Stocks to invest..... updated frequently....

[sunil_the_geminian]

this thread will updated as & when i get news for the stcoks and with explaination {if any}

stay tuned to earn

P.S : i will only suggest shares which i have bought so that you guys can't say that i have given wrong information

[sunil_the_geminian]

Empee Distilleries is engaged in manufacturing IMFL (Indian Made Foreign Liquor) products with one Distillery located in Kanchipuram District at Tamil Nadu with capacity of 30.24 lakh cases per annum another and in Palakkad District of Kerala with an installed capacity of 30 lakh cases per annum.



· The company is developing part of its 20.88 acres freehold property located at Sriperumbudur, Kanchipuram District, into 12.23 lakh sq. ft. of residential space and 3 lakh sq. ft. of basement. This project was approved by DTCP in March 2007 and hence eligible for deduction under Section 80-IB of the Income Tax Act. This would make the company eligible for 100% tax exemption on the profits to be earned from development of this property. The project has 840 flats and estimated selling price is around Rs.2,850 per sq. ft. in addition to realization of Rs.1,000 per sq. ft. for basement. Considering cost of construction and development of Rs.1,500 per sq.ft., this would translate into a profit of Rs.195 crores which would get realized in the next three years by September 2010. Remaining 2.38 acres of land would be used for setting up godown for storage of bottle and 1.53 acres for commercial use.



· The company also owns 13 acres 10 cents land at Poonamalle Taluk in Tiruvallur Dist., 13 acres 3 cents in Gummidipundi Taluk in Tiruvallur District and 10,260 sq. ft. land in Kancheepuram Dist. as also 15 acres land at Kuthumbakkam near Chennai. These properties would get developed after about 12 months, over the next 4 -5 years, which would result in total area of above 25 lakh sq. ft.



· The company, for the year ending 30th September 07, posted net sales of Rs.626.11 crores, other income of Rs.11.80 crores, with EBITDA of Rs.37.15 crores, PBT of Rs.29.86 crores and PAT of Rs.20.10 crores resulting into an EPS of Rs.14.15 on pre-issue equity of Rs.14.20 crores. On post issue equity of Rs.19.00 crores, EPS works out to Rs.10.60.



· The company is now expanding capacity its Tamil Nadu Distillery from 20 KLPD to 70 KLPD with capacity to handle 5 lakh cases per month, from present 3.20 lakh cases per month. The company is also setting up 60 KLPD grain based Distillery with capacity of 8.40 lakh cases per annum at Nellore in A.P. and a distillery in Karnataka for 12 lakh cases per year. This would give presence to the company in all four Southern states.



· All these are estimated to cost Rs.182 crores including Rs.31.07 crores for development of 2 lakh sq. ft. To finance this, the company issued 48 lakh equity shares at Rs.400 per share in November 07 and mobilized Rs.192 crores. All these expansions and new establishment would commence production from March 2008 to March 2009.



· The company hopes to have a topline of about Rs.1,100 crores with PAT of atleast Rs.48 crores. Of this PAT, realty division would give Rs.12 crores, IMFL Business Rs.32 crores and Power Rs.4 crores. This would result into an EPS of Rs.25 for FY 08, ending 30th September.



· For FY 09, ending 30th September, topline would be close to Rs.1,600 crores with PAT of Rs.148 crores of which Realty would give Rs.70 crores, IMFL Business Rs.72 crores and Power Rs.6 crores. This would result into an EPS of Rs.78.



· Realty would give PAT of close to Rs.100 crores in FY 10, ending 30th September, which alone would translate into an EPS of Rs.53 with IMFL giving close to Rs.84 crores and Power Rs.6 crores, resulting into an EPS of Rs.48 from core business. Thus EPS would be in excess of Rs.100 in FY 10.



· The present equity of the company is Rs.19.00 crores, of which, 75% is held by the promoters while 25% by Public. The selling pressure from QIB in recently concluded IPO seems to have completed with no selling pressure seen form last couple of days.



· The company would have parallel and equal flow of bottomline from realty business, on regular basis, from FY 09, ending September, for the next 5 – 7 years. This would give huge cash flow and EPS jump, resulting in higher valuation to the company.



· The company had issued shares at Rs.400 per share, which is now ruling at Rs.310, discounting FY 08 earning by about 13 times and FY 09 earning by about 4 times. Due to strong visibility of earnings for the next couple of years, the share has huge upside potential.



· The market has not correctly assessed the earnings potentials of its core business and huge value unlocking from its realty business. The IMFL companies are having PE of over 30 while Realty companies have PE of close to 15 times. The share falls in both the categories with big IMFL capacity, present in two states to be expanded in four Southern states, with substantial developable area near Chennai.



