (GFL) was set up in 1986 by HDFC to replicate its ‘home financing’ business model in semi urban and rural areas. Presently, the parent’s ownership stands at 61.85% and it has three representatives in the board of Gruh Finance (out of the total board’s strength of eight). Gruh has maintained the standards of services, quality of assets and management of cost of funds comparable to its parent. HDFC is the largest shareholder in the company with a stake of 61.49%. Gruh Finance has been a major player in the non-metro markets of Gujarat and Maharashtra where semi-urban and rural areas are witnessing growing prosperity. With the exception of a few PSU and co-operative banks, none of the aggressive private sector entities cater to the latent demand in these regions. Gruh has entered this relatively under-banked market with a unique marketing strategy. GFL is primarily engaged in the business of providing long-term finance to individuals for construction, purchase, extension, repair and renovation of homes. Gruh has launched innovative products and flexible repayment options to suit consumers in various segments. Besides home loans, Gruh offers loans for purchase of non-residential properties like office premises and shops. One of the major strength of the company is its strong and visionary Parent & management. HDFC, the major stakeholder is the pioneer in the housing finance and strong credibility as well as investor confidence.

Gruh Finance presently operates out of 65 offices and majority of these offices are in locations where HDFC does not have a presence. Going forward, Gruh would like to be in places that would not be on the radar of large housing finance companies. The company’s strategy has been to establish its presence at the district headquarters and then gradually penetrate adjoining areas, after garnering adequate knowledge about the local markets. This model of expanding into contiguous geographies helps in minimizing risks associated with venturing into uncharted territories. Gruh has maintained quality of service comparable to its parent although it operates in different geographies. Hence, in distant future, if the parent decides to merge the operations of Gruh with itself, it would not be very difficult.

GFL’s financials are in sound shape. The capital adequacy ratio(CAR) of about 16% allows the company considerable flexibility in managing both business growth and dividend disbursals. The proportion of bad loans at less than 2% is also impressive. The profitability of the operations has improved considerably in recent years, with spreads rising above 2%. The asset quality is comparable to HDFC. The housing finance sector continues to be one of the fastest growing sector in the finance sector. As growth prospects are bright in the home loan business, there is a strong likelihood of GRUH Finance sustaining its healthy profitability levels.

For the half year ended Sept. 2009, GFL has posted a net profit of Rs 20.64 cr.(up 29%) on total income of 150 cr.(up 20%). For the year ended March 31, 2009 GFL had posted a net profit of Rs 50.28 cr.(up 19%) cr. on total income of Rs 295 cr.(up 46%). On a equity of 34.65 cr. the EPS stood at Rs 14.53 and the dividend declared was 48%. The Gross NPAs of the GFL stood at Rs 19.68 cr. (0.94% of the Loan Assets). The NPAs are fully provided for and as a result the Net NPAs of the Company are Nil. Going forward, the company plans to target interior areas of Maharashtra and expand its presence into the adjoining states of Rajasthan, Karnataka and Madhya Pradesh. The foray to new geographies should enable the company to maintain an average disbursement growth between 18-20%.

The stock trades at 11.7x FY10E earnings (Rs 17.5) and at 9.7 x FY11E earnings (Rs 21). Gruh Finance offers long-term investors an excellent exposure to rapid semi-urban and rural socio-economic development in India in the next few years in the area of home loans and personal finance. Its strong pedigree and balance sheet attributes, high quality of loan book, low rate of delinquencies and superior to peer group RoEs makes it a premium play inspite of its rather small size. Gruh Finance is like HDFC being available in small caps. Investors can start accumulating the stock at current levels and add more on declines for decent returns of 40%-45% over the next 6-8 months.

Autoline Industries Ltd (Rs 119)
(BSE Code – 532797, NSE Code- AUTOIND)
(P/E - 9, Market Cap - Rs145 cr, Equity - Rs12.2 cr)

Autoline Industries (AIL) supplies complex sheet metal assemblies and sub-assemblies to Tata Motors, Bajaj Auto, Kinetic Engineering, Mahindra & Mahindra, Walker Exhaust and Fiat India. Tata Motors, which buys components for passenger cars and commercial vehicles, is Autoline's largest customer. AIL, which has five facilities in Pune, is a design engineering and manufacturing solutions provider focused on sheet metal assemblies and formed tubular products. AIL had come with an IPO in January 2007 at Rs 225 per share. Funds raised through the IPO have been used to upgrade and expand Autoline's Chakan facility in Pune; set up another manufacturing facility at the same location; relocate and consolidate a couple of smaller units; establish a corporate office; fund acquisitions, and provide long-term working-capital resources. The equity capital of the company is Rs 12.22 cr. of which promoters’ hold 26.62%, FII/Mutual funds hold 1.82%, corporate bodies hold 16.65% and the public holds 54.91%

