Multibaggers Stocks | Multibaggers Stock tips : Multibagger stocks 2011 - Penny Stocks

Aditya Birla Nuvo

2010-03-31T22:44:00.004+05:30

Aditya Birla Nuvo

Aditya Birla Nuvo is diversified Company which run many new businesses for one of india's leading business house, Aditya Birla Group.

Business Verticals..

Aditya Birla Nuvo has diversified its business portfolio which has a mix of new & old businesses. Some of them were it enjoys a leading postion are .. viscose filament yarn, carbon black, branded garments, agri business, textiles and insulators.

Over the past few years, Aditya Birla Nuvo, through its subsidiaries and joint ventures, has made successful forays into life insurance, telecom, business process outsourcing (BPO), IT services, asset management and financial services.

Aditya Birla Nuvo’s joint ventures and subsidiary companies are:

- Idea Cellular Limited
- Birla Sunlife Insurance
- Birla Sunlife Asset Management
- Aditya Birla Minacs worldwide limited

This businesses enjoy a good market position in their operating verticals both in terms of revenue & market share.

In Apparels business its houses some of the most famous brand like Peter England, Van Heusen , Louis philippe , Allen Solly and esprit.

Stock Statistics

Market Cap	9,360.47	\|	* EPS (TTM)	15.93	\|	* P/E	57.04	\|	* P/C	28.36
* Book Value	364.26	\|	* Price/Book	2.49	\|	Div(%)	40.00	\|	Div Yield(%)	0.44
Market Lot	1.00	\|	Face Value	10.00	\|	Industry P/E	65.89
* As per latest stand alone adjusted profit after extra-ordinary items.

Shareholding Pattern.

(in %)	Dec-09	Dec-08	Sep-09
Promoter	46.06	41.20	41.52
FII	16.57	20.56	19.26
DII	14.61	16.90	15.97
Others	22.76	21.34	23.25
Total	100.00	100.00	100.00

Insurance Business & IT Services are the biggest value unlocking for share holders in the future.
We recommend Investors to invest in the stock with long term view.

Tide Water Oil Co

2010-02-21T12:44:00.003+05:30

Tide Water Oil Co.

Tide Water Oil Co. (I) Ltd., is a part of the multi divisional Andrew Yule group that has diverse interests in Engineering, Electrical, Tea Cultivation, Power Generation, Digital Communication Systems and Lubricants.

Tide Water has been a pioneer of Automotive and Industrial lubricants in India since 1928 and has five plants at Howrah, Oragadam, Turbhe, Silvassa and Faridabad.

Products...

Veedol Engine Oils which is available in different variants like Automotive oil, Industrial Oil, Industrial Grease, Automotive Grease and Eneos.

The company also has technical collaboration with Nippon Oil Corporation, the No.1 petroleum conglomerate in Japan. Superior quality lubricants under the brand name Eneos are manufactured and marketed in India by Tide Water Oil.

Quarterly Results..

The company's Q3 net profit was at Rs 14.51 crore.

The company's trailing 12-month (TTM) EPS was at Rs 479.66 per share. (Sep, 2009)

The dividend yield of the company was 0.61%.

The company's trailing 12-month (TTM) EPS was at Rs 479.66 per share. (Sep, 2009)

Valuations

Equity
Tide water – 87 lakhs (0.87 Crore)

EPS (4 trailing quarters)
Tide water – 586

Book Value
Tide water – 1708

Market Price/Book Value
Tide water – 3

P/E
Tide water – 8.6

As Comapred to its peer Castrol the stock is under valued and can be accumulated at every dips for long term invesmtent.

Havells India

2010-02-21T11:50:00.005+05:30

Havells India Limited

Havells India Ltd. is one of the largest & India's fastest growing electrical and power distribution equipment manufacturer with products ranging from Industrial & Domestic Circuit Protection Switchgear, Cables & Wires, Motors, Fans, Power Capacitors, CFL Lamps, Luminaires for Domestic, Commercial & Industrial applications, Modular Switches, & Bathfittings covering the entire gamut of household, commercial and industrial electrical needs.

Havells owns some of the prestigious global brands like Crabtree, Sylvania, Concord, Luminance, Linolite, & SLI Lighting.

Quarterly Results..

Havells India Q3 net profit up at Rs 58.9 cr

Its net sales were up at Rs 591 crore versus Rs 486 crore.

The company's trailing 12-month (TTM) EPS was at Rs 27.20 per share. (Sep, 2009)

Havells has now ventured into retailing through its initiative called ‘Havells Galaxy’ to provide one-shop solution to the consumer looking for electrical and bath fittings products.

Future Expansion..

Havells’ plans to extend its product portfolio by introducing CMH, a new generation lighting which has a high CRI (colour rendering index) and is considered the closest substitute for natural light.The company also wants to deepen its penetration in Western India.

Valuations..

Based on the growth plans & expansion in the future the stock does not look over valued and is trading at a PE of 14x times its estimated FY10 earnings. At the Current levels stock remains an attractive BUY for investors.

Research Team, Multibaggers.in

Bhushan Steel Limited

2010-02-20T10:24:00.003+05:30

Bhushan Steel Limited

Bhushan Steel Ltd is a globally renowned one of the leading prominent player in Steel Industry. Backed by more than two decades, of experience in Steel making, Bhushan Steel is now India’s 3rd largest Secondary Steel Producer company with an existing steel production capacity of 2 million tones per annum’s (approx.)

