Doubt Relief !!

[karthikmarar]

Hi Karthik
i bought 3000 shares of TRIVENI ENG. at 79.50
what is my future

Hi Nanima

Triveni Engineering is basically into the sugar business. It also has got turbine and gear manufacturing unit. But the revenue from these is marginal. Triveni had come out with a public offering in November. Earlier the company had converted the public shares into preferential shares in 2003 and further trading was suspended (Very unfair practice towards the public share holder ). Since this is a new listing the is no point doing a technical take on this one. So my view is based on the fundamentals and the future outlook of sugar sector.

However the prospectus for the next 1-2 years looks excellent for the following reasons. If you hold it for this period this may bring good returns to you.

• 1. Sugar sector is expected do very well in the coming 1-2 years
• 2. Recently established crushing capacity of4250 tonnes and 23 MW co-gen capacity established at Khatauli will start contributing .
• 3. The money collected from the IPO will be used to set a sugar plant at abit garh and to enhance co-gen capacity at Khatauli. Also the money will be used to enhance the infrastructure for the turbine and gear manufacturing units. These will add to the revenue.

Regards

Karthik

 

[karthikmarar]

Dear karthik


I would like to enter sugar stocks. Please post your views about this industry and some good performing companies. Now most of the sugar stocks are under correction. Good time enter or not? Please advise.

Regards

Anil

Dear Anil
Yes there is lot of interest in the sugar stocks nowadays. Everybody is keen to know the future of these stocks.

Yes, the sugar story is going to be sweet for the next 1-2 years. This sector is expected to do well. I will list the main reasons for this in brief

• The sugar companies are expected to post higher earnings as the sugar prices hit a 16- year high. International prices are expected to increase from 14 cents per pound to around 16 cents per pound by next year
  
• The European Union has committed to reduce subsidies to farmers which would make sugar production in Europe less viable. It is expected that Europe would start importing sugar in large quantities which would push up prices further. , Even counties like Thailand and Brazil have cut subsidies for sugar hence companies there are shifting cutting their output and shifting their production to ethanol. This will push the price further up north.
  
• Last year Government allowed many sugar companies to import raw sugar for processing and sale in the domestic market. They are required to export a similar quantity within the next few years. Since international prices have firmed up, these companies will reap huge profits.
  
• A favorable policy is expected from the Government to encourage higher levels of ethanol mixing in petrol, which is again seen as an advantage for sugar producers. Ethanol is mainly produced from molasses, a by-product of sugar.
  
• In the domestic market, supply is going to be tight as the floods in the south have affected the crops and this will shore up prices.
  
• Most of the new mills being set up are integrated facilities with cane crushing, distillery and co-generation power plants. Companies are also expanding the distilling and co-generation capacities at existing plants as well. This will increase the revenues of these companies.

Considering all these factors, is it the time to enter these stocks now? The current prices may have factored some of the above-mentioned points. However sugar stocks are still expected to provide good returns in the next 1-2 years time frame. Many of these stocks did pull back a bit after the recent rise. Currently the market looks poised for a correction.The correction, big or small would make these stocks more attractive and give better entry levels. My suggestion would be wait and watch.

I will take look at the various leading companies in a separate post later.

Regards

Karthik

 

[anilsharjah]

Dear Karthik ,

Thanks for such detail replay.

And the company wise which one you prefer to invest.

Balarpur chini
Andhra Sugar
Sakthi Sugar
Rajashree
Eid Parry
Bajaj
Dharampur

Regards,


Anil

 

[game4trade]

Yes, the sugar story is going to be sweet for the next 1-2 years. This sector is expected to do well. I will list the main reasons for this in brief
Karthik

Hi Karthik,

Nice Analysis. Many Thanks for sharing this with us

Cheers,
Ashish

 

[karthikmarar]

I am having a lots purchase of shyam telecom about Rs.122 to 126
please give me a good advice for this stock
whether to hold or book loss
please tell me about its fundamentals and some insider news if any

Hi Chouhan


Technically this looks bearish now. It has broken the support at 97 and drifting down. Support levels below are 90-85-80. *5 shouould provide a stronge support. Considering the fundamentals it is not a great stock to hold. It may be prudent to exit on rallies. Watch out for the support levels.