The Indian automobile ancillary sector is transforming itself from a low -volume, highly fragmented one into a competitive industry, and backed by competitive strengths, technology and transition up the value chain. Despite a relatively small share of Asia in the global pie, India is now amongst one of the most preferred destinations and has come to occupy the image of an exporting hub for most of the major global OEM players. Almost all the big auto manufacturers of the world are either already or are in the process of outsourcing from India. AIL has realized the potential of component manufacture business. It owns in-house design engineering, rapid prototyping and mass manufacturing capabilities. AIL had an in-house CAD/CAE/CAM facility and decided to scale up the capabilities of this facility by acquiring a design engineering software company (a majority stake 51%) in Autoline Dimensions Software Pvt. Ltd. (Formerly known as Dimensions Engineering Software Services Pvt. Ltd.), which has expertise in design engineering services. Further it plans to expand capacities by setting up another plant at Chakan (Unit –II). AIL has taken efforts to shift from low margin products to high margin products. Autoline Dimension would be one of the future growth driver providing a boost to AIL’s revenue.

For FY09, AIL has reported net profit of Rs 4.68 cr. on net sales of Rs 350 cr. on consolidated basis.. On a equity of 12.2 cr., the EPS stood at Rs 3.84 and the dividend declared was 10%. From a turnover of Rs 51 cr. in FY-2004, Autoline's revenues scaled up to Rs 350 cr. in FY09. For the half year ended September 2009, the figures are net sales of Rs 198.23 cr. and net profit of Rs 6.67 cr. (up 68%) on consolidated basis. The EPS for first half stands at Rs 5.5. On Oct. 28, 2009, Autoline Industries USA, a wholly owned subsidiary of Autoline Industries announced that it has received orders to manufacture brake and clutch pedal assemblies from 2 US automakers. The new business will bolster the sales of US unit by US$ 40 Million over the next 4 year period

AIL, should be able to post a top-line of around Rs.400 cr., and PAT of Rs. 16-17 cr., giving an EPS of Rs.13-14 for FY10. The share is presently trading at Rs. 119, which discounts FY10E earnings by 8.8 times. In view of the improved results and good medium term prospects, Investors can start accumulating the stock at current levels and add more on declines for decent returns of 40%-50% over the next 6-8 months.

Latest Developments- Autoline Industries has drawn up a Rs 255 cr. brownfield expansion. This will be funded through internal accruals and term loans. The expansion will add another 1,000 employees to its 2,000-strong workforce. It will involve an additional 40 acres to the existing 100 and is expected to be over by 2011. The company has sought mega status (which translates into concessions in stamp duty and electricity tariff) for the project from the Maharashtra Government. Approval could be granted by January. The project is also eligible for industry promotion subsidy. The expansion plan involves ramping up the production line, creating a tool room and adding prototyping/designing facilities at three sites in Pune district. Autoline wants to become a complete designing, engineering and manufacturing entity for mechanical assembly systems in automobiles. The idea is to make components based on designs provided by carmakers. At present, the company has orders for designing and manufacturing pedal assemblies for Volkswagen whose facility is also at Chakan. It supplies the same part to Tata Motors for its Indica and Ace models.

valueinv@sify.com
9893200307

Sanjay Chhabria is an equity analyst and investment consultant based at Raipur (Chhattisgarh). At the time of writing this, he doesn’t have any position in the stocks mentioned above. He is bringing a weekly Investment newsletter “Market-View” since April 2001 to help small (retail) investors take an informed investment decision. He invites Readers to send him email to get free 1 week trial offer of “Market –View”. He also appears on CNBC TV 18(Mid cap radar). He welcomes comments, feedback & investor queries at valueinv@sify.com.

Under no circumstances does the information in this report represent a recommendation to buy or sell stocks. This report has been prepared solely for information purposes and does not constitute a solicitation to any person to buy or sell a security. While the information contained therein has been obtained from sources believed to be reliable, no responsibility (or liability) is accepted for the accuracy of its contents. Readers using the information contained herein are solely responsible for their actions and are advised to satisfy themselves before making any investments.

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ICICI Bank

Hindustan Zinc

India Economy

Ranbaxy Labs

Weekly Review - Dec 29 2009

Weekly Newsletter - Dec 29 2009

Src: Valuenotes, Economictimes, DP Blog and etc.