The Company has manufacturing in the three states of india like Uttar pradesh, Orissa and Maharashtra. The Product line has variety of products such as Cold Rolled Closed Annealed, Galvanized Coil and Sheet, High Tensile Steel Strapping, Colour Coated Coils , Galume Sheets and Coils, Hardened & Tempered Steel Strips , Billets, Sponge Iron, Precision Tubes and Wire Rod.

Quarterly Results

The Company has posted a net profit of Rs 2274.30 million for the quarter ended December 31, 2009 as compared to Rs 207.40 million for the quarter ended December 31, 2008. Total Income has increased from Rs 10064.00 million for the quarter ended December 31, 2008 to Rs 14546.40 million for the quarter ended December 31, 2009. EPS grew manifold in quarter ending December 2009 and stood at Rs.53.55. TTM ( Trailing twelve months ) EPS stood at 165.97

Investment Rationale

Efficient tie-up with Japanese firm Sumitomo.
Acquisition of Bowen Energy

Capacity expansion

Bhushan Steel has Rs.20,000 crore as expansion plans through Bengal Steel project. It’s a Greenfield steel plant and it will be put up in a new company. Sumitomo is very keen to have a stake in the new steel company. The project is still at a nascent stage and the land acquisition will take some time. Once that is done the project will not be commissioned earlier than 2014-15. The steel project in Bengal is definitely a large investment and the company is looking for a JV with Sumitomo.

Valuations

With the acquisition of bowen energy, Strong Relationship with Sumitomo and a plan to setup steel project in bengal are the key drivers for the growth in coming future also the capacity expansion at it's orissa planet to 5 million ton by oct 2012 will add value.

The stock is Currently trading at PE of 9.7 to its TTM earnings & 3 times its book value of 477.79. Since the stock offers good opportunities it become a attractive long term BUY for investors.

--
Research Team, Multibaggers.in

Sahyadri Industries Limited

2010-02-12T12:33:00.011+05:30

Sahyadri Industries Limited

Sahyadri Industries Ltd. is a well known group in Building Material Industry based at Pune. Their Product line Includes manufacturing of corrugated sheets required for roofing purpose & accessories required for roofing purpose. They have an entire range of roofing systems, irrespective of the type of construction.

Future Expansion

Sahyadri Industries has recently forayed in to the power generation space Using the non-conventional energy resources like wind & Solar. They have planned to invest in 6 wind mills in the state of Rajasthan & Tamil Nadu. The WindPower generation from the tamil nadu facility will be consumed by their Manufacturing plant in Perundurai and the power generation at Rajasthan will be sold to the state Ulility.

They also generates carbon emission reduction which may be negotiated for price in international market under Clean Development Mechanism, subject to completing formalities and obtaining certificate of carbon emission reduction as per Kyoto Protocol.

Company Clients.

They have range for client from sectors both private & public sector companies like Food corporation for india, Indian Oil Corporation, HPCL, Central Railways, Alfa laval, M&M, RCF, Bharat Forge and Jindal Aluminum. They also export to very many customers in Middle east & Africa.

Recent News.

Sahyadri Industries bags two awards Sahyadri Industries Ltd. bags award for the “Best Performing Windmills” second year in a row.

Sahyadri Industries is planning to raise long term funds through further issuance of equity shares on Qualified Institutional Placement (QIP) and / or preferential allotment basis to basis.

Valuations

SIL is likely to post an EPS of Rs 33 in FY10, which would further go up to Rs 38 in FY11. The support levels are around Rs 90 and thereafter at Rs 85. Investors With Long term view can look at this stock for investment with a target for 160 to 200 in 18 to 24 months.

--
Research Team, Multibaggers.in

Hindustan Zinc Limited

2010-02-06T17:54:00.005+05:30

Hindustan Zinc Limited is India's largest and world's second largest integrated producer of zinc & lead, with a global market share of approximately 6.0% in zinc. They are one of the lowest cost producers in the world . Hindustan Zinc is a subsidiary of the NYSE listed - Sterlite Industries (India) Limited (NYSE: SLT) and London listed FTSE 100 diversified metals and mining major - Vedanta Resources plc.

Hindustan Zinc's current metal production capacity is 754,000 tonnes per annum (669,000 tonnes of zinc and 85,000 tonnes of lead). The ore mining capacity stands at 7.40 million tonnes per annum. They also own 314 MW of coal based thermal captive power plants in Rajasthan to support their metallurgical operations.

Quarterly Result

Hindustan Zinc has announced its third quarter results of FY10. Its net profit increased to Rs 1,148.7 crore versus Rs 935 crore, on quarter-on-quarter basis (QoQ).

Net sales jumped to Rs 2,216.7 crore from Rs 1,789.6 crore (QoQ).

The company's trailing 12-month (TTM) EPS was at Rs 60.92 per share. (Sep, 2009).

The stock's price-to-earnings (P/E) ratio stands at 13.14.

