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225 views75 pages

Smart Investment English 1 AUG 7 Aug

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Ram heda
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Only Financial Weekly Published in

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Aug. 2021 2

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Financial Weekly

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Aug. 2021 3
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Financial Weekly

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Aug. 2021 4

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VOL : 14 • Issue No: 25 RNI No : GUJENG / 2008 / 24320 1st Aug. 2021 to 7th Aug. 2021

FII ACTIVITY (Rs. in Cr.)


DATE BUY VALUE SELL VALUE NET VALUE
26-07-21 5495.57 7872.36 -2376.79
27-07-21 8522.42 9981.5 -1459.08
28-07-21 6941.15 9215.92 -2274.77
29-07-21 8373.72 9239.98 -866.26
30-07-21 8506.05 12354.36 -3848.31
TOTAL 37838.91 48664.12 -10825.2
DII ACTIVITY (Rs. in Cr.)
DATE BUY VALUE SELL VALUE NET VALUE
26-07-21 5885.63 4334.36 1551.27
27-07-21 6332.46 5602.5 729.96
28-07-21 6663.07 5741.62 921.45
29-07-21 7181.58 5134.62 2046.96
30-07-21 8047.43 5090.75 2956.68
TOTAL 34110.17 25903.85 8206.32
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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 7

D(en)O(f)W(ealth)
We have recommended
54 stocks from April 2021 to July 2021
“Out 54 stocks recommended 47 stocks have given positive
return with 87.04% of success ratio.” “Those positive return of
stocks recommended by us showed return of 2.82% to 116%”
Average return was 28.79% in only four months

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 8
Kiran Jadhav SEBI Registered Research Analyst

www.kiranjadhav.com / [email protected] /
Phone: 9595 11 33 44
You Tube: Kiran Jadhav /
Twitter: @kiran_jadhav_

Range with a positive undercurrent!


Technical View on Nifty:
Please see the attached chart 1of NIFTY which is a Daily Chart. As you all can see, this time
around, I have brought both my support and resistance line nearer than the same in last time.
These both line still serves the purpose of showing how important the current resistances and
supports are. As we all can see, market are still in close fitting range with a positive under current
to it. I think 15900 on upside and 15600 on lower side are the tricky levels. Break above or below
these levels would give us a quick move towards that side. My sense is suggesting a bullish bias
due to the recent down move and a quick recovery that we witnessed on Wednesday with a long
lower wick in the chart. However the derivative data built up suggests, that there are more call
writers in the system suggesting 15900 CE has maximum OI. I believe if 15900 is take out on
closing, we should see a sharp rally.

Chart 1: Nifty - Daily


Cont...

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 9
Technical View on Bank Nifty:
Attached chart 2is also a dailychart of BANKNIFTY. It shows no excitement currently and re-
mains to be calm and consolidating from the recent moves. I think the falling trend line which I drew
some time ago still has a key to it. We must close above 35000 levels decisively to gather upside
momentum otherwise even with NIFTY having good undercurrent BANKNIFTY still could behave
laggard in coming days. Derivative data on weekly expiry suggests no different as we can witness
the maximum OI is built up on 35000 CE strike suggesting it as a big hurdle.
All the SMART INVESTMENT readers must know that I can only write my view during the week-
end for you. But I am ready to give you my view on daily basis for free after you register. All you
need to do is to visit our website, KiranJadhav.com and click the link "Free Registration for Market
Outlook". This is placed at top & middle on our website. By filling out the form with your email as
your username and any password you like, you will be registered to our website. We update my
market view on NIFTY & BANKNIFTY at 7 am in the morning. You can log in to our website by
computer or phone to see my view for free. Every one of you are requested to subscribe to this
product so that I can be available to you for free on daily basis with my market views. Also there is
a link for FREE TELEGRAM channel given on my website which you can subscribe for free as
well.

Chart 2: Bank Nifty - Daily

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 10
RISING STAR: AVADHSUGAR (495.85)

Chart 3: AVADHSUGAR- DAILY


The current market doesn't seem to be the market for extreme short term trader and people who
wants to make money trading should wait and watch for the breakout is what I believe. In such a
time a stock with a long term investing purpose could be thought of. I have one such counter in my
radar & it is AVADHSUGAR. As a disclosures, this is the same counter I have suggested to MEM-
BERS of our services quite early at around 425 some levels, I think this is the same stock which is
ready for breaking out from a new and fresh pattern now. This pattern is a bullish pennant as can
be seen in the given chart below. When I suggested this stock to our MEMBERS, it was a long term
horizontal line breakout observed that time with a huge possible targets in coming two years. But if
I see the recent development on daily chart, this stock is getting ready to breakout from this pen-
nant. I think one should immediately grab this counter upon any up move if they witness with a
higher volume on closing basis. Only after the breakout one can venture in to the stock and stop
loss that time should be kept at 480 is what I suggest. One must take his personal advisor's permis-
sion before they hop in to such an opportunity. I think if at all we see an upmove on closing basis,
this stock will be heading towards 650 some levels in next 2/3 months. After initiation of an upmove
one can trail their stop loss with the same method that we teach in our workshops.

Author: Kiran Jadhav


SEBI Registered Research Analyst
www.kiranjadhav.com / [email protected]
Phone: 9595 11 33 44 / You Tube: Kiran Jadhav / Twitter: @kiran_jadhav_

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 11
Rapid Fire Stocks

Kalpna J (Email- [email protected])


(Ring : 97690 37711) Twitter : @Kj_TechTrades

TCS (BUY AT RS. 3167.00)


FOR THE TARGETS OF 3555 TO 3750, TIME FRAME 6 TO 18 MONTHS

About Tata Consultancy Services (TCS)

Tata Consultancy Services is an IT services, consulting and business solutions organiza-


tion that delivers real results to global businesses, ensuring a level of certainty no other firm
can match. TCS offers a consulting-led, integrated portfolio of IT and IT-enabled infrastruc-
ture, engineering and assurance services. This is delivered through its unique Global Net-
work Delivery Model™, recognized as the benchmark of excellence in software develop-
ment. A part of the Tata Group, India’s largest industrial conglomerate, TCS has a global
footprint and is listed on India’s National Stock Exchange and Bombay Stock Exchange.

Connected Consumer Intelligence, Delivered Through Software Solutions

Organizations in every industry are up against an unprecedented combination of threats


and opportunities. Banks are facing disruption from FinTechs. Retailers are seeking the right
balance between digital and physical. Communications service providers are searching for
new paths to value, and cities are seeking new ways to make cities more attractive places to
live, shop and do business. We can help.

Tata Consultancy Services’ Digital Software & Solutions is part of one of the world’s
largest IT solutions firms. Our experience delivering consumer-focused digital transforma-
tions to the world’s most successful organizations has informed the development of our
portfolio of products for the retail, banking, communication and smart-city sectors.

Client Needs Drive the TCS Digital Software & Solutions


Cont....

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 12
IDC has predicted that 50% or more of the global economy will be digitized by 2022, which
means that it is imperative for organizations to figure out how to survive and grow in the new
digital world. Many enterprises are wrestling with their data silos, lack of strategy and piece-
meal technologies. They lack a Connected Consumer vision, one that helps them under-
stand and engage with their customers more deeply.

To address this critical need, we offer:

Customer Intelligence & Insights, integrated customer analytics software that collects and
analyzes large volumes and varieties of data to enable banks, retailers and communication
service providers to deliver exceptional customer experiences at every step of their buyer
journey, quickly and cost effectively.

Intelligent Urban Exchange, integrated software that provides cities, campuses, utilities
and transportation operators with real-time, actionable insights that help them optimize safety
and services in critical urban domains.

Connected Intelligence Platform, integrated software that allows companies in consumer-


facing industries to design highly targeted engagement solutions that meet the rising de-
mands of connected consumers.

These software solutions are built to address the many challenges innovators face:

Time to market. How fast can you connect your disparate information sources and gener-
ate actionable insight from them? Our solutions are modular, industry-ready and based on
open-source standards, so your time-to-insight aligns with the speed of business.

Rapid, continuous innovation at low cost. Can you incorporate the latest machine learning
technologies, without a lot of investment on a timeline that meets market realities? Our
solutions are built from the ground up to be agile and future friendly.

Can you buy what you need today, and add on capabilities in the future without disruption?
Modular design is baked into our solutions.

Do your IT vendors know your industry, inside and out? Do they have the ready-to-go use
cases, dashboards and applications that will meet your current and emerging needs? Our
industry software solutions are designed with your business needs in mind.

Cont....

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 13

ANUPAM RASAYAN (RS. 726)


FOR THE TARGETS OF 950 TO 1111, TIME FRAME 6 TO 18 MONTHS

Anupam Rasayan Q4 net profit more than double by 112.85% at Rs22.2cr on sales and EBITDA
boost Anupam Rasayan Ltd reported 72.96% yoy rise in consolidated net revenues for the Mar-21
quarter at Rs271.67cr. reported 72.96% yoy rise in consolidated net revenues for the Mar-21 quar-
ter at Rs271.67cr. On a sequential basis, net sales revenues were up 47.55% compared to total
revenues in the Dec-20 quarter at Rs184.12cr.
Full year revenues for FY21 were 53.3% higher Rs810.89cr. The company is in the specialty
chemicals space and has been a big beneficiary of the demand shift in favour of India. For the full
year 2020-21, Anupam Rasayan declared a dividend of Rs0.50 per share of 5% on the par value of
Rs.10 per share.
Net profits in the Mar-21 were up 112.85% at Rs22.20cr on the back of higher sales and an
EBITDA boost from its core specialty chemicals business.
Anupam Rasayan India Limited is one of the leading compnies engaged in the custom synthe-
sis and manufacturing of specialty chemicals in India. Their business verticals are life science
related specialty chemicals comprising products related to agrochemicals, personal care and phar-
maceuticals, and other specialty chemicals, comprising specialty pigment and dyes, and polymer
additives. With customers at the heart of everything they do, their focus is to manufacture products
with sustainability using our continuous process technology through flow chemistry and photo chem-
istry, greater R&D and engineering capabilities to deliver values for customers for their complex
and multi-step synthesis projects.
Since 1984 Anupam Rasayan India Limited® has been a valuable partner to our customers for
custom manufacturing of multi-synthesis molecules such as life science related specialty chemi-
cals comprising products related to agrochemicals, personal care and pharmaceuticals, and other
specialty chemicals, comprising specialty pigment and dyes, and polymer additives on exclusive
basis for our customers. Certain of our facilities are ISO 9001:2015 and ISO 14001:2015 certified
company with sound technology, environment consciousness, rich history of innovation through
research, and total commitment to excellence towards quality and sustainability.
They have developed a strong R&D structure to drive company growth. Thanks to our R&D
team, Anupam Rasayan India Limited® has secured a strong market position. Because we strongly
believe that continued investment in Research and Development activities is imperative for contin-
ued success and growth. Our dedicated Research and Development Centre is a perfect testimony
of the commitment to this belief.
Green manufacturing and Green growth have always been to the top of agenda,they have
developed new eco-friendly, safer and novel routes for many products. Most of these products
have been introduced on an exclusive basis for thecustomers.
They have Six manufacturing sites that are located in the state of Gujarat: 4 sites are in Sachin,
Surat and 2 state of art sites are in Jhagadia, Gujarat.
Cont....

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 14

RELIANCE INDUSTRIES (ACCUMULATE) BUY AT CMP 2035

TARGETS - 2390 TO 2777, TIME FRAME - 2-12 MONTHS,

(ADD IN ALL DIPSAND SIP)


Mukesh Ambani-led Reliance Industries Ltd (RIL) reported Apr-Jun quarter FY22 net profit at
Rs 12,273 crore, a fall of 7.25 per cent on-year. In the corresponding quarter of the previous fiscal,
net profit stood at Rs 13,233 crore. RIL’s two major units Reliance Retail and Reliance Jio showed
healthy topline growth with retail more than doubling net profit and telecom net profit growing by 45
per cent. The oil-to-telecom conglomerate’s revenue from operations rose 58.2 per cent to Rs 1.44
lakh crore, as compared to Rs 91,238 crore in the year-ago period. The company’s earnings before
interest, taxes, depreciation, and amortization (EBITDA) grew to Rs 27,550 crore, from Rs 21,585
in the year-ago period. Company has delivered robust growth despite facing a highly challenging
operating environment caused by the second wave of the COVID pandemic. The results of the first
quarter of FY2022 clearly demonstrate the resilience of Reliance’s diversified portfolio of busi-
nesses that cater to large parts of the consumption basket,” Comapny facing COVID-related re-
strictions on store operations during the quarter impacted RIL’s retail business operations and
profitability. Cont....

Rapid Fire Stocks


For My Personal Assistance with My
Elite Membership At a Nominal Cost
Whatsapp @ 9769037711
For My Free Stock Ideas Follow me
on Twitter
@Kj_Techtrades
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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 15

ADANI POWER
BUY AT CMP 96 , FOR THE TARGETS OF 150 TO 333,

TIME FRAME - 9 TO 36 MONTHS

( Add in all Dips, Accumulate in Small Quantities )


Adani Power (APL), a part of the diversified Adani Group, is the largest private thermal
power producer in India.
The company has an installed thermal power capacity of 12,410 MW spread across six
power plants in Gujarat, Maharashtra, Karnataka, Rajasthan and Chhattisgarh, apart from a
40 MW solar power plant in Gujarat.
Adani Power shares have its investments in green energy sparking value buying and
partial payments made by the Rajasthan and Maharashtra governments that was long due."
Due to the rising petrol and diesel prices, people are moving towards electric vehicles and
the company has recently made investments in green energy that has triggered value buying
among the long-term investors. Apart from this, the company has received partial payment
from the Rajasthan and Maharashtra state governments, which will lead to reduction in debt
of the company.
Adani Power fourth quarter results: Net profit at Rs 13.13 crore
Total income of the company rose to Rs 6,902.01 crore in the quarter from Rs 6,327.57
crore in the same period a year ago

Buy... Buy... Buy on Dips Hold Sell on High


Sp. Restaurant 74.00 Bharti Airtel 561.00 Motherson Sumi 234.00
PPAP Auto 313.00
Jamna Auto 89.00 IRCTC 2329.00 Ajanta Pharma 2289.00
Mahindra CIE 269.00
Cineline 62.00 L&T Infra 468.00 HUL 2334.00
Hindalco 444.00
Munjal Auto 66.00 Privi Sp. Che. 1594.00 Manappurm Fin. 207.00
Jaibharat Maruti 217.00
Suprajit Engg. 337.00 Deepak Nitrite 2038.00 Apar Ind. 648.00
United Nilgiri (NSE) 421.00
Mukta Arts 40.00 BASF India 1618.00 Kotak Bank 1654.00
INOX Leisure 325.00
J K Paper 260.00 Escorts 1184.00 Mphasis 2597.00
R. Systems 205.00
Dwarkesh Sugar 77.00 HIL 6395.00 GIC Housing 172.00
JSPL 432.00
UFO Moviez 105.00 Concor 644.00 Maruti 6978.00
Oberoi Realty 672.00
Kamath Hotel 48.00 MCX 1599.00 LIC Housing 410.00
I.B. Housing Fin. 275.00
D-Link 158.00 Bajaj Fin. 6228.00 Metropolis 2844.0
Shopper Stop 267.00