Technicals and Stock Reports

Positive closing for 2009

he market bounced with a strong volume expansion to establish a new 52-week high on X-mas Eve. The Nifty closed at 5,178.4 points for a week-on-week gain of 3.82 per cent. The Sensex closed at 17,360 points for exactly the same gains. The Defty was up 4.15 per cent as the rupee rose.

Volumes expanded and breadth improved dramatically in the last two sessions. At the end of the week, every major market segment had established gains. The Bank Nifty outran the pivotal indices and the BSE 500 was up by 3.4 per cent. Both FIIs and domestic institutions were net buyers. Operator buying was also in evidence.

Outlook: The market could test 5,300 on the upside, going into the December settlement. On the downside, reactions will find support at 4,950-5,050. Volatility is likely to be up. There could be a couple of action-packed sessions since next week is also truncated. Most signals are positive.

Rationale: The market penetrated key resistance at 5,180, hitting a new high of 5,198. Although this could not be sustained, it confirms all three trends – short-term, intermediate and long, - are up. Breadth and volume expansion on the breakout are positives. There is a target of around 5,300. However, there may be a narrowing in trading with a focus on the larger F&O stocks.

Counter-view: It is possible that this week saw a lot of short-covering and exits. In that case, settlement week could see net losses and lower volumes than normal. However, there is solid support at 5,050-5,075 and again, between 4,950 and 5,050. Since all three trends are in bullish phase, a big correction is unlikely.

Bulls & Bears: The week ended with net gains across most indices and industry sectors. The Bank Nifty outperformed after several weeks. Other financials and the realty segment also saw net gains. Though this up move in interest-sensitive stocks looks like a technical correction, it could continue. Axis Bank, Bank of Baroda, Yes Bank, IDFC and HDIL may outperform.

The auto industry received a lot of bullish investment calls. Tata Motors has looked strong for weeks but in the past two or three sessions, we also saw money coming into Bajaj Auto, Hero Honda and Mahindra. While IT and pharma also delivered net gains, there was a pattern of profit booking towards the end of the week. The rupee hardening also suggests that IT may ease down or at least, underperform next week. However, big guns like TCS and Educomp still look bullish.

Pharma-healthcare saw Dr Reddy’s, Fortis and Glenmark delivering good returns last week, but money seems to be moving out of here into more aggressively traded counters. Apart from these, a host of movers attracted attention for stock specific reasons. These included Great Offshore, Nilkamal, Maytas Infra, Nagarjuna Construction, etc.

MICRO TECHNICALS

TCS
Current Price: Rs 749 Target Price: Rs 765

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Since March 2009, TCS has risen along a 45 degree trendline (split-adjusted prices) and this pattern holds at a new high. Keep a stop at Rs 740 and go long. A long-term target cannot be calculated. But, if the trendline is maintained, TCS should hit Rs 765 by settlement (December 31).

NTPC
Current Price: Rs 229.95 Target Price: Rs 250

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The stock has made a breakout on strong volumes and is testing resistance at the current levels. If it can close above Rs 232, it could have a target of around Rs 250. Keep a stop at Rs 225 and go long. Add to the position above Rs 232.

HCC
Current Price: Rs 151 Target Price: Rs 157

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HCC has hit a new 2009 high on strong volumes. The chart pattern suggests a target in the range of Rs 157-160. Keep a stop at Rs 145 and go long. Start booking profits above Rs 157. If you wish to hold a position beyond Rs 160, reset the stop loss to Rs 155.

GUJARAT NRE COKE
Current Price: Rs 78 Target Price: Rs 90

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The stock has jumped on a strong volume expansion. It has resistance between current levels and Rs 80. If it closes above Rs 80, it will have a target of around Rs 90. Keep a stop at Rs 74 and go long. Increase the position above Rs 80 and reset the stop to Rs 79.

STERLITE INDUSTRIES
Current Price: Rs 860.45 Target Price: Rs 895

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The stock has finished a reaction and is consolidating. There is serious resistance at current levels but if it crosses Rs 870, it will test Rs 900. Keep a stop loss at Rs 850 and go long. Add to the position above Rs 870 and reset the stop to Rs 865. Book profits beyond Rs 895

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Expect moderate returns in 28-DEC-09 After the astonishing performance in 2009, which has helped Indian stock markets emerge among the best performing markets globally with year-to-date returns of almost 80 per cent, the year 2010 could prove to be a disappointment.

Smart Portfolios shine in holiday week 28-DEC-09 The Smart Portfolios registered healthy gains last week in line with a pull back in the broader markets.

Markets at a glance 28-DEC-09 The markets began on a weak note with the BSE Sensex closing at its six-week low on Monday.

