Weekly ‘MONEY TIMES TALK’
- EP News Service
- Feb 01, 2021
Weekly column ‘MONEY TIMES TALK’ is a very popular round up of stocks / equity markets (BSE / NSE) live news and updates and subtle recommendations from Moneytimes.in
> Indian Bank posted Q3 PATof Rs. 514.29 cr. with an EPS of
Rs. 4.55. This share is available around Rs. 90 and a P/BV of 0.22. Buy and
hold for two years.
> Grasim to invest around Rs. 5000 cr. in the paint
business, which will add scale and diversity to its existing portfolio of
established businesses. Add.
> JSW Steel ’s Q3 PAT jumped manifold to Rs.
2669 cr. on the pick-up in the demand for steel. It is also likely to commence
multiple projects soon. A good time to buy.
> An Ahmedabad based analyst
recommends To Buy Arihant Capital, Apm
Finvest, Apm Ind , Banaras Beads, ,Hariyana Ship, Ind Swift Lab, Magna Electro
,Morepen Lab , Nitta Gelatine , Panasonic Carbon, Rajoo Engineering & Surya
Lata Spiniing .
> With the reduction in stamp,
Oberoi Realty scaled a 56% jump in sales and 93% surge in NP
to Rs. 286.43 cr. Having already surpassed its last year profits, this looks a
good buy.
> TCS at
a PE multiple of 33 has run ahead of its financials and seems out of its
comfort zone. It looks overpriced in the correction in the market. Sell and buy
back lower .
> Bajaj Finance shows signs of stress as its Q3FY21 profits
dipped to Rs. 1146 cr. from Rs. 1614 cr. a year ago. Sell now & buy back
later at lower prices.
> Tobacco major, VST Industries , reported a good Q3FY21 with
an EPS of Rs. 47.73. Its 9MFY21 is also good with an EPS of Rs. 154.10. The
share may be added in small quantities.
> Bajaj Auto posted an excellent Q3 with NP rising 30% to
Rs.1716 cr. on 17% higher revenue of Rs. 8910 cr. Given its rising volumes, it
remains a good long term add.
> Asian Paints ’ Q3 profits rose 62% to Rs.
1238.34 cr. on a 25.2% higher revenue of Rs. 6788 cr. The growing demand for
paints makes this industry leader an attractive buy.
> Emami reported 45% jump in Q3 net profit to Rs. 209
cr. on 14.9% rise in revenue. The company is witnessing growth in all brands,
channels and geographies. Buy for good gains.
> Nalco has fixed 8th Feb as record date for the
buy-back of its shares. With rising metal prices and lower floating stocks,
this share has the potential to rise. Add.
> FMGC major, Jyothy Laboratories of Ujala fame reported 18% higher Q3 NP of Rs.
53 cr. The Company is strengthening its distribution outlets and adding
innovative products. Add this share for the long term.
> IRFC has listed a tad below its issue price. The
share is a good long term bet especially as it will work in the Rail sector. A
good NBFC share with a long term view.
> Packaging major, Cosmo Films , posted an excellent Q3 with
surge in profits at Rs. 88 cr. with an EPS of Rs. 33.3. Its 9MFY21 profit
surpassed entire FY20 profits. Buy.
> Surya Roshni posted 13% rise in revenue, 49% rise in cash
profit and an 80% rise in PAT. At CMP of around Rs. 348/-, there is room for a
price rise. Add.
> The government is planning a
Rs. 3 lakh crore reform for ailing power discoms. An excellent opportunity for REC and PFC . Buy these underpriced Navratnas
for the long term.
> The fortunes of auto
ancillary companies are changing for the better. Buy Jay Bharat Maruti which posted fabulous Q3 with an EPS of Rs.
8.16 v/s Rs. 3.10 in Q3FY20.
> Bank of Baroda ’s NP rose to Rs. 1061 cr. on
higher margins and growing retail loans. The bank is on a comeback trail and is
available at one fifth of its BV. Around Rs. 68, this share looks ripe for a
jump.
> Synthetic rubber and latex
major Apcotex Ind reported repo a healthy Q3 EPS of Rs. 3.20 (FV
Rs. 2), which is about the full FY20 earnings. A good buy around Rs. 185.
> Eclerx Services , a leading KPO, continues to
post good results. Its Q3 EPS of Rs. 20.89 and 9MFY21 EPS already above Rs. 52
indicates and FY21 EPS of Rs. 72+. A safe investment buy around Rs. 980.
> LIC Housing Finance , the largest provider of
finance on existing property for business & personal needs and loans to
professionals to construct Clinics/Nursing Homes/ Diagnostic Centers/ Office
Space and for purchase of equipment may notch FY21 EPS of Rs 62. The share is
expected to gain 30%. Buy.
> Samkrg Pistons & Rings , which hit a high
of Rs 379 on 15 Jan 2018, exports 25% products to over 24 countries has posted
Q3FY21 EPS of Rs 7.6 and is expected to post FY21 EPS of Rs 18 on the revival
of the auto sector. The share may cross the Rs 180 mark. Buy.