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 16

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 17
Shiva Global Agro Industries Limited
Records highest growth in fertilizer segment amidst the
pandemic; Boosts sales through right supply chain strategy
Shiva Global Agro Industries Limited recently an- play their part creating price volatility in the market.
nounced the results of the fourth quarter and fiscal year In the solvents, soy-based products are proving to be
2020-21. With consolidated PAT for the year at Rs.932 on par with other non-green products. Its advantages of
Lacs compared to Rs.679.15 Lacs in the same period in natural emollients that help to stay on the crop and not
2019-20 (increase of 37.23%). The highest growthin terms evaporate or wash off during rainy days and non-corrosive
of quantity in 28 years for the company comes from the performance over other traditional products will continue
stable growth in the fertilizer and solvent business despite to make farmers prefer Soy-based resources.
the pandemic. The transportation of fertilizers to distribu- In future, the collaboration between state and
tors and farmers continued even during the lockdown; since centralgovernment, NGOs, and other partners can result
the company followed a strict supply chain strategy - gain- in zero-carbon ammonia production, and low-carbon fertil-
ing favorable access to markets across the country to sell izers will be the sustainable goal of likes of Shiva Global
their products. Agro.
Proactive measures from Shiva Global Agro were para- Upcoming Products &Business Plans
mount in ensuring a quick recovery from the environmen- Shiva Global Agro Industries Limited's future CAPEX
tal conditions during the first half of the year. The company's plan includes setting up a new plant in Nanded,
strategic cost-control initiatives, along with price forecast- Maharashtra, to produce Magnesium Sulphate - with a
ing & procurement techniques and good supplier relation- capacity to generate nearly 15,000MT per annum. The ad-
ships, aided in meeting optimum nutrient to crops through ditional plant will help the company to meet growing nutri-
their innovative products in fertilizers and solvent division. ent demand in agriculture in India and accelerate product
Impactand Learnings from the pandemic availability for commercial supply.
Globally, there was a decline (5%) in the production of Also, plans are in progress to set up a new HDPE/PP
agricultural chemicals including, crop protection chemicals packaging facility in Nanded - for better control over pack-
and fertilizers, during the first half of 2020. Understanding aging quality and cost. The HDPE/PP bags are currently
this, Shiva Global Agro focused on the domestic supply being used for both fertilizer and solvent products for higher
chain and made sure the shortage of skilled labor and vola- resistance to temperature changes, water, and vapor.
tile crude oil prices during the pandemic doesn't affect pro- The future CAPEX plans are the result of the company's
duction. success with the organic DOC plant inaugurated last year.
Also, later in the year, the country witnessed an above The 270 Lacs investment is now fully operational and will
normal South West and North East monsoon, resulting in yield more revenues for the solvent division in 2021. And,
improved crop sowing, which helped the sales ofand the decision to use indigenous rocks in fertilizer business
fertilizers,De-oiled cake (DOC) and edible oil. Thus, the more compared to high grade imported rocks has helped in
domestic effect of decline was minimal in India. reducing the product cost through the BRP facility in Nanded.
Also, Direct Income Support Schemes introduced by Some of the upcoming products in solvent business is
various State and the Central Government helped in im- to produce more Soya DOC and edible oil from soya beans,
proving the cash availability with farmers helped the agri- along with mustard and mahua products - informed the
cultural sector to remain positive. company.
Financial Performance Highlights Neem based organic fertilizers productsthat is packed
Last fiscal year, company benefitted from a favorable with macro and micronutrients to nourish the crops natu-
business environment and improved liquidation profile, aid- rally is also another product category on the pipeline.
ing the business performance. The company's consolidated Outlook 2021-22
revenue from Operations stood at Rs.48,963.36 Lacs as "Agriculture continues to be a very important sector for
compared to previous year's Rs. 49,961.83 Lacs. the Indian economy. The recent reforms announced by
Also, the Net Profit Before Tax was Rs.1,170.28 Lacs the Government in the agriculture sector augur well for its
for the year under review as against the previous year's future growth and farmer's welfare. Indian agriculture will
consolidated Net Profit Before Tax of Rs.1,088.28 see improved focus on Smart Agri practices like balanced
Future of Fertilizer and Solvent Industry nutrition, precision farming, micro-irrigation, digital connect
The company believes, fertilizerswill continue to reduce and shared service model,"Said Mr. Deepak
the cost of produce for the farmers. Currently, looking at the Maliwal,Director of Shiva Global Agro Industries Limited.
cultivation cycles many farmers understand this is a sea- "This will help to fulfill the changing dietary needs, miti-
sonal businessand they are increasingly adopting to fertiliz- gate rising pressure on natural resources and address the
ers and crop inputs to reduce agriculture cycle crops, that will farm labor shortages. The Company with its rich experi-
promote higher cultivation in low arable land. ence and connect with farmers, customized product offer-
Often, the fertilizer industry is influenced by a number ings, efficient supply chain and market presence is well
of macroeconomic factors like population, reduction of placed to seize the opportunity presented by these trends,"
farmable lands, alternative use of crops and change in diet he added.
preference among Indians. These factors will continue to ***

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 18
RESEARCH REPORT

INTEGRA ENGINEERING INDIA LTD


(505358) (62.75) (Face Value Re.1)
INTEGRA Engineering India Limited (IEIL) Particulars 3 Month Ended
is subsidiary of INTEGRA Holding AG, Swit-
Q1FY22 Q1FY21 % Var.
zerland. Integra Engineering India Limited
commenced its operations in 1987. Since then, Sales 19.31 8.77 120.18
the company expanded its operations adding Operating Profit3.16 -0.25 -
products as well as manufacturing facilities.
Spread over 26 acres and two locations, the PAT 2.17 -0.34 -
current set up offers a unique blend of products to its core sectors in transport and power. The
products in transport primarily cater to Indian Railways, both in Railway signaling & control and
rolling stock. In addition to that, the company manufactures standard industrial enclosures for vari-
ous segments. The product range includes electro-mechanical relays, cable harnesses, wiring
plates, fuse auto change over systems and a variety of mechanical enclosures used in trains and
locomotives. In the financial year Research Design and Standards Organization (RDSO) approved
the company's new LED signal which has been added to the basket of products. In addition, com-
pany has an entry in export market for the transport sector. Moreover, the latest version of I-panel
as an alternate to existing products is gradually getting market acceptance. Integra Engineering
India Limited (IEIL) offers a variety of engineering solutions. As of now, Integra Engineering India
Limited (IEIL) has three fully functional units: Unit I is engaged in the Design, Engineering & Manu-
facturing of customized sheet metal engineering products in SS, MS, GI & Al.
Unit 2 is involved with manufacturing Electromechanical Signalling Relays, Fuse Auto
Changeover System, Protection Relays, Interposing Relays and Wire Harnesses.
Unit 3 is manufacturing industrial enclosures to cater wide variety of industries.
IEIL has an equity base of Rs.3.42 crore that is supported by reserves of around Rs.31.12 crore.
The promoters hold 54.67% of the equity capital, which leaves 45.33% stake for the investing
public.
For Q1FY22, IEIL posted a PAT of Rs.2.17 crore against loss of Rs.0.34 crore in Q1FY21 on
120.18% higher sales of Rs.19.31 crore and an EPS of Rs.0.63.
Currently, the stock trades at a P/E of 27x.
Investors can accumulate this stock with a stop loss of Rs.50. It may give very good re-
turns in medium to long term.

Some successful recommendations of the


SMART Research Report made fresh highs during last week…
Recomm. Date Stocks Recomm. Achieved Appreciation
Rate Rate (%)
18th January 21 FRESHTROP FRUIT 77.65 150.8 94%
1st February 21 BANARAS BEADS 58.3 100.2 72%
15th February 21 NITTA GELATIN 171.5 304 77%
26th April 21 GEE LTD 38.6 109.9 185%
10th May 21 PASUPATI ACRYLON 17.9 33.65 88%
24th May 21 INDO AMINES 121.4 374.05 208%
28th June 21 PANASONIC ENERGY 251.05 319.95 27%
19th July 21 HIND TIN WORKS 106.5 143 34%
Last Week RELIANCE CHEMOTEX 149.5 179.8 20%

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 19
SMALL BUT BEAUTIFUL IDEAS
Brijesh Barot, Surat (9723108999) [email protected]

More than 50% GAINS for Smart Readers in short term


Recomm. Date Stocks Recomm. High Appreciation
Rate after call (%)
14-02-21 Max HealthCare Ltd. 198.15 301.2 52%
02-05-21 JINDAL SAW 85.55 147.6 73%
06-06-21 CINELINE INDIA 44.1 70.2 59%

Gujarat Industries Power Company Limited


( GIPCL ) (Rs. 96.90)
Gujarat Industries Power
Company Limited (GIPCL) DEC.2020 MARCH 2021
was incorporated in 1985 as SALES 331 CR SALES 332 CR
a Public Limited company NET PROFIT 32 CR. NET PROFIT 44 CR.
under the auspices of Gov-
ernment of Gujarat (GoG). The Company was in-
corporated as a Public Limited Company with the
PROMOTERS HOLDING 55.69%
Registrar of Companies, Gujarat under the Compa- FII HOLDING 1.59%
nies Act, 1956 and having its registered office at DII HOLDING 10.01%
P.O. Ranoli, Vadodara- 391 350, Gujarat, India and
GOVERNMENT 7.64%
has listed its shares on BSE Limited and The Na-
tional Stock Exchange (India) Limited. The company BOOK VALUE RS.192
has been promoted by leading Gujarat PSUs,
namely GSFC, GACL and GUVNL. The company
is engaged in the business of Electrical Power Gen-
eration with a present installed generation capacity
of 1084.4 MW. The Company has a diversified port-
folio of Thermal (Gas and Lignite), Wind and Solar
Power Plant Assets in the state of Gujarat. GIPCL
aims to transform itself into a formidable national
level power sector enterprise.
Company's Operational Projects
1. 310 MW Gas Based Combined Cycle Power
Plant at Baroda
2. 500 MW Lignite Based Power Plant with Captive Mines, Nani Neroli, at Taluka: Mangrol, Surat District
3. 274.4 MW Renewable Energy comprising of Utility Scale Wind & Solar Projects
Technical Speaking : Currently companies share price quoting at 96.8. On weekly charts it's
making a rounding bottom. Investor can accumulate in zone of 97 to 85 with weekly closing Stop loss of 70
for immediate target of 130 and medium-term target of 155 and long-term target of 180+.

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 20
Jatin Sanghavi
Market Scan (Mumbai)
(M) 098205 26455
[email protected]

TAKING SUPPORT @ 50DMA


NIFTY CONTINUES IN A RANGE
For the 8th straight week, Nifty continued in a Trading Range with support around 15450 and
Resistance around 15950. The expansion in the Trading Range in the last few weeks has led to
Nifty forming a Broadening pattern. Broadening pattern is a challenging pattern to trade as it is not
only volatile within a Trading Range; but also prone to taking out the stop-losses very often, thereby
making trading difficult. For the second consecutive week, Nifty continued to take Support at the
50dma, thereby indicating that the Medium Term Trend still remains intact. On the daily chart, both
the indices have
formed a Black body
Spinning Top. On the
weekly timeframe,
both Sensex and Nifty
have formed a pattern
almost like Hanging
Man but cannot be
classified so, because
of the presence of
small upper shadow
This Weeks Recommendations and also it has formed
Stocks CMP SL Tgt-1 Tgt-2 in sideways consoli-
Buy LTInfo 4684 4586 4835 4991 dation at the top. A

Buy GodrejProp 1602 1560 1665 1733 breakout in either di-


rection can lend a
Buy SunPharma 773 754 802 833
strong directional
Buy SunTV 579 565 601 624
move to the Nifty.
Buy NiiT 323 315 337 353

:::: INDEX LEVELS ::::


S3 S2 S1 CLOSE R1 R2 R3
NIFTY 15273 15450 15606 15763 15899 16058 16214
SENSEX 51073 51601 52013 52586 53114 53662 54278

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 21
SMART BANKING & FINANCIAL SERVICES
By Vijaya Kittu M, GetPaidIndia.com
The author feels investors should constantly track their invested stocks and sectors to
have the edge over the market.
1. ICICI Bank, Axis Bank and HDFC Bank have made an investment in a start-up that focuses
on blockchain technology called IBBIC Pvt Ltd. ICICI Bank is reported to have acquired
49,000 fully-paid up equity shares of a face value of Rs. 10. This accounts to 5.44 percent
stake. Axis Bank and HDFC Bank have acquired 5.55 percent stake in the start-up.
2. AXIS BANK Net Interest Income (NII) went up by 11.1 percent YoY. Net profit is up 94%,
almost having doubled. Asset quality is largely stable and provisions are ample. The bank
reported 15% and 14% market share in UPI and mobile banking. The bank has an ambitious
plan called 'One Axis'. As a part of it, three subsidiaries - Axis Cap, Axis Sec and Axis Fin
are revamped significantly in recent times. Axis Banka also made strategic investments in
insurance business with Maxlife and in Fintech with Freecharge. The digital transformation
will put the bank in an accelerated growth phase going forward.
3. CAMS, India's largest Registrar and Transfer Agent (RTA) got attention after SEBI issued
a circular that directed RTAs to develop an interoperable industrywide platform to enhance
investor experience in MFs. The platform is expected to be implemented in phases with
non-financial transactions to be allowed in the first phase. CAMS is one of the two RTAs in
India and enjoys a 70% market share.
4. HDFC LTD has enhanced its existing limit to raise capital through medium-term notes to
up to US $2.8 billion. The investment arm of the World Bank group - International Finance
Corporation (IFC) - has lent US $250 million to HDFC so that the lender can promote
affordable green housing finance in India. HDFC said the funds will be used to cover both
affordable and green housing themes.
5. SBI CARDS & PAYMENT SERVICES reported close to 10% increase in revenue but Net
profit is down 23% YoY. Its GNPA stands at 3.91% and NNPA stands at 0.88%. Asset
quality has improved but sustaining it going forward will be a challenge. As many as 6.09
lakh new accounts were opened in the quarter. The number of cards in force grew by 14%
YoY. The Spend per average card is at Rs. 1,11,000 while receivables per card stood at
Rs. 20,290 during Q1. A co-branded card called Fab India SBI Card was launched during
the quarter. As much as 20% leads are sourced from SBI Yono app.