· The share qualifies an excellent buy at Rs.320 with potential to rise by 100 per cent in 9 – 12 months, with virtually no downward risk.

[sunil_the_geminian]

Marg Construction is a South based realty company, engaged in property development and infrastructure development like SEZ and Sea port.



· The present equity of the company is Rs.20.63 crores, with face-value of Rs.10 per share. This is after a preferential allotment of 12.20 lakh shares to promoters, 2 lakh shares to Benett Coleman & Co. and 6.80 lakh shares to non-promoters. Of this, promoters stake is 51%, MF,Banks and FIIs at about 15%, while remaining 34% with the public.



· The company is developing Karaikal Port near Pondicherry by its wholly owned subsidiary Karaikal Port Pvt. Ltd. This subsidiary has also entered into an MoU with Pembinaan Redzai Sah Bhd a Malaysian company, for development and management work of this port, as also has recently purchased a cutter suction Dredger which can work on draught of 5 meters to 25 meters depth. Karaikal is one of the four regions of Pondicherry and is 300 kms south of Chennai and about 135 kms. from Pondicherry. The port is being developed in three phases with total investments of Rs.1,000 crores. The first phase is of Rs.416 crores, and shall be operational by end 2008, 2nd phase would start in Jan. 2009 with outlay of Rs.250 crores and third phase thereafter with outlay of Rs.350 crores. The port is on 600 acres land with a concession period of 30 years.



· The company has estimated total cost of development of 1st phase of the port at Rs.416 crores, for which, Rs.302 crore loan has been sanctioned by various banks and financial institutions. Work on development of the port has commenced.



· The company has acquired 4.40 acres of land at Old Mahabalipuram Road, near Chennai for a residential project.



· The company is developing an SEZ on 312 acres of land in Kancheepuram near Mahabalipuram through its wholly owned subsidiary New Chennai Township Pvt. Ltd.



· Another SEZ on 300 acres of land, for service sector, is also being developed in Kancheepuram near Mahabalipuram.



· Developing one more SEZ at Tirupati for which land acquisition process has been initiated.



· Developing Serviced Airport at Kancheepuram through its wholly owned subsidiary Marg Business Park P. Ltd.



· For FY 07, total income of the company was placed at Rs.142 crores with PAT of Rs.29.90 crores, resulting in an EPS of Rs.18.



· For quarter ending September 07, topline was at Rs.49 crores with PAT of Rs.6.60 crores. Based on this performance, the company should be able to post a 30% growth in FY 08, over its FY 07 performance.



· The present market capitalization of the company is about Rs.650 crores, which is very low. Post listing of Mundra Port, the company would get vastly re-rated because of its Karaikal Port, near Pondicherry.



· The share is presently ruling at Rs.510 {upper circuit everyday} and can rise to Rs.1,000 levels in the next 12 months. Those who have long term view, can buy the stock, purely from investment angle.

[sunil_the_geminian]

AMARA RAJA BATTERIES............ An energized stock

Amara Raja Batteries is engaged in manufacturing of automotive and industrial battery with present capacity of 4 million pieces per annum.



· The company is implementing Rs.265 crore expansion at Tirupati, to be completed in three years, for the manufacture of two wheeler, telecom and small VRLA batteries, with total capacity of about 6 million pieces.



· Telecom battery market is showing a growth of 40% plus, annually, in view of huge addition of mobile subscribers. Also, due to average life of about 24 months of mobile telephone batteries, the telecom market has now been witnessing huge replacement demand of batteries for the handsets acquired about 2–3 years back. This demand would continue to rise in the coming time.



· The company has now focused on two wheeler battery market also, which is quite huge in OEM and replacement segment.



· Of the total raw-material costs, 70% is cost of lead. The price of lead now has softened to about US $ 2,400 PMT after having peaked to US $ 3,950 PMT about six months ago. Also, due to strengthening rupee, the landed cost of lead is also lower, which has been helping the company to post improved financial performance.



· For FY 07, the total income of the company was Rs.606 crores, with operating profit of Rs.91.30 crores, profit before tax of Rs.71.20 crores and net profit of Rs.47.04 crores, resulting in an EPS of Rs.41.31 (face value Rs.10) for the year.



· The company had posted CAGR of over 50% in topline and close to 220% in bottomline over the last three years.



· The management of the company, are confident to post CAGR of atleast 35% in topline and bottomline for the next three years, upto FY 10.



· For QI FY 08, the total income was at Rs.217 crores, operating profit of Rs.34.86 crores, PBT of Rs.27.46 crores and PAT of Rs.17.61 crores, resulting into an EPS of Rs.3.15 (face of Rs.2).