Hindustan Zinc Will the be largest Zinc producer in the World in coming time with amount of cash reserves on its balance sheet investors can hold this stock in their portfolio for rich earnings in near future

Mundra Port & Special Economic Zone

2008-09-08T15:55:00.006+05:30

Mundra Port and Special Economic Zone (SEZ), promoted by the Adani Group, is located in Kutch District, Gujarat and is the largest SEZ of India. Spread over an area of over 100 sq km, Mundra Port and Special Economic Zone is a multi-product and large format private SEZ approved by the Government of India.

Business :

Mundra port handles dry bulk, crude and and container cargo. The port has among the deepest drafts on the west coast which makes it possible for larger ships to berth and also makes it less expensive for shipping lines. Apart from being well-located , it is also connected by rail with Inland Container Deports in(ICDs) in northern India.

The company is also developing a special economic zone over 32,000 acres along the Mundra port, of which 50 per cent is already understood to be in its possession.

The SEZ is expected to attract manufacturers that need to be located close to the port and which would benefit from the tax benefits.

The port handled much higher volumes of crude and cargo in FY08 and should continue to do brisk business.

India's biggest non-major port, the Rs 817 crore Mundra Port and SEZ was busy in FY08, putting through a volume of 28.8 million tonnes, 46 per cent higher than in FY07. That together with lease rentals of Rs 52 crore from the company's special economic zone (SEZ) pushed up revenues by about 41 per cent.

Valuations :

Mundra Port had raised Rs 1,771 crore through an initial public offering at a price of Rs 440 per share in November 2007. We estimate that the company could close FY09 with revenues of close to Rs 1,100 crore and a net profit of Rs 500 crore.

With the facilities at the port being better utilised, the operating profit margin was up 1170 basis points at 65.4 per cent. However, the net profit increased just over 12 per cent to Rs 210 crore largely because tax benefits to the tune of Rs 130 crore were reversed.

Adlabs Cinemas

2008-08-17T11:56:00.005+05:30

Adlabs Cinemas, which will be rebranded as Big Cinemas by October, has chalked out a king-size expansion plan that includes widening its presence to at least 90 cities and entering new markets overseas, including Nepal.

The company will roll out 50 digital screens in the next 30 days. Of the total 179 screens, 23 are digital as of now.

The theatre-chain, promoted by Reliance Anil Dhirubhai Ambani Group, is also pioneering a study to understand the cinema audience behaviour in collaboration with the Indian Market Research Bureau International (IMRB International). Adlabs Cinemas, which was acquired from Manmohan Shetty three years back, has already become the largest theatre chain in the country with 68 properties across 54 cities from just four properties.

Tushar Dhingra, chief operating officer, Adlabs Cinemas, said the company will have presence in 90 cities by the end of the current financial year. Adlabs will also be the first company to set up a four-screen multiplex in Nepal this financial year.

Currently, 70 per cent of Adlabs’ revenue comes from multiplexes and the balance is from single screens. Dhingra expects the ratio to change to 60:40 by next year. Adalbs recently signed up with Phoenix Mills to build the country’s largest multiplex in Mumbai, which will house 15 screens with around 4,000 seating capacity.

The move is in line with the company’s plan to increase its in-cinema advertising revenues. Currently, in-cinema advertising contributes around eight per cent to its top line; this will be raised to 10 per cent by 2009-10. The study will use the radio-frequency identification system that will track peoples’ movements in cinema halls.

On the overseas front, Adlabs is eyeing more acquisitions to enter new markets after its recent acquisitions in the US, Malaysia and Mauritius. It has 251 screens in the US, 51 screens in Malaysia and six in Mauritius.

Torrent Power

2008-08-15T13:57:00.005+05:30

Transforming Life

Introduction

Torrent Power is one of the leading brands in the Indian power sector, promoted by the Rs. 45 billion Torrent Group – a group committed to its mission of transforming life by serving two of the most critical needs - Healthcare and Power. Torrent Pharmaceuticals Ltd., the flagship company of the Torrent Group, is a major player in the Indian pharmaceuticals industry with a vision of becoming a global entity in the arena.

With an all-round experience in generation, transmission and distribution of power, and a proven track record of implementing large power projects, Torrent Power is the most experienced private sector player in Gujarat

Company Insight

Torrent’s foray into power however were the acquisitions of two of the India’s oldest utilities – The Surat Electricity Company Ltd and The Ahmedabad Electricity Company Ltd.. Torrent turned them into first rate power utilities comparable with the best, in terms of operational efficiencies and reliability of power supply.

Torrent has a generation capacity of 1647.5 MW (500 MW operational,1147.5 MW under implementation) and distributes over 10 billion units of power to annually Ahmedabad, Gandhinagar and Surat – the industrial and commercial hubs of Gujarat

And for over 1.9 million customers spread over an area of 408 Sq Kms in these cities, Torrent Power has evolved into a lifeline that continues to empower their lives-Uninterrupted.

Business Outlook

Torrent Power is setting up a 1147.5 MW SUGEN CCPP near Surat in Gujarat. Torrent’s answer to the growing demand for power, this project would be one of the first Greenfield mega power projects to be setup with LNG as the fuel. LNG has been acknowledged as the most eco-friendly fuel and also offers the benefit of lower generation cost per unit.

Distribution Franchise business is one area which Torrent Power has been aggressively pursuing as part of its expansion plans. Torrent Power created history by entering into the country’s first distribution franchisee agreement with Maharashtra State Electricity Distribution Company Limited for Bhiwandi Circle in December 2006.