The probability myth 28-DEC-09 Do you know how many times you use “Probably” in a day?

Bullish sentiment with rising volatility 28-DEC-09 The market made a breakout that propelled it to new highs.

Positive closing for 2009 28-DEC-09 The market bounced with a strong volume expansion to establish a new 52-week high on X-mas Eve.

What analysts expect in 2010 28-DEC-09 After a stellar performance in 2009, the Indian stock market is set to move higher in 2010 believe most research houses and brokerages.

'Commodities are pricey at this point in time' 28-DEC-09 After last year’s sharp run up in commodity prices, Jim Rogers, the legendary commodities investor, is not bullish on most of the commodities at this point in time.

'Focus on few stocks' 28-DEC-09 Given the near 80 per cent returns the BSE Sensex has delivered since the beginning of 2009, it is quite likely that the current year’s performance would turn out to be the third best in almost three decades.

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Analysts picks: Infosys, Hindustan Zinc, Tata Steel, Jet Airways, Adani Enterprises

Derivatives Diary: Nifty appears to be following DJIA again

Experts debate on how mkts will pan out in 2010

Src: Economictimes, Business-Standard and etc

Unitech, Aban Offshore gainers of decade; Stock reports

Unitech, Aban Offshore gainers of decade

NEW DELHI: Who would have guessed this day 10 years back, when the dotcom mania was in full swing, that a builder of apartments from New Delhi and an iron ore miner in Goa would be the best performers among the BSE 500 index in a decade. There may be such surprises in the next decade too.

The top-10 gainers of the BSE 500 index this decade come from a wide range of sectors such as oil, real estate, mining, textile, steel, coal, finance and construction, even as the then fancied technology, pharma and fast-moving consumer goods (FMCG) fell by way side when the dotcom bubble burst, a SundayET analysis shows. The index represents 20 main industries and accounts for almost 93% of the total market capitalisation.

“It shows that our economy over the last decade has become more inclusive and growth has indeed percolated to a larger bouquet of industries,” says ICICI Securities executive director Anup Bagchi.

Also Read

→ Wealth managers miss Sensex by a wide margin

→ Check out Mutual Funds that outperformed Sensex over 5 years

→ Sensex set for slower rise in 2010

→ BSE Sensex posts worst weekly fall since end Oct

→ BSE Sensex posts worst weekly fall since end Oct

→ Sensex will be in 20k range in Dec 2010: Sandeep Bhatia

“Proactive government policies have in particular opened up sectors easing funding regulations for capital expenditure.” Unitech, which was trading at about 34 paise, adjusted for splits and bonuses, in 2000, emerged at the top. Its shares ended at Rs 82 Thursday, which is nearly 240 times the price it was in the beginning of the decade, according to data from Centre for Monitoring Indian Economy (CMIE).

A Rs 100 investment in it then translates into Rs 24,000. But that is statistic. Of course, the shares are down from their peak of Rs 538.25 in January 2008.

Then there are five companies, which currently trade at over 100 times their stock price in early 2000. Oil drilling firm Aban Offshore (166 times), construction company Era Infra Engineering (152 times), India’s largest iron ore exporter Sesa Goa (134 times), coal producer Gujarat NRE Coke (106 times) and ferro alloys manufacturer Nava Bharat Ventures (103 times).

The performance shows that what may be a fad at one time, may fade and that a focused sectoral investment could adversely affect the returns. “It highlights stocks with rich valuations. One will be better off to invest in stocks which offer decent prospects and are undervalued though they may not necessarily be in favour right now,” says Shrikant Shetty, head of equity advisory at Delhi-based Unicon Securities.

The other top performers are garment manufacturer Phoenix Mills (98 times), Mumbai-based diversified firm Jai Corp (95 times), equipment manufacturer Nesco (92 times), and truck financier Shriram Transport Finance Company (66 times). As a sector, it was technology with them being half of the 10 big losers, the study shows. Aftek, NIIT, Hexaware Technologies, Polaris Software Lab and Mastek, topped the list of laggards.

“The financial performance of this sector was decent during the current decade. It was the expectations of obscene growth rates which has had made valuations dropping,” says Shetty.

Novartis India, Cals Refineries, BSEL Infrastructure Realty and Himachal Futuristic Communications lost more than 70% of their valuations during the period, the study shows. But technology as a sector may not be a bad investment proposition given that their valuations have fallen substantially from their peaks.

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5 investment places you can put your money

Goldman to pick up 9.4% stake in Max India for Rs 540 crore

China: Second largest economy in 2010?