· For Q2 of FY 08, the total income was at Rs.260 crores with operating profit of Rs.40.04 crores, PBT of Rs.31.46 crores and PAT of Rs.20.62 crores, giving an EPS of Rs.3.62 (face value Rs.2).



· It may be seen from first two quarter results, that the company has been posting a quarterly growth of close to 15% on topline and bottomline, quarter on quarter.



· FY 08 is likely to have a topline of close to Rs.1,100 crores, operating profit of Rs.170 crores, PBT of Rs.134 crores and PAT of Rs.90 crores, giving an EPS of close to Rs.15. This translates into a growth of over 80% in topline and about 115% in bottomline, thus maintaining the tempo of growth momentum.



· The present paid-up equity of the company is very tiny, at Rs.11.39 crores (face value of Rs.2) of which, 52% is held by the promoters, 13.63% by Mutual Funds, Banks, Insurance Companies and FII, while balance 34.37% by the public. Of promoters equity, 26% is held by Indian promoters, Galla Family and 26% by the foreign promoter, Johnson Controls.



· The present net worth of the company is close to Rs.250 crores, thus giving a respectable book value of Rs.43 per share, as on 31st March 07. The present debt of Rs.140 crores, is largely to finance net current assets, which are close to Rs.220 crores. This makes the company debt free. Future capex of Rs.260 crores are also not going to increase any sizeable debt burden, as major portion would get mobilized from internal accruals. A sound and stable financial planning and management.



· On tiny equity of Rs.11.40 crores, turnover of over Rs.1,000 crores and cash profit of close to Rs.100 crores, reflects excellent financial ratios. In FY 09, the expansion would further improve these ratios and working. The part of increase in capacity has gone on stream, which would keep happening at an interval of every six months.



· The share is presently ruling at Rs.215, which discounts FY 08, EPS by about 14 times and FY 09 earnings by less than 10 times. This enable the share to give an annualized return of close to 40%, over the next three years, from its present price.



· A safe, sound and consistent stock, for medium to long term, at Rs.199.

[sunil_the_geminian]

Tata Metaliks is the largest producer of foundry grade Pig Iron with an installed capacity of 6.50 lakh TPA. The company has two plants, each of 3.25 lakh TPA, one at Kharagpur and another one at Redi in Maharashtra having acquired of Usha Ispat, which was made operational in January 06, with all three blast furnace of this unit now operational.



· In FY 07, the total production of Pig Iron was at 4.19 lakh MT while in first half of FY 08 it was at 2.46 lakh MT.



· The company has applied for iron ore mines in Jharkhand, Orissa, Sindhudurg in Maharashtra and Hospet in Karnataka as also applied for Coking Coal Blocks in Madhya Pradesh. The applications are pending at various stages of processing, which would provide, (on availability, continuous and cheapest source of raw materials to the company.



· To reduce its dependency on a single product, the company is foraying into Castings and Ductile Iron Pipe manufacturing.



· For making 1.10 lakh TPA Ductile Iron Pipes, the company, formed a Joint Venture to set up this project with an outlay of Rs.150 crores being set up at Kharagpur which would use liquid pig iron. The JV company would have an equity of Rs.75 crores and Debt of Rs.75 crores and plant would be operational by March 09. In this JV, the company would have 51%, while 44% would be held by Kubota Corporation and 5% by Metal One, both of Japan. Kubota Corporation are world renowned manufacturer of Ductile Iron Pipes.



· For FY 07 the total income of the company was at Rs.696, EBITDA of Rs.69.31 crores, PBT of Rs.42.17 crores, PAT of Rs.29.51 crores, resulting in an EPS of Rs.11.67 on equity of Rs.25.29 crores. The company paid a dividend of 60% for the year.



· For H1 FY 08, the total income of the company was at Rs.458 crores with EBITDA of Rs.60 crores, PBT of Rs.43.08, PAT of Rs.28.21 crores giving an EPS of Rs.11.15. The expected working in second half is likely to be better, which could ultimately result in an EPS of Rs.25 for FY 08.



· The present equity of the company is at Rs.25.29 crores, of which, promoters stake is 47.66%, while 7.49% is held by MF, Banks and FIIs, with 44.85% being held by the Public.



· The net worth of the company as at 31-03-07 was at Rs.160 crores while total debt of the company was at Rs.115 crores, resulting in a debt equity ratio of 0.72 : 1. This is, inspite of having acquired its second unit at Redi in Maharashtra, of Usha Ispat,



· The prospects of mines allotment of iron ore and coking coal are quite good and once that happens, it would vastly improve the profitability of the company.