With ventures in power generation, transmission and distribution. Torrent is known for its reliability and efficiency and continues to deliver enhanced value though its technology upgradation and customer care initiatives.

-- Power Generation

Torrent Power has a generating capacity of 500 MW at Ahmedabad, comprising:

- 400 MW coal based thermal power station at Sabarmati
- 100 MW dual fuel based combined cycle power plant at Vatva

-- Transmission and Distribution

Torrent Power transmits and distributes more than 10 billion units of power to around 1.9 million customers in the cities of Ahmedabad, Gandhinagar and Surat, spanning an area of 408 Sq. Km. These cities are major industrial and commercial hubs of Gujarat State.

Clariant Chemicals

2008-08-03T23:43:00.003+05:30

Despite rising input costs, Clariant Chemicals managed to record a 44 per cent increase in net profits to Rs 41.7 crore for the six months ended June 2008 (year ending is December). Net sales were up 7 per cent at Rs 466 crore.

The company has been able to increase its profits as a result of its ability to increase product prices, prune costs and benefit from a leaner organisation.

In dyes and specialty chemicals, which account for 55 per cent of its sales, the company is focussing on technical textiles, a fast growing segment expected to register an annual growth of 14 per cent till 2015.

While the company's sales of textile chemicals last year was impacted due to rupee appreciation as its customers (textile exporters) realisations came down. Margins in the second largest segment (40 per cent of sales) - intermediates and colours - though more than doubled to 14.1 per cent in the first half.

Going forward, the company is planning to focus on promoting the wider usage of safer pigments (lead/chrome replacement) and the usage of fluro chemicals and coating based products in the technical textiles segment.

With rupee showing some signs of weakening in 2008, the same should also prove beneficial for Clariant. At Rs 230 and considering annualised CY08 earnings of Rs 17.14, the stock is attractively priced at 13.5 times.

Castrol India

2008-08-03T23:31:00.005+05:30

It's More Than Just Oil. It's Liquid Engineering

Strong brands, technologically advanced products and customised offerings among others have helped Castrol’s sales and net profits grow at a CAGR of 13.4 per cent and 19.3 per cent in the last three years, even as volume growth has remained muted.

The muted volume growth is mainly due to a shift in consumer preference towards high-tech products, especially in the auto lubricants where Castrol enjoys a market share of 21 per cent.

For instance, companies like Tata Motors have changed oil drain specifications for their commercial vehicles (CVs) for engine oils (doubled to 36,000 kms) and lubricants (increased to 72,000 kms), thus reducing the frequency of changing these consumables.

While this means lower consumption, it also means increased use of technologically superior products that support longer running of vehicles and hence higher realisations for lubricant manufacturers.

Technological advances in passenger cars have also meant increased demand for high-tech products. This is positive for Castrol, which has access to its UK parent’s R&D.

The company has already entered into tie-ups with players like Volvo, Ford and Audi (cars) and Tata Motors (CVs), besides being the exclusive ‘first fill’ lubricant for Tata Motors’ Nano.

Going forward, with India adding a million cars and UVs and over six million two-wheelers every year, demand for automotive lubricants will remain healthy. Increasing spends towards infrastructure and industrial capex also point to robust demand for industrial lubricants.

While concern over the surge in base oil prices exists, Castrol has raised prices in the past to offset the increase. The cut in import duty by half to 5.13 per cent on base oil in June 2008 also provides respite.

Overall, Castrol’s revenues and profits are seen growing at 10-15 per cent annually over the next two years. At Rs 258.70, the stock trades at 12 times its CY09 (December ending) estimated earnings and can deliver 18-20 per cent in a year.

ICSA ( INDIA ) LTD

2008-08-01T20:22:00.005+05:30

Company Profile :

ICSA, a Hyderabad-based solution provider in power distribution segment, supplies customized products for power utilities in the filed of energy management, energy audit and control, data acquisition system using GSM technology. ICSA offers products like intelligent automatic meter reading, distribution transformer monitoring system, agriculture load management etc.

ICSA has diversified into Oil & Gas sector, where it provides solutions for Checking pipeline spill offs, corrosion etc. It does EPC work for the distribution sector but is fast consolidating as a technology solution provider.

Quarterly Results :

ICSA’s Apr-Jun 2008-09 results were above the estimates, with revenue growing 13.8 per cent over Jan-Mar 2007-08, which is seasonally the strongest quarter. Revenue posted for the quarter is Rs 240 crore, EBIDTA at Rs 61.9 crore and PAT at Rs 40.4 crore.

Business Outlook :

ICSA’s order book at the beginning of the fiscal stood at Rs 900 crore and out of the order pipeline of Rs 1,350 crore, it has bagged order worth Rs 225 crore taking its order book to over Rs 1,000 crore. The current order book stands at 1.68X FY08 revenue.

ICSA has been awarded permission by the board of non- conventional energy development corporation of Andhra Pradesh to set up a 20 MW capacity wind power project in Anantpur, Andhra Pradesh and is in the process of setting up wind farm, later which it would enter into the power purchase agreement with DISCOM. However the brokerage has not accounted for capital expenditure for the said project as well as revenue and tax benefits accruing out of it, for their 2008-09 estimates.

ICSA has secured patent registration for two of its designs, automatic meter reading apparatus protector for pipeline for Oil & Gas.

