Building Up A Portfolio At A 7000 Level

[manish_sat]

what is the future of Pentium Infotech today it reaahes to 2.42 ....what is the 2 months target

 

[ssnkumar]

Good information on Accel Frontline... and I feel it is a good intermediate & long term pick.

Today Accel Frontline had gone up nearly 8% in the morning.
Finally it settled at about 3.6%. So, looks like there is some news (or rumour) is making rounds.

 

[ssnkumar]

Hi,

Two more good stocks to invest are Prajay Engineering and Crompton Greaves.
I have been invested in both these for quite long time.

I bought Prajay 1-1.5 years back when it was at Rs.60.
Today it is at Rs. 290. It's 52 week high is Rs. 338.
And today it has announced a JV with a foriegn company for upper segment construction in Hyderabad.
Looks like it is a good long term investment.
But like any other infrastructure stock, the risk will be higher.

I had bought Crompton Greaves 1.5 years back when it was at Rs. 222. After that it has split and also given bonus shares. And today again it is at Rs. 222. So, it has more than doubled in this period!
So, this is one more good place to invest.

But, before investing take due care. Study the fundamentals or atleast about the company, get yourself convinced and then invest.
Always remember that, you are not just buying a share, but the business itself. So, you can make profit, only if you buy a profitable business.
So, don't be in a hurry. There is no early or late in this market. Don't look at the SENSEX for buying or selling. If the business you are buying into is a good one, it sure will give good dividends in the long term.
I am writing all this to drive the point that, "Make your own study" before deciding.

Regards,
Narendra

 

[supratik]

Hi,
So, don't be in a hurry. There is no early or late in this market. Don't look at the SENSEX for buying or selling. If the business you are buying into is a good one, it sure will give good dividends in the long term.
I am writing all this to drive the point that, "Make your own study" before deciding.

Regards,
Narendra

Good one Narendra, this is what I always say to investors - buy the business/share not the sensex. If you are buying a good stock no matter whichever side the sensex goes, your stock would appreciate in the times to come.
I had mentioned on Deccan Chronicle - although nobody has appreciated that but it has given close to 50% returns in a less than 2 months. I had repeatedly said to accumulate this.
Another one is Suzlon (currently the most expensive among the known counters) but this will appreciate. Accumulate as you would do an SIP. This is long - very long term outlook.

Thanks and Regards
Supratik

 

[ssnkumar]

Good one Narendra, this is what I always say to investors - buy the business/share not the sensex. If you are buying a good stock no matter whichever side the sensex goes, your stock would appreciate in the times to come.
I had mentioned on Deccan Chronicle - although nobody has appreciated that but it has given close to 50% returns in a less than 2 months. I had repeatedly said to accumulate this.
Another one is Suzlon (currently the most expensive among the known counters) but this will appreciate. Accumulate as you would do an SIP. This is long - very long term outlook.

Thanks and Regards
Supratik

Thanks Supratik.
Please do continue to post your tips.
I didn't buy Deccan Chronicle, since I didn't have money at that time. But, I have bought many others. I am still holding Suzlon. Hope it will zoom after the results season!

Thanks,
Narendra

 

[supratik]

Hi All,

I have received a couple of mails and posts on what we shold do with Valecha Engg. This is found on the net on Valecha


Valecha Engineering's strong order book, improved balance sheet and plans for diversification augur well for its earnings growth. An investment can be considered in the stock with a 2-3 year perspective. At the current market price the stock trades at eight times its expected earnings for FY08 and is at a significant discount to peers.

Valecha is an engineering, procurement and construction (EPC) contractor for roads, piling works and airport runways. The company's order book of over Rs 800 crore is over four times its FY06 revenues. Road projects account for 70 per cent of the orders. While road projects are low-margin in nature, the company has managed to maintain its operating margins at 7-8 per cent on the back of better margins from piling projects. Until 2005, the company was unable to ramp up its order size as its diminutive net worth acted as a constraint in bidding for larger projects. In 2006, it managed to expand its net worth by 3.5 times. The company now appears well placed to bid for larger orders given its technical qualification and the improved capital adequacy. Increase in the size of orders may also pep-up operating margins. The company has executed airport runways in cities such as Mumbai and Chennai. With the airport privatisation activity gathering steam, the company appears well placed to bag similar orders from developers of airports.