· The share is presently ruling at Rs.165 which discounts expected EPS for FY 08 of Rs.25 by about 7 times. The share is ruling quite cheap when compared to other pig iron manufacturers like Kirloskar Ferrous, Lanco Industries and Sathavahana Ispat which have lower EPS, thus having higher PE multiples.



· The share has potential to cross Rs.250 mark in the next 10 – 12 months, which makes it an ideal buy at Rs.165 levels.

[RUSH_075602]

can any one check this stock and give me target for this i got target of rs 60 and this stock is reallygoing good

[dipulm]

TGT of 60 Rs. in wat time period?

[RUSH_075602]

no idea i got the information on my mail i got it when it was on 15 now its 22+ i got it now coz the shares were not available sir plz check this stock its goes 5% every day plz reply soon thank u

[RUSH_075602]

can u tell me target fr ARVIND REMEDIES

[sunil_the_geminian]

Tata Sponge - Cheapest sponge iron stock!

Tata Sponge is a Tata Group company engaged in the manufacture of 3,90,000 TPA of sponge iron with captive power plant of 26 MW at Keonjhar in Orissa. The present equity of the company is Rs.15.40 crores, of which about 40% is Promoters Equity, held by Tata Steel.



· For FY 07, the total income of the company was at Rs.297 crores with operating profit of Rs.51.79 crores, PBT of Rs.32.94 crores, PAT of Rs.21.23 crores, which has resulted into an EPS of Rs.13.80. The company declared dividend of 40% for the year.



· The total sponge iron production in FY 07 was at 2,82,274 MT with capacity utilization having achieved at 72%. During FY 07, the company commissioned new power plant capacity of 18.50 MW taking captive power plant capacity to 26 MW. The production of sponge iron in FY 07 was lower due to stabilization of Kiln 3 which was operational in March 06, for 1,50,000 TPA, and also due to shutdown of Kilns’ for connecting waste heat recovery systems to 2nd Power Plant of 18.5 MW.



· The share would have a book value of close to Rs.140 as at 31st March 08, while total debt in the books of the company, was only at Rs.145 crores which are backed by net current assets of about Rs.70 crores.



· For first half year ended 30th September 07, the company posted a topline of Rs.210 crores, operating profit of Rs.76.13 crores, PBT of Rs.58.80 crores, PAT of Rs.34.36 crores which has resulted into an EPS of Rs.22.31. Hence, FY 08 is likely to have a topline of close to Rs.450 crores with estimated EPS in excess of Rs.46.



· The company is increasing its sponge iron making capacity from 3.90 lakh TPA to 8.40 lakh MT by installing three kilns, each with a capacity of 1.50 lakh TPA. This is expected to cost about Rs.450 crores and expansion would be implemented on allotment of iron ore mines to the company. Each kiln will have waste heat recovery based power plant. The present location of the company is capable to accommodate an expansion upto 10 lakh TPA. However, the company plans to spend additional Rs.150 crores on infrastructure development, including setting up of another railway siding.



· Capacity utilization for FY 08 is likely to be at 90%, thus producing about 3.50 lakh MT of sponge iron. This would rise to about 98% in FY 09, thus producing about 3.80 lakh MT of sponge.



· The captive power plant of 26 MW capacity results in lower power cost and the surplus power of about 80 lakh units per month are sold to the grid.



· The company has been allotted coal block at Talcher, with estimated 120 million tonne reserves, in which the company has about 45% share. Coal is the major cost component for the company, as it is used as a reductant in sponge iron manufacturing plus also as a fuel for captive power plant. The production at Talcher Coal block would commence from FY 10, as work has already started. This would improve EBITDA margin of the company from 25% to 38%. The company also plans to install a 100 MW power plant, at pithead of the allotted coal block. This would be a big trigger for the company to ramp up its topline and bottomline.



· The company is also in the process of acquiring captive iron ore mines, which is likely to happen soon, thus reducing cost of its main raw-material, as also paving way for expansion to 8.40 lakh TPA. Currently the company is sourcing its iron-ore from Khondbond mines, taken on lease from Tata Steel and cost per ton, presently, is about Rs.2,000 per MT, which is negotiated every quarter.



· The share is now ruling at Rs.270, which discounts its FY 08 earnings by about 6 times. Ramping up of capacity utilization and benefits of coal mines and likely allotment of iron-ore mines would vastly improve the financial performance of the company. FY 10, should be able to post exponential growth.



· Share has potential to touch Rs.400 mark in the next 9 months as EPS for FY 09 is likely to exceed Rs.50. PE multiple of 8 times, still is lowest amongst peers, which are now ruling at a multiple of double digit, based on FY 09 performance.

[vajasu]

I appreciate your real interest in keeping our members informed of the companies whose share prices should in all probabilities, barring unforeseen circumstances, rise over a period of time.

Keep it up.