Valuations :

The revised upward revenue estimates for 2008-09 by 15.62 per cent to Rs 1,155 crore.

At the market price of Rs 312 , ICSA is trading at 8x FY09E EPS of Rs 41.6.

OnMobile Global

2008-07-23T19:36:00.004+05:30

OnMobile is India’s largest white labeled VAS company for Mobile, Landline and Media Service Providers. They offer telecom Value Added Services (VAS), Voice portals, RingBack Tones, mobile content aggregation & distribution, interactive media portals, mobile advertising, 1-to-1 direct marketing on mobiles and M-Commerce.

The current suite of VAS offered includes:

RingBack Tones – live with over 27 million active users; integrated with Nokia, Siemens, Ericsson, & Huawei MSCs. Provisioning via SMS, IVR, WAP and Web.
Voice Portal & WAP – RingTones, Music Jukebox, Sports, Jokes, Horoscopes (incl. live astrologer), Contests, Radio FM-on-mobile, Musicards, karaoke, Contests, M-Radio, etc.
On-Device Portal & handset client with phone backup, for Nokia, Star, Planet Hutch & Yahoo. Deployed with Vodafone, Orange, France Telecom, T-mobile, Telstra, Vimpelcom, Turkcell
Mobile Marketing and Corporate – Email, Corporate mobile portals, Vertical market solutions, Mobile m-advertising & promotions
M-Commerce – ticketing, lead generation, direct marketing, m-coupons
Media Portals & Interactive TV programming – Star, Sony Idol, ESPN, MTV, Yahoo, V Channel
In-Call Network Solutions – Missed call Alert, Dynamic VoiceMail, Sponsored Call, Voice SMS
Core Business Support – prepaid topup, bill payment, auto dialer
3G applications and VAS – location based, music and video streaming

ShareHolding Pattern:

Foreign Holdings - 20.11
Govt. / Financial Institutions - 3.61
Corporate Bodies(not covered above) - 4.82
Directors and their Relatives - 57.23
Other including Indian Public - 14.23

Valuations:

The domestic wireless subscriber base is likely to go up to 500 mn by 2010 from current 270 mn, thus implying a CAGR of 38.6% over FY08-10E. Since the business of the company is directly correlated to the wireless subscriber growth numbers, the above growth rate for the industry would prove to be a key catalyst for the future growth of the company. The company has been able to grow its Revenue & PAT by CAGR of 85.6% & 62.6% respectively over a period of FY05-08. Even though the absolute growth rate may be lower than the historical growth rate, it is likely to remain strong going ahead. At the CMP of Rs.536, the stock is trading at a 48.8 x its FY08 EPS of Rs.10.5 and M.Cap/ Sales of 11.2. The stock may continue to attract premium valuation due to its strong revenue & profit growth.

Petronet LNG Ltd

2008-05-27T18:37:00.004+05:30

Potential Growth........

Company Insight:

PLL was incorporated in the year 1998, and 50% of initial contribution to total paid up capital was made by BPCL, GAIL, IOC, ONGC and the balance paid up capital was subscribed by individuals.

The sphere of PLL’s encompasses import and regasification of Liquefied Natural Gas (LNG), by developing LNG terminals in the different parts of the country.

PLL started imports of LNG in January 2004, when it received its first cargo at Dahej LNG terminal. During FY07, Dahej terminal operated at 118% capacity utilization,
where 12 additional spot cargoes were regasified over and above the contracted LNG
supplies from RasGas.

Investment Rationale:

With a support from Navaratna PSUs like ONGC, GAIL, IOC and BPCL and robust domestic demand growth of LNG, PLL has outperformed during the last 3years in terms of revenue growth.

Due to guaranteed support from the PSU promoters, the company has entered into a long term Gas Sales Purchase Agreement (GSPA) with GAIL, IOC and BPCL for supply of re-gasified LNG for a period of 25yrs.

Business Overview:

The company is one of the established players in the global LNG market and controls a quarter of the India Market. Accordingly looking at growing demand of gas from the sectors like steel, chemicals, petrochemicals, glass, ceramics, refineries and city gas, the company has decided to expand its current capacity of Dahej and Kochi to twofold by the end of 2010.

Further, the company is going to be benefited by the Govt’s move of giving stress on using spot LNG instead of costly naphtha as fuel and feed stock to the major gas users like power and fertilizers. Company’s main business encompasses Sales and Purchase of LNG, hence the business model is basically based on a back-to-back long term purchase and sales agreement for a period of 25yrs.

Financial Analysis:

The growth in Net sales was mainly due to increased volumes and better realizations. The Volume sales for FY08 increased to 321.85 trillion British thermal unit (tBtu) as compared with 290.28 tBtu during FY07.

In addition to this, PLL is also expecting to earn marketing margins on some of it spot cargo deals, depending on the price it negotiates with the LNG supplier and the price off-takers are willing to pay. The global regassification capacity is expected to be three times the liquefaction capacity in the next decade, which would lead to a sharp rise in LNG prices and thus take away the cost benefits for end users.

With the strategic expansion plan at Dahej and Kochi LNG terminals and continuous growth in demand we estimate PLL to cross Rs1,07,975.5 mn revenue with the CAGR of 29.5% by the end of FY’10.

