Sensex
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I called only for ID short. One should look to cover soon as per RA. Market remains LONG w/ Sl 5335 spot as of now
Any reason for market 2 fall ?
Exit calls have been given by some brokerages. Be cautious.
Exit or begin trading and let go in case of falls below 5ema.
Cues indicate a downward pull.
RT's can short nifty on a suitable signal. Purely ID only, for those holding long positions.
Presently Nifty on upward thrust
Any reason for market 2 fall ?
Exit calls have been given by some brokerages. Be cautious.
Exit or begin trading and let go in case of falls below 5ema.
Cues indicate a downward pull.
RT's can short nifty on a suitable signal. Purely ID only, for those holding long positions.
Presently Nifty on upward thrust
Any reason for market 2 fall ?
Exit calls have been given by some brokerages. Be cautious.
Exit or begin trading and let go in case of falls below 5ema.
Cues indicate a downward pull.
RT's can short nifty on a suitable signal. Purely ID only, for those holding long positions.
Presently Nifty on upward thrust
Exit calls have been given by some brokerages. Be cautious.
Exit or begin trading and let go in case of falls below 5ema.
Cues indicate a downward pull.
RT’s can short nifty on a suitable signal. Purely ID only, for those holding long positions.
Presently Nifty on upward thrust
City Union Bank recently proposed to raise Rs 300 crore through a QIP. The successful completion of this issue will not only raise City Union Banks book value, but also raise the CAR, allowing it to grow it's loan book by atleast Rs 2000 crore leading to a quantum jump in the Asset size under it's management. Given the markets fancy for private sector and a consequent higher Price To Book Value, roughly 2.5 times BV of FY12 the stock should trade upwards of Rs 55 to Rs 60, a near doubling in valuations over 2 years. Recently we met with City Union Bank's (CUB) management to update ourselves on the bank's status on business growth, profitability and asset quality. Key takeaways of the discussion are as follows.
• The bank's management plans to add 60 new branches in FY11: CUB's management plans to open 60 branches in FY11 with a focus on northern India region. During FY05-10, the bank reported 10% compounded annual growth in branch network expansion. • Robust growth in business: • Healthy margin: • Asset quality; a comfort zone: Safe Harbor Statement: Some forward looking statements on projections, estimates, expectations & outlook are included to enable a better comprehension of the Company prospects. Actual results may, however, differ materially from those stated on account of factors such as changes in government regulations, tax regimes, economic developments within India and the countries within which the Company conducts its business, exchange rate and interest rate movements, impact of competing products and their pricing, product demand and supply constraints. Nothing in this article is, or should be construed as, investment advice. |
Presently Day charts seem good for
Market expected to be extremely sideways, as of now.
Presently a long push seen…..
Aurobindo Pharma: Going Strong; Going For Growth
We spoke to the Aurobindo Pharma (ARBN) management to get an update on the biz. Besides robust sales growth and operating leverage upside, we expect further progress on supply deals for global markets in FY11. Concerns over debt and equity dilution also appear overdone. Given these and 30% EPS CAGR (FY10-12E), it looks attractive at 9xFY11E EPS and due to re-rate. Buy. Strong FY11 despite Higher Overheads — We expect a scale-up in supply to Pfizer (esp. in Europe) and growing traction in own global operations to drive growth and margins, despite higher overheads on the SEZ (Rs150m/qtr) & CRAMS (Rs100-150m) Execution of some pending orders (1bn tablets on capacity choking at Unit III) would lead to a strong 1Q and, while 2Q may be subdued (overheads on new SEZ), 2H should be healthy, as SEZ sales pick and tax benefits accrue. to make some progress in an effort to gain more large partners. It is in talks with 2-3 global players for similar (albeit at a smaller scale) tie-ups and believes this could bear fruit soon. This would not only add to revenues but also reduce dependence on Pfizer, providing more comfort to investors. further as cash flows & net worth rise. The FCCBs due in Aug 10 (US$23m) are in the money & would add to equity (2.2m shares) on conversion. The FCCBs due in May 11 are out of the money & may see an outflow (cS$200m), if not converted. ARBN will be able to redeem these, if needed, thru internal accruals & an ECB (US$125m) it intends to raise soon. Equity dilution risk appears low. Capex would be limited from here on (cRs5-5.5bn over FY11-12E) & largely funded internally. our coverage universe – an offshoot of its checkered track record & B/S concerns. With the latter receding & clear signs of sustainable earnings momentum, we believe it is only a matter of time before it re-rates to a higher range. Safe Harbor Statement: Some forward looking statements on projections, estimates, expectations & outlook are included to enable a better comprehension of the Company prospects. Actual results may, however, differ materially from those stated on account of factors such as changes in government regulations, tax regimes, economic developments within India and the countries within which the Company conducts its business, exchange rate and interest rate movements, impact of competing products and their pricing, product demand and supply constraints. Nothing in this article is, or should be construed as, investment advice. |