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Hard Copy is available on Every Sunday Morning at your nearest book-stall


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Financial Weekly

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Aug. 2021 23
JACKPOT SHARE BUY NSE LISTED
HI-TECH PIPES LTD
(NSE Code: HITECH)(CMP : Rs 732.00)
Short Term Target Rs : 1050.00 • Long Term Target Rs : 1500.00
Hi-Tech Pipes, a 35 years old company, is growing steadily over past few years. The company currently
has 5 state of art plants across 4 states- Maharashtra, Uttar Pradesh, Gujarat and Andhra Pradesh with
total installed capacity of 5,80,000 MTPA.
The company has over 550 SKUs and ~400 dealer and distribution network. The strong product portfolio
of over 450 products services 10 industries across 17 states in India. Its product portfolio is made up of MS
Steel pipes, steel hollow sections, galvanized steel tubes, pre-galvanized pipes, organic GI pipes, cold
rolled coils, cold rolled strips, solar mounting frames, metal beam and crash barriers.
Company has branded its product as per the product application like "Jalshakti" and "Casewell" for
borewell, water, agriculture, "Bahubali" for infrastructure, Airport and Metros, "Firefighter" for fire safety,
"Organic" for poly housing and agriculture, "Pre-Gal" for India Coastal and Shakti for construction indus-
tries. "Flatmax" for automobile and white goods and "Crashguard" for roads and railway safety.
Continuous growth is the mission of the company and have introduced couple of value added products
recently to its overall portfolio. The commissioning of new facility in 4QFY21 at Khopoli with capacity of
80,000 MTPA , Maharashtra, will see manufacturing of MS and GP steel hollow sections and with it, share
of value-added product will increase. The company is aiming to almost doubled the capacity to 10,00,000
MTPA in near future and that too through internal accrual funding.
The Company has added new product line viz. CR Sheet. The company witnesses encouraging de-
mand for this product. A special annealing furnace has been installed at Sikanderabad , Uttar Pradesh
facility. To improve operational efficiencies and save energy costs, the company has commissioned Two
Roof Top Solar Projects under Opex in Q4FY21 at its Sikanderabad and Khopoli facilities. The total Roof
Top Solar Power Generation installed capacityhas been increased to 3,300 KW.
Innovation will drive product portfolio of the company. The new value added products like galvanized
colour coated roofing sheets are under product pipeline. The Company also registered its products for High
Speed Bullet Train project (Mumbai to Ahmedabad) and started supplying Jumbo MS Hollow Sections to
various prestigious projects which will enhance its product applicability and add new customers to its fold.
Comprehensive product portfolio enabled company to win various Government tenders under the "Jai
Jivan Mission" projects of various state governments. Reliance Industries, Indian Oil, SAIL, Hindustan
Petroleum, NTPC, BHEL, HCC, TATA, GVK, Adani and DLF are its marquee clientele.
The Company garnered 10.8% topline growth to Rs 1,340.6 crore and bottomline growth of 11.9% to Rs
22.8 crore for FY21. The Company started newyear with splendid performance. Its operating revenues
were more than doubled to Rs 383.26 crore in 1QFY22 as against Rs 151.88 in corresponding years.EBITDA
was at Rs 21.5 crore as against Rs 9.13 crore in the corresponding year; up 135.4%, and EBITDA margin
was maintained at ~6%.
EBITDA/ton was at Rs 3,467 in Q1FY22 as compared with Rs 2,606 in Q1FY21; improved by 33%; on
account of significantly better sales realizations on YoYbasis. Strong topline growth translated into strong
bottomline line growth;net profit for 1QFY22 grew 17.8x 1QFY21 while PBT was 18.1x its corresponding
numbers. The Company reported net profit of Rs 8.9 crore as against profit of Rs 50 lakhs in 1QFY21.Strong
growth in bottomline resulted into impressive diluted EPS of Rs 7.31 on diluted equity of Rs 11.50 crore as
against diluted EPS of Rs 0.48.
Hi-Tech Pipes is focusing on expanding its product portfolio and adding value added products to it. This
will enable to garner higher contracts from its customers and enhance sales revenues as well as profit.
Looking at its performance for past few quarter, one can say the company is on growth track.
***

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 24
SMART
BUY OF THE WEEK
Dark Horse
Dark Horse-1
BDH INDUSTRIES LTD
(524828) (152.5) (Face Value Rs.10)
Particulars 3 Month Ended BDH Industries Limited operates as
Q4FY21 Q4FY20 % Var. a pharmaceutical company. The
Sales 20.29 12.49 62.45
Company offers a full range of oral
Operating
Profit 2.51 1.48 69.59 solid dosages, drugs, and medicinal
PAT 1.85 1.15 60.87 products, as well as provides health

care services. The company offers its products in various therapeutic classes,
such as antifungal, antibiotics, anticancer, anti-diabetic, antidepressant, anti-
ulcerant, antimalarial, anti-inflammatory, analgesic, antispasmodic, anti-tuber-
culosis, cardiovascular, dermatological, non-steroidal anti-inflammatory drugs,
psychotropic, trichology, and vitamins and minerals.
BDH has an equity base of Rs.5.94 crore that is supported by reserves of
around Rs.37.13 crore. The promoters hold 49.73% of the equity capital, which
leaves 50.27% stake for the investing public.
For Q4FY21, BDH posted a 60.87% higher PAT of Rs.1.85 crore on 62.45%
higher sales of Rs.20.29 crore and an EPS of Rs.3.22. It declared 30% divi-
dend for FY21. Currently, the stock trades at a P/E of just 13.8x.
Company can be Re Rated in future if company decide to shift plant at other
industrial area and sell land of kandivali as it has prime land in Kandivali East
adjoining Big Bazar.
Investors can accumulate this stock with a stop loss of Rs.125. It may
give very good returns in medium to long term.

Cont...

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 25
Dark Horse-2
NELCAST LTD
(532864& NSE) (96) (FV.2)
Nelcast is the Largest Jobbing Foundry in
Particulars Year Ended
India for the manufacturing of Ductile & Grey
Q4FY21 Q4FY20 % Var.
Iron Castings. Its products cater to the Glo- Sales 220.45 125.47 75.7
bal Automotive, Tractor, Construction, Min- Operating
ing, Railways and General Engineering sec- Profit 18.50 12.89 43.52
tors and company is proud to have as its cus- TAX 2.76 -11.24
tomers, the leading companies in these sec- PAT 6.64 22.89 -70.99
tors worldwide. Established in
1985 with a modest capacity of
just 1,000 Metric Tons/Year,
Nelcast has focussed on produc-
ing superior quality castings for
a wide range of Industries. This
focus has helped it grow over the
last three decades to a position
of market leadership with a pro-
duction capacity of 118,000 Met-
ric Tons/Year. Compnay has a

diversified customer base including Original Equipment Manufacturers ("OEM") and Tier-1 cus-
tomers in the Commercial Vehicle, Tractor, Railways and Off-Highway Vehicle segments spread
across India, Europe, North America and Southeast Asia. Company is a trusted partner and a
strategic supplier with long-standing strategic relationships with TAFE, Tata Motors, Ashok Leyland,
Volvo-Eicher Commercial Vehicles, Same Deutz-Fahr India, Daimler, Automotive Axles, Dana,
American Axles & Manufacturing, Comer Industries, Meritor, Wabtec, ZF.
It has an equity base of Rs.17.40 crore that is supported by reserves of around Rs.412.69 crore
which is almost 23 times higher against equity. The promoters hold 74.87%, while the investing
public holds 25.13% stake in the company.
For Q4FY21, NELCAST posted PAT of Rs.6.64 crore on 75.70% higher sales of Rs.220.45
crore and an EPS of Rs.0.76. During Q4FY21, its operating profit grew 43.52% to Rs.18.50 crore
as against Rs.12.89 crore in Q4FY20. During Q4FY21 company paid tax of 2.76 crore while during
Q4FY20 company got tax credit of 11.24 crore. Due to this we have seen Q4FY21 profits at lower
levels. Company paid 10% dividend for FY20.
Investors can accumulate this stock with a stop loss of Rs.83. It may give very good returns in
medium to long term. Cont...

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 26
TRIPLE digit returns in SMART BUY OF WEEK
(SMART DARK HORSE) stocks during last 10 months…

Recomm. Date Stocks Recomm. Achieved Appreciation


Rate Rate (%)
5th October 20 MAAN ALU 72 410 469%
19th October 20 BIRLA MONEY 43.35 88.8 105%
26th October 20 FLEX FOODS 62.45 128 105%
2nd November 20 NCL IND 129 274.75 113%
2nd November 20 PIX TRANSMISSION 143 930 550%
9th November 20 GOLDIAM INTER 156.65 620 296%
9th November 20 RAMA PHOS 66.6 505.05 658%
DIWALI 2020 CAPRIHANS 64 180 181%
DIWALI 2020 MODISON METALS 37.2 95.75 157%
7th December KABRA EXTRUSION 91 242 166%
14th December 20 KHAITAN CHEMICALS 21.85 77 252%
21st December 20 VIVO BIO 47.5 115.1 142%
28th December 20 MANALI PETRO 35.4 89.4 153%
4th January 21 TPL PLAST 165 360.4 118%
4th January 21 VLS FINANCE 71 264.9 273%
25th January 21 HARIYANA SHIP 42.85 133.9 212%
1st February 21 ARIHANT CAPITAL 83 189.25 128%
8th February 21 MOREPEN LAB 29.4 75 155%
22nd February 21 MAAN ALU 159 410 158%
1st March 21 VLS FINANCE 90 264.9 194%
1st March 21 BCL Industries 98.6 289.7 194%
15th March 21 Gokul Agro 23.3 49.75 114%
29th March 21 hind tin 63.55 143 125%
12th April 21 SAMRAT PHARMA 144 304.95 112%
12th April 21 BCL Industries 125 289.7 132%
19th April 21 SHREYAS SHIPPING 76.85 240 212%
3rd May 21 AGAR IND 152 365 140%
3rd May 21 FIBERWEB 29 59.25 104%
10th May 21 UTTAM SUGAR 143 308.35 116%

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 27
Stock Buzz
Subramanian Mahadevan
[email protected]

Steel Authority of India Limited (Rs.142)


Metal with Mettle!
Steel Authority of India Ltd (SAIL) - is one of the largest state-owned steel making company
based in New Delhi, India and 24th largest steel producer in world with an annual turnover of Rs.
57,558.46 crore (US$8.1 billion) (FY18). SAIL is a public sector undertaking largely owned by
Government of India (75%) with 93K+ employees and an annual production of 13.9 million metric
tons. SAIL operates and owns 5 integrated steel plants and 3 special steel plants besides one
Ferro Alloy plant at Chandrapur. As part of its global ambition, the company undergone a massive
INR 72,000 crore expansion and modernization programme involving upgrading and building new
facilities with emphasis on state of the art green technology and aimed to increase the capacity to
21.4 million metric tons by end of 2017-18 and then enhance it further to 30 million metric tons by
2030. Besides, it has R&D center for Iron & Steel (RDCIS), Centre for Engineering and Technol-
ogy (CET), Management Training Institute (MTI) and SAIL Safety Organization (SSO) located at
Ranchi. From a net loss of over INR 4000 crore in 2015-16, the company managed to remain
EBITDA positive for four quarters in a row and finally reported marginal loss of 304 crore in FY18
backed by improved metal prices. Now SAIL has the benefits of its mills coming close to end of
modernization resulting in - new and large blast furnace with improved efficiency, low use of cok-
ing coal and high degrees of auxiliary fuel injection. With the commissioning of 1.2 million metric
tons universal rail mill, SAIL has the capacity to make 2 million metric tons of rail at one site, which
is globally unmatched. Indian Railways ambitious programme of replacing old tracks with new
trucks, SAIL indeed finds a customer with great appetite. SAIL is trading at a huge discount to its
historical valuation and is one of the cheapest stocks in the metal segment. At its current price,
SAIL is trading at a discount to its trailing 12-month book value and net- worth is estimated at
upward of Rs 41,000 crore, compared to its market capitalization of around Rs 58,000 crore.
SAILachieved its highest ever exports at 1.18 million tonne during the fiscal 2019-2020. The com-
pany has reported total income of Rs.69, 974.28 crores and a net profitof Rs.4148.13 during the 12
months period ended March 31, 2021. State-owned SAIL shaved off gross debt by Rs. 16,150
crore in FY21, making it the second steel company after Tata Steel to carry out such an aggressive
deleveraging of the balance sheet. The company's gross debt, which typically excludes cash and
cash equivalents, came down to about Rs. 35,330 crore at the end of FY21 compared with Rs.
51,481 crore at the end of FY20. As the potential of steel consumption in domestic market is huge,
SAIL is focused on meeting requirements of all sectors while enhancing volumes, higher produc-
tion of value added steel is another focus area beckons more opportunities to provide end-to-end
customer services.SAIL has a strong balance sheet, with a debt to equity ratio of less than one.
Accumulate now and also on every decline for decent double digit returns as sector would con-
tinue its good run for some more time atleast.

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 28
- Parag Salot
Technical Trading Trends (SEBI Registered Research Analyst)
M. : 91-9930011789

Nifty Overview : In Last Trading Session, Nifty closed at 15777. Markets has been consoli-
dating at same levels since last few months. Nifty remains bullish at these same levels. If Nifty crosses
above 15900 then there are chances of crossing 16000 mark and moving up further till 16300/16500
levels. Nifty below 15600 looks weak. For now Nifty range is between 15600 and 15900. Either side
level break will decide the trend.
Bank Nifty Overview : In Last Trading Session, Bank Nifty closed at 34690. Bank Nifty is
at support. Bank Nifty above 34800 makes Bank Nifty Positive while below 34550 makes it weak.

Trading Results
Scrip Name BSE Code Buy / Enter at Did High/ Remarks
Sell Low
IBulsHsgFin 535789 Buy 268.15 283.90 Almost 1st Target
UFO 539141 Buy 98.15 108.25 Did High
Grasim 500300 Sell 1564 1485 Target Achieved

Trading Buy
Scrip Name BSE Last Enter at 1st 2nd Stop
Code Close Between Tgt. Tgt. Loss
BRNL 540700 34.85 32/34 37 40 30
Dabur 500096 585/590 610 625 575 585/590
HCL Tech 532281 1028 990/1010 1050 1090 970
HUL 500696 2345 2300/2320 2360 2400 2275
IBulsHsgFin 535789 275 265/270 285 300 255
Jai Corp 512237 153 140/145 155 165 132
Nam India 540767 400 390/395 405 415 385
PNB 532461 39.60 36/38 44 48 34
Sun Tv 532733 550/555 575 590 544 572
UFO 539141 105.80 100/105 115 125 97

Trading Sell
Scrip Name BSE Last Enter at 1st 2nd Stop
Code Close Between Tgt. Tgt. Loss
Ambuja Cem 500425 411.50 430/435 420 405 442
Tata Steel 500570 1441 1475/1480 1440 1410 1500

Note : All calls are momentum calls based on technical analysis and all levels as per future prices (If scrip
not available in futures then BSE Cash price). All these calls are given based on daily charts but intra-day
signals are equally important to enter the trade in a timely manner. Timing is very important and we at
shareinfoline.com give you timely calls based on intra-day charts. Read Disclaimer at ShareInfoline.com

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 29
TECHNICAL TALK
Dhananjay Kadam - TECHNICAL ANALYST

Corrections Are Temporary, Growth is Permanent

“It’s ok to be wrong; it’s unforgivable to stay wrong.”


- Martin Zweig
Meaning: A clever quote to remind you to learn from your mistakes
* Index gave up all the gains in the later part of the day on 30th July. Closing was lower. Metal,
pharma and selected financials showed strength. During the week, the index fell 0.6 percent and
made a hammer pattern on the weekly chart and small bearish candle on daily chart.

* India VIX fell 1.06 percent from 12.94 to 12.80 levels.


* Prov Figs Cash Market In RS CRS (30/07/2021) :
FII - 3848.31
DII + 2956.68 CR
* INDIA'S APRIL - JUNE NET TAX RECEIPTS AT 4126.80B RUPEES - GOVT
* INDIA'S APRIL -JUNE FISCAL DEFICIT AT 2,742.45B RUPEES - GOVT

* ROSSARI BIOTECH : Q1 CONS NET PROFIT 245.2M RUPEES VS 155M (YOY); EST
242M | 224M (QOQ) || Q1 REVENUE 2.31B RUPEES VS 1.09B (YOY); 2.18B (QOQ)

* BHEL :- Q1 SL NET LOSS 4.45B RUPEES VS LOSS 8.97B (YOY); EST LOSS 1.6B |
LOSS 10.33B (QOQ)
Q1 REVENUE 29.01B RUPEES VS 19.91B (YOY); 71.7B (QOQ)

* SUN PHARMA : Q1 EBITDA RUPEES 21.9B VS 18.42B (YOY); 17.18B (QOQ) || Q1


EBITDA MARGIN 22.5% VS 24.29% (YOY); 20.16% (QOQ).

SUN PHARMA : Q1 CONS NET PROFIT 14B RUPEES VS LOSS 16.56B (YOY);EST 15B
| PROFIT 8.94B (QOQ) || Q1 REVENUE 97.2B RUPEES VS 75.85B (YOY); 85.23B (QOQ)

* KANSAI NEROLAC : Q1 CONS NET PROFIT 1.14B RUPEES VS 335M (YOY);EST


900M | 1.24B (QOQ) || Q1 REVENUE 14B RUPEES VS 6.39B (YOY); 14.6B (QOQ)

* Bandhan bank Q1 : Net Profit up 260 % To Rs 373 cr (QOQ), down 32 % YOY


Net Interest Income up 20 % To Rs 2115 cr (QOQ) , up 16 % YOY

Cont...