Valuations:

We believe that the company’s future performance is mainly dependent on the spot volumes, for which company has started expansion of Dahej LNG terminal. The company has planned to finish its expansion plan at Kochi by the end of 2010 and commence the operation by FY11.

As a part of forward integration, company’s step to diversify its business into gas-based power generation by setting up 1,000 MW gas based power project at its Kochi terminal, will add value to it’s existing business.

Further, the back-to-back sales agreement with the Navaratna PSU’s is making PLL to operate in high inventory turnover in future, which requires less working capital requirement. Looking at future prospect of the PLL’s expansion plan and new venture in gas based power business makes the stock attractive Investment.

Voltas Ltd

2008-05-26T12:30:00.006+05:30

Comforting prospects

Company Insight:

Voltas offers engineering solutions for a wide spectrum of industries in areas such as heating, ventilation and air conditioning, refrigeration, electro-mechanical projects, textile machinery, machine tools, mining and construction equipment, materials handling, water management, building management systems, indoor air quality and chemicals.

Stock Outlook:

Strong demand for its products and services, improving margins and growing order book augur well for Voltas.The last few years have seen Voltas Limited report strong growth in revenues and improvement in profitability, led by strong demand from user industries as well as the company's efforts.

Notably, Voltas is expected to report robust growth in all its three business segments and also sustain profitability, if not improve further, going forward.

Voltas' good prospects are well supported by increasing investments by user industries in the West Asian markets as well as in India. This should enable the company achieve its targeted annual growth of 35-40 per cent over the next few years.

EMPS: On solid footing:

The biggest revenue contributor is electro-mechanical projects and services (EMPS). This division undertakes MEP (mechanical, electrical and public works) and HVAC (heating, ventilation and air-conditioning) contracts; the latter is a part of MEP.

Among HVAC and MEP projects executed (jointly or solely) include the $227 million MEP contract for Burj Tower, Dubai (world's tallest building), $101 million MEP project for Emirates Palace Hotel in Abu Dhabi, $40 million MEP project for New Hong Kong Airport and HVAC projects for ITC Hotel (Lower Parel, Mumbai) and new Hyderabad International Airport, among many others.

For year ended March 2008, the company saw its order book (largely pertains to the HVAC and MEP business; 95 per cent of total orders) rise 101 per cent to Rs 4,872 crore, of which, international orders accounted for Rs 3,787 crore.

In India, too, there are huge opportunities in HVAC and MEP, which some analysts estimate at Rs 40,000-45,000 crore over the next five years. These would come up on the back of investments planned in sectors like IT and IT-ES, retail, airports, SEZs, hospitality and telecom, among others.

Others: Healthy prospects:

In engineering products and services (18 per cent of segment revenues), which is a combination of in-house manufacturing (70 per cent) and agency commission (30 per cent), Voltas sells equipment to users in the mining and construction, material handling and textiles sectors.

The unitary cooling (air-conditioners, water coolers, commercial refrigeration) products business, which accounted for 27 per cent of revenues, grew by a robust 37.3 per cent in FY08. Notably, it has reported a turnaround as profits grew from Rs 9.9 crore in FY07 to Rs 54 crore in FY08, helped by price rationalisation (including shifting of production to tax-free zone) and improved efficiencies.

Investment rationale

The order book size, which is nearly three times FY08 revenues of electro-mechanical projects business, reflects strong revenue visibility. Given the prospects of the other two businesses, Voltas should achieve its targeted annual growth of over 35 per cent for the next three years. And, profits should grow at similar pace, if not more.

The other trigger could come in the form of an announcement pertaining to its 32-acre land in Hyderabad, which should happen over the next six months. At Rs 158.30, the stock trades at a PE of 14.7 based on FY10 earnings and, can deliver 25 per cent returns over the next one year.

Bartronics India Ltd

2008-05-01T12:29:00.004+05:30

Bartronics India Ltd

Background:

Bartronics is a Hyderabad based company that started with providing solutions in Bar Coding, one of the oldest AIDC technologies, RFID, POS, Smart Cards working as AIDC division, RFID division, Smart Card Division and Retail-IT division in separate.

Bartronics is well placed to capture the new opportunities provided by the requirements of the industry and specific applications within an industry with respect to the AIDC/RFID/Retail/Smart Cards related initiatives.

Company Insight:

Bartronics India Limited (Bartronics) enables businesses to gain real-time visibility, control and information through the effective evaluation, implementation, integration and support of Automatic Identification & Data Capture (AIDC) technologies, RFID, Smart Cards and Point of Sale (POS) solutions.

Technology:

Smart Cards
Bar Codes
Biometrics
RFID
RFDC
EAS
Point of Sale

Products:

AIDC
RFID
Handheld Terminals
Printers
Scanners

Latest Quarterly Results:

The company reported a 260.82 per cent increase in net profit to Rs 16.42 crore and 309.9 per cent surge in net sales in Q4 March 2008 over Q4 March 2007.

Shareholding pattern:

Foreign Holdings - 23.17
Govt. / Financial Institutions - 7.65
Corporate Bodies(not covered above) - 7.51
Directors and their Relatives - 38.94
Other including Indian Public - 22.6

INOX Leisure

2008-04-28T12:21:00.003+05:30

Watch Movie With Luxury

Background:

INOX Leisure Limited is the diversification venture of the INOX group into entertainment and is a subsidiary of Gujarat Flurochemicals Ltd. INOX Leisure’s mission is to be the leader in the cinema exhibition industry, in every aspect right from the quality and choice of cinema to the varied services offered and eventually the highest market share.

