Stock Updates

Waterbase Recommended at Rs 49  on 31st march,2015 and currently trading at 161.30(more than three times,reached a high of 176.90 on 15th October,2015 )
Recommended to sell one third of the quantity bought and hold rest 2/3rd  as profit.

Sunil Hi tech Recommended at Rs 150 Currently trading at 300.85,can sell half of it to cover investment and hold rest half as profit.

Anil Limited Recommended at Rs 200 Currently trading at 274.10(Appreciation of 37.05%)
Recommended to hold

Shilpi Cable Recommended at Rs 50,Currently trading at 66.55,Recommended to hold

Jindal Stainledd Recommended at Rs 41,Currently trading at 47.Recommended to hold

Munjal Auto Recommended at rs 75,Currrently trading at Rs 85.Recommended to hold.

Nikhil Adhesive Recommended at rs 33.5,Currently trading at rs 38. Recommended to hold

Nitin Fire Recommended at rs 36.5,Currently trading at rs 41.20. Recommended to hold

Roto Pumps Recommended at rs 83.75,Currently trading at rs 76. Recommended to hold

Narmada Gelatine Recommended at rs 145,Currently trading at rs 159.30. Recommended to hold

Recommended to hold other shares too.

TORRENT CABLES

BACKGROUND

-Part of multi faceted Torrent group which includes Torrent Pharma,Torrent Power

-Cables market can be broadly classified into telecommunication cables,house wire and cables and power cables.Power cables is mainly used for conveying electricity in power transmission and distribution network.

-Torrent cables is One of the market leaders in HT(HIGH TENSION OR HIGH VOLTAGE) POWER CABLE SEGMENT with manufacturing capabilty of upto 132 KV XLPE (Cross linked polythene)CABLES
Low tension,High Tension and PVC cables

-Clients include State Electricity Boards,Private Sector,Corporate companies etc

-Products includes HT,LT,EHV ower cables and control cables.
75% of company revenues come from High tension Cables and 25% of revenues come from Low Tension cables

Positives/Opportunies

-Future outlook looks bright with all time high order book as on 31st march,2015

-Launch Of deen dayal gram jyoti yojana of 43000 crores for rural areas augmention the transmission and sub transmission distribution infrastructure

-Approval of IPDS (Integrated power development scheme) of 32000 crores  for urban areas involving strengthning of sub transmission and distribution  infra.

-Identification of Power sector as a key sector and Power for all initiative



Recommended at current market price of 158

Lycos Internet /Ybrant Digital Value Pick Share

Background

-Ybrant digital offically named Lycos Internet,one of the first search engines on the world wide web.

-Pioneering in intelligent spidering search techonolgy

-Has three major divisions

-LYCOS Media-: which involves a network of websites lycos.com,tripod,angelfire,Gamesville,WhoWhere and LYCOS mail,have 40 local sites in 120 languages with a community spanning across 170 countries.

-LYCOS Advertising-:Services businesses,agenecies and online publishers worldwide in meeting their digital marketing needs.Clients includes MTV,Samsung,Viacom,Maruti Suzuki,Airtel,sony,Coca Cola,Star India,Lenovo,ING,British Airways,Qatar Airways,titan,Unilever,P&G,Hyundai Motors,Icici bank,LIC and ITC.
Serves 35-40 billion impressions across the globe

-LYCOS Life Dedicated to future of communication and Information in which everyday objects will be connected to Internet  also known as 'Internet of Things'.

Innovative products LYCOS Band and LYCOS Ring which does wireless tap to transfer functions,unlocks the phone with just a tap,pedometer ,calorie counter etc.
 and innovative service like LYCOS TV and ONETAG initated by LYCOS Media.

-Employs 500 people in 24 offices worldwide.

POSITIVES

-Revnues have increased from 35 crores in 2006 to 1650 crores in 2015(that's Something)

-LYCOS has established a relevant presence in Global digital marketing eco system which includes Affiliated with 2000 plus advertisers,140 plus agencies, Owned publishing network 28 million unique visitors per month.

-Complementary services based on In-house technolgies which includes Digital Media Planning and buying Customisable applications and Widget and Search optimization support and Managment.

Negatives/threats

-Rapid Technological entails huge capital investment and jeopardise business sustainability.

