Target Price Rs:-180 CM Price Rs:-144.15 Investment Argument Jamna Auto Industries Limited is the largest manufacturer of tapered Leaf and Parabolic Springs for Commercial Vehicles (CVs) in India, having close to 66% of market share in OEM’s. It has technical tie up with NHK of Japan. The company has plants at – Chennai, Malanpur & Jamshedpur; it also plans to increase its capacity by setting up two plants at Pune & Lucknow. The Jamshedpur plant is likely to be fully operational by Oct. ’10; which will help to capitalize on the rising demand for leaf & Parabolic springs. Read the full post

Price3:-312.10 Target:- 395 Result Update: Result below expectations but value lies GESCO reported 16% QoQ drop in topline in Q1FY11 at Rs 644.3 crores as against ` 766.7 crores in Q4FY10 below from our expectaions. The main factor contributing to the drop in topline was the sharp correction in crude tanker and product carrier freight rates. The company reported an average TCY of $ 20444 for crude carriers, $ 15485 for product carriers and $ 24484 for dry bulkcarriers. The company reported a sharp rise in interest costs from Rs 46.4 crores in Q4FY10 to Rs 93.1 crores in Q1FY11 on account of rise in average cost of debt by issuing non convertible debentures at ~ 9.5% interest rate and exchange rate impact which is as much higher at 108.7 % QoQ basis. Read the full post

CM Price:-Rs.1,291.60 Target Price:-Rs.1,683 Jain Irrigation bags INR 1,683 mn order of micro irrigation project • Based on National competitive bidding, Jain Irrigation Systems (JISL) has been awarded an order worth INR 1,683 mn of Shiggaon sprinkler irrigation project. • Karnataka’s Neeravari Nigam, a division of the state’s water resources department, has awarded this order to JISL. • This project has water saving potential up to 30% and involves command area of 30 villages of Haveri district; it is expected to benefit 5,000 farmers. Read the full post

CM Price:-Rs.128.50 Margins inch up; asset quality improving Indian Overseas Bank (IOB) reported a profit of INR 2 bn in Q1FY11, a growth of 57% Q-o-Q, led by higher NII (20bps improvement in NIMs) and controlled provisioning. The key highlight was the sequential decline in gross NPLs (a first in nine quarters) by 2%—a reflection of controlled slippages and better recoveries and upgradation. Supported by investment depreciation write-back of INR 970 mn and write-back of excess staff provisions of INR 350 mn, the bank provided INR 827 mn, representing one-third of the deficit for the acquisition of Shree Suvarna Sahakari Bank. Provisioning coverage (including technical write-offs) improved 400bps to 58%. Management indicated that it has provided adequately for pension/gratuity. Read the full post

CM Price Rs:-584.00 Earnings momentum continues India spearheading growth; EBITDA margins better Cox and Kings’ (CNK) consolidated Q1FY11 sales jumped 23.6% Y-o-Y as Indian operations reported 29% Y-o-Y sales growth. Q-o-Q, however, sales declined 10% due to the seasonal factors. Sales growth at the subsidiaries level was subdued, at 15%. With April-June period being seasonally lean for travel and travel related services in the western world, we expect the momentum to return Q2 onwards. EBIDTA margins at the consolidated level improved to 48% from 47.5% Y-o-Y. For the same period, EBIDTA margins at Indian operations improved 500bps Y-o-Y as the company was able to judiciously leverage the marketing spend. We maintain our 27% and 20% sales growth estimates for FY11 and FY12, respectively, as we are not building in any further acquisitions. We expect CNK to maintain 45% EBIDTA margins on consolidated basis for FY11 and FY12. Read the full post

The market seems to have lost the steam and corporate earnings were also somewhat below expectations. With market above 18000 there seems to be little hope for any significant upmove. The inflation numbers will only get worse in weeks to come and there does not seem to be any positive news coming in near future.. Therefore I have booked profits in stocks and currently I hold 40% cash. Disclaimer: It is my personal view and I may get wrong in my judgement. Please consult with your financial advisor before taking any action.. I or this website won’t be responsible for loss or profit made by you.. Permanent link to this post