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Financial Weekly

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Aug. 2021 30
# KIOCL Ltd (Last close Rs 298) : It is primarily engaged in the
business of Iron Ore Mining, Beneficiation and Production of high-quality Pellets. Recently the
Company has diversified into Provision of Operating and Maintenance Services pertaining to its
various core areas of expertise.
Market Cap Rs. 18,027 Cr.
52 Week High / Low
Rs. 307 / 107
Stock P/E 59.9
Book Value Rs. 32.7
Dividend Yield 0.24 %
ROCE 20.5 %
ROE 15.4 %
Face Value Rs. 10.0
* Company is almost debt free.
*Company is expected to give good quarter
* Company has delivered good profit growth of 41.87% CAGR over last 5 years
* Company has been maintaining a healthy dividend payout of 69.24%
Technicals : Weekly Bullish Flag breakout. One can buy and hold for a price target of Rs
410. Stop-loss is Rs 274 on weekly closing basis. Time frame is 9 weeks.

# Solar Industries (Last close Rs 1705) : It is one of the worlds


leading manufactures bulk explosives, packaged explosives and initiating systems, which find
applications in the mining, infrastructure and construction industries. SIL also ventured into the
defense segment in 2010 and diversified into manufacturing of propellants for missiles and rock-
ets, warheads and warhead explosives.
Market Cap Rs. 15,430 Cr.
52 High / Low
Rs. 1,730 / 925
Stock P/E 46.5
Book Value Rs. 175
Dividend Yield 0.35 %
ROCE 20.6 %
ROE 18.7 %
Face Value Rs. 2.00
* Company is expected to give good quarter
* Company has been maintaining a healthy dividend payout of 21.39%
Technicals : Weekly Bullish Flag breakout. One can buy and hold for a price target of Rs
2032. Stop-loss is Rs 1633 on weekly closing basis. Time frame is 7 weeks.

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 31
Techno Funda Sachin Shah :
[email protected]
(Mumbai)

sound stocks M. : 9372277340

Superb returns for Smart Readers in short term


Recomm. Date Stocks Recomm. High Price Appreciation
Rate After (%)
Recomm.
21st June-21 PRIVI SPECIALITY Chem. 1088.35 1593.8 46%
19th July-21 THIRUMALAI CHEM 168 200.6 19%

GOA CARBON LTD (509567 & NSE) (417) (FV 10)


Goa Carbon Limited is a public lim-
(Rs. Cr.) Q4FY21 Q4FY20
ited company and is in the business of Sales 127.81 69.22
manufacture and marketing of Calcined Operating Profit 9.33 -1.93
Petroleum Coke. The company's cal- PAT 6.60 -4.84
cination plant of 1,00,000 tpa capacity
is located in southern Goa, 40 kms
away from the Mormugao port. The
plant is ISO 9001:2015 certified by
Bureau Veritas. The Goa plant has the
largest mechanical sieving and screen-
ing facilities for petcoke in India. The
Company also has two other plants at

Bilaspur in Chattisgarh and at Paradeep in Orissa. The company is a regular supplier to


aluminium smelters, graphite electrode and Titanium Dioxide manufacturers, as well as other
users in the matallurgical and chemical industries. Goa Carbon is now firmly established as
a leading Indian pet coke calciner. Goa Carbon Limited is part of the DEMPO GROUP, a
reputed business house in Goa with offices in the metro cities of India and a turnover ex-
ceeding USD 100 million.

Technically Speaking: Accumulate on dips with tar-


gets of 515 in 6 to 9 months.

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 32
Terrific Shots - Dilip K. Shah

Tata Metaliks (Rs. 1272.00) (Code: 513434) :- Tata Metaliks is a leading pig iron
producer with a capacity of 3,45,000 tonne. The B group listed shares have face value of Rs. 10.
The shares touched a 52-week high of Rs. 1025 and low of Rs. 462. Its market cap is Rs. 4020
crore. Promoter holding in the company is 60.03%. For the June quarter, its income nearly tripled
from Rs. 210 crore to Rs. 603 crore, while it reported a profit of Rs. 95 crore compared with a loss of
Rs. 12 crore last year. For the whole year, income declined from Rs. 2051 crore to Rs. 1917 crore,
while profit increased from Rs. 166 crore to Rs. 220 crore. Its equity is Rs. 31.58 crore, and re-
serves of Rs 1268 crore. Investors can consider the stock for investment on declines. Mutual funds
hold 13.20% stake in the company. A strong rally is being seen in metal sector, and the stock can
be seen scaling new highs going ahead. It is also seen benefiting from Tata Steel’s plan to merge
its subsidiaries with itself.
Acrysil Ltd. (Rs. 620.00) (Code: 524091) :- Shares of this plastic products sector
company are listed in the B group. The shares touched a 52-week high of Rs. 666 and low of Rs
79. Acrysil is an established name in composite Quartz Kitchen Sinks. Quartz, the hardest con-
stituent of granite constitutes around 80% of the raw material used in these sinks. The Bhavnagar-
based company has 1500 dealers, 80 galleries, and 82 distributors in the country. It has an annual
capacity to make 7 lakh Quartz kitchen sinks and 75,000 stainless sinks. It has diversified into
Faucets, Food Waste Disposer, and Kitchen Appliances like Hobs & Cook Tops, Oven, Wine
Chillers and Dishwashers. Its products are exported to over 55 countries include the US, UK, Ger-
many, France, China, Canada, etc. under the brane name Carysil and Sternhagen. It has also set
up subsidiaries in the US and Germany. For the year ended March 2021, Acryil reported income of
Rs. 248.84 crore and net profit of Rs. 26.65 crore. Annual EPS was Rs. 9.97. Operating profit
margin was 22.85% and net profit margin 10.72%. It has announced 100% dividend. Promoter
holding is 44.04%. The stock can be seen at Rs. 650 levels in 4-6 months, and scaling Rs. 750
levels in 8-10 months.
Granules India (Rs. 379.00) (Code: 532482) :- This pharma company is active in
API, FPI, and finished dosage segments. Its products are exported to 60+ countries. The company’s
equity is Rs. 25.42 crore, and it has reserves of Rs. 2149 crore. Promoter holding in the company is
42.04%. For the June quarter, its income went up from Rs. 736 crore to Rs. 850 crore, and profit
from Rs. 184 crore to Rs. 201 crore. The company has a market cap of Rs. 9199 crore. The com-
pany paid 125% dividend this year, and has announced 25% interim dividend this year. The shares
touched a 52-week high of Rs. 438 and low of Rs. 271. Experts are bullish on the stock. The stock
has corrected somewhat due to profit booking, presenting a buying opportunity. There is a buzz
that promoters may exit the company. FII stake in the company is 18.35%. It is also now a part of
F&O segment.
PVR (Rs. 1401.00) (Code: 532689) :- PVR is a leading multiplex operator, but its
business has been shut since the last 1.5 years. The B group listed shares touched a 52-week
high of Rs. 1592 and low of Rs. 961. It owns 845 screens in more than 170 properties in 71 cities.
Promoter holding is 17.06%. FIIs and DIIs hold 38.19% and 26.38% stake respectively. For the
June quarter, PVR’s income increased from Rs. 13 crore to Rs. 59 crore, while profit narrowed from
Rs. 226 crore to Rs. 219 crore. The company had reported its highest operating profit of Rs. 1076
crore in FY2020, but FY02021 was the worst in its history. However, different states have allowed
multiplexes to reopen at 50% capacity, which augurs well for PVR. The company should slowly
recover from the impact of the pandemic. Big moves can be seen in the stock going ahead.
Disclosures as per SECURITIES AND EXCCHANGE BOARD OF INDIA (Research Analysts) Regulation, 2014; • I and / or my clients may have investment in this stocks • I/My family have no financial
interest or beneficial interest of more than 1% in the company whose stocks I am recommending • Stop loss is useful for Short / Medium Term investor Only • Smart Investment will not be responsible / liable
for any loss arising out of investment based on tis advices • Past performance may or may not be substainedin future "
(Dilip K. Shah) Research Analyst SEBI Regn No. : INH000002152

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 33
Sarvesh Ashok Trivedi
Stock Wave (Mumbai) (Mob) 09820728124
www.chartsanketstock.com
The market enters decisive phase
August 3 to 6 will be important turning days
BSE Index (52586.84) :- It is moving downward from top of 53290.80. It shows overbought to
neutral position on daily basis, towards overbought on weekly basis and overbought position on monthly
basis. August 3 to 6 will be gain turning days. On upward movement, beyond 52910 it may go up to 53115,
53215 with resisting level at 53290. On downward movement, below 52471 it may go down to 52013 and
51802.
Bank Nifty Future (34690.50) :- It shows downward movement from top of 36075.90. It
shows neutral position on daily basis, towards neutral from overbought on weekly basis and towards over-
bought on monthly basis. On upward movement, beyond 34950 leave the bearish outlook as it may go up to
35275, 35410, 35541 and 35675. On downward movement, below 34540 it may go down to 34405, 34200,
34070 and 33910.
Nifty Future (15790.00) :- It shows downward movement from top of 15970. It shows over-
bought to neutral on daily basis, towards oversold on weekly basis and overbought position on monthly
basis. On upward movement, beyond 15897 it may go up to 15950, 15970. On downward movement, below
15763 it may go down to 15700, 15586 and 15510.
Cadila HC (586.10) :- It is moving downward from top of 648.12. It shows oversold position on
daily basis, towards oversold on weekly basis and overbought on monthly basis. On upward movement,
beyond 595 it may witness resisting level at 603 and 608. On downward movement, below 570 it may go
down to 554, 538 and 521.
Hero Moto (2763.30) :- It shows downward movement from top of 3052.30. It shows oversold
position on daily, weekly and monthly basis. On upward movement, beyond 2802 it may witness resisting
level at 2835. On downward movement, below 2740 it may go down to 2707, 2698, 2635, 2500, 2364 and
2230.
LIC (410.45) :- It shows downward movement from top of 479.70. It shows oversold position on
daily and weekly basis, while overbought to neutral on weekly basis. On upward movement, beyond 430 it
may witness resisting level at 440. On downward movement, below 412 it may go down to 406, 384 and
372.
Maruti (6977.70) :- It shows downward movement from top of 7698. It shows towards oversold
position on daily and weekly basis, while neutral on monthly basis. On upward movement, beyond 7180
with resisting level at 7238. On downward movement, below 6936 it may go down to 6692, 6400, 6145, 5875
and 5635.
TVS Motor (579.30) :- It shows downward movement from top of 666. It shows oversold posi-
tion on daily and weekly basis, while overbought to neutral on monthly basis. On upward movement, be-
yond 586 it may witness resisting level at 605. On downward movement, below 558 it may go down to 523
and 503.
Disclosure : The Recommendations are based on technical analysis. There is a risk of loss in trading.

GOLDEN QUOTE
The strongest man in the world is he who stands alone

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 34
Dilip Davda
e-mail Expert’s Eye
[email protected]

Second negative week in a row


Still trade with caution is the order of the day
After opening trades on Monday on a divergent note, the week under report marked hat
trick of loss for the first three sessions. It was only the derivatives expiry day that marked
green end which is attributed to short coverings, the final session too closed in red. Thus
week turned negativeand a second red week in a raw. FIIs remained net sellers for the week
while DIIs turned net buyers. Thanks to constant inflow of SIP funds with MFs as they kept
buying selectively. The week turned highly volatile with a range bound movements.
During the week, while BSE Sensex moved in the range of 53103.42-51802.73, NSE Nifty
traded between 15893.35 -15513.45.
Final week of July 21 with derivatives expiry turned negative wherein BSE Sensex marked
loss of -388.96 points and NSE Nifty posted deficit of - 93.00 points.
On Monday, we marked divergent opening of benchmarks and after moving both ways, it
finally closed in red. While BSE Sensex posted day's high of 53103.42, NSE Nifty posted
day's high of 15893.35 and both these figures turned week's high. Finally, BSE Sensex
closed at 52852.27 with a loss of 123.53 points and NSE Nifty ended the day at 15824.45 with

a deficit of 31.60 points. Bunch


EX-BONUS
RIGHT ISSUE of poor Q1 numbers kept a tab
Tide Water (1 for 1)
Riddhi Syn. (4 for 1)
Power Grid (1 for 3) on general sentiment. Though
BONUS MEET BONUS ANNOUNCED Pharma and Consumer Durable
APL Apollo, Apollo Tricoat Kanpur Plasti (1 for 2) counters gained, selling spree in
and ANG Lifesciences on Mahindra Life (2 for 1)
6th August, 2021 Mahindra Holiday (1 for 2) Reliance Ind., Oil and Gas, Auto
counters lead the doom. Mid and
DIVIDEND ANNOUNCED
DLF Ltd. (100%), Ramkrishna Forge (5%), United Drilling (6%), Small cap indices outperformed
Vakrangee (10%), Vishal Fabrics (10%), Godawari Power (50%), Gran- benchmarks and kept market
ules India (25%), Coforge (130%), Creative Castings (100%), Share In-
dia (7.5%), SRF Ltd. (120%), Eris Life (601%), Genus Power (50%), breadth positive. FIIs were the net
Goodluck India (75%), Hawkins Cooker (900%), Allied Digital (15%), Dr
Lal Path (60%), Vaibhav Global (75%) etc. Cont....

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 35
sellers and DIIs were the net buyers for the day.
Markets opened in green on Tuesday, but after morning hours, it lost momentum and lost
heavily at the close. BSE Sensex marked deficit of 273.51 points to end the day at 52578.76
and NSE Nifty lost 78.00 points to close at 15746.45. Weak global markets amidst sell-off in
China kept our market too on their toes. Though Metal counters gained, heavy offloading in
Pharma, Banking counters lead the doom for the day. While Mid cap index underperformed,
Small cap index outperformed, but market breadth remained negative. FIIs were net sellers
while DIIs were net buyers for the day.
On Wednesday too we mirrored previous day pattern of trade. Though the session opened
on a green note, it ended in red. BSE Sensex lost 135.05 points to close at 52443.71 and NSE
Nifty marked deficit of 37.05 points to end the day at 15709.40. Thus we witnessed hat trick
of losses for the week. Selling spree continued ahead of derivatives expiry. Surge in pan-
demic cased globally kept a tab on general sentiment that propelled selling spree in all major
markets. Amidst high volatile trades, we witnessed surge in Metal, Textile counters while
selling spree in Auto, Consumer Durables, Banking, Pharma kept market in red zone. Market
breadth remained negative as Mid and Small cap indices underperformed benchmarks. FIIs
remained net sellers while DIIs were net buyers for the day.
With a gap up opening, market traded in green zone on the derivatives expiry day i.e. on
Thursday. BSE Sensex scored 209.36 points to end the day at 52653.07 and NSE Nifty
gained 69.05 points to close at 15778.45. Short covering from monthly trades helped the
market to post pull back rally. Positive global cues following US Fed keeping rates un-
changed also kept our market in green zone with selective buying from bulls, fund houses.
Market breadth remained positive as buying was seen across the board. FIIs were the net
sellers while DIIs were the net buyers for the day. Fresh support at lower levels in select IT,
Metal, Banking, Pharma counters helped market to post green trades. FMCG counters met
with profit bookings at higher levels. Mid and Small cap counters too participated in the rally
and kept market breadth positive. FIIs remained net sellers while DIIs were the net buyers for
the day.
On Friday, though markets opened on a green note, it closed in red amidst selling in
indices heavyweights. BSE Sensex lost just 66.23 points to close at 52586.84 and NSE Nifty
marked deficit of mere 15.40 points to end the day at 15763.05. Sun Pharma lead the rally
with over 10% gains and got support from Tech Mahindra, Cipla etc. but eased indices heavy
Cont....

