* Haldyn Glass (Rs.16.70) which was recommended at Rs.12/13 level recently has reported encouraging results for the June 2012 quarter as net profit jumped by 48 % Rs.7.24 crore on sales of Rs.42.78 crore. Operating margins improved from 24.5% to 30.2% while net profit margins improved from 12.33% to 16.92%. The margins of the company are the best in the industry. Stock is cum dividend and investors can continue to hold this stock or even accumulate on dips for decent long term
growth.
* Hind Rectifier (Rs.43.60): Seeing to the nature of business & execution cycle of business investors should not see quarter to quarter in this business. Its 1st quarter profit is down Investors can take this opportunity to accumulate this stock on dips. Management has confidently given better outlook in the recent AGM and projected sales of Rs.150 crore with net profit of around Rs.14/15 crore barring unforeseen circumstances.
* Modison Metals (Rs.41) has projected sales of around Rs.200 crore in the recent AGM though profit margins are likely to remain in pressure till we see a pick-up in the economy. Investors can continue to hold this stock. Near-term trigger in the stock is the technology & financial tie-up with strategic investors, which is likely to rerate the stock whenever that happens.
* Premier Ltd. (Rs.70.15) has reported good improvement in the 4th quarter of last year, if the company is able to report similar growth in future, we may see the stock getting rerated. Main trigger for the company is the sale of land, which is likely to make the company debt-free. Company is also hopeful about sales of its SUV, RIO, as FIAT India Automobiles Ltd. have signed a three year agreement for the supply of FIATs 1.3 litre multi-jet diesel engine to be used in Premiers compact SUV RiO.' Stock is cum dividend 30% at current levels.
* Manali Petro (Rs.10.55) has reported net profit of Rs.10.09 crore which is 21.5% higher compared to last year on sales of Rs.154 crore which is higher by 12% compared to last year. Seeing to the overall business sentiment, the results are quite
good. Investors having patience can accumulate this stock on dips.
* Shasun Pharma (Rs.131.85) is targeting sales of Rs.1200 crore in FY13 with EBIDTA margins of 14/15%. Last year it had clocked sales off Rs.755 crore with EBIDTA margins of 13.44%. Investors can continue to hold this stock for decent longterm growth.
* Empee Distilleries Limited (Rs.72.40) Book value of the share is Rs.131 and it paid a dividend of 50% last year on Rs.10 paid-up face value of stock. The management is likely to maintain the same dividend in FY13.The scheme of arrangement for amalgamation of Empee Distilleries with Empee Sugars and Chemicals (ESCL) is approved. The merged company is likely to report better results in view of the upturn in the sugar cycle. The 52-week high of the stock is Rs.105. Investors can keep a watch to accumulate this stock.
* Thirumalai Chemicals (Rs.97) has reported an encouraging 1st quarter. Investors should not anticipate similar
performance in this quarter, as price realisation was higher in Q1FY13. Moreover, the company had the benefit of low cost raw material inventory from last year. Investors need to be cautious in such commodity stocks and should avoid buying at higher levels.
* Relaxo Footwear (Rs.555) results are excellent. Investors can continue to hold stock for the next target of Rs.750 before review as falling rubber prices will benefit the company further.
* Technocraft Industries (Rs.63.70) was advised at Rs.32/34 level a few months back and has moved up well. Investors can book part profit and switch to Apcotex at Rs.165/170 levels.
* Mahindra Ugine (Rs.47.40) has reported a loss of Rs.38 crore during the 1st quarter, Restructuring is delayed further and the slow down in the auto sector is affecting company badly. The management failed to deliver good results even when the economy was doing well. Investors have got no return over the last 50 years in spite of the strong backing of the Mahindra group. Investors need to be cautious. Stock may plunge below Rs.40 level.
* Petron Engineering (Rs.171.45): Investors need to be cautious as there is no inflow of orders to the company. Funds are blocked in a project in which payments are delayed and is likely to affect the company’s profits in future. Moreover, the company’s order have no price escalation clause. Hence it may face painful times. Investors can think of switching to EIL or Jyoti Structures.
growth.
* Hind Rectifier (Rs.43.60): Seeing to the nature of business & execution cycle of business investors should not see quarter to quarter in this business. Its 1st quarter profit is down Investors can take this opportunity to accumulate this stock on dips. Management has confidently given better outlook in the recent AGM and projected sales of Rs.150 crore with net profit of around Rs.14/15 crore barring unforeseen circumstances.
* Modison Metals (Rs.41) has projected sales of around Rs.200 crore in the recent AGM though profit margins are likely to remain in pressure till we see a pick-up in the economy. Investors can continue to hold this stock. Near-term trigger in the stock is the technology & financial tie-up with strategic investors, which is likely to rerate the stock whenever that happens.
* Premier Ltd. (Rs.70.15) has reported good improvement in the 4th quarter of last year, if the company is able to report similar growth in future, we may see the stock getting rerated. Main trigger for the company is the sale of land, which is likely to make the company debt-free. Company is also hopeful about sales of its SUV, RIO, as FIAT India Automobiles Ltd. have signed a three year agreement for the supply of FIATs 1.3 litre multi-jet diesel engine to be used in Premiers compact SUV RiO.' Stock is cum dividend 30% at current levels.
* Manali Petro (Rs.10.55) has reported net profit of Rs.10.09 crore which is 21.5% higher compared to last year on sales of Rs.154 crore which is higher by 12% compared to last year. Seeing to the overall business sentiment, the results are quite
good. Investors having patience can accumulate this stock on dips.
* Shasun Pharma (Rs.131.85) is targeting sales of Rs.1200 crore in FY13 with EBIDTA margins of 14/15%. Last year it had clocked sales off Rs.755 crore with EBIDTA margins of 13.44%. Investors can continue to hold this stock for decent longterm growth.
* Empee Distilleries Limited (Rs.72.40) Book value of the share is Rs.131 and it paid a dividend of 50% last year on Rs.10 paid-up face value of stock. The management is likely to maintain the same dividend in FY13.The scheme of arrangement for amalgamation of Empee Distilleries with Empee Sugars and Chemicals (ESCL) is approved. The merged company is likely to report better results in view of the upturn in the sugar cycle. The 52-week high of the stock is Rs.105. Investors can keep a watch to accumulate this stock.
* Thirumalai Chemicals (Rs.97) has reported an encouraging 1st quarter. Investors should not anticipate similar
performance in this quarter, as price realisation was higher in Q1FY13. Moreover, the company had the benefit of low cost raw material inventory from last year. Investors need to be cautious in such commodity stocks and should avoid buying at higher levels.
* Relaxo Footwear (Rs.555) results are excellent. Investors can continue to hold stock for the next target of Rs.750 before review as falling rubber prices will benefit the company further.
* Technocraft Industries (Rs.63.70) was advised at Rs.32/34 level a few months back and has moved up well. Investors can book part profit and switch to Apcotex at Rs.165/170 levels.
* Mahindra Ugine (Rs.47.40) has reported a loss of Rs.38 crore during the 1st quarter, Restructuring is delayed further and the slow down in the auto sector is affecting company badly. The management failed to deliver good results even when the economy was doing well. Investors have got no return over the last 50 years in spite of the strong backing of the Mahindra group. Investors need to be cautious. Stock may plunge below Rs.40 level.
* Petron Engineering (Rs.171.45): Investors need to be cautious as there is no inflow of orders to the company. Funds are blocked in a project in which payments are delayed and is likely to affect the company’s profits in future. Moreover, the company’s order have no price escalation clause. Hence it may face painful times. Investors can think of switching to EIL or Jyoti Structures.
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