By Arrangement with MONEY TIMES
HCL Tech Q321 Net profit surged 31% to Rs. 3982 cr. YoY beating analysts’ expectations. With attritions at an all-time low, it is confident of higher profitability in the coming quarters. Add.
L&T Finance’s Q3 profits nosedived 51% to Rs. 291 cr. YoY. However the company is recovering QoQ and the share may be retained at the current price.
Hindustan Zinc posted excellent Q3 results with profits jumping 28% to Rs. 2200 cr. YoY. Vedanta group holds around 65% stake and it is one of the best dividend play in the market. Rising prices of zinc and silver point to better profits ahead. Buy.
An Ahmedabad based analyst recommends to buy APM Ind , Banaras Beads, ,Everest Organics, Haryana Ship, Magna Electro Casting, Morpean Lab likely to be the multibagger of 2021-22 , Nitta Gelatine, Precot, Panasonic Carbon, Rajjo Engineering and Samkarg Piston
J.K.Tyre, the leader in radial tyres, posted its best quarterly result with revenue of Rs. 2776 cr. and PAT of Rs. 253.55 cr. translating into an EPS of Rs. 9.10. The management is confident of better times ahead. Buy immediately for handsome gains.
Long term investors can buy Power Grid around Rs. 203. This share is one of the safest bet at just 1.6 times book value and pays handsome dividend of around Rs. 10 per share. Buy.
Nesco plans to modernize its Bombay Exhibition Centre for about Rs. 325 cr. and set up a 40 lakh sq. ft. Infotech park for around Rs. 1800 cr. This share had hit a high of Rs. 816 and is a good buy given the assured business and growth prospects.
Lenders to DHFL will get only 30% of their dues spread over 5 years. The Piramals have made it clear that shareholders will get zero returns. The share may be delisted soon. Sell and exit.
Rallis India, an agro science company and a subsidiary of Tata Chemicals posted good Q3 numbers as profits grew b 20% to Rs. 45.64 cr. Add in small quantities.
Maruti Suzuki has raised the price of select vehicles by up to Rs. 34,000. Its ability to pass on the rising input costs will boost profits. Add.
Health related surgeries postponed in the pandemic are expected to gather momentum and analysts expect sector revenue to grow 20% in the next one year. Buy Max Healthcare and Apollo Hospitals.
Semiconductor shortage has affected passenger car production. We had recommended *Varroco*at Rs. 386 a few days back, which is now above Rs. 420. Still a good buy. Add.
Pig iron and ductile iron major, Tata Metaliks’ Q3 profit jumped 64% to Rs. 75 cr. YoY despite 268% in tax expenses. The share is still a good buy around Rs. 825. Add.
Dixon Technologies is likely to consider a stock split when declaring Q3 results on 2nd Feb. Its superlative working and monopolistic business warrants an immediate buy.
The Budget is expected to give big thumbs up to infrastructure and defense stocks. Add Reliance Infra which has presence in both these sectors. The company is clearing its debts fast and is on a rebound. Buy
Tata Steel BSL, the biggest manufacturer of auto grade steel, has returned to the black with a Q3FY21 profit of Rs. 913 cr. v/s a loss of Rs. 502 cr. in Q3FY20. With a book value of Rs 169, this share is an excellent buy around Rs. 44.
Bajaj Finance shows signs of stress as Q3 profits dipped to Rs. 1146 cr. from Rs. 1614 cr a year ago. Apart from reversing some interest income, the Company is witnessing lower loan disbursals. Sell now buy later at lower prices.
VST Industries, owner of Charminar cigarette, posted Q3FY21 EPS of Rs. 47.73 against Rs. 54.77 in Q3FY20. For 9MFY21, it recorded an EPS of Rs. 154.10. At Rs. 3645, this share is worth adding.
Bajaj Auto posted an excellent Q3 with NP rising 30% to 1716 cr. on a revenue growth of 17% to Rs. 8910 cr. It is witnessing rising volumes and the share is a good buy. Add.
Asian Paints Q3 profits rose 62% to Rs. 1238.34 cr on a 25.2% rise in revenue to Rs. 6788 cr. Growing demand for paints makes this leader in paints an attractive buy.
HAL has successfully test fired a smart anti airfield weapon from Hawk 1 aircraft. This defence major is likely to bag more orders in the ensuing budget. Add.
Jindal Steel & Power plans to manufacture Railway containers presently imported from China, which is a lucrative business. It posted Q3FY21 profit of Rs. 2566 cr. against a loss of Rs. 218.57 cr. in Q3FY20. A good buy.