Company Insight:

INOX currently operates 22 multiplexes and 76 screens in 17 cities making it the only national multiplex chain.

Its merger with CCPL (89 Cinemas), gives INOX access to an additional 9 multiplexes in West Bengal and Assam.

INOX is also in an alliance with the Pantaloon Group - a partnership that provides INOX preferential access to all real estate developments, which Pantaloon takes up for its retail chain. The properties acquired through this alliance will be in addition to the properties that INOX has locked in on its own, thus exponentially increasing its reach across India.

Shareholding pattern:

Foreign Holdings 7.11
Govt. / Financial Institutions 0.06
Corporate Bodies(not covered above) 11.55
Directors and their Relatives 66
Other including Indian Public 13.3

Current News:

INOX to spend Rs 500 cr to double properties by 2010.

UTV Software Communications

2008-02-19T00:57:00.004+05:30

Business .... Truly Diversified

Incorporated in 1990, UTV Software Communications Ltd has today emerged as one of India's leading Media & Entertainment companies.

The Company grown from a Television Production house, into an integrated media company with interests in Motion Pictures, New Media that includes Animation and Gaming, Television Content and Broadcasting. UTV has a strong international presence, with offices across Asia, UK and USA.

Business Units :

- Movies

- Interactive
- Television
- Broadcasting

Financial Highlight's :

Even without the dilution, the stock was trading at an expensive 28 times FY09; post the dilution, the multiple becomes 40 times higher, even though the company will earn through other income from the cash inflows.

While revenues could grow at 45-50 per cent over the next year touching Rs 650 crore plus in FY09, the pace of earnings growth will be slower.

In FY07,UTV’s operating margin was 8.5 per cent but is expected to average 20 per cent over the next few years as the business scales up.

Business Outlook :

UTV has a track record of creating good quality content and has collaborated with big directors to come up with hit films. It has shown aggression while making acquisitions for its gaming business.

However, the film business does involve risks even if UTV is de-risking the model by procuring a variety of rights and even though a portfolio approach could cushion losses.

Besides, the broadcasting business has a long way to go with 10 channels to be launched and could keep profitability under pressure for some time.

Mahindra & Mahindra Finance - Mahindra Finance

2008-01-19T22:48:00.002+05:30

The Financial Hub

Introduction :

A subsidiary of Mahindra & Mahindra Limited, we are one of India’s leading non-banking finance companies. Focused on the rural and semi-urban sector, we provide finance for utility vehicles, tractors and cars and have the largest network of branches covering these areas.

Products & Services :

It provide financial loans to tractors, utility vehicles, light commercial vehicles, cars, two wheelers, three-wheelers and used vehicles.

Our services include Mutual Fund distributions and financial advisory services.

In May 2004, as a supplement to our lending business we started an insurance broking business through our wholly owned subsidiary, Mahindra Insurance Brokers Limited (MIBL).

Financial Highlights, 2005-06 :

Total assets grew by 59% from Rs.3,115 crore on 31 March, 2005 to Rs.4,951 crore on 31 March, 2006

Cumulative number of customer contracts increased by 39% from 336,819 in 2004-05 to 467,977 in 2005-06

Total income grew by 47% from Rs.405 crore in 2004-05 to Rs.596 crore in 2005-2006

Profit after tax (PAT) grew 32% from Rs.82 crore in 2004-05 to Rs.108 crore in 2005-06

Capital Adequacy Ratio increased from 17.8% to 18.2 % in 1991 to 41% in 2001 (Census of India 1991 and 2001)

Business Outlook :

Mahindra Finance has already started distributing insurance products in rural and semi-urban India through its subsidiary Mahindra Insurance Brokers Limited.

It have also recently commenced our mutual fund distribution business and are exploring opportunities of entering housing loans and personal loans in rural and semi-urban markets.

It believe that the growth of our interactive, people-driven business model depends on the building of strong, long-term personal relationships.

New Delhi Television Ltd - NDTV

2008-01-06T14:03:00.001+05:30

The Indian Media Moghal

New Delhi Television Limited (NDTV), founded in 1988, is India's first and largest private producer of news, current affairs and entertainment television.

NDTV is home to the country's best and brightest reporters, anchors and producers; 23 offices and studios across the country host India's most modern and sophisticated production and newsgathering facilities.

At home, NDTV 24X7, the flagship English news channel is the market leader with an unrivalled reputation for excellence.NDTV India, the company's 24-hour Hindi news channel, is respected for its integrity and commitment to real journalism.

NDTV Profit, a 24-hour business channel, has established new standards for simple, clear and transparent reporting on the world of business.

NDTV has launched its first channel outside India in partnership with Astro, a leading South East Asia media group. "Astro Awani", launched in Indonesia, is a 24 hour news, infotainment and lifestyle channel.

Group Interest : ( NDTV )

NDTV subsequently launched NDTV Profit which focuses on business news. NDTV also has plans for a general entertaintement channel, NDTV Imagine

NDTV has decided to enter into an agreement with Astro Broadcast Corporation Ltd. that proposes to establish a joint venture company to set up and broadcast 24-hour channels in South East Asia.