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Aug. 2021 36
weights kept a tab on general sentiment. Mid and Small cap indices outperformed bench-
marks and kept market breadth positive despite benchmarks closing in red. The session
turned highly volatile with index based negative trades. Indices pared the gains till noon in
last hour selling spree. FIIs remained net sellers while DIIs were the net buyers for the day.
US Dollar ended the week at Rs. 74.40 per dollar. Brent crude oil prices surged to mark
76.35$ a barrel by week end and raised scope of further hike in petroleum products in domes-
tic markets. Global cues will keep tempering the general sentiment. For the ensuing week we
have 480+ corporate numbers. Market will have on radar Auto and Cement sectors July
dispatch as well as macro-economic data coupled with RBI monetary policy meet outcome.
Amidst such scenario, BSE Sensex may move in the range of 53500-51500 and NSE Nifty
between 16150-15150 for the coming week.
DISCLAIMER : No financial information whatsoever published anywhere here should be construed as an offer to
buy or sell securities, or as advice to do so in any way whatsoever. All matter published here is purely for educational
and information purposes only and under no circumstances should be used for making investment decisions. Readers
must consult a qualified financial advisor prior to making any actual investment decisions, based on information
published here. Any reader taking decisions based on any information published here does so entirely at own risk.
Above information is based on the details available as on the date along with market perceptions. Investors should
bear in mind that any investments in stock markets are subject to unpredictable market related risks. (THE AUTHOUR
IS SEBI REGISTERED RESEARCH ANALYST)

Nifty & Sensex Movement during the last week


BSE-Sensex Open High Low Close Diff
26-07-2021 52,985.26 53,103.42 52,783.63 52,852.27 -123.53
27-07-2021 52,995.72 53,024.70 52,433.18 52,578.76 -273.51
28-07-2021 52,673.69 52,673.69 51,802.73 52,443.71 -135.05
29-07-2021 52,693.53 52,777.18 52,561.39 52,653.07 209.36
30-07-2021 52,792.36 52,910.23 52,533.91 52,586.84 -66.23
Net Weekly Loss -388.96
NSE - Nifty Open High Low Close Diff
26-Jul-21 15849.3 15893.35 15797 15824.45 -31.6
27-Jul-21 15860.5 15881.55 15701 15746.45 -78
28-Jul-21 15761.55 15767.5 15513.45 15709.4 -37.05
29-Jul-21 15762.7 15817.35 15737.8 15778.45 69.05
30-Jul-21 15800.6 15862.8 15744.85 15763.05 -15.4
Net Weekly Loss -93

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 37
IPO Analysis
Products- Make or break the business
Kishore Purswani (Email: [email protected])

Introduction :- In the preceding article we had discussed the importance


and role of Promoters in success of the companies and we came to a conclu-
sion that we need to evaluate the background and experience of promoters for
evaluating worth of an IPO.
The second P of the 5Ps (promoters, product, performance, peer perfor-
mance and prospects) which needs to be analysed is the Product of the com-
pany. In case the company is a service providing company then service is the
product of the company and it needs to be evaluated. There can be companies
which provide both products and services and in such cases both these param-
eters need to be evaluated e.g. A manufacturing company involved in design,
manufacturing and supply of a product may be involved in after sales of its
products either on its own or through channel partners. In such cases the
quality of service plays an important role and can make or break the business.
What to Look for in Products (Services)?
Delivery of the products/services is the prime objective of any company. As
such investors need to assess the quality of the product which can easily be
done by examining following attributes
" Features- Unique and Innovative
" Type- Proven product/New product
" Technology- State of Art features
" Pricing- Value for Money
" Service support- price and promptness
" Demand- present and future
" Brand image
" Collaborators (if applicable)
" Clients
" Vendors
Cont.....

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Aug. 2021 38
However, an investor may not have the capability to assess the above at-
tributes for all sort of products. The best way is to look at the brand image,
client list, vendor list and the collaborators (where applicable) of the company
e.g.,an investor may or may not have used a particular brand of a four-wheeler
but he can quickly assess the quality of the product by looking at the past and
present sales data which is easily available. Similarly if the quality of product/
service of a bank needs to be evaluated it can easily be done by a quick study
of no of branches and area served by the bank. If a company has B2B opera-
tions then in such cases the client list can give a fair idea e.g. quality of prod-
ucts of a chemical company supplying chemicalsor intermediates to a pharma-
ceutical company can be easily assessed by looking at the client list.
An investor can also easilydevelop his own methodology to assess the qual-
ity of a product or service. The underlying fact is that a company with a good
product is bound to perform and give good performance if not today then
tomorrow for sure. So an investor definitely needs to analyse the quality of
product before taking a decision to apply or refrain.
Happy investing!

BUY.... BUY....BUY TIPS OF THE WEEK


Co. Name Code Price Co. Name Code Price
Sunflag IRON 500404 92.00 HG INfra 541019 528.00
Morpen Lab. 500288 65.00 PVR 532689 1401.00
Spencer Retail 542337 107.00 Tata Chemicals 500770 763.00
NACL Ind. 524709 81.00 Phoenix Mills 503100 862.00
Ashok Leyland 500477 132.00 Jubilant food 533155 3775.00
Vedanta 500295 301.00 L&T 500510 1601.00
Gabriel India 505714 139.00 Ambika Cotton 531978 1574.00
Sharda Crop. 538666 347.00 Tech Mah. 532755 1209.00
ANG Life 540695 315.00 APL Apollo 533758 1745.00
A.B. Fashion 535755 224.00 Navin Flourine 532504 3658.00
Rupa & Co. 533552 520.00 Havells India 517354 1174.00
Guj. Ambuja Ex. 524226 193.00 Acrysil Ltd. 524091 618.00
NMDC 526371 181.00 SRF 503806 8660.00
Sun TV 532733 579.00 Abbott India 500488 19086.00

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 39
Scrip Watch - Siddharth Shah

Mahanagar Gas (Rs. 1167.00) (Code : 539957) :- Mahanagar


Gas Ltd reported a 351 per cent jump in its June quarter net profit at Rs 204.08 crore in Q1 com-
pared with Rs 45.25 crore in the same period a year back. Turnover was up 135 per cent at Rs
615.49 crore. CNG sales volume recovered over last year. The company's 141.11 million standard
cubic meters CNG sales in April-June was 223 per cent higher than the previous year but 22.5 per
cent lower than January-March. Piped natural gas supplies to households at 42.57 million stan-
dard cubic meters was 9.14 per cent higher year-on-year and 3.5 per cent over the previous quar-
ter. Total gas sales at 2.398 million standard cubic metes per day in April-June was double of last
year but 17 per cent lower than the previous quarter. Going forward, demand will increase and
sales will improve further. Buy in phased manner.

ICICI Lombard (Rs. 1475.00) (Code : 540716) : The pan-


demic has left deep gashes on the balance-sheet of the leading non-life insurer ICICI Lombard
General Insurance, with its net income diving 62 per cent to Rs 152 crore for the June quarter. Due
to the second wave of the pandemic, the impact on its health segment was a whopping Rs 602
crore. Gross direct premium income grew to Rs 3,733 crore in the reporting period, up 13 per cent
over Rs 3,302 crore a year ago, which was in line with the industry growth level. Going forward,
there are opportunities galore for the company. Invest for the longer term perspective.

Gujarat Gas (Rs. : 715.00) (Code : 539336) :- Gujarat Gas is


India's largest city gas distribution company. It has over 15.5 lakh households, over 13,000 com-
mercial customers, 559 CNG fuel stations, and close to 30,000 km of the pipeline network. It has 27
city gas distribution licenses and have a significant presence in Gujarat. The company is mulling to
expand its capacity in Gujarat by 15MT over the next three years. The LNG import to bridge the
demand-supply gap should benefit Gujarat Gas. It majorly operates in Gujarat, which is India's
highest natural gas-consuming state. India's city gas distribution market is estimated to grow at a
15% CAGR in the next five years. Piped natural gas is considered to be an economical and safer
fuel. Compressed Natural Gas (or CNG) is gaining popularity as an economical and eco-friendly
alternative fuel. Buy. Buy more at decline, if any.

Dalmia Bharat (Rs. : 2138.00) (Code : 542216) Cement


maker Dalmia Bharat has reported 45.02 per cent increase in consolidated net profit at Rs 277
crore for the first quarter ended June 30, 2021, helped by sales volume growth and a lower base.
Revenue from operations was up 36.19 per cent to Rs 2,589 crore during the quarter under review
as against Rs 1,901 crore in the year-ago period. Its sales volume was 4.89 million tonne during
the quarter as against 3.66 million tonne earlier. Dalmia Bharat plans to invest Rs 9,000 crore in
the next three years on capacity enhancement through brownfield and greenfield projects, raising
the cement maker’s capacity by about 60% to nearly 50 million tonnes a year. The stock is worth
accumulation.

Disclosures : At the time of writing this article, author, his clients & dependent family members may have positions in the stocks mentioned above. The author, his firm,
his clients or any of his dependent family members may make purchases or sale of the securities mentioned in website. Author may have positions in above stocks so have vested
interest obviously in their going up or down as the case may be.
Disclaimer : Investing in any equity is risky. Our recommendations are based on reliable & authenticated sources believed to be true & correct, and also is technical analysis based
on & conceived from charts. Investors should take their own decisions. We assume no responsibility for any transactions undertaken by them. The author won't be liable or responsible
for any legal or financial losses made by anybody.

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 40
Market Tips - Het Zaveri

Persistent Systems (Rs. 3145.00) (Code : 533179) : IT firm Persistent Systems


has reported a 68 per cent jump in consolidated net profit to Rs 151.2 crore for the April-June
quarter of this year. The company had posted a net profit of Rs 90 crore in the year-ago period. Its
revenue from operations grew 24.1 per cent to Rs 1,229.9 crore in the reported quarter as com-
pared with Rs 991.3 crore in the April-June 2020 period. In dollar terms, the company's revenue
rose 27.3 per cent to USD 166.82 million. The order booking for the quarter ended on June 30,
2021, was at USD 244.8 million in Total Contract Value (TCV) and at USD 188.83 million in An-
nual Contract Value (ACV). The stock has continuously outperformed the benchmark index. Buy.
Ratnamani Metals (Rs. 2137.00) (Code : 520111) : ICICI Direct has come out
with its first quarter (April-June’ 21) earnings estimates for the Metal and Mining sector. The broker-
age house expects Ratnamani Metals and Tube to report net profit at Rs. 70 crore up 41% year-on-
year (down 36% quarter-on-quarter). Net Sales are expected to increase by 2 percent Y-o-Y (down
15 percent Q-o-Q) to Rs. 592 crore. Earnings before interest, tax, depreciation and amortisation
(EBITDA) are likely to rise by 41 percent Y-o-Y (down 35 percent Q-o-Q) to Rs. 104 crore. Metal
sector has been in solid momentum mode. Buy this stock at current level.
Bata (Rs. 1618.00) (Code : 500043) : Footwear major Bata India will focus on expan-
sion in small towns and online channels as part of its efforts to save cash through enhanced pro-
ductivity, cost-reduction and tight inventory management to overcome the challenges of the pan-
demic. The company saved "more than Rs 100 crore on account of rent negotiations, vendor cost
negotiations and consolidating office spaces. It also implemented 'Project Thrive' to reduce de-
pendency on imports and shifted to local sourcing. Bata continued to expand its retail network
through franchise channel. It opened a total of 64 franchise stores in smaller towns and cities,
taking the total to 220 franchise stores. Bata India is strategically positioned to harness the present
challenges, given the strength of its brand, innovation capabilities, retail foothold and growing
online presence in footwear and accessories category. Buy.
Metroplis (Rs. 2844.00) (Code : 542650) : Metropolis Healthcare Ltd, India’s lead-
ing diagnostic service provider, has announced the launch of a simple blood test that will be able
to identify the risk status of a hospitalized COVID-19 patient. The test is available in India for Rs4500
and the TAT is within 6 hours of receiving the sample. Metropolis Healthcare Ltd. has been at the
forefront of COVID testing across the country from day one of the pandemic, right from COVID PCR
tests to COVID monitoring profiles, COVID antibody tests, and various tests related to COVID as-
sociated illnesses such as mucormycosis. In its pursuit to offer the best possible tests for the citi-
zens, the company has launched the first of its kind CoviRisk TBNK test in the country. Invest.
Berger Paints (Rs. 843.00) (Code : 509480) : This drop in crude prices has a
positive impact on paint stocks. Berger Paints has scaled news highs in recent times. Berger Paints,
the country’s second largest paint company, is looking to operationalise its fully-automated manu-
facturing plant near Lucknow by January next year to gain a higher market share in Uttar Pradesh,
Bihar and Madhya Pradesh. Work on the Sandila factory near Lucknow is in progress and the
company is investing around Rs 800 crore to set up the plant, which will manufacture its entire
range of decorative paints. The company’s production capacity in the decorative paints segment
currently stands at 65,000 metric tonne per month. Apart from automotive paints and industrial
paints, Berger also produces construction chemicals, and water proofing and protective coatings.
Berger holds around 19% of the overall market share in terms of value among listed paints compa-
nies. Berger is trying to improve its distribution network Promoters held 75 per cent stake in the
company as of June 30, 2020, while FIIs held 11.7 per cent, DIIs 3 per cent and public and others
10.3 per cent. Invest.

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 41
SMART TIPS Smita N. Zaveri

Sunflag Iron & Steel (Rs. 93.00) (Code: 500404) :- Shares of this A Group listed
company touched a 52-week high of Rs. 96 and low of Rs. 36. It is a part of the Sunflag Group, which has
business interests in steel, synthetic yarn, fabrics, and non-woven textiles. It operates a 5 million TPA
Åplant manufacturing a wide range of special alloys and stainless steel. It uses liquid pig iron and sponge
iron as its basic input. It has a technology transfer with Daido Steel Japan to develop steel with high clean-
liness, low gas, and low inclusion content. It has invested in ESR/VAR/VIM and ventured into production of
high performance material & super alloys for aviation, space, defence, poker sector and medical implants.
Its products are supplied to railways, ordnance factories, and power sectors, and are exported to several
countries in Southeast Asia, Middle East, Europe, the US. The company’s equity is Rs. 180 crore, and it
has reserves of Rs. 1352 crore. For the March quarter, its consolidated income rose 33% to Rs. 555.44
crore, and income by 82% to Rs. 80.13 crore. EBITDA was up 100.8% to Rs. 106.96 crore. The stock can
be seen touching new highs in the short to medium term.

Gabriel India (Rs. 127.00) (Code: 505714) :- Shares of this A group listed auto parts
and equipment manufacturer have face value of Re. 1. Promoter holding in the company is 55%. The
flagship company of Anand Group makes shock absorbers, front forks, and a range of other products. Its
key clients include Bajaj Auto, Honda Motors, Mahindra Scooters, Royal Enfield, Suzuki Motors, TVS Mo-
tors, Yamaha, Tata Motors, etc. It makes products for 2 & 3 wheelers, passenger cars, and commercial
vehicles. The company’s equity is Rs. 14 crore, and it has reserves of Rs. 681 crore. For the March
quarter, its income went up to Rs. 586 crore from Rs. 427 crore, and profit to Rs. 27 crore from Rs. 26 crore.
The share touched a 52-week high of Rs. 146 and low of Rs. 80. The stock can be seen touching Rs. 165-
170 levels in two to three quarters.

Morepen Labs (Rs. 65.00) (Code: 500288) :- Shares of this A group listed pharma
company touched a 52-week high of Rs. 75 and low of Rs. 20. Morepen operates in pharmaceutical and
healthcare businesses. It has presence in API, home diagnostics, formulations, and OTC segments. All its
plants are in Himachal Pradesh. In the API segment, it has more than 1250 customers in 80 countries. It
owns 50 popular brands, including Burnol and Lamolate. For the June quarter, its consolidated income
increased 50% to Rs. 387 crore, and net profit rose 57.3% to Rs. 30.47 crore. Its equity is Rs. 89 crore, and
it has reserves of Rs. 334 crore. Its income, profit, and operating profit have grown at a CAGR of 25.3%,
48.6%, and 22.3% in the last three years. The company has signed agreement with Russian Direct Invest-
ment Fund to expand production of Sputnik V vaccine at its plant. Movement can be seen in the stock.

