Intraday calls

[n_arvind2000]

IndusInd Bank - BUY - Target: Rs 305 Stop Loss: Rs 275
INDUSINDBANK has made high of 76trading days, trading above all major averages with 200DMA Rs 254 & 100DMA Rs 263. The stock on weekly basis is making higher lows and chances of breaking above all time high Rs 309 is very high after good consolidation.

Tata Sponge - BUY - Target: Rs 362 Stop Loss: Rs 320
The stock after opening gap-up (Rs 311-320) has clocked highest volume after March 22, 2011 which suggest good interest has come back to the stock after good consolidation. Monthly basis the stock has closed highest in four months after making a reversal in month of September.

BHEL - SELL - Target: Rs 301 Stop Loss: Rs 330
The stock has closed lowest level in 31 months and trades below major averages with 200DMA Rs 386, 100DMA Rs 357 and 50DMA Rs 334 and the stock is sold into any rallies which shows weakness in the stock.

Dhanuka Agritech Ltd - BUY - Market price: Rs 319 Target price: Rs 387
Dhanuka has maintained robust ROE and ROCE ratios. It has been growing at CAGR of 25% over FY07-FY11 with net profit growth of 48.5% over same period. At CMP, the stock is trading at 7.8x FY12E and 6.3x FY13E earnings.

Persistent Systems - BUY - Market price: Rs 319 Target price: Rs 387
It is in the OPD business and is a fore-runner in new tech areas, like cloud, analytics, collaboration and enterprise mobility. The next growth would come from IP-led revenues. At CMP, PSL is trading at 9.3x and 8x its FY12E and FY13E earnings, respectively.

Development Credit Bank - BUY - Market price: Rs 45 Target price: Rs 65
DCB's management quality and focus on liability base balance sheet growth make it a safe bet. Its fee income will grow and cost efficiency will improve. DCB has written off NPAs. At CMP, the stock is trading at 1.39x FY12E Adj BVPS and 17.0x FY12E EPS.

Sterlite Technologies - BUY - Market price: Rs 39 Target price: Rs 46 :lol:
It is expanding manufacturing capacity. Foray into independent power transmission projects (BOOM projects) will yield benefits. The strong order book of Rs 2,400 crore gives us good revenue visibility. At CMP, the stock trades at 11x FY12E earnings estimate.

Redington India Ltd - BUY - Market price: Rs 195 Target price: Rs 113 :clap:
It is an end-to-end SCM of IT and non-IT firm &. a distributor of Dell and Apple. Recently, HUAWEI appointed it as a distributor. This new sign-up may boost its telecom vertical presence. The stock is trading at 12.9x and 11.8x its FY12E and FY13E EPS, respectively.


Nomura has initiated coverage on major Indian lenders - ICICI Bank, Axis Bank, State Bank of India and Bank of Baroda with a 'buy' rating.

"We believe current headwinds in the form of tight monetary conditions, higher government borrowing and credit losses from utility loans are priced into current valuations," Nomura said in a note indicating Axis Bank and SBI were its top pick.
"The deregulation of interest rates on savings accounts is likely to change many of the competitive dynamics in the sector," it added.


Mitesh Thacker, Technical Analyst

Mitesh Thacker: Dena Bank looks very very attractive showing a strong reversal. The 200-day average is at Rs 92. So that will be my price target, the stock would be trading at about Rs 92-96 in few days time. :clapping:

 

[n_arvind2000]

Thanks Arvind.

Are securing coal linkages as well as capacity additions are a bigger worries in the longer term, and how could they impact the stock valuation if one is eyeing for the long term.??

Sharekhan: The distribution utilities of eight states have stopped making immediate payments to NTPC Ltd, Indias largest power producer, despite being offered discounts.

ShareKhan MID DAY Ideas: Sell NTPC @ cmp 179.50 SL: 182.50 Tgt: 174

 

[n_arvind2000]

Dena Bank Q2 net up 20% at Rs 193.58 cr

MUMBAI: Public lender Dena Bank today reported 20.5 per cent growth in net profit for the second quarter ended September 30, 2011 at Rs 193.58 crore. :thumb:

It had posted a net profit of Rs 160.63 crore in the corresponding quarter of last fiscal.

The total income of the city-headquartered lender also increased by 30.3 per cent during the July-September quarter at Rs 1,747.19 crore, as compared to Rs 1,340.38 crore in the same quarter of 2010-11, Dena Bank said in a filing to the BSE.

The per centage of the bank's gross non-performing assets (NPAs) vis-a-vis its total loans stood at 1.93 per cent during the September quarter of the current fiscal, as against 2.26 per cent in the same period last year.

Its net NPAs amounted to 1.15 per cent of total loans as of September 30, 2011, compared to 1.49 per cent in the year-ago period.

