Cement production numbers: Reading between the lines
Cement companies have not been having a good time on the bourses in recent months and this is not surprising considering their weak fundamental performance. While there are several issues before the sector like excess capacity and input cost pressure the most pressing one seems to be the slack demand that is impacting the production of companies.
What to do with dud investments?
Most of you will be holding dud investments. Dud investments are investments that have lost value on an absolute basis or on a relative basis. A stock that you had purchased in the stock market boom in late 2007, and that has lost value by over 50% is a dud stock.
Rising interest rates: Is there a worry of defaults?
Although it is always better to go for a higher EMI as against a longer tenure, the borrower must be prudent enough to analyze whether he will be easily able to pay the extra cash outflow.
Bank Nifty will underperform the Nifty
The banking sector is definitely in for a rough time. The sector is facing multiple headwinds in the form of high cost of liquidity, rising bond yields and faltering credit growth.
Here's why medical cover is critical for everyone
Saving money is important. But do not try to save the amount meant for your medical insurance premium.
Is there credit growth at all?
A close look at the latest figures put out by the Reserve Bank of India (RBI) shows that credit growth was largely due to borrowing by the oil marketing companies (OMCs). If this borrowing comes down, credit growth can even become negative.
Extend your fixed income portfolio maturity
Current rate hikes are keeping rates on fixed deposits high, but it is also setting the stage for interest rates to fall in the coming months.
Birla Pacific Medspa: Group IPO record speaks itself!
The present IPO is a fresh Issue of Equity Shares of Rs10 each aggregating to Rs 65.175 cr. The offer is being made in the price band of Rs10 – Rs11 a piece. Thus, the issue quantum would be around 6.52 cr shares or 5.93 cr shares depending on the offer price which translates into 58% or 56% of the company’s post-IPO equity.
Why economic quick-fixes will not work
How soon will the global economy heal? The answer depends on whether we are talking about serious healing or a quick-fix heal for the short-term.
IOC, Bharat Petro, HPCL: Whose financials are better?
The sharp rise in the price of crude oil has impacted most individuals as well as oil marketing companies that are operating in the country. With the oil marketing companies holding their prices for quite some time in the earlier part of 2011 their finances were impacted.
R&D driven firm Galaxy Surfactants offers long-term value
Galaxy Surfactants is promoted by technocrats experienced in the line of business. Good financial report card, reasonable valuation and strong reliance on R&D promise long term value. However, its Egyptian manufacturing foray is a bit of a concern.
PFC fresh issue for long-term investor: Expert
From a valuation perspective, PFC’s offer price at the lower end of the price band discounts its 2010-11 earnings per share (EPS) of Rs 22.82 8.5 times. It has a book value of Rs 134.28.
Pre policy divergent trends, convergent post policy
Bond yields are at calendar year highs, while equity indices and the currency are just off from calendar year highs, going into the RBI annual policy for 2011-12 scheduled for the 3rd of May 2011.
Innoventive may not be inventive offer!
Poor industry discounting, absence of project appraisal and fund monitoring by external agency, potential cost and time overruns, etc., make Innoventive a less attractive buy.
Future Ventures IPO may only be a short-term punt
Short-term investors in Future Ventures, whose issue opened for subscription on Monday, can try their luck at the IPO as one expects active interest in the counter because of the big names involved.
50 better than 25
The RBI should raise repo and reverse repo rates by 50bps each as a signal of inflation veering sharply higher than estimates and as a signal of inflation being understated due to government’s fuel subsidy policies. RBI is scheduled to hold their policy meet in May 2011.
Concerns over runaway rise in oil prices overdone: PPFAS
On one hand there is turmoil in the middle-east in countries like Tunisia, Egypt, Libya, Bahrain, Oman and Saudi Arabia, and on the other hand we have seen problems in a nuclear power plant in Japan. We have crude oil trading at above USD 100 and there is worry that the world economy could tip back into recession.
Pranab to market: here's the good news
But things are not hunky-dory. While the market-friendly budget provides some amount of relief to investors, global events such as oil price spikes, loss of risk appetite, rising interest rates and cost inflation may up-end sentiments.