Suprajit Engineering (Rs. 337.00) (Code: 532509) :- Shares of this auto parts
company have face value of Re. 1. The A Group listed shares touched a 52-week high of Rs. 357 and low
of Rs. 147. The auto sector seems to be coming back on track after the pandemic effect. Revival in vehicle
demand will also boost performance of auto ancillary industry. Suprajit is a leading auto ancillary company
that makes control cables, speedo cables, auto lamps, and other components. The company’s market cap
is Rs. 4703 crore. Its equity is Rs. 13 crore, and reserves Rs. 975 crore. For the March quarter, its consoli-
dated income increased to Rs. 525 crore from Rs. 393 crore, and profit to Rs. 57 crore from Rs. 2 crore.
Promoter holding in the company is 44.62%. The stock can be seen touching Rs. 365-370 levels in 3-4
months.

SEBI Registered Research Analyst)


* Disclosure :- The author has not brought / sold any stock advised in this news paper during last one month • All stocks rates / indices on 30th July, 2021 unless
specified o Stoploos is useful for Short - Medium term investors only
* Disclaimer :- • Smart Investment will not be responsible / for any loss arising out of investment based on its recommendation. • Though, every care has been taken,
we will not responsible for any errors / omissions • All disputes are subject to Ahmedabad jurisdiction

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 42
Smart super duper - Het Zaveri

Hindalco (Rs. 444.00) (Code: 500440) :- Aditya Birla Group's company is known
for manufacturing aluminum products at lower cost.In March quarter, the company's income
increased from Rs. 29318 crore to Rs. 40507 crore, while profit increased from Rs. 669
crore to Rs. 1928 crore. The company's operating profit also increased from Rs. 3840 crore
to Rs. 5638 crore in the period under observation. The equity of the company is Rs. 222
crore, while reserves stand at Rs. 66311 crore. The metal sector is witnessing bullish trend
at the global level so the stock may be in limelight in the future. The stock prices may cross
Rs. 450. It paid 100% dividend for FY2020 and declared 300% dividend for 2021.
HG Infra (Rs. 528.00) (Code: 541019) :- The company set up in 2003 is based in
Jaipur. The company works on road projects and water pipeline projects. It came up with
IPO at Rs. 270 in February 2018. In FY2021, the company's income increased from Rs. 2217
crore to Rs. 2602 crore, while profit increased from Rs. 167 crore to Rs. 237 crore. As
against equity of Rs. 65 crore, the company has reserves of Rs. 997 crore. The company
has strong balancesheet and it has huge orders on hand. Despite pandemic, the company
recorded the highest profit and income. The stock has witnessed bullish trend in past few
days, still the stock prices may see upward movement considering the growth in the stock.
JK Lakshmi Cement (Rs.691.00) (Code:500380) :- Singhania Group promoted
medium size cement company has good presence in Gujarat and North India market. NDA
government's focus on infrastructure sector will benefit the cement companies. As against
equity of Rs 58.85 crore, the company has reserves of Rs 2036 crore. In FY2021, the
company's income increased from Rs. 4364 crore to Rs. 4727 crore, while profit increased
from Rs. 248 crore to Rs. 405 crore. The operating profit also increased from Rs. 768 crore
to Rs. 939 crore. The promoters hold 46.21% and public hold 53.79% stake in the company.
The stock can be accumulated at the current market price. It may give good return in 6-9
months.
Shanthi Gears (Rs. 191.00) (Code: 522034) :- It is a part of Murugappa Group
and Tube Investment is promoter of the company. It manufactures gears and gear box. The
promoters hold 70.47%, FII hold 4.73% and public hold 23.78% stake in the company. In
June quarter, the company's income increased from Rs. 25.13 crore to Rs. 66.97 crore,
while as against losses of Rs. 3.58 crore the company witnessed profit of Rs. 8.58 crore. In
FY2021, the company's income decreased from Rs. 242 crore to Rs. 216 crore, while profit
decreased from Rs. 25 crore to Rs. 20 crore. As against equity of Rs. 8 crore, the company's
reserves is Rs. 229 crore. It is debt free company. The company's operating profit margin
have been improving for four quarters. The stock is poised for multi-year breakout, so stock
is good option for investment in phased manner.

Disclosures : At the time of writing this article, author, his clients & dependent family members may have positions in the stocks mentioned above. The author, his firm,
his clients or any of his dependent family members may make purchases or sale of the securities mentioned in website. Author may have positions in above stocks so have vested
interest obviously in their going up or down as the case may be.
Disclaimer : Investing in any equity is risky. Our recommendations are based on reliable & authenticated sources believed to be true & correct, and also is technical analysis based
on & conceived from charts. Investors should take their own decisions. We assume no responsibility for any transactions undertaken by them. The author won't be liable or responsible
for any legal or financial losses made by anybody.

This PDF was originally uploaded To The English Newspaper L-- Banna SA (https://t.me/English_Newspaper_L_Banna)one else Backup chennal @NEWS_Backup_L_Banna
q
Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 43
Investment Ideas telegram.me/rupeegains7

IPOs are flooding the market


liqudity will be reduced in Secondary Markets ?
NIFTY :- For next week NIFTY has strong support around 15700 levels. Break will take it to 15630---
15575 levels. On the upper side NIFTY will face strong hurdle at 15880 levels, cross over with volume and
close above will create short covering at take NIFTY up to 15960---16025 levels…

BANK NIFTY :- For next week BANK NIFTY has strong support around 34350 levels. Break will take it
to 34110---33900 levels. On the upper side BANK NIFTY will face strong hurdle at 34850 levels, cross over
with volume and close above will create short covering at take BANK NIFTY up to 35185---35350 levels…

INVESTMENT IDEAS…
MENON BEARINGS LTD
(523828 & NSE) (81.7) (Face Value Re.1)
Incorporated in 1991, Kolhapur based Menon Bearings Limited engages in manufacturing auto
components to original equipment manufacturers worldwide. Its products include bi-metal engine
bearings; bushes and thrust washers for light and heavy automobile engines, and two wheeler
engines; and compressors for refrigerators, air conditioners, etc. It also provides aluminum die cast
and machine components, such as motor end shields, compressor bearings connecting rods, en-
gine components, gear case covers, and clutch assembly; cylinder heads and brake parts; and
engine parts, portable tools, fuel pump parts, etc. The company operates in 24 countries.
It has an equity base of Rs.5.60 crore that is supported by reserve of Rs.93 crore. The Promoters
hold 71.25%, FPIs hold 2.42% while the investing public holds 26.33% stake in the company.
Cont....

Some Super Duper recommendations from


RUPEE GAINS!
Recomm. Date Stocks Recomm. Price High Appreciation
Rate After (%)
Recomm.
29th March 21 Rubfila Inter 57 115 102%
5th April 21 ANDHRA PETRO 64 172.1 169%
26th April 21 TINPLATE COMPANY 170.35 274.7 61%
3rd May 21 Umang Dairy 58.5 94.2 61%
10th May 21 DHANLAXMI ROTO 28.3 69.15 144%
10th May 21 P G FOILS 101.75 198 95%
10th May 21 PATELS AIRTEMP 145.3 250 72%
31st May 21 JINDAL SAW 99.4 147.6 48%
21st June-21 SOLITAIRE MACHINE 38.1 52.95 39%
12th July-21 RUBY MILLS 238.25 319.9 34%
12th July-21 M K EXIM 56.55 87.15 54%

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 44
Company has posted superb numbers for Q1FY22. For Q1FY22, MBL's net profit zoomed
209.91% to Rs.6.57 crore on 117.05% higher sales of Rs.46.21 crore fetching an EPS of Rs.1.17.
Currently, the stock trades at a P/E of 19.75x. It paid 125% dividend for FY20 & paid 150% interim
dividend for FY21.
Everyone, whose financial advisor is allowing to trade in this stock for medium to long term can
watch with stop loss of 72.

GODAVARI DRUGS LTD


(530317) (76.35) (Face Value Rs.10)
Godavari Drugs Limited is in the business of Manufacturing of API's, drug intermediaries and
fine chemicals, capable of catering to the quality standards and requirements of the Global Life
Science Industry. Established for more than two decades, the company has active Loan License
and Contract Manufacturing tie ups with reputed multinational companies for API's and drug inter-
mediates. Its Manufacturing facilities are located at Maharashtra Industrial Development Corpora-
tion estate at Nanded, Maharashtra, India. The facility has multiple production blocks for API's,
drug intermediates and fine chemicals and is in line with cGMP requirements are certified as per
WHO GMP.
It has an equity base of just Rs.7.53 crore that is supported by reserves of around Rs.16.86
crore. The Promoters hold 55.86% while the investing public holds 44.14% stake in the company.
Company has reported fantastic numbers for Q4FY21 & FY21. For Q4FY21, PAT zoomed 69.74%
to Rs.1.29 crore from Rs.0.76 crore on 34.86% higher sales of Rs.32.96 crore fetching an EPS of
Rs.1.71. During FY21, PAT grew 106.5% to Rs.4.13 crore from Rs.2 crore on 28.18% higher sales
of Rs.122.67 crore fetching an EPS of Rs.5.48. Currently, the stock trades at a P/E of just 14x.
Everyone, whose financial advisor is allowing to trade in this stock for medium to long term can
watch with stop loss of 65.

AJANTA SOYA LTD


(519216) (108.40) (Face Value Rs.10)
ASL is a leading manufacturer and marketer of Vanaspati, Cooking Oils and Bakery Application
since two decades. The company is promoted by well established group having and proven track
record in the fields of cooking oils. ASL is now a company with a strong portfolio of brands viz.
Dhruv, Anchal & Parv and enjoys reputed market share. ASL also offers its quality products as
food ingredients to serve food manufacturers and food service industry.
It has an equity base of Rs.16.10 crore that is supported by reserves of around Rs.63.26 crore.
The Promoters hold 46.85% while the investing public holds 53.15% stake in the company.
Company has reported fantastic numbers for Q4FY21 & FY21. For Q4FY21, PAT zoomed
460.36% to Rs.9.47 crore from Rs.1.69 crore on 29.63% higher sales of Rs.260.80 crore fetching
an EPS of Rs.5.88. During FY21, PAT grew 156.53% to Rs.25.14 crore from Rs.9.80 crore on
22.53% higher sales of Rs.931.40 crore fetching an EPS of Rs.15.62. Currently, the stock trades at
a P/E of just 6.95x.
Everyone, whose financial advisor is allowing to trade in this stock for medium to long term can
watch with stop loss of 95.
Disclosures: At the time of writing this article, author, his clients & dependent family members may have positions in the stocks
mentioned above. The author, his firm, his clients or any of his dependent family members may make purchases or sale of the
securities mentioned in website. Author may have positions in above stocks so have vested interest obviously in their going up or
down as the case may be.
Disclaimer: Investing in any equity is risky. Our recommendations are based on reliable & authenticated sources believed to be
true & correct, and also is technical analysis based on & conceived from charts. Investors should take their own decisions. We
assume no responsibility for any transactions undertaken by them. The author won't be liable or responsible for any legal or
financial losses made by anybody.

This PDF was originally uploaded To The English Newspaper L-- Banna SA (https://t.me/English_Newspaper_L_Banna)one else Backup chennal @NEWS_Backup_L_Banna
q
Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 45
Primary Market - Dilip K. Shah

In 2021 total 28 companies have raised Rs. 28000 crore funds through IPOs till now
IPOs are flooding the market: In August only 9 companies will raise Rs. 16000 crore
Glenmark Life and Rolex Rings IPOs got robust response from the investors
All eyes will be on listing of Glenmark Life on August 6
In this week four Mega IPOs will open on August 4 and close on August 6 simultaneously
Windlas Biotech will raise Rs. 401.54 crore with prices band of Rs. 448 to Rs. 460
Exxaro Tiles will raise Rs. 161.09 crore with price band of Rs. 118-120
Devyani Intl. Rs. 1838 IPO that is going to open on August 4 may witness huge fancy
Krsnaa Diagnostics' Rs. 1200 crore IPO may open on August 4: Offer price Rs. 933 to 954
CarTrade Tech's Rs. 1200 crore IPO will open on August 9 and close on August 11
Gujarat-based Aashka Hospitals' Rs. 101 crore BSE SME IPO will be launched on August 10
The primary market has been witnessing floods of mainboard IPO, SME IPOs,
NCDs issues and OFS for quite some time. Last week's Rolex Rings and
Glenmark Life Sciences IPOs have closed, while in SME Segment Gretex Cor-
porate Services has also closed. NSE SME IPOs of Rex Pipes and Cable Indus-
tries and Network People Services Technologies will close on August 2. More-
over, Piramal Capital and IIFL Home Finance have also closed. HUDCO's OFS
issue also closed on July 28. Tatva Chintan IPO got listed with a bang last week.
Four More mainboard IPOs Krsnaa Diagnostics Ltd., Devyani International Ltd.,
Exxaro Tiles Ltd., Windlas Biotech Ltd are all set to enter the market on August 4.
Gujarat-based Aashka Hospital's SME IPO will also open on August 10.
* Insight into the last week's issues:-
• Glenmark Life Sciences :- The issue with price band of Rs. 695-720 opened
on July 27 to raise Rs. 1513.60 crore and closed on July 29.
Subscription :- It got 36.97 times subscription in QIB, 122.54 ties in HNI and
14.63 times in Retail taking overall subscription to 44.17 times.
Allotment / Refund :- Allotment will be on August 3, Refund on August 4,
share credit on August 5. As it has got 14.63 times subscription, the application

Cont...

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 46
Tatva Chintan's IPO got listed with 113% premiums: Investors rejoice
Aashka Hospital will come up with IPO with fixed price of Rs. 121
Piramal Cap and IIFL Fin NCDs issues got average response
How much subscription will Devyani Intl's IPO get? When and how will be listing?
SEBI gives nod to IPOs of Krsnaa Diagnostics, Nuvoco, Cartrade
HUDCO's Rs. 720 crore OFS gets good response from investors
Exxaro Tile's IPO will get listed in T group as the fund
ratio is 10.73, so considering rejection of applications, out of 8/9 applicants one
will get 20 shares.
Listing :- The shares may get listed on August 6 around Rs. 1150 to Rs. 1200
and may cross Rs. 1250 level. The investors holding the shares may get good
returns.
• Rolex Rings :- Rajkot based company's Rs. 731 crore IPO with price band of
Rs. 880-900 opened on July 28 and closed on July 30.
Subscription :- It has got 143.58 times subscription in QIB, 160.11 times in
HNI, 24.38 times in retail taking overall subscription to 130.38.
Cont...

Grey Markets Premium


IPOs Offer Price Premium Kostak Price Subject to

Name (Rs.) (Rs.) *Min. Appl. Sauda

Glenmark Life 695 to 720 120 to 124 350 1600

(Seller)

Rolex Rings 880 to 900 550 to 560 350 7000 to 7200

Windlas Bio 448 to 460 150 to 155 -- --

Exxaro Tiles 118 to 120 13 to 15 -- --

Devyani Intl. 86 to 90 54 to 56 -- --

Krsnaa Dia. 933 to 954 400 to 410

Nuvoco Vistas --

CarTrade --

Don't subscribe IPO only on the basis of Grey premium.