During the first half of the fiscal, Dena Bank's net profit stood at Rs 361.67 crore, up 20.8 per cent from Rs 299.42 crore in the April-September period of 2010-11.

The bank's total income grew by 32.7 per cent to Rs 3,399.72 crore during the first half this fiscal from Rs 2,562.15 crore in the year-ago period. :clapping:

 

[n_arvind2000]

NIFTY & SENSEX VIEWS: (02nd Nov) :thumb:

If NIFTY breaches 5298 and stays above at least 5277 with good volume then NIFTY trend is becoming 'STRONG' and may see 5325 and 5365. :clapping:

If Nifty breaches 5218 and stays below 5239 then NIFTY trend is said to be 'WEAK'.Then expected lower targets are 5197 and 5160.

If SENSEX breaches 17613 and stays above 17546 with good volume then Sensex trend is becoming 'STRONG' , possible upper targets are 17710 and 17840. :clap:

If Sensex crosses 17349 and stays below 17416 level then Sensex trend is said to be 'WEAK'.Then expected lower targets are 17282 and 17160.

Intraday break out level to watch on NIFTY Spot- 5298 :clap:

Intraday break down level to watch on NIFTY Spot- 5218


NIFTY FUTURES :clap:

BUY -5305 TARGETS -5320,5347,5390 SL-5290
SELL-5282 TARGETS -5262,5236,5203 SL-5298

ICICIBANK FUTURES:

BUY -911 TARGETS -916,927,943 SL-908
SELL-898 TARGETS -892,882,870 SL-903

 

[n_arvind2000]

Rural Electrification Corporation Ltd. - BUY - Target: Rs 196 Stop Loss: Rs 174 :thumb:
REC has confirmed strong reversal with formation of 'ending diagonal' after a down trend for 6 months. The breakout was visible on the weekly chart. Hence, forth the same breakout levels of Rs 175 will turn out as strong support point and is unlikely to be tested in the near term.

State Bank of India - BUY - Target: Rs 2050 Stop Loss: Rs 1865 :clap:
SBI is in the process of forming a right shoulder of 'inverted head and shoulder' pattern and is placed near strong support zone of Rs 1,860-1,880. A 'rounding bottom' pattern was also visible near the trough of Rs 1,717. A Buy is indicated above Rs 1,910

ABB - SELL - Target: Rs 657 Stop Loss: Rs 700
Breakdown from bearish pennant below Rs 695 reinforced negative view. Such breakdown can be construed as resumption of impulse wave 5 which should travel near the previous trough of Rs 650. The weekly RSI has trended downwards after testing the 9 DMA, which supports selling.

Cox & Kings Ltd. - BUY - Target: Rs 243 Stop Loss: Rs 210 :clapping:
The consolidation phase has finally come to an end with a bullish breakout. Such breakout is also accompanied with strong volumes, RSI crossover and fresh buy signal from MACD. The 'symmetrical triangle' can unfold. Any possibility of whipsaw remains very low.

Hindustan Zinc Ltd. - BUY - Market price: Rs 120.6 Target price: Rs 135
HZL is one of the low-cost producers of zinc & lead. At the CMP of Rs 121, the stock trades at FY12E EV/EBITDA of 5.2x and FY13E EV/EBITDA of 4.1x. Valued HZL at 5x FY13E EV/EBITDA and assigned a Buy rating with a target price of Rs 135.

NHPC Ltd. - BUY - Market price: Rs 24.5 Target price: Rs 28
NHPC reported adjusted PAT of Rs 729 crore. Valuation at 1.1x FY13 P/B with capacity addition of 515 MW in FY12, 697 MW in FY13 coupled with least fuel risk. Maintain Buy with the target price of Rs 28.

J K Lakshmi Cement Ltd. - BUY - Market price: Rs 43 Target price: Rs 61 :lol:
JK Lakshmi is having presence in high growth markets. It is expanding its cement capacity from 4.75 MTPA to 8 MTPA by FY13. Expect volume growth at ~8% CAGR over FY11-13E on account of an improvement in utilisation rates.

Kotak Mahindra Bank Ltd. - SELL - Market price: Rs 505 Target price: Rs 436
Banking and financing continue to lead with 80% contribution to total consolidated PAT. Though the NPA concern may not be high, market-linked businesses may feel the heat. The stock is now trading at 2.8x FY13E ABV of Rs 117 which looks expensive

HT Media Ltd. - BUY - Market price: Rs 141.5 Target price: Rs 164
The Hindi news business saw a robust ad revenue growth of 24.0% but the English news saw a subdued ad growth of 8.1% in Q2FY12. It will continue to face a slowdown in English segment. Valuation: the stock at 16x FY13 EPS to arrive at a target price of Rs 164

 

[n_arvind2000]

NIFTY & SENSEX VIEWS: (03rd Nov)

If NIFTY breaches 5311 and stays above at least 5284 with good volume then NIFTY trend is becoming 'STRONG' and may see 5345 and 5390. :thumb:

If Nifty breaches 5206 and stays below 5233 then NIFTY trend is said to be 'WEAK'.Then expected lower targets are 5172 and 5120.