The company on a stand alone basis has ben making profits. However the performance is inconsistant. Just consider the last thre quarter results PAT.
Q1-15 lakhs, Q2 - 42 Lakhs and Q3- 14 Lakhs.

However on consolidated basis which includes its subsideries Shyam telelinks and Shyam Telecom Manufacturing it has been making losses for the last three quarters, Q1- 11.49 Cr, Q2-15.14 Cr and Q3-17.9 Cr.

In last June the company announce its intention to restructure which involved amalgamation of shyam telecom manufacturing with itself. The Board also approved it. Laster the AGM which was supposed to be held in August has ben postponed twice and the latest news is that is has ben further postponed indefinitely. There is no further news on the amalamation.

Later in November there was a news that a consortium of Kribco and Shyam telecom will buy Oswal chemical's Urea factory. The stock did shoot up on this news. Telecom and fertilizer....funny isn't it ? Nothing was heard of it again.

All this does not reflect well on the management of the company...
Not a stock with potential for growth... I suppose..

Hope this helps

Regards

Karthik

 

[Saint]

Hi Karthik,

Could you please help VICKY on this one?

Hello Saint..

I am asking you question out of topic..

I am talking about Vidioconintl

How I will get the shares? I have to do any manual
work to get these shares from vidiocon ind.?

If you can explain about it then tell me the solution.

Thanks

Don't know much about these things,.......please look into it when you do get the time.

Saint

 

[karthikmarar]

Hi Karthik,

Could you please help VICKY on this one?



Don't know much about these things,.......please look into it when you do get the time.

Saint

Hi Vicky

I suppose you are talking about the one share of Videocon Industries allotted in lieu of 5 shares of Videocon International after the recent amalgamation.

Normally if the share were held in Demat form then the new share would be automatically credited into the Demat account. If held in physical form then new share certificates would be sent to you. I presume that you must be having the shares in demat form.

Normally it should be created soon after the record date, which in this case is 16 January.
It is almost a month now. If not received the shares yet better contact their Transfer Agents, MCS Limited.

I am giving the address below for ready reference.

MCS LIMITED
SRI VENKATESH BHAVAN, PLOT NO 27,
PHASE II,ROAD NO 11,
MIDC MAROL, ANDHERI (E)
Mumbai - 400093
Phone: 022-28215235

Hope this helps

regards

Karthik

 

[VICKY_SEEKINGINR]

Hi Vicky

I suppose you are talking about the one share of Videocon Industries allotted in lieu of 5 shares of Videocon International after the recent amalgamation.

Normally if the share were held in Demat form then the new share would be automatically credited into the Demat account. If held in physical form then new share certificates would be sent to you. I presume that you must be having the shares in demat form.

Normally it should be created soon after the record date, which in this case is 16 January.
It is almost a month now. If not received the shares yet better contact their Transfer Agents, MCS Limited.

I am giving the address below for ready reference.

MCS LIMITED
SRI VENKATESH BHAVAN, PLOT NO 27,
PHASE II,ROAD NO 11,
MIDC MAROL, ANDHERI (E)
Mumbai - 400093
Phone: 022-28215235

Hope this helps

regards

Karthik

Hi Karthik

Extremely Thanks for your reply,

I am having these shares in my Indiabulls accounts and These
shares are in Demat account.

I bought It before the Ex date. But I dont know that why it is taking time
to transfer in my account.

What do you suggest me? Should I send them Email or Written Letter.?
Or do I confirm from my broker.?


Thanks Again for your reply

 

[VICKY_SEEKINGINR]

MCS LIMITED
SRI VENKATESH BHAVAN, PLOT NO 27,
PHASE II,ROAD NO 11,
MIDC MAROL, ANDHERI (E)
Mumbai - 400093
Phone: 022-28215235

I dialed the no. also but not working from my mobile.

 

[karthikmarar]

Hi vicky

The best solution is to contact the transfer agent.The address is correct. Please try the alternate numbers.

Tel: (Board) (+91 22) 5502 5235
Fax: (+91 22) 5502 5245


If not getting, may be someone based in mumbai can helpto get the correct number from the telephone directory. Some one from mumbai...please help...

regards

Karthik