Before Investing check the fundamentals of IPOs

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 47
yk MkÃíkknLkk Main - line IPO Ãkh yuf Lksh (Non SME)
Sr Company Issue Open Dt. Issue size Offer price Min. Listing Lead Manager Rating Remark
Issue Close Dt. (Rs. Cr.) (Rs.) App. (Out of 50)
1. Windlas 4-8-2021 Fresh Issue : Rs.165 Cr. 448 to 460 30 Shares BSE DAM Capital, IIFL Holding, 34%
Biotech to OFS : Rs. 236.54 Cr. (F.V. Rs. 5) (Rs.13,800) NSE SBI Capital Market Risky Bet
(Apply for Long Term)
Limited 6-8-2021 Total : Rs. 401.54 Cr. Registrar : Link Intime India
2. Exxaro 4-8-2021 Fresh Issue : Rs.134.23 Cr. 118 to 120 125 Shares BSE Pantomath Capital Advisors 32%
Tiles to OFS : Rs. 26.86 Cr. (F.V. Rs. 10) (Rs.15,000) NSE High Risk
Low Return
Limited 6-8-2021 Total : Rs. 161.09 Cr. Registrar : Link Intime India
3. Devyani 4-8-2021 Fresh Issue : Rs.440 Cr. 86 to 90 165 Shares BSE CLSA India, Edelweiss Financial, 38%
International to OFS : Rs. 1398.00 Cr. (F.V. Rs. 1) (Rs.14,850) NSE Kotak Mah. Capital, Motilal Os. Listing Gain
(Short Term)
Limited 6-8-2021 Total : Rs. 1838.00 Cr. Registrar : Link Intime India
4. Krsnaa 4-8-2021 Fresh Issue : Rs. 400 Cr. 933 to 954 15 Shares BSE DAM Capital, Equirus Capital, 31%
Diagnostics to OFS : 85,25,520 Eq. Share (F.V. Rs. 5) (Rs.14,310) NSE IIFL Holding, J.M. Financial Wait for Listing
Limited 6-8-2021 Registrar : KFintech Pvt. Ltd.
5. Nuvoco -- Fresh Issue : Rs. 1500 Cr. -- -- BSE Axis Capital, HSBC Securities,
NEXT WEEK
Vistas OFS : Rs. 3500 Cr. (F.V. Rs. 10) -- NSE ICICI Sec., J.P. Morgan, SBI Cap.
Corporation Total : Rs. 5000 Cr. Registrar : Link Intime India
6. CarTrade 9-8-2021 OFS : 1,23,54,811 Eq.Share -- -- BSE Axis Capital, Citigroup Global,
NEXT WEEK
Tech to Total : 1,23,54,811 Eq.Share (F.V. Rs. 10) -- NSE Kotak Mah. Cap., Nomura Fin.
Limited 11-8-2021 Registrar : Link Intime India

Allotment / Refund :- Allotment may be on August 4, Refund and share credit


on August 6. As it has got 24.3 times subscription in retail category, considering
the rejection ratio, out of 15/16 applicants one may get 16 shares.
Listing :- It may get listed on August 9 around Rs. 1350-1450. It is advisable to
book 50% profit once it crosses Rs. 1500 level.
* Last week's listing:-
• Tatva Chintan Pharma Chem (543321) :- The issue with offer price of Rs.
083 got listed with premiums of 94.92 % at price of Rs. 2111.80 and went up to
Rs. 2486 and down to Rs2111 before closing at Rs. 2310.29 showing 113.31%
returns. However, the share closed at Rs. 2267.85 on Friday. It is advisable to
book 50% profit once it closes Rs. 2300 level.
* Last week's SME IPOs:-
• GretexCroporate :- Rs. 5.13 crore IPO closed on July 30 with 6.96 times
subscription. Allotment will be on August 9.
• Network Peoples :- Rs. 13.70 crore IPO closed with 12.11 times subscrip-
Cont...

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Aug. 2021 48
NSE SME IPO
Sr Company Open Dt. Issue size Offer price Minimum Lead Rating Remark
Close Dt. (Rs. Cr.) (Rs.) Applications Size Manager (Out of 50%) %
1. Network 28-7-2021 17,12,000 Eq. 76 to 80 1600 Eq. Shares BOI Merchant 30%
People 2-8-2021 (Rs. 13.70 Cr.) (Rs. 1,28,000) Holani Conslt. Wait for Listing
2. Rex 28-7-2021 24,00,000 Eq. 26 4000 Eq. Shares Navigant 35%
Risky Bet
Pipes 2-8-2021 (Rs. 6.24 Cr.) (Rs. 1,04,000) Corporate (Long Term)

BSE SME IPO


Sr Company Open Dt. Issue size Offer price Minimum Lead Rating Remark
Close Dt. (Rs. Cr.) (Rs.) Applications Size Manager (Out of 50%) %
1. Aashka 10-8-2021 84,00,000 121 1000 Eq. Shares Fedex
Hospitals 13-8-2021 Eq.Shares (Rs. 1,21,000) Securities NEXT WEEK
(Rs. 101.64 Cr.)

Subscription Figures of SME IPO (Dt. 30-7-21)


IPO Listing Day Subscribed tion. Listing will be on August 10.
Gretex Corporate BSE SME Issue Closed on 30-7-21 6.96x
Network People NSE SME 3rd Day Subscribed 12.11x • Rex Pipes :- The issue with offer
Rex Pipes & Cables NSE SME 3rd Day Subscribed 11.49x
Aashka Hospitals BSE SME Issue Opens on 10th Aug. -- price of Rs. 880-990 will get listed on
Subscription figure of
IIFL Home Finance NCDs August 10. It has got 11.49 times subscription. More
Category No. of Bond Issue details are given in the separate box.
Issue Closed Offered/ Subscribed
on 28th July Reserved 28-7-21 * NCDs issue :-
Category I 1,00,000 1.07x
Category II 1,00,000 14.35x • Piramal Capital :- The issue with base price of
Category III 4,00,000 6.22x
Category IV 4,00,000 10.39x
Total (Base Issue) 10,00,000 8.19x
Rs. 200 crore and shelf limit of Rs. 1000 crore has
Listing Information of
Tatva Chintan IPO got 4.20 times subscription and closed on July 19.
BSE Code 543321
Listing Date 29-7-2021 • IIFL Home Finance :- The issue with base price of Rs.
Offer Price Rs. 1083.00
Listing Price Rs. 2111.80 100 crore and Shelflimit of Rs. 1000 crore has closed with
Listing Day High Rs. 2486.30
Listing Day Low Rs. 2111.80 8.19 times subscription.
Listing Day Close Rs. 2310.25

So bot NCDs issues failed to fulfil the target.


• HUDCO OFS :- Rs. 720 crore OFS issue opened on July 27 for non-inves-
tors. The offer price is Rs. 45. It was at 5% discount compared to closing price on
Monday. It has got 2.9 times subscription.
* This week's mainboard IPOs:-

Cont...

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Aug. 2021 49
Tentative Timetable for Current Main Line & SME IPOs
Glenmark Rolex Gretex Rex Network Windlas Exxaro Devyani Krsnaa
LIfe Rings Corporate Pipes People Biotech Tiles Inter. Diagno
Issue closes on 29-7-21 30-7-21 30-7-21 2-8-21 2-8-21 6-8-21 6-8-21 6-8-21 6-8-21
Finalization of
Basis of Allotment 3-8-21 4-8-21 4-8-21 5-8-21 5-8-21 11-8-21 11-8-21 11-8-21 11-8-21
Refunds 4-8-21 5-8-21 5-8-21 6-8-21 6-8-21 12-8-21 12-8-21 12-8-21 12-8-21
Credit of Equity Shares 5-8-2021 6-8-21 6-8-21 6-8-21 6-8-21 13-8-21 13-8-21 13-8-21 13-8-21
Listing 6-8-2021 9-8-21 9-8-21 10-8-21 10-8-21 17-8-21 17-8-21 16-8-21 17-8-21

• Windlas Biotech Ltd :- The issue with offer Subscription figure of


Glenmark Life Sciences
price of Rs. 448-460 will open on August 4 to No. Shares Issue Subscribed (x)
Offered/ 27-7-21 28-7-21 29-7-21
raise Rs. 401.54 crore. As shown in the table,
Reserved
the issue price is too high so will be risky for QIB 42,42,379 0.00x 1.38x 36.97x
NII 32,32,770 0.86x 3.39x 122.54x
retail investors. It will close on August 6 and al- Retail 75,43,130 5.17x 9.28x 14.63x
Total 1,50,18,279 2.78x 5.78x 44.17x
lotment will be on August 11 and listing on Au-
Subscription figure of
gust 17. It may get listed around Rs. 600-650.
Rolex RingsLimited
• Exxaro Tiles :- Rs. 161.09 crore IPO with No. Shares Issue Subscribed (x)
Offered/ 28-7-21 29-7-21 30-7-21
offer price of Rs. 118-120 will open on August Reserved
QIB 16,24,444 0.00x 0.23x 143.58x
4. It will get listed in T2T group so there is lean NII 12,18,334 1.34x 5.85x 360.11x
Retail 28,42,778 7.11x 15.89x 24.49x
possibility of high premiums.
Total 56,85,556 3.84x 9.26x 130.44x

• Devyani International Ltd :- the issue with price band of Rs. 86-90 will raise
Rs. 1838 crore. More details are given in the box shows that it may witness huge
fancy among the investors. It may get 22-25 times subscription in retail category.
Allotment will be on August 11, Refund on August 12 and share credit on August
13. The issue may get listed on August 16 with 100+ rates and profit booking
may be seen at Rs. 120.
• Krsnaa Diagnostics Ltd :- The IPO is scheduled to open on August 4 and
close on August 6 and offer price Rs. 933 to Rs. 954. Issue Size rs. 1213.33 Cr.
More datails will be given in Smart Bonanza and www.smartinvestment.in.
Cont...

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Aug. 2021 50
• CarTrade Tech Ltd :- The issue will IPOs Likely in August
Co. Name Date Issue Size
open on August 9 and close on August
(Rs. Cr.)
11. The details of Rs. 2000 crore IPO are Windlas Biotech 4-8-2021 401.00
Exxaro Tiles 4-8-2021 161.09 Cr.
yet to be declared. Devyani International 4-8-2021 1838.00
CarTrade 9-8-2021 2000
* Next Week's SME IPO:- Nuvoco 9-8-2021 5000
Aptus Value Hsg. 9-8-2021 3000
• Aashka Hospitals Ltd :-
Ruchi Soya 11-8-2021 4300
Gandhinagar-based Aashka Hospital's Krsnaa Diagnostics 11-8-2021 1200
Arohan Financial 16-8-2021 1800
IPO with offer price of Rs. 121 to raise Rs.
101.64 crore will open on August 10 and close on August 13. Lead Manager is
Fedex Securities. The company has got benefited from CORONA pandemic like
other healthcare companies. CMD Is Bipin Shah. More details will be given next
week.
* IPOs are flooding :- The spree of mainboard and SME IPOs are likely to
Excellent continue till the end of the current financial year. Af-
Return from IPO
Co. Name Offer CMP Change ter Diwali, PayTM will come up with IPO and LIC will
Price (Rs.) (%)
Happiest Mind 166 1361 719.88
hit the biggest IPO in the last quarter. Before August
Route Mobile 350 2063 489.43
Angel Broking 306 1186 287.58
16, total 9 companies are coming up with IPOs to
Burger King 60 180 200
raise Rs. 16000 crore. Baba Ramdev's Ruchi Soya
Rossari Biotech 425 1236 190.82
CAMS 1230 3344 171.87
is likely to come up with Rs. 4300 crore IPO.
Gland Pharma 1500 3948 163.2
MTAR Techno 575 1438 150.09 • Nirma Group's Nuvoco Vistas Corporation will
EasyMyTrip 187 409 118.72
Tatva Chintan 1083 2268 109.42 raise Rs. 5000 crore. It will enter the market on Au-
GR Infra 837 1730 106.69
Laxmi Organic 130 261 100.77 gust 9. Aptus Value and Housing will enter the mar-
Laxmi Org. 130 261 100.77
Stove Kraft 385 772 100.52 ket on August 9 to raise Rs. 3000 crore. Arohan Fin
Equitas SFB 33 62.95 90.76
Clean Sciences 900 1682 86.89 will enter the market on August 16 to raise Rs. 1600
Zomato 76 133 75.00
Indigo Paint 1490 2603 74.7 crore.
Nazara Tech 1101 1855 68.48
Shyam Metalics 306 436 42.48 Till now 28 IPOs have raised Rs. 38000 crore till
Craftsman 1490 2001 34.30
Anupam Rasayan 555 723 30.27 now in 2021.In 20217, total Rs. 67,167 crore were
Heranba Ind. 627 810 29.19
raised. Cont...

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Financial Weekly

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Aug. 2021 51
Grey Market Movement
Since beginning of August a host of IPOs have
made the new grey market operators active
Devyani Int's IPO premiums sky rocketed: Fancy may increase
Krsnaa Diagnostics IPO witnesses unprecedented
premiums before announcement of Offer Price
Exxaro Tiles' IPO will get listed in T group as
the size is less than Rs. 250 crore
Rolex Rings premiums witnessed a spurt,
Glenmark premiums crumbled
New operators have become active in the grey market due to a host of
IPOs in the primary market. The premiums are witnessing a high volatility as
more than half a dozen IPOs have queued up in the primary market.
* Glenmark Life Sciences :- The premiums in the issue with offer price of
Rs. 695-720 went up to Rs. 150-160 but came down to Rs. 120-125 after
robust response. As the HNI cost is around Rs. 136, the premiums have
crumbled. The interest rates are Rs. 350 and subject to rates are Rs. 1600.
But there is hardly any deal taking place.
* Rolex Rings :- The premiums in the IPO with price band of Rs. 880-900
have got strong support at 540-550.
* Devyani International :- The premiums are soaring high in the issue with
offer price of Rs. 86-90 and are expected to go higher. Fancy may increase.
* Krsnaa Diagnostics :- The premiums are around Rs. 370-380, before
the offer price is announced. Fancy may increase in this IPO.
* Exxaro Tiles :- The issue size is below Rs. 250 crore so there is not high
possibility of huge premiums due to upper circuit of 5% in T2T segment. So
no deals taking place.