NDTV 24x7 is available in the UK on the Sky Digital platform, in the US on DirecTV, and throughout other parts of the world, such as the Middle East, through various platforms and providers.

NDTV is also available in Australia and New Zealand on the Vision Asia platform. Business process outsourcing company Genpact (formerly GE Capital International Services) and broadcaster NDTV have announced a 50:50 joint venture to offer media outsourcing services to enterprises worldwide in areas such as editing, digitisation and closed captioning.

NDTV Ltd. is also listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) with the stock symbol NDTV.

NDTV 24x7 and NDTV India are the only two Indian news channels which are broadcasts live on Worldspace Satellite Radio within India.

NDTV is currently in working with Dharma Production's Karan Johar to launch a new 24-hour general-entertainment channel called NDTV Imagine under the NDTV banner.

In August 2007, NDTV announced the launch of its first lifestyle television channel NDTV GOOD TIMES in alliance with UB Group. The channel features ACTVE Cooking, a round the clock cooking recipes and demonstrations along with tips and trivia on television exclusive for TATA Sky customers.

In September 2007, NDTV announced the launch NDTV Arabia, a 24-hour news and infotainment channel that will mark its entry into the Middle East and North Africa region. Also the same month, NDTV launched NDTV MetroNation, India's first English city channel.

NDTV Group is set to bring four channels on air in September, Including Astro Awani, a news cum infotainment channel in Kuala Lumpur for joint venture partner Astro, a channel for the Middle East, and Metronation. NGEN Media Services is a joint venture with Genpact with a 50 seat functioning centre.

NDTV Channels :

NDTV 24x7
NDTV India
NDTV Profit
NDTV Imagine
NDTV GOOD TIMES
NDTV Metro Nation
NDTV Arabia

The Stock is the best investment bet in the electronic Media Space. It is Expanding it business by launching new channels & programs.

The stock is long term mulitbagger with Upside of nealy 60 % in coming 3 to 6 months.

Reliance Industrial Infrastructure Ltd

2007-12-31T01:44:00.001+05:30

Reliance Industrial Infrastructure Limited is a Reliance Group Company.

Activities

The Company, is mainly engaged in the business of setting up / operating Industrial Infrastructure. The Company is also engaged in related activities involving leasing and providing services connected with computer software and data processing.

The Company has set up a 200-millimetre dia twin pipeline system from the Refinery of Bharat Petroleum Corporation at Mahul, Mumbai, for transporting petroleum products like Naphtha and Kerosene to the Petrochemical Complex of Reliance Industries Limited at Patalganga.

It has also erected and commissioned facilities, such as -

(i) Supervisory Control and Data Acquisition (SCADA) system
(ii) Cathodic Protection system for the above pipeline system

It has also constructed -

(i) Jackwell at River Tapi and an 18-kilometre long 1200-millimetre dia Raw Water Pipeline System in Hazira.
(ii) 70000 kilolitre petrochemical product storage cum distribution Terminal at Jawaharlal Nehru Port Trust Area in Nhava Sheva, Uran (Raigad District) in Maharashtra.

The Company has acquired and deployed various construction machinery on hire for use at various construction sites all over India.The Company has its operations in the Mumbai and the Rasayani regions of Maharashtra, Surat and Jamnagar belts of Gujarat as also at other places in India.

Pyramid Saimira Theater ltd

2007-12-31T01:05:00.001+05:30

Pyramid Saimira Theater ltd -- Entertainment & Beyond....

PSTL belongs to Entertainment Industry (Starting with Exhibition Industry) & ITES (Information Technology Enabled Services)

PSTL is currently the only Theatre Chain Company having presence in all categories of theatres including Malls, Multiplexes, Cine-plexes, & Standalone theatres. PSTL has acquired / has been acquiring Theatres on long lease / ownership and improves the infrastructure to bring at par with world-class standards to offer high quality viewing experience.

PSTL is setting up an integrated Network Operating Center (NOC) which will convert films into Digital, Transmit these films using Satellite medium to various theatres across India in a secured encryption mode. Using Digital rights management PSTL will exhibit the films and other contents in digital mode without physical film prints. This will save Rs.60,000 - Rs.70,000 (approximately USD 1.45K) per movie per theatre and approximately save Rs.20.00 Lakhs(USD 45K) per theatre per annum.

PSTL converts existing theatres into Digital. This conversion has started from Theatres at B & C class centers, which enables new film release at these centers too, without Film print cost. This will also effectively kill Pirated CD market as new films can be released across many places simultaneously, which are not the case today.

Digital theatres will also function as delivery medium for other entertainment content, as well as educational centers including video conferencing, virtual class rooms etc. One can see Cricket match live, have refresher course, say medical entrance exam in these theatres.

PSTL is positioning a standardized process management for Exhibition segment and this Digitalization and centralization of various facilities will enable the company to Franchise out a standard model to B and C category centers for additional exploitation of content.
The presence of having a wide infrastructure with points of presence across all consumption points will enable PSTL to offer value added services like retail points, advertisement promos, etc. and open up multiple revenue streams.

The company has already created and operating a theatre chain of approximately 126 theatres. The company has done deep background work and has also got trained manpower to add in its network one theatre a day.