> Four decades old Shakti Pumps , a pioneer of energy-efficient,
solar energy operated pumps & motors, is a prestigious brand in India and
abroad, has posted Q3FY21 EPS of Rs 14.4, 9MFY21 EPS of Rs 24.5 and is all set
to garner FY21 EPS of Rs 42, which could rise to FY22 EPS of Rs 60.Buy for 40%
appreciation.
> Great Eastern Shipping with its fleet of 46 ships aggregating 3.70 mn
dwt has posted H1FY21 EPS of Rs 47 pointing to FY21 EPS of Rs 65+. With a
forward P/E of just 7.5x, the share may cross the Rs 485 mark.
> GRM Overseas , which exports over 85% of its
branded rice, has notched 287% higher EPS of Rs 56.8 in H1FY21 after reducing
its debts by Rs 134 cr. in FY20. It is now set to post FY21 EPS of Rs 140+. a
reasonable P/E of 6x can take its share price to Rs 840 and is a strong bonus
candidate. Accumulate.
> Voith Paper Fabrics , formerly Porrits &
Spencer, a German MNC with 74% equity has posted Q2FY21 EPS of Rs 18.1 and Rs
28.5 in H1FY21. Based on the undergoing expansion, Voith Paper may notch an EPS
of Rs 65 in FY21 and Rs 75 in FY22 post-expansion. Buy for hefty gains.
> Indian Bank , which amalgamated Allahabad Bank
into itself, has notched Q3FY21 EPS of Rs 4.7, 9MFY21 EPS of Rs 12.6 and is
likely to notch FY21 EPS of Rs 18+. A reasonable P/E of 10x can take its share
price to Rs 180 mark. Buy.
> Adani Ports & Special Economic Zones may enhance shareholder return through better
capital allocation, cost rationalization and emerge as an end-to-end logistics
player by bringing the port gate and customer gate closer. It posted 57% higher
Q2 net profit and may post FY21 EPS of Rs 24. The share is expected to surge by
20% going forward. Buy.
> Titan Biotech , a leading manufacturer of
biological products used in Pharmaceuticals, Nutraceuticals, Food &
Beverages, Biotechnology & Fermentation, Cosmetics, Veterinary & Animal
Feeds, etc. has notched 278% higher net in Q3FY21 and 368% higher net profit in
9MFY21. It may notch FY21 EPS of Rs. 40. Buy for 30% appreciation.
> Dyes & Pigments
manufacturer, Dynemic Products , which
is expected to complete the expansion at Dahej shortly, has notched 30% higher
net profit in Q2FY21 (EPS of Rs 6.9) and 29% higher profit in H1FY21, which
will lead to a higher FY21 EPS of Rs 30. A reasonable P/E of 10x may take its
share price to Rs 300 mark. Buy.
> Roofing Solutions provider, Visaka Industries posted a robust quaterly EPS of Rs.15. It has
now started manufacturing Solar Roofing Systems, which are a rage abroad. This
hidden gem may turn out to be a multi-bagger.
> BSE listed Rama Phosphate , leading manufacturer of
phosphatic fertilizers, posted an excellent Q3 EPS of Rs.6. The stock trades
cheap at Rs.95 and can be bought for 100% appreciation.
> RPG Lifesciences posted excellent results with quarterly EPS of
Rs.8 as revenue and margins both show good traction. This pharma stock can
easily appreciate 50% from the current levels.
> JK Tyre expects the good Q3 run to continue going
forward. With the buoyancy in OEMs for another 3-5 years and in the aftermarket
segment, it is the cheapest tyre stock that can appreciate over 100% from the
current levels.
> While the Sensex fell from
50K+ levels to 46K, Hemisphere
Properties stood firm in a declining
market. The government’s dire need for funds make it an easy divestment target
as it has no employees. Good for good short term gains.
> Canara Bank ’s Q3 net profit more than doubled
to Rs 696.06 crore from Rs 329.62 crore a year ago with all round improvement.
The share trades at 0.39 times price to book. Its NPA cycle seems to have
peaked out. Buy with a target of Rs. 200.
> Kansai Nerolac is likely to post net profit of Rs. 171.6 cr.
up 39.8% YOY. The share is available at a reasonable valuation compared to its
peers. Buy for with a target of Rs. 680.
> ISGEC Heavy Engineering on its tiny equity of Rs 7.4 cr. is likely to
notch FY21 EPS of Rs 32. The sector has a good traction and good order flow.
Buy for a target of Rs. 410.
> Justdia ’s new B2C platform is comparable to
Indiamart and has a good client base. It’s easy for Justdial to capture a good
market size and once this becomes visible in its results, it will be rerated by
all the big brokerage firms. Buy with a target price of Rs.1000.
Disclaimer: The views and investment tips expressed by investment experts on Moneytimes.in are their own; however ExpresPost.in does not guarantee the accuracy, adequacy or completeness of any information. Readers are advised to check with certified experts before taking any investment decision.
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