EARNINGS
Q1FY19 outperformers: Four companies that posted outstanding results and worth investors’ attention
Moneycontrol Research took a dive into the earnings season.
BUSINESS
Aleris buy likely to widen Hindalco's moat, but at what cost?
The management indicated that benefits of these synergies would be mostly seen over the next three year
EARNINGS
Sterlite Technologies: Strong growth in earnings to continue
The company delivered 87.5 percent growth in earnings during the quarter ended June 2018
BUSINESS
ABB India: Expensive valuations to weigh on stock's performance
At 35 times FY20e earnings, the stock is trading at expensive valuations.
EARNINGS
Hindustan Zinc: Q1 profit up despite lower production
While LME prices would be a key monitorable, the company is looking for higher production and volumes in FY19, thus mitigating price related risk
BUSINESS
Tata Sponge Q1 review: Stock to find support from cash in books
Tata Sponge reported 49 percent growth in revenues to Rs 260.9 crore in June 2018 quarter.
BUSINESS
Indian Metals & Ferro Alloys: Valuation to limit any fall in stock price
While a sharp recovery seems to be a remote possibility, at a current market price of Rs 316, the stock's valuation still seems attractive
MONEYCONTROL-RESEARCH
How Tata Steel is reversing its sunk cost fallacy
Tata Steel is rectifying its capital allocation to tap opportunities in the domestic market and strengthen its competitive edge as competitors gain power
MONEYCONTROL-RESEARCH
Why you should keep your expectations from construction plays low
It is prudent to remain with construction players having balance sheet strength and industry expertise, but have lower return expectations in the interim
MONEYCONTROL-RESEARCH
Coal India: Is the improvement a blip or trend?
While fundamentals are improving, the stock may remain under pressure as a result of the government’s planned divestment
MONEYCONTROL-RESEARCH
Arfin India: Emerging smallcap riding value added aluminium products wave
We would like to highlight the management's penchant for innovation and hunger for growth, strong return ratios and prudent financial risk management
MONEYCONTROL-RESEARCH
Sterlite Technologies: European acquisition would be value accretive
Sterlite Technologies is currently trading at 21 times its FY20 estimated earnings, which is reasonable in the light of its growth prospects
BUSINESS
Power sector woes to continue; selective buying a prudent strategy
Within the power sector, we are more constructive about state-run utilities such as NTPC, which has a stable cash flow stream, capacity addition and low regulatory risk
BUSINESS
Why should investors stay away from firms facing insolvency proceeding?
The Securities and Exchange Board of India has placed 109 stocks under surveillance and included companies that are undergoing insolvency proceedings causing a lot of panic and speculation among investors.
MONEYCONTROL-RESEARCH
NBCC: Execution key to future performance
Valuations are reasonable in the light of growth and strong order book.
BUSINESS
KEC International: Valuations reasonable, new businesses to sustain momentum
Valuations are reasonable in light of the strong order book and superior earnings visibility
BUSINESS
Defence sector: On an extended waiting period
Most defence companies are sitting on a huge order backlog but haven’t been able to book revenues.
MONEYCONTROL-RESEARCH
NBCC: Management optimistic of FY19 growth with strong order pipeline
Management is expecting more and more projects to come from the redevelopment of government and PSUs land
MARKETS
Eight common behavioural mistakes in a bull market
What really matters is the balance of mind and behaviour particularly during times of exuberance in the markets where stocks tend to run ahead of fundamentals. While behavioural fallacies are common in all kind of markets, here are a few that need a serious check in a bull market.
BUSINESS
Gandhi Special Tubes: Buyback to create value
Post the buyback, outstanding shares will come down by 6 percent and earnings will improve by 3 percent after accounting for the fall in other income as a result of the reduction in cash on account of buyback of shares.
BUSINESS
JSW Steel in a sweet spot after lifting of ore mining ban
At the current market price of Rs 251 a share, the stock is trading at about 11 times its FY19 estimated earnings and 6.7 times EV/EBIDTA, which is reasonable.
BUSINESS
SAIL renewed focus on value-added products could bring it closer to peers
SAIL is making a structural shift and its JV with the ArcelorMittal for making 1.5 million of auto-grade steel could be a step in the right direction.
BUSINESS
Indian Railways turning out to be a big opportunity for engineering companies
The government is estimated to invest close to Rs 1 lakh crore for the redevelopment of the stations. The Ministry of Railways is aiming to redevelop 10 railway stations on a pilot basis for Rs 5000 crore.
BUSINESS
Why NLC India’s offer for sale could be worth considering
The OFS is worth participating in light of the attractive valuations it is offering. Interestingly, retail investors will be allotted shares at 3.5 percent discount or at Rs 90.7 per share as against the offer price of Rs 94 a share.