Check out the potential sectors investors need to track in 2010

Check out the deals & deeds that shaped 2009

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MFs that outperformed Sensex over 5 years

Comment Mail to friend

During last one year alone, value funds like ICICI Prudential Discovery, Tata Equity PE, Templeton India Growth and UTI Master Value have delivered over 100% returns, beating the market returns of about 65%-70 % and the 82% average returns posted by the category of diversified equity schemes.

Even over the period, as long as five years, these funds have comfortably beaten the market.

Click here to get full info about your Mutual Fund

Check out Mutual Funds that outperformed Sensex over 5 years

Mutual Fund Scheme: ICICI Prudential Discovery

CLICK HERE FOR MORE INFO on Investment details, return, Risk and full portfolio

Date of Launch: July, 2004

AUM (Rs crore): 502.1

*Absolute Returns(%):

1 Year: 131.7

3 Years: 46.6

5 Years: 221.4

*Returns as on December 16 2009

more @ http://economictimes.indiatimes.com/quickiearticleshow/5360536.cms

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TECHNICAL ANALYSIS: Index Outlook: 2009 bows out in style
Indian stocks remained in a glum state in the first two sessions of last week despite the festive cheer brimming over in rest of the global equity markets. But they did a volte-face on Wednesday and Sensex ricocheted 540 points higher. ...

STOCKS: Container Corporation: Hold
Shareholders with a long-term perspective can remain invested in the stock of Container Corporation of India (Concor) which, by far, is the most dominant multi-modal logistics player in ...

STOCKS: Jaiprakash Power Ventures (formerly Jaiprakash Hydro Power): Hold
Investors with high-risk appetite and long-term investment horizon should hold on to the Jaiprakash Power Ventures (JPVL, until recently named Jaiprakash Hydro ...

STOCKS: Firstsource Solutions: Hold
Investors can retain their share holdings in Firstsource Solutions, a BPO player, considering the company's healthy vertical and geographic mix, the revival in the deal momentum and benefits that accrue from macro trends such as ...

DERIVATIVES MARKETS: Stock Strategy: Go long on NTPC Jan futures
NTPC (232): NTPC was on a roll last week. After moving in a narrow band for quite some time, the stock vigorously pierced the resistance level at 215 and entered the bull zone. It now appears that the stock is heading for its next ...


TECHNICAL ANALYSIS: Query Corner: Jai Corp continues in a long-term down trend
I am holding Educomp Solutions and Satyam Computer purchased at higher levels. Please let me know the short and long-term prospects for these stocks. ...

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Which Real Estate stock has the best chart?

Why Morgan Stanley is bearish on Infosys stock?

Two Interesting Bulk Deals

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Canara Bank

Mahindra Satyam

Rolta

KS Oils

Reliance Industries, India Energy

Indraprastha Gas

Weekly Watch - Dec 26 2009

Patel Engineering

Mphasis

Essar Oil

Bharti Airtel

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Src: Economictimes, DP Blog, Businessline, SM Blog and etc

ET - Year Ender 2009

http://economictimes.indiatimes.com/yearender.cms


Year End Special From Economictimes.indiatimes



The journey of Rakesh Jhunjhunwala

23 Oct 2009, 0800 hrs IST,ET Now

ET Now Exclusive: Who dosen't want to be a millionaire? Find out how Rakesh Jhunjhunwala made his millions. Familyman | Watch Video | Sensex could touch 19K soon

Sensex set for slower rise in 2010

Eight-year cycle: Sensex may hit 21K jackpot in '11

Key 2010 political risks to global markets

Sensex to test 21K in year's time: Cazenove Capital




For investors, that was easy. Now comes 2010

17 Dec 2009, 1552 hrs IST,REUTERS

Tight 2009 correlations are already breaking down, leaving investors to work a bit harder for their buck. Five facts about rising world equities | Five facts on stock falls

Stocks in '10: Prospects range from gloom to boom

Life cover of Rs 1 crore for just Rs 15K

2010 Investment Outlook: Go global


Ratan Tata: Time to shake off traumatic '09

19 Dec 2009, 1245 hrs IST,

Be it the aftermaths of the terror and fire at the iconic Hotel Taj Mahal or the news about burning Nanos and low floor buses, Rs 500 crore going awash in Singur or the teething troubles with JLR and Corus acquisitions – 2009 is a year that Ratan Tata will bid goodbye with a sigh, though berift of relief.