If SENSEX breaches 17618 and stays above 17541 with good volume then Sensex trend is becoming 'STRONG' , possible upper targets are 17740 and 17850. :clap:

If Sensex crosses 17311 and stays below 17389 level then Sensex trend is said to be 'WEAK'.Then expected lower targets are 17220 and 17070.

Intraday break out level to watch on NIFTY Spot- 5311 :clapping:

Intraday break down level to watch on NIFTY Spot- 5206

NIFTY FUTURES

B-5293 T-5313,5348,5397 SL-5280
S-5270 T-5245,5215,5170 SL-5290

BANKNIFTY FUTURES :clap:

B-9852 T-9902,9970,10070 SL-9825
S-9805 T-9760,9690,9600 SL-9840

SBIN FUTURES

B-1915 T-1925,1940,1960 SL-1908
S-1905 T-1895,1880,1860 SL-1913

 

[n_arvind2000]

Bombay Dyeing - SELL - Target: Rs 380 Stop Loss: Rs 445
After making a low at Rs 290, the stock has rallied to Rs 440 where it is showing some signs of exhaustion. The RSI in daily chart is also retracing from the overbought zone, indicating resistance at Rs 440 levels. Recommend to sell near the resistance level for a downside target of Rs 380.

Kotak Mahindra Bank - SELL - Target: Rs 475-436 Stop Loss: Rs 515
The lower-top formation in hourly chart along with negative divergence in daily chart indicates some profit booking at these levels. Recommend a sell with a closing stop loss of Rs 515 for a downside target of Rs 475 in the coming days.

Hindustan Oil Exploration - BUY - Target: Rs 128 Stop Loss: Rs 110 :rofl:
After stabilising at Rs 100, the stock has got into trending mode with higher-top higher-bottom formation in the daily chart with rising volume and favorable indicators. Recommend to buy this stock for a target of Rs 128 while the stop loss is placed at Rs 110 on closing basis.

Bharat Forge Ltd. - BUY - Target: Rs 320 Stop Loss: Rs 279 :thumb:
The daily chart shows an inverted head & shoulders pattern with rising RSI and positive MACD. The volume is also picking up. Recommend to buy even in declines with closing stop loss of Rs 275 for an upside target of Rs 320 in the coming days.

Ranbaxy Laboratories Ltd. - BUY - Target: Rs 545 Stop Loss: Rs 490 :clapping:
With a higher-top higher-bottom formation, the stock shows strength to move further to the target of Rs 545 if it sustains above the 200-day moving average on daily chart. The volume is also higher. Recommend a buy.

Idea Cellular Ltd. - BUY - Market price: Rs 93 Target price: Rs 135
Idea remains our preferred pick, being one of the biggest beneficiaries of the ongoing structural improvement. Idea maintained capex guidance of Rs 4,000 crore in FY12. Its consolidated net debt increased Rs 820 crore QoQ to Rs 12,600 crore, including Rs 280 crore due to MTM forex loss on outstanding forex loans.

Gruh Finance - BUY - Market price: Rs 540 Target price: Rs 647 :rofl:
Gruh Finance, a high-quality play on domestic housing mortgage story, deserves continuous coverage from a medium- to long-term perspective. We are reinitiating our coverage. Asset quality is one of the best among housing finance companies. It does not have net NPAs for the last five consecutive years.

Suprajit Engineering Ltd. - BUY - Market price: Rs 19.5 Target price: Rs 30 :thumb:
Suprajit has set up a separate plant for aftermarket at its Bangalore facility. It also has a network of 225 dealers. Our replacement demand estimate is Rs 450-500 crore. Suprajit expects this business, which contributed 6% to revenues in FY11, to double in FY12.

Axis Bank Ltd. - BUY - Market price: Rs 1116 Target price: Rs 1550
Axis Bank's key strengths have been its ability to grow CASA deposits at a robust CAGR of 37% over FY06-11. Strong growth across fee income segment is impressive and is a key driver for RoA. Expect the bank's fee income to grow at 25% plus in FY12-13. :clap:

 

[n_arvind2000]

NIFTY & SENSEX VIEWS: (04th Nov) :clapping:

If NIFTY breaches 5310 and stays above at least 5287 with good volume then NIFTY trend is becoming 'STRONG' and may see 5340 and 5370. :thumb:

If Nifty breaches 5221 and stays below 5244 then NIFTY trend is said to be 'WEAK'.Then expected lower targets are 5190 and 5150.