BSE listed Avantel Ltd designs, develops & manufactures satellite products and services for Boeing, Indian Navy, Railways, Indian Army, DRDO, ISRO, etc. Sources aver that Tata group’s NELCO is eyeing a majority stake in it. Valuation wise, too, it posted Q3 EPS of Rs.12. The stock can easily appreciate 50% from the current level.
SAIL’s recently concluded its OFS at Rs.65/share but the stock now trades around Rs,58. Steel prices are at multi year highs and a 10-20% correction in them is given. In the last steel bull-run, SAIL was quoting in 3 digits and is very likely to see the same levels again. Buy.
After the recent run in tyre stocks, other auto ancillary stocks may follow suit. Radiator manufacturer, Banco Products, trades cheap at a P/E of less than 10x and can easily double from the current level. Buy at every decline.
De Beers has raised diamond prices by 5-10%. *Goldiam International * which makes diamond jewellery, could be in focus in the coming week.
RPG Life Sciences shows signs of life after a dull 2-year period. Any declines towards Rs.400 level would provide a good buying opportunity.
Mallcom (India) Ltd., leading provider Personal Protective Equipment covering head toe notched FY20 EPS of Rs 25 with its presence in over 50 countries as a valued partner of major importers under their brand names. Buy for mega gains.
Welspun Corp, maker of Ductile Pipes, has a new Rs 1200 cr. order from Saudi Aramco taking the total order to Rs 7,100 cr. With a likely FY21 EPS of Rs 24, the share is available at a steep discount of over 40% from its 52-week high of Rs 234. Accumulate for decent gains.
Aries Agro Micronutrients engaged in the business of plant protection, fishery & animal nutrition, Speciality Nutrients, Water Soluble NPK and hydroponics consultancy is expected to notch FY21 EPS of Rs 15+. The share is going cheap. Buy.
ISGEC Heavy Engineering has notched 74% higher net profit in Q2FY21 and 61% higher net profit in H1FY21 on its tiny equity of Rs 7.4 cr. and is likely to notch FY21 EPS of Rs 32-34. Buy.
Nahar Poly Films, manufacturer of a wide range of micron BOPP films, has notched 46% higher net profit posting Q2FY21EPS of Rs 4.9 and is expected to post FY21 EPS of Rs 22-24. A reasonable P/E of 6x can take its share price to Rs 132 in the medium-to-short term. Accumulate.
Vishnu Chemicals, manufacturer and exporter of Chromium and other specialty chemicals has posted 41% higher Q2 net profit leading to FY21 EPS of Rs 28. The share trading at a forward P/E of 5.9x against the industry average P/E of 33 has all the potential to appreciate by 30%. Buy.
Sree Rayalaseema Hypo Strength, manufacturer of organic and inorganic chemicals and big producer of calcium hypochlorite and stable bleaching powder, has posted Q2FY21 EPS of Rs 9.4 and Rs 17.3 in H1FY21 and may notch FY21 EPS of over Rs 35+. The share can double from the current level. Buy for 25% appreciation.
Hinduja Global Solutions has registered Q2 EPS of Rs 39 and H1FY21 EPS of Rs 62 in H1FY21 and may post FY21 EPS of Rs 130+. Robust growth of the Indian BPM Industry, opportunity in US healthcare reforms, larger deals and penetration into the public sector marketplace in Europe & Canada give solid revenue visibility going forward. Buy for 30% upside.
Swelect Energy Systems, formerly Numeric Power, is a leading Solar Power Systems company with state-of-art manufacturing facilities for Solar equipment has reported 68% higher Q2 EPS of Rs 6.7 and 740% higher H1FY21 EPS of Rs 14.3 and share book value of Rs 472. A reasonable P/E of 12x can take its share price to Rs 300 mark at a likely FY21 EPS of Rs 30. Buy.
Indian Metals & Ferro Alloys has notched Q2 EPS of Rs 16 and H1FY21 EPS of Rs 25 and likely FY21 EPS of Rs 50+ on the back of a strong operational performance and healthy market conditions. It also expects imposition of export duty on chrome ore by South Africa to have a positive impact on ferrochrome prices. Accumulate.
Titan Biotech, a leading manufacturer & exporter of biological products used in Pharmaceuticals, Nutraceuticals, Food & Beverages, Biotechnology & Fermentation, Cosmetics, Veterinary & Animal
Feeds, Agro Industries etc. has notched 515% higher Q2 net and 407% higher H1FY21 net profit. It is expected to notch an EPS of Rs 40+ in FY21. Buy this share for 50% appreciation.
(Disclaimer: This content is direct feed from Money Times)