Investment* Tayo Rolls (Rs.152) Leader in Cast rolls, which are in huge demand by the steel industry. It is widening its customer base in the global markets and is expected to report sharp
jump in exports in coming years. The grinding rings and balls supplied by it to the power plants have won repeat orders. The takeover of CORUS in Europe by Tata Steel is another a big positive reason as this opens up doors to othercompanies in the region. It has successfully penetrated the foundries. The company expected to fare well in this division for the next few years. Its low capital base of Rs.5.47 cr. and book value of around Rs.75 make it an excellent point of view.
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Knowledgeable circles are said to be accumulating the stock as they expect it to report very strong growth over the few years.
Seeing to the improvement in sales. If the stock closes above Rs.156 with volumes, it should give good breakout for a good upside. It is
another TRF in the making in the long run with a similar equity base. We have been recommending this stock from very
low level of around Rs.87/88 level. With a low capital base of Rs.5.47 cr. and book value of around Rs.75, makes this
scrip an excellent buy at Rs.150 from the long-term point of view.
Market Guidance
* Sambandam Spg.
growth over the last few years. During FY07, it improved operating
margins from 23.6% to 26.4% and the full year EPS jumped from
Rs.15.55 to Rs.26.3.
It has completed its
with addition of 13,392 spindles. It is now establishing a new unit
(Unit-3) at Kavarkaipatty near Salem in Tamilnadu at an estimated cost
of Rs.100 cr., which will result in addition of 30,000 spindles and 24
looms which will be completed in FY09.
The stock is cum dividend and the stock
stock for good long-term growth. Once it catches attention of big investors, it will cross the Rs.200 mark. Fresh buying
should be done only on reactions with a long-term view around Rs.120/122.
* Asian Oilfield Services (Rs.67.1) has posted excellent returns. Investors
even from current level. The company is expected to report encouraging results in Q1FY08 on 2007-08. Leading broking
firms have given buy call.
* Adhunik Metals (Rs.58
acquiring its own coalmine and a few broking firms are said to be bullish on the stock.
* Keep a watch for an upmove in Navbharat Ferro Alloys (Rs.108). Good developmen
* Tata Sponge Iron (Rs.116) has come out with excellent results in view of firm prices of melting scrap, which have
up to Rs.19500 from Rs.15500 about 6 months back. Stock is 40% cum dividend at the current market price of Rs.116.
* 3M India (Rs.1767) was discussed in this column few weeks back. Knowledgeable circles are very bullish on the sto
with long-term view.
* Well-informed sourc
* Hikal’s (Rs.419) current year EPS is projected around Rs.38/42 level, and is a safe investment bet
smart HNIs. After good accumulation at lower levels, the stock has closed above Rs.410 and may be heading for good a
long-term target.
* Some marketme
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* Action now seems to have shifted to Indiabulls Real Estate (Rs.365), which is expected to go up to Rs.450 level in the
near future. Stay invested.
* Oswal Chemicals (Rs.40.5) stock is to be included in F&O. Heavy investment & speculative positions are being built
up in the counter. Big investors who were active buyers in IFCI at lower level of Rs.10/14 are said to be active in Oswal
Chemicals (formerly Bindal Agro) as some favourable developments are said to be taking place. We had recommended
this stock last week. Stay invested for good target over the next six months.
* JMC Projects (Rs.254), which was recommended earlier has closed well at Rs.254 and given a good breakout for a
further good upside. Book part profits around Rs.290 level.
* Avery India (Rs.59) has reported encouraging Q4 results. Long-term investors can add this stock on reactions for good
long-term growth.
* Eimco Elecon (Rs.285) - Sandvik of Sweden likely to exit by disinvestment as per informed sources.
* An open offer is expected in FCI OEN (Rs.383) as per unconfirmed sources.
* Revathi Equipments (Rs.577) results are likely to be flat on a consolidated basis but worst seems to have been
discounted at current levels and the waiting period is over.
* Supreme Industries (Rs.225) seems to be ready for the next move. Stay invested.
* Good market reports are pouring in on India Glycols (Rs.149), Deep Industries (Rs.73), Gujarat Alaklies (Rs.142),
JJ Exporters (Rs.64), Indag Rubber (Rs.36.15), IDBI (Rs.94) and Karnataka Bank (Rs.172).