If SENSEX breaches 17619 and stays above 17550 with good volume then Sensex trend is becoming 'STRONG' , possible upper targets are 17710 and 17800. :clap:

If Sensex crosses 17344 and stays below 17414 level then Sensex trend is said to be 'WEAK'.Then expected lower targets are 17250 and 17120.

Intraday break out level to watch on NIFTY Spot- 5310

Intraday break down level to watch on NIFTY Spot- 5221 :clapping:


BANKNIFTY FUTURES

BUY -9850 TARGETS -9900,9975,10080 SL-9820
SELL -9782 TARGETS -9730,9660, 9550 SL-9805

SBIN FUTURES

BUY -1951 TARGETS -1962,1977,1995 SL-1943
SELL -1930 TARGETS -1920,1905,1880 SL-1938

 

[n_arvind2000]

Indian Hotels - BUY - Target: Rs 78 Stop Loss: Rs 67 :thumb:
Indian Hotels has formed a double bottom type of structure around the price band of Rs 66-67. It has taken a strong support on the lower base of falling trend channel indicating a pause in the ongoing major decline. Momentum indicators show positive divergences indicating strong up move.

Bharat Heavy Electricals Ltd - BUY - Target: Rs 345 Stop Loss: Rs 315
Bhel has given a short-term bullish signal by crossing its short-term moving average with above average volumes on daily chart which indicates a further up move in the near-term. Buy on declines at around Rs 325 for a target of Rs 345.

OnMobile Global - BUY - Target: Rs 73 Stop Loss: Rs 59
This stock has given a range trading breakout after a consolidation of four months with above average volumes indicating a strong bullish movement. It has given a close above it medium-term moving average indicating a trend reversal on charts. Buy on declines at around Rs 61-62.

Vijaya Bank - BUY - Target: Rs 66 Stop Loss: Rs 57 :lol:
Vijaya Bank has given a fresh upmove after taking a support at the lower base of falling trend line indicating a classical trend reversal. It has given a close above its short- and medium-term moving averages with strong volumes hinting at strong bullishness. Buy on declines at around Rs 58-59.

JK Tyres - BUY - Market price: Rs 74.1 Target price: Rs 89.4
Radialisation in India stands at around 18% and is expected to increase to 30% in 3-4 years. JK Tyre is well positioned to benefit from this by investing towards higher radial output. Planned capex of Rs 1,130 crore in FY12 will prepare it for the demand growth.

Berger Paints - BUY - Market price: Rs 106.7 Target price: Rs 120
Demand for decorative segment is set to rise. It plans to expand capacity for water- based segment to 3,20,000kl per MT per annum, and is setting up a greenfield project in Andhra Pradesh and augmenting manufacturing capacity at Goa and Rishra facilities in FY12.

Hindustan Zinc - BUY - Market price: Rs 123 Target price: Rs 132 :clapping:
It is expected to produce around 1mn tonne of zinc and lead. It is planning to produce 500 tonnes of silver annually by FY12 end, which should contribute 9% and 14% to the total revenue in FY12 and FY13. Demand for zinc and lead are set to grow at 7-8%

Bajaj Corp - BUY - Market price: Rs 99.7 Target price: Rs 121.6
The hair oil segment is a $1.2-billion market and has grown at a CAGR of 20% over FY06-11. The company intends to improve its market share to 65% by 2015-16. The management will target niche brands which can benefit from its strong distribution network.

Kajaria Ceramics - BUY - Market price: Rs 118.5 Target price: Rs 141 :rofl:
The share of the organised tile industry is set to raise from the current 50% and Kajaria should benefit as it is well placed with a diversified product portfolio. For its future requirements, the company will expand its existing capacity from 2.30MSM to 4.60MSM.

 

[n_arvind2000]

Axis Bank may go upto Rs 1238: Somil Mehta :thumb:

Mehta told CNBC-Awaaz, "Investors should buy Axis Bank with stoploss of Rs 1100. The stock may go upto Rs 1238 in short term." :clapping:

The company's trailing 12-month (TTM) EPS was at Rs 91.51 per share. (Sep 2011). The stock's price-to-earnings (P/E) ratio was 12.42. The latest book value of the company is Rs 460.71 per share. At current value, the price-to-book value of the company was 2.47. The dividend yield of the company was 1.23%.


Keep Rs 1105 stoploss in Axis Bank - Target 1204 , says Manoj Murlidhar of IIFL PReMIA. :clap:

Murlidhar told CNBC-TV18, The top pick would be an Axis Bank somewhere close to a Rs 1123-1126 is what it is trading at. We feel keeping a decent stop loss at Rs 1105, long built up somewhere close to a Rs 1172-1204 is what we are seeing it in the short term."