While Valecha is less diversified than bigger players such as IVRCL Infrastructures, it now plans to diversify to BOT annuity, real estate and hydropower projects through special purpose vehicles. We expect real estate to play an active role in revenue contribution in the long term while the proportion of road projects may come down. The risks to the investment stem from the fact that Valecha is a small-cap stock with a market capitalisation of about Rs 140 crore and may be quite vulnerable to a corrective phase. The stock has declined by about 45 per cent since May in line with market trends and concerns about margin pressures on smaller construction companies. However, Valecha could contain such pressures through price escalation clauses built into its contracts. Moreover, the stock's decline has made valuations more attractive.


Thanks and Regards
Supratik

 

[ramkumar84]

Hi,

Anyone can throw some light on Walchandnagar industries
BSE: 507410 | NSE: WALCHANNAG

 

[akhtarar]

Hi All,

I have received a couple of mails and posts on what we shold do with Valecha Engg. This is found on the net on Valecha


Valecha Engineering's strong order book, improved balance sheet and plans for diversification augur well for its earnings growth. An investment can be considered in the stock with a 2-3 year perspective. At the current market price the stock trades at eight times its expected earnings for FY08 and is at a significant discount to peers.

Valecha is an engineering, procurement and construction (EPC) contractor for roads, piling works and airport runways. The company's order book of over Rs 800 crore is over four times its FY06 revenues. Road projects account for 70 per cent of the orders. While road projects are low-margin in nature, the company has managed to maintain its operating margins at 7-8 per cent on the back of better margins from piling projects. Until 2005, the company was unable to ramp up its order size as its diminutive net worth acted as a constraint in bidding for larger projects. In 2006, it managed to expand its net worth by 3.5 times. The company now appears well placed to bid for larger orders given its technical qualification and the improved capital adequacy. Increase in the size of orders may also pep-up operating margins. The company has executed airport runways in cities such as Mumbai and Chennai. With the airport privatisation activity gathering steam, the company appears well placed to bag similar orders from developers of airports.

While Valecha is less diversified than bigger players such as IVRCL Infrastructures, it now plans to diversify to BOT annuity, real estate and hydropower projects through special purpose vehicles. We expect real estate to play an active role in revenue contribution in the long term while the proportion of road projects may come down. The risks to the investment stem from the fact that Valecha is a small-cap stock with a market capitalisation of about Rs 140 crore and may be quite vulnerable to a corrective phase. The stock has declined by about 45 per cent since May in line with market trends and concerns about margin pressures on smaller construction companies. However, Valecha could contain such pressures through price escalation clauses built into its contracts. Moreover, the stock's decline has made valuations more attractive.


Thanks and Regards
Supratik

i checked it's around 198 and the results for sep 06 wasn't good compared to march 06 . i am confused if i can enter at this level
appreciate your detailed post

 

[ssnkumar]

i checked it's around 198 and the results for sep 06 wasn't good compared to march 06 . i am confused if i can enter at this level
appreciate your detailed post

We have seen that Valecha didn't perform well in the last 1 year.
And it got more corrected than its peers during market fall.
And I don't know what has changed inbetween to tell that, it will perform well in the near future.
You can wait for some time and watch its price movements and if you think it will do well, then you can enter it.

Also, there are so many other better companies around.
So, I feel it is better to enter the known ones instead.

Regards,
Narendra

 

[akhtarar]

We have seen that Valecha didn't perform well in the last 1 year.
And it got more corrected than its peers during market fall.
And I don't know what has changed inbetween to tell that, it will perform well in the near future.
You can wait for some time and watch its price movements and if you think it will do well, then you can enter it.

Also, there are so many other better companies around.
So, I feel it is better to enter the known ones instead.

Regards,
Narendra

thanks a lot dear Narendra sahab for very prudent advice and i appreciate it a lot