Milestones for Indian auto industry during 2009

In Conversation: Ratan Tata on cars beyond Nano

Here's what Tata told his staff in '08 end


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Indian Events in Pics

Major terror attacks in India in recent years

India: A decade round-up

Top 10 diplomatic events in India

Flashback 2009: Ten moments that defined India

India's Best Companies to Work For 2009

Global Events in Pics

Check out the top 10 list of the Decade

Hottest smartphones launched in 2009

Top 10 best-performing CEOs in the world

Pictures of the Decade Part 1

Top 10 entertainment stories of 2009

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More @ http://economictimes.indiatimes.com/yearender.cms

Nifty ends at new 2009 high; commodities, rate sensitives up

Nifty ends at new 2009 high; commodities, rate sensitives up

uying in oil & gas and rate sensitive shares propelled the Nifty to close at new 2009 high of 5,178.40. It was just shy of the 5,200 mark and touched an intraday high of 5,197.90. The benchmark indices continued their upmove for the second consecutive day and closed higher for the day as well as for this week.

Asian markets helped the markets to start the day on a positive note, following Wednesday's 539 points rally on the Sensex. But after first half an hour of trade, indices turned volatile. In the last couple of hours, the markets gained strength again on the back of buying in shares of commodities and rate sensitives related companies.

The 30-share BSE Sensex closed at 17,360.61, up 129.50 points or 0.75% and the 50-share NSE Nifty went up 0.66% or 33.80 points, to settle at 5,178.40. The broader indices gained 3.8% this week.

Also Read See Key Market Stats - Top Gainers/ Losers, Most Actives, Highs/Lows See how Global Markets are trading Indian ADRs RSS feed for news Click here

Positive global cues were quite supportive today. European markets and the US index futures were marginally positive, at the time of closing of Indian equities. Asian markets closed higher; Shanghai rallied 2.6% and outperformed the other global indices. Nikkei rose 1.5%. Hang Seng, Kospi and Taiwan were up 0.8-1.3%. Straits Times was flat.

Index	Closing Value	Chg (%)
AUTO	7,356.81	1.5
METAL	17,333.73	1.42
OIL&GAS	10,418.23	0.9
REALTY	3,854.04	0.8
POWER	3,133.42	0.78
MIDCAP	6,641.14	0.72
FMCG	2,824.39	0.66
CAP GOODs	14,017.08	0.62
SMALLCAP	8,120.71	0.6
BANKEX	9,968.03	0.5
IT	5,175.46	0.33
PHARMA	5,109.94	0.03

The Indian markets will be closed for trade during December 25-28, 2009, on the back of Christmas and Moharam.

Oil & gas were leading sector; ONGC rose 1.62%. Reliance Industries, Cairn India, GAIL and BPCL were up 0.34-0.87%.

Banking and financials also supported the indices; HDFC Bank was up 1.23%. Bank of Baroda, PNB, SBI, HDFC and Axis Bank gained 0.4-0.7%. ICICI Bank rose 0.15%.

Tata Motors was the top gainer today. The CNBC-TV18 learns that India's largest automobile company has decided to settle Singur compensation issue with the vendors. The company will compensate 75-80% of vendors’ Singur loss. “It has asked vendors to take bank loan of 80-85% Singur loss, which would be repaid by the company,” sources inform, adding Tata Motors will repay principal and interest on vendors’ loan. Almost 80% of the vendors have signed the compensation pact with the company and the remaining 20% will sign it in January 2010.

Other news based stocks were ITI and Jet Airways, which gained 11.2% and 2%, respectively. CCEA (Cabinet Committee on Economic Affairs) has approved extending ITI's 30% quota in BSNL, MTNL orders. Government said telecom department was preparing revival package for ITI and ITI would get 70% advance payment for BSNL, MTNL orders. Cabinet panel has also approved Jet Airways plan for USD 400 million QIP.

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Food inflation eases to 18.31% vs 19.95% week ago

Nifty ends at new 52-week closing high

World stocks push higher in pre-Xmas rally

Src: MC, ET

Sensex surges 500 pts; RIL, Infy, NTPC, ICICI Bk, ONGC lead

Sensex surges 500 pts; RIL, Infy, NTPC, ICICI Bk, ONGC lead

At 14:25 hours IST, relentless buying across all the sectors was pushing the Sensex higher and higher. It gained 500 points while the Nifty surged 150 points. Among the sectors, the BSE Metal, Oil & Gas, Power, IT, Realty, Capital Goods and Bank indices were up 2.5-3.3%. TECk, Auto and FMCG indices went up 1.7-2.3%.

Finance Minister's strong statement on GDP growth and positive global cues were supportive to the benchmark indices. Finance Minister Pranab Mukerjee said India could clock as much as 9–10% gross domestic product (GDP) growth in two-three years and FY10 growth could reach 7.75%.

