L&T has cleaned out quite a bit of its Mahindra Satyam today. Mahindra Satyam itself is down 5% at Rs 111. Any thoughts on this one on whether you want to own Mahindra Satyam? A: Four-five months back I was bullish on Mahindra Satyam. From a valuation perspective, there is still room for more given that the top tier IT companies, which are trading at a multiple of between 18 to 25 times. Mahindra Satyam is still trading at a discount. However, Mahindra Satyam might do Rs 6.5-7.5 earnings per share (EPS) for the current fiscal. The point here is the kind of value unlocking or monetisation that their real estate business will see. As I have said before, in Hyderabad, they have 125 acres of real estate land which is valued at couple of thousand crore and can add Rs 11 to the EPS. So if indeed that value unlocking happens though this sound very cliche, I think there are good chances of that happening then you are actually talking consolidated EPS of something between Rs 16-18 for Mahindra Satyam. One year down the line, the stock would be available for you at more than 50-60% discount to top tier IT companies. If indeed you want to play out the realty angle here, then it’s worth the wait otherwise one needs to have some more clarity given that you again have the mid-rung IT companies like Rolta, which has suddenly surprised on the positive, or Sasken, where the guidance has been very good or Polaris which is trying to move away from Citigroup. Seeing traction from other banks like JP Morgan and UBS is not just a proxy to which way the Citigroup moves. Hence, if you want a value player then perhaps Rolta, Sasken and Polaris in that order would be my top pick. However, Mahindra Satyam can lead to a rerating of the stock. WHAT DOES THIS MEAN???? DOES IT MENA THAT SATYAM WILL BE AVILABLE @ 60 TO 50 RS YEAR LATER????...

I think the price will go down. When JP associates sold treasury stock, it also went down from 267 to around 240 and then further down to 225-230. And if L&T will sell at 112, then why will the price stay at 117? I think it will atleast go down to 110 or below. I am not sure, ofcourse lots of things in the market are new. But I`ll be prepared to sell it off if the share starts to fall tomorrow and will re enter it later....

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Dear Friends, It was said on various occasion since Aug 2009 that above 9625 Dowjones will see level of upto 10365-10600. Yesterday we saw Dowjones hitting intra day high of 10341.97 almost bang on target therefore hitting the BULLS EYE. Regards, Manish Bothra, Money_Mystery, Kolkata....

good iip no. for september-09, inflation is rising fast. is it time to remove economic stimulus package? your comment plz...

There is no split in this stock.Only 2:1 bonus was issued and issue to promotors.This price and P/E is post bonus. Can anyone give a convincing reason for such a low valuation. thanks....

Varun is heading for its next target of Rs.300/- and by March 2010 Rs.500/- stay invested or buy now and may buy Camson biotech...

hope ur right, because i would have thought that it would put the price down a bit. ...

ya i know, its quite huge. what i think might be happening is a lot of profit booking, since the share has ran up a lot after the split and all the good news and the fear of market correction is making people book profits. just hold it on for long term. i myself am just keeping on buying on dips and accumulating it. i guess till some major good news happens or till good results are posted in the next quarter, this scrip might just not do much!...

i never said bharti wont survive... and ofcourse the share price will go up eventually.. but the isse is when to enter this scrip.... i for one would wait... limit your risks by stopping the blood flow.... once it settles then buy. accordng to me the risk reward ratio is not in favour now. thats my humble opinion, and i feel the same for punj lloyd also....

lol.... what a comparison... mind blowing.... on a serious note, i agree, get out of bharti now and watch it over the next few months... dont increase ur losses thinking to cover them...

LOL.... well said pss...

important that it crosses and closes above 1025...

depends what are your horizons. you could book profits now and wait to renenter later when the market corrects. for long term investment, like me, dont sell, just keep on adding whenever it corrects. ...