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 52
Windlas Biotech Main Line IPO
Opens on 4th August & Closes on 6th August 2021
Offer price Rs. 448 to 460; Listing on BSE & NSE Platform
There is a setback in bottom line of FY20 & FY 21
On valuation front considering PE of 65.5 offer is expensive
Its risky bet for retailers, risk taker may apply for long term
Incorporated in 2001, Windlas Biotech Ltd is one of the leading companies in the pharmaceutical formulations
contract development and manufacturing organizations (CDMO) segment in India. The company offers a range of
CDMO services from product discovery to product development, licensing, and commercial manufacturing of generic
products including complex generics. It further sells its own branded products in the trade generics and OTC markets.
Currently, the focus of the company is to launch complex generic products in the chronic therapeutic category related to
lifestyle-related disorders. The business operates in 3 verticals; 1. CDMO Products and services, 2. Domestic trade
generics and Over-the-counter (OTC) market (nutraceutical and health supplement products), and 3. Export. Leading
pharma companies i.e. Pfizer Ltd, Sanofi India Ltd, Cadila Healthcare Ltd, Emcure Pharmaceuticals Ltd, Eris Lifesciences
Ltd, Intas Pharmaceuticals Ltd, and Systopic Laboratories Private Limited are some of the marquee customers of
Windlas Biotech. Its manufacturing facilities are located at Dehradun with an installed operating capacity of 7,063.83
million tablets/ capsules, 54.46 million pouch/ sachet, and 61.08 million liquid bottles.
Issue Details Financial Performance : Consolidated Basis
• Issue Opens on 4th August & Closes on 6th August Particulars (Rs. Cr.) FY 19 FY 20 FY 21
• Object of the issue : Purchase equipment required for capacity ex- Total Revenue 311.53 331.34 430.70
pansion of existing facility at Dehradun Plant IV. Finance incremental Profit After Tax 63.82 16.21 15.57
EPS 37.65 8.90 8.70
working capital requirements of the company and Repayment/pre-
RONW (%) 8.97 8.04 18.19
payment of company's borrowings.
• Issue Size : Fresh Issue Rs. 165 Cr., OFS : 51,42,067 Eq. Shares (Rs. 236.54 Cr.),
Total Size : Rs. 401.54 Cr.
• Offer Price Rs. 448 to 460 per Eq. Shares • Minimum Lot Size : 30 Shares
• Listing on BSE and NSE Platform • BRLM : DAM Capital, IIFL Holding, SBI Capital • Registrar : Link Intime
India
• Company Management : Ashok Kumar, Hitesh, Manoj Kumar Windlass, and AKW WBL Family Pvt Trust.
• Pre Issue Promoter Holding : 78% • Post Issue promote Holding : 65.16%
• Issue constitutes 40.05% of the post issue paid up capital
• Average of last 3 Yrs. EPS Rs. 13.59 & RONW : 13.27%
• Pre IPO Equity Capital Rs. : 9.10 Cr. • Post IPO Equity Capital Rs. : 10.90 Cr.
• Pre IPO P/BV Ratio : 4.21 (NAV : 109.36) (31-3-21) • Post Issue : P/BV Ratio : 2.75 (NAV : 167.07)
• Post IPO asking P/E on fully diluted equity : 65.5
• BRLM’s Performance : This is 27 Issue from BRLM in last 3 years. In Last 26 listing : 14 Issue Opened with
premium price & 12 Issue opened with Discount.
OTHER SIDE OF THE COIN
• The average cost of acquisition of equity share for the individual selling shareholder is Rs. 0.021 per equity
share and investor selling share holder is Rs. 204.69 per equity share and offer price is Rs. 460 per share.
• Apart from initial equity capital issue at par, The company has raised further equity in the price range of Rs.
290.66 to Rs. 424.99 (FV Rs. 5) between Nov. 2015 and December 2018
• It has also issued bonus shares in the ratio of 2:3 in November 2008 and 4.2:10 in april 2021 i.e. before filing
DRHP in Sebi.
• Its capacity utilization is very low
• The face value of the share is Rs. 5 hence if it is converted in to Rs. 10 face value then offer price will be Rs.
896 to 920
• It operate in a highly competitive market & business highly capital and labor intensive.
Note : It has posted a CAGR of 38% in top line and 58% in the gross margins for the last three fiscals. There
is a growth in Top lines but it has reported decaling trends for the bottom lines.
Recommendation : It has reported declining trends for bottom line of FY 20 & FY21. On valuation front
considering at PE of 65.5 offers is very expensive. It's risky bet for retail investors, risk taker may apply for long
term prospective

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Aug. 2021 53
Exxaro Tiles Limited Main Line IPO
Opens on 4th August & Closes on 6th August 2021
Offer price Rs. 118 to 120; Listing on BSE & NSE Platform
Its financial track record is average of PE is very high
Its financial track record is average & will list in T2T Segment
Overall IPO is expensive hence risk takers may consider for High risk low return issue
Incorporated in 2008, Exxaro Tiles is engaged in the manufacturing and marketing activities of vitrified
tiles. The company manufactures Double Charge Vitrified Tiles (double layer pigment) and Glazed Vitrified
Tiles made from ceramic materials i.e. clay, quartz, and feldspar. Its product portfolio consists of 1000+
different designs of tiles in 6 sizes. Topaz Series, Galaxy Series, and High Gloss Series are some of the
well-established products of the company. It supplies its products to large infrastructure projects i.e. resi-
dential, educational, commercial, hotels, hospitals, government, builders or developers, religious institu-
tions, etc. It also exports tiles to different countries across the globe i.e. Poland, Bosnia, USA, and others.
Currently, Exxaro Tiles has 2 state-of-the-art manufacturing facilities in Padra and Talod with an installed
production capacity of 1,32,00,000 sq mt per annum. It further has 6 display centers in 6 cities and 2
marketing offices in Delhi and Morbi. Financial Performance : Consolidated Basis
Issue Details Particulars (Rs. Cr.) FY18 FY19 FY20 FY21
Total Revenue 221.25 244.01 243.96 259.85
• Issue Opens on 4th August & Closes on 6th August Profit After Tax 9.14 8.92 11.26 15.22
• Object of the issue : To make repayment or EPS -- 2.66 3.36 4.54
prepayment of Secured borrowings availed by the Co., RONW (%) -- 8.78 9.97 11.88

Working Capital Requirment.


• Issue Size : Fresh Issue Rs. 134.23 Cr,
OFS : Rs. 26.86 Cr. and Total Issue Size : 1,34,24,000 Eq. Shares (Rs. 161.09 Cr.) • Offer Price Rs. 118
to 120 per Eq. Shares • Minimum Lot Size : 125 Shares
• Listing on BSE and NSE Platform • BRLM : Pantomath Capital Advisor Pvt. Ltd.
• Registrar : Link Intime (I) Pvt. Ltd.
• Company Management : Mukeshkumar Patel, Kirankumar Patel, Dineshbhai Patel, and Mr. Rameshbhai
Patel.
• Pre Issue Promoter Holding : 56.09% • Post Issue promote Holding : 42.5%
• Average of last 3 Yrs. EPS Rs. 3.83 & RONW : 10.73%
• Pre IPO Equity Capital Rs. : 33.56Cr. • Post IPO Equity Capital Rs. : 44.74 Cr.
• Pre IPO P/BV Ratio : 3.14 (NAV : 38.20) • Post Issue : P/BV Ratio : 2.05 (NAV : 58.65)
• Pre IPO P/E Ratio : 47.62 • Post IPO asking P/E on fully diluted equity : 36.60
• BRLM’s Performance : This is 31st Issue from BRLM in last 3 years. In Last 30 listing : 25 Issue Opened with
premium price & 5 Issue opened with Discount.
OTHER SIDE OF THE COIN
• Average cost of acquisition of promoter namely Mr. Mukeshkuar Patel is Rs. 14.88, Mr. Kiran Kumar
Patel Rs. 7.54, Mr. Dineshbhai Patel Rs. 4.69, Mr. Rameshbhai Patel Rs. 23.95, respectively & selling
shareholders namely Mr. Dixitkumar Patel is Rs. 5.49 and the offer price is Rs. 120 per equity Share.
• There is a setback in bottom line of FY18
• Sudden jump in net profit of FY21 in pandemic condition is surprising.
• It operates in a highly competitive field and has to face organized & unorganized players.
• IPO size is below 250 cr. Hence it will list in T2T Segment where upper & lower circuit is 5%
Recommendation : Its financial track record is average on valuation front considering PE
of 36.5 IPOO is overpriced compare to its listed peers. Hence risk taker investors may
consider for high risk - low return issue.

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Financial Weekly

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Aug. 2021 54
Devyani International Limited Main Line IPO
Opens on 4th August & Closes on 6th August 2021
Offer price Rs. 86 to 90; Listing on BSE & NSE Platform
It's constantly loss making company & unlikely to turnaround in near term
ON valuation front promoters like EPS, PE & RONW are negative
Considering fancy in food segment & robust listing of Zomato
Risk taker investors may apply for listing gain & short term prospective
Incorporated in 1991, Devyani International Ltd is the largest franchisee of Yum Brands and among the largest quick-
service restaurants (QSR) chain operators in India with 655 stores across 155 cities all over the country as of Mar 31,
2021. Yum Brands Inc operates many fast food brands i.e. Pizza Hut, KFC, and Taco Bell brands.
It operates 3 business verticals; 1. Core Brands (KFC, Pizza Hut, and Costa Coffee stores in India), 2. International
Business (stores in foreign countries i.e. Nepal and Nigeria), and 3. Other Businesses (own branded stores i.e. Vaango,
Food Street, Masala Twist, Ile Bar, Amreli, and Ckrussh Juice Bar).Initially, the business started with a Pizza Hut store
in Jaipur but subsequently expanded operations in both KFC and Pizza hut, as of March 31, 2021, it operates 264 KFC
stores, 297 Pizza Hut stores, and 44 Costa Coffee stores in India. Financial Performance : Consolidated Basis
Issue Details Particulars (Rs. Cr.) FY 19 FY 20 FY 21
• Issue Opens on 4th August & Closes on 6th August Total Revenue 1323.68 1535.04 1198.90
• Object of the issue : Repayment and Prepayment of Company’s borrwings Profit After Tax -59.29 -78.75 -81.32
full or partially. EPS -0.75 -1.14 -0.50
• Issue Size : Fresh Issue Rs. 440 Cr, RONW (%) -- -- -48.52

OFS : Rs. 1398.00 Cr. and Total Issue Size : 1838.00 Cr.
• Offer Price Rs. 86 to 90 per Eq. Shares • Minimum Lot Size : 165 Shares
• Listing on BSE and NSE Platform
• BRLM : CLSA (I) Pvt. Ltd., Edelweiss, Kotak Mah., Motilal Oswal
• Registrar : Link Intime (I) Pvt. Ltd.
• Company Management : Ravi Kant Jaipuria, Varun Jaipuria, and RJ Corp Limited are the company promoter.
• Pre Issue Promoter Holding : 75.79% • Post Issue promote Holding : 67.99%
• Issue Constitutes 16.98% of the post issue paid up capital
• Average of last 3 Yrs. EPS Rs. -0.76 & RONW : -24.26%
• Pre IPO Equity Capital Rs. : 115.36 Cr. • Post IPO Equity Capital Rs. : 120.25 Cr.
• Pre IPO P/BV Ratio : 87.38 (NAV : 1.03) • Post Issue : P/BV Ratio : 19.52 (NAV : 4.61)
• Post IPO asking P/E on fully diluted equity : Negative
• BRLM’s Performance : This is 25th Issue from BRLM in last 3 years. In Last 24 listing : 18 Issue Opened with premium
price & 6 Issue opened with Discount.
OTHER SIDE OF THE COIN
• Average cost of equity shares for the selling shareholders Duneary Investment (Mauritius) and RJ corp. Ltd. Is Rs.
30.61 & Rs. 3.24 per share respectively and the offer price is Rs. 90 per share.
• Apart from initial equity issue at par it has raised further equity in the range of Rs. 15 to Rs. 43.37 (F. V. Rs. 1)
between July 2000 to March 2021
• It has also issued bonus share in the ratio of 2:1 in Feb 2002, 3.3:1 in May 2011 & 1:1 in June 2012
• The face value of offer price is Rs. 1 and it is converted into the face value of Rs. 10 then offer price will be Rs. 860
to 900 per equity share.
• Retailers will be allotted only 10% shares of the total issue.
• Its cumulative loss is so high that it will take long time turnaround & meantime dividend will not possible.
Recommendation :- It's a constantly loss making company with nega-
tive EPS, PE & RONW, P/BV also very high of 19.56. Hence unlikely to
turnaround or on dividend list in near term. However considering fancy
in food segment & bumper listing of Zomato. Investors may apply for
listing gain or short term investment in this issue.

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Krsnaa Diagnostics Main Line IPO
Opens on 4th August & Closes on 6th August 2021
Offer price Rs. 933 to 954 ; Listing on BSE & NSE Platform
It was loss making company till FY20 & sudden turnaround is surprising
On valuation front considering all parameter IPO is exorbitantly priced
Retail investors may avoid this very expensive IPO
Incorporated in 2010, Krsnaa Diagnostics Ltd is one of the fastest-growing diagnostic chains in
India. The company offers a wide range of diagnostic services such as imaging/radiology services
(X-rays, MRI, etc.), routine clinical laboratory tests, pathology, and tele-radiology services to pri-
vate and public hospitals, medical colleges, and community health centres. The firm has an exten-
sive network of diagnostic centres across India with a key focus on non-metro, and lower tier cities
and towns. As of December 31, 2020, it operates 1,801 diagnostic centres that are offering radiol-
ogy and pathology services across 13 different cities in India. In fiscal 2020, the business has
served 5.27 million patients. Financial Performance : Consolidated Basis
Issue Details Particulars (Rs. Cr.) FY 19 FY 20 FY 21
Total Revenue 1323.68 1535.04 1198.90
• Issue Opens on 4th August & Closes on 6th August Profit After Tax -59.29 -78.75 -81.32
• Object of the issue : Finance the cost of establishing diagnos- EPS -0.75 -1.14 -0.50
tics centres at Punjab, Karnataka, Himachal Pradesh, and RONW (%) -- -- -48.52

Maharashtra. Repayment/pre-payment of firm's borrowings fully or partially and General corpo-


rate purposes.
• Issue Size : Fresh Issue Rs. 400 Cr, OFS Rs. 813 Cr. Total Issue Size : 1213.33 Cr.
• Offer Price Rs. 933 to 954 per Eq. Shares • Minimum Lot Size : 15 Shares
• Listing on BSE and NSE Platform
• BRLM : DAM Capital Advisors, Equirus Capital, IIFL Holdings, JM Financial,
• Registrar : KFintech Pvt. Ltd. • Company Management : Rajendra Mutha • Pre Issue Promoter
Holding : 74.63%
• Average of last 3 Yrs. EPS Rs. 12.41 & RONW : 9.54% • Pre IPO P/BV Ratio : 11.13 (NAV :
85.27)
• Post Issue : P/BV Ratio : 4.76 (NAV : 200.58) • Pre IPO P/E Ratio : 77.88
• BRLM’s Performance : This is 32 Issue from BRLM in last 3 years. In Last 31 listing : 21 Issue
Opened with premium price & 10 Issue opened with Discount.

OTHER SIDE OF THE COIN


• The average cost of acquisition of equity shares held by selling shareholders is Rs. 157.28,
67.35, respectively and offer price is Rs. 954 (F. V. Rs. 5) per share.
• It has split equity shares of face value of Rs. 10 each in to 2 equity shares of face value of Rs. 5
each on April 25, 2021.
• Face value of offer price is Rs. 5 & If it is considered in to Rs. 10 then price band will be Rs. 1866
to Rs. 1908
• It has made loss in FY19 & FY 20 but thereafter sudden jump in Top line - bottom line of FY 21
is surprising. IN short it has wipe out loss of previous years & become turnaround in FY 21
which raised concern.
• Only 10% of net offer shall be available for allocation to retail investors.
• On valuation parameter based on diluted EPS of FY 21 asking PE of 77.88 & P/BV is 4.76
which are very expensive.
Recommendation : it was loss making company till FY 20 & became turnaround in FY21 but
sudden jump in top & bottom line of FY 21 is surprising and it raises concern on valuation front
considering very high PE & P/BV. IPO is exorbitantly priced so retail investors may avoid this IPO
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Rex Pipes NSE SME IPO
Opens on 28th July & Closes on 2nd August, 2021
Offer price Rs. 26; Listing on NSE SME Platform
On valuation front offer price seem reasonable
But considering inconsistency in financial performance
Investor may apply for long term in this risky bet
Incorporated in 2002, Rex Pipes and Cables Industries Ltd is engaged in the trading and manu-
facturing of PVC pipes, HDPE pipes, cables, and fittings under the "Rex" brand name. It offers a wide
range of products including three core flat cables, PVC & HDPE pipes, single-core flexible home
wire, HDPE and sprinklers, and cables that are used by different industries i.e. agriculture, power,
construction, and engineering. It has ultra-modern state of art manufacturing facilities in Sikar. The
company further undertakes manufacturing and fabrication of bus bodies under the brand "Rex
Coaches" with a total capacity of 600 buses per year. It offers distinctive types of products for the
passenger transport industry i.e. city buses, school buses, intercity coaches, executive buses, com-
mercial road container trucks, and others. Financial Performance : Consolidated Basis
Particulars (Rs. Cr.) FY18 FY19