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Tuesday, January 15, 2013

Titan Industries LONG TERM point of view : Dont Buy, Counterview.

I would suggest from desisting in buying this stock that is greatly over valued when compared with industry standards. Reasons for this :

  1. Watches are not viewed as an important piece of everyday product. I mean how manyof us actually wear watches?
  2. Titan has achieved an Operating profit margin increase of just 0.05 %, and thats pathetic.
  3. While other players like HMT ,TIMEX are struggling with HMT in loss and Timex just scrapping at .16 rupee per share how is Titan achieving 6.7 per share? Aggressive advertising which is further reducing its operating margins.
Sales are growing but are not sustainable in a market where Chinese players provide the same quality at half the price.

Then the question, why are big research houses advising otherwise? Because they think a increase in stake to 8% by Rakesh Jhunjhunwala is a good sign. No it isnt. They are big players, following them could land small investors in trouble.

Note : The view expressed here by our Equity Researcher Mr. A. J. is for LONG TERM point of view. Recommendation to buy this stock given in the previous post was for short term as a Technical call and not a fundamental call. We expect the price of Titan share to go up till 286 in short term, however if we study the growth of the company in detail based on above research then one can definitely see that there are limited upsides in this particular stock in the Long Term.

Disclaimer : Authors will not be responsible for any loss. Invest at your own risk

TITAN Industries BUY it

Buy and Hold TITAN INDUSTRIES at current levels of Rs. 275.8 for a short term target of Rs. 286 with a stop loss of Rs. 268. Strong company with good fundamentals.

Note : TITAN INDUSTRIES is a Shariah Compliant stock also and hence those investors who are following shariah guidelines can also invest in this stock. Its Ethical to invest in this particular stock.

Monday, January 14, 2013

Buy VA Tech Wabag at current levels of Rs. 568 for a target of Rs. 725



VA Tech Wabag - BUY
CMP Rs568, Target Rs725

Fundamentally strong company into Engineering space VA Tech Wabag is really making waves in Chinese market and expected to grow at a phenomenal rate.
Investment into water management technology is the need in current times. Internationally, water is scarce and rising demand of water fueled by growing population is making it even scarcer.This is because water is unequally distributed all over the world; India contains 17% of world population and has only 4% of the total water resources. VA Tech Wabag (VA Tech) is the biggest player in water management space in India has tried to evolve as a biggest player in India and investment in this space will definitely reap profits.


Healthy order book

It has order book of Rs42bn (2.9x FY12 revenues) which provides strong revenue growth. Also it has well diversified order book.
 

 The company has large cash balance of Rs2.9bn which translates into 20% of its market capitalization and has a very strong balance sheet. VA Tech is planning to leverage the cash for an acquisition, which will definitely take the stock price into skies. We would give it a P/E of 14x to FY15E EPS to arrive at a 7-9 month target price of Rs725. BUY BUY BUY. Invest without any risk and relax and wait for profits to reap in near future.


Note : VA Tech Wabag is a Shariah Compliant stock also and hence those investors who are following shariah guidelines can also invest in this stock. Its Ethical to invest in this particular stock.

Friday, January 11, 2013

Buy Rallis India for Target of Rs. 160

Here is another good stock tip for you all.

Buy and Hold Rallis India (BSE:500355) currently trading at Rs. 152.75 keeping a stop loss of Rs. 148 for a target of Rs. 160. Buy and hold for good return in next few days. Happy investing.

Note : Rallis India is a Shariah Compliant stock also and hence those investors who are following shariah guidelines can also invest in this stock.

Our target achieved in Kirloskar Brothers

Greetings to All our Investors!!!!

We are happy and proud to announce that our target of Rs. 175 has been achieved in Kirloskar Brothers on 09/01/13 and touched a intraday high of Rs. 184.30 approximatley. We always look forward for more best and fundamentally good stock tips for you all. Keep visiting our blog for more news and tips related to stock market.

Tuesday, January 8, 2013

3 Best and Shariah Compliant Stocks for 2013

Here we are giving you after screening the best 3 stocks from Cement, Pharma and IT sector. The companies are fundamentally strong companies and also Shariah Compliant for the ones who do not want to do Unethical Investing.

1. ACC LTD.

We recommend a buy on ACC Ltd. at Rs. 1420 with a target price of Rs. 1750 for medium term.

2. DR. REDDY'S

We recommend buy on Dr. Reddy's Laboratories at Rs. 1903.3 for a medium term target of Rs. 2352.

3. WIPRO

We recommend Wipro to buy at Rs. 399.2 for a medium term target of Rs. 491.

We have detailed report on performance of these companies. If you need the report please email us at stockbouncers@gmail.com, and we will surely send you the same for your satisfaction.

ENJOY ETHICAL INVESTING