-Business can be affected by Privacy legislations and Regulations

-Enhanced Competition in US markets may squeze revenue and Margins


Highly Recommended at current price of 26.40

Wonderla Holidays Valuepick Share Multibagger

Background

-Company was founded in the year 2002 and promoted by V guard Industries promoters Mr. Chittilapilly
-Owns and operates two amusement parks in Kochi and Bangalore Respectively
-Planning to start a new park in Hyderabad 
-More than 1 Crore visitors till now in Kochi since 2000 and more than 75 lakhs in Bangalore since 2005

Positives

-Inhouse Manufacturing facility of Rides in Kochi gives a cost effective competitve edge over others thereby increasing profit margins

-Ample Land parcels available with the company which can be fruitful for further expansions
81 acres in Bangalore 93 acres in Kochi and 49 acres in Hyderabad
gives them an edge over new players since land acquisition for developing is a very expensive process now.

-Rise in disposable income among youth and Positioning of parks as tourist destinations like Disneyland etc basically a holiday destination rather 'one day outing' will be a driving factor  

-Turnover has increased from 91 crores in 2011 to 192 crores in 2015


Negatives

-Very Capital intensive industry and Long gestation period 

-Continuous investment  needed in branding and marketing efforts to avoid brand dilution

-Competition and Concentrated revenue stream Since Revenue mostly depends on entry tickets a  reduction in entry price by a competitor will affect its sales as well although there are currently no large parks operational in bangalore and Kochi.


Recommended at current price of 275

Anil Limited Value pick Multibagger

Background

-Pioneer in Corn wet milling business with 70 years of experience
-Products include Native strach,chemical starch,Modified starches,liquid glucose,corn syrup and sorbidol.
-Caters industries including textile,paper,food and beverages,pharmaceuticals and chemicals.

POSITIVES

-New product development including coating grade starch,binder for mosquito coil,coke briquette binder,instant laundry starch,high temperature resistance starch for oil drilling

-Client list includes big heavyweights of industry Heinz,Cadbury,Proctor & gamble,Nestle,Hindustan lever,Parle,Ravalgon,ITC,Coalgate,Arvind mills,Century textiles,etc

-International markets include middle east,japan,sri lanka,south afric etc

-Sales have increased to 824 crores

NEGATIVES

-High debt is a big concern for this company 





Recommended only for high risk investors at current price rs 200

Roto Pumps Valuepick Multibagger

Background

-Founded in the year 1968 by Ram Ratan Gupta to manufacture progressive capacity pumps
-Manufacturing processes in the field of metal cutting and rubber processing.
-Expanded its manufacturing base in Noida on 20000 sq meters land TRIPLING the company's capacity.
-Overseas warehouses and Marketing offices in Australia,UK,Germany.

POSITIVES

- Pumps are needed by many industries from waste water to oil and gas and Paper,Construction,food and beverages to shipping and many more.

-therefore its directly linked with the above industrialization and infrastructure development

-Ganga Revival Plan will be a big opportunity for the industry

-Set up of 100 smart cities and home for all by 2022 again will be a plus

-With the startup of German and US Subsidiaries Export markets will be in focus and expansion plans will be ongoing there providing opportunity to grow

-Export Sales have increased though domestic sales have come marginally down due to lower spending by government but Oil and Gas and Ma

ring and Naval Expansion and upgradation will be beneficial in future for Roto Pumps

NEGATIVES

-Threats from Competition have significantly affected sales and margins

-Cheap Imports from China and Overseas affecting sales

-Exchange rate fluctuations affects the margins as well Since major sales compromises of exports only.

Recommendation

Highly recommended at current market price of 76 rs.

SHILPI CABLE TECHNOLOGIES LTD- a Value Pick Share Multibagger

BACKGROUND

-Part of 30 years of Shilpi Group founded in the year 2006

-The product range include cables,copper wires,wiring harnesses,cable accessories.

-Catering to Automotive,telecom and consumer durable sectors

-Engaged with E&Y for it's growth plan

POSITIVES

- New Capacities in Aurangabad,bahadurgarh and hosure operational,Revenues will get a substantial boost from these capacities.

-Company has started exports also to south america,africa,middle east and south east asia.

-Launching a initiative in B2C Segment for house wire and switches which will give to revenue boost

-Mobile Penetration is increasing and so is data consumption it will be imperative for telecom companies for solutions to address and capacity issues which is crucial for company's growth

-Vehicular production is increasing every year inturn consumption of domestic components is driven which is a growth opportunity for the company supplying cables

THREATS NEGATIVES

-Slow down in the economy is a major threat since its market is consumer companies driven.

-Ever increasing input costs for wire and cables 

-Although promoters have increased their share holding but they have pledged 78% of their shares which can have a negative impact on its share price.

CONCLUSION

Very good at cmp of 50.20 right now for high risk investors only.