On the global front, European markets were trading 0.7% higher. Asian markets ended with good gains. Shanghai was up 0.76% and Hang Seng up 1.12%. Straits Times, Kospi and Taiwan Weighted gained 0.35-0.6%.

Also Read See Key Market Stats - Top Gainers/ Losers, Most Actives, Highs/Lows See how Global Markets are trading Indian ADRs RSS feed for news Click here

The 50-share NSE Nifty was trading at 5,123, up 134 points and the Sensex gained 457 points at 17,149. These indices hit an intraday high of 5,135.05 and 17,191.85, respectively.

Top gainers - Hindalco shot up 9% and NTPC surged 6%. Sterlite Industries, Reliance Industries and ICICI Bank 3.5-4.5%. Infosys, L&T, M&M, Tata Steel, HDFC Bank, DLF, HDFC, Tata Motors, Jaiprakash Associates and ITC were up 2.5-3.5%.

Top gainers on the BSE Midcap - Emami, Gujarat NRE Coke, Great Offshore, Sunteck Realty and Sobha Developer went up 5-7.8%.

Top losers on the BSE Midcap - Kalpataru Power, Opto Circuits, Bayer Cropscience, Mahindra Holiday and Corporation Bank fell 1-1.6%.

Top gainers on the BSE Smallcap - AP Paper Mills was locked at 20% upper circuit; JSW Holdings, Adhunik Metalik, Action Construction and Jolly Boards gained 10-15%.

Top losers on the BSE Smallcap - Zandu Pharma lost 14.16%. GMR Industries, Aegis Logistics, NESCO and PVP Ventures declined 3.5-5%.

At 13:12 hours IST, the Sensex was strong in trade with gains of more than 400 points and was consistently holding the 17,000 mark. The 50-share NSE Nifty was also holding the 5,100 level. Both the indices were trading above these levels for the first time in the last six sessions. Further upmove in Asian markets and positive comments from Finance Minister about GDP (gross domestic product) growth helped the markets.

India can clock as much as 9–10% gross domestic product (GDP) growth in two-three years, Finance Minister Pranab Mukerjee has said. Speaking at an event, an optimistic Mukherjee said FY10 growth could reach 7.75%. India, which grossed a GDP growth of 7.9% in the third quarter of this fiscal, is one of the fastest growing economies in the world and a negative farm growth thanks to a dry spell this year is also not expected to adversely impact its growth. The GDP growth for the next two quarters was “likely to be bright”, Mukherjee said.

Also Read See Key Market Stats - Top Gainers/ Losers, Most Actives, Highs/Lows See how Global Markets are trading Indian ADRs RSS feed for news Click here

Asian markets were positive; Shanghai and Hang Seng were up 0.8-0.9%. Straits Times, Kospi and Taiwan Weighted gained 0.35-0.6%.

Frontliners like Hindalco, NTPC, Sterlite Industries, Reliance Industries, ICICI Bank and SAIL were top gainers, up 3-6%%. Not a single share was in the red on the Sensex and Nifty.

The 30-share BSE Sensex was trading at 17,108, up 415 points and the Nifty was at 5,110, up 124 points. The broader indices gained 1.2-1.5%, as about 986 shares advanced while 256 shares declined on the BSE.

Zee Entertainment's board approved merger of ETC Networks with company. The company will consider detailed merger scheme on December 29. The stock was up 0.4% and ETC Networks gained 3.5%.

Heavyweight Reliance Industries surged 3.28%. Among other oil & gas stocks, GAIL, Cairn India and ONGC were up 2-3%. IOC, HPCL and BPCL gained 0.8-1.3%.

Infosys rose 3% in the oil & gas space. TCS, Wipro, HCL Tech and Tech Mahindra went up 1-2%.

Banking stocks like ICICI Bank and HDFC Bank moved up 2.5-3%. PNB, SBI, Kotak Mahindra, Axis Bank and Bank of Baroda were up 0.8-1.8%.

In the power pack, NTPC rallied 5.14%. NHPC, Power Grid Corp, Lanco Infratech, Neyveli Lignite, Suzlon Energy, Torrent Power, Siemens, GVK Power, BHEL, Reliance Infrastructure, Reliance Power, Tata Power, GMR Infra and Adani Power gained 1-3.3%.

Hindalco surged 6.37% in the metal space. Sterlite Industries, SAIL, NALCO, Tata Steel, Jindal Saw, Jindal Steel and JSW Steel were up 1.3-3.7%.

Top percentage gainers - Jumbo Bag and AP Paper Mills were locked at 20% upper circuit. Umang Dairies, JSW Holdings, Muthoot Cap, Adhunik Metalik and KSE were up 10-17%.

MOre @

Sensex surges 500 pts; RIL, Infy, NTPC, ICICI Bk, ONGC lead

Nifty near day's highs; Hindalco, RIL surge

Essar Oil to become India's third largest oil refining co



Src: Leading websites

RIL discovers third gas reserve in KG basin

RIL discovers third gas reserve in KG basin

NEW DELHI: Reliance Industries on Tuesday said it has made a third successive gas discovery in the D3 deep-sea block in the Krishna

-Godavari

Reliance Industries' KG-D6 facility World's top oil exporting countries World's top 10 oil producers World's largest refining companies

basin, off the east coast. ( Watch )

Reliance found three gas reservoirs in the KGV-D3-R1 well drilled on the block KG-DWN-2003/1 (or D3), a company statement said here.

The block, located about 45 kilometres off the coast in the Bay of Bengal, is in the vicinity of its prolific D6 block where three of the 19 oil and gas finds have already been put on production.

"This discovery (in D3) supplements RIL's understanding, of the petroleum systems within the block," it said.

Reliance holds 90 per cent interest in the block that it won in the fifth round of auction under the New Exploration Licensing Policy. Hardy Exploration and Production India Inc, a unit of Hardy Oil of UK, has the remaining 10 per cent.

"Three reservoir zones were encountered at Miocene level having gross thickness of 4, 23 and 16 meters," the statement said adding the discovery has been named Dhirubhai-44.

The first two exploratory wells (KGV-D3-A1 and KGV-D3-B1) resulted in gas discoveries (Dhirubhai 39 and 41) and are presently under appraisal.

"Besides the above discoveries, several prospects have been mapped at different stratigraphic levels," the statement added.

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Nifty lacklustre; SAIL, Tata Steel, IDFC up

Nifty can reach 5650 if it breaches 5150: Daryl Guppy

2009: Good for investors, tough on Mutual Funds




Src: Moneycontrol, ET

Heard on the street

Heard on the street

Market on a lean holiday diet in 2011

STOCK exchanges

have been spared some more unpopularity, thanks to several public holidays falling on weekends. There is a move afoot to cut down the number of trading holidays, as the wise men feel that the Indian market has one too many, compared to international markets. The reason to cut down on the number of holidays is based on the premise that investors here will not have a chance to react to major global events if the Indian market is closed.

This is, of course, assuming that no major global developments will unfold on January 26, August 15, or on the day of Bhau Bheej, or any of the other holidays that do not happen to be global ones.

“This year a large proportion of the holidays is falling on a Saturday/Sunday. We have only 11-12 holidays falling during the week. This year is taken care of. 2011 is when a shorter list — 8 to 10 days — will come into effect by which time the equity market will also have moved to a 9-5 pm cycle,” said a senior broker, who was present at the meeting NSE had with six top retail broking firms.

Garware Offshore sets sails for the north

SHARES of Garware Offshore have risen around 12% in the past one month. Buzz is that increasing demand for offshore support vessels is driving interest in the stock. Speculation is that some financial and strategic investors

are planning to pick up a stake in the company through secondary market transactions, though talks are said to be at a preliminary stage. In anticipation of this, “friendly circles” are said to be accumulating the stock

.

Rel Equity, Daiwa lose top honchos to Macquarie

MACQUARIE Securities is looking to beef up its equities team in India. Amongst its new hires are Sudhanshu Bhuwalka who joins as associate director, equity sales, from Reliance Equities, where he was co-head of equity sales. Neil Nathwani has joined Macquarie’s equity sales team from Daiwa in London where he was the India specialist for Europe. Suresh Ganapathy is joining to head Macquarie’s financials research team for India. He joins from Deutsche Bank’s cash equities business in India.

Orient Green Power to raise Rs 600-cr via IPO

GREEN is the new black. With green or clean energy gaining momentum across the globe, market observers expect companies operating in the renewable energy space to take the IPO route. Orient Green Power, a subsidiary of Shriram EPC is one such candidate. It has appointed Goldman Sachs, UBS and JM Financial as bankers for its Rs 500-600 crore IPO.

Contributed by Deeptha Rajkumar, Reena Zachariah & Apurv Gupta


Src: ET
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Balmer Lawrie & Company: Bargain hunt begins! Rathin Shah

India equity strategy: 2010 NextGen India Investments

14th Annual Wealth Creation Study 2004-2009 Motilal Oswal

Two attractive mid cap picks Sanjay Chhabria

Picks for an aggressive stock portfolio

Picks for a conservative stock portfolio


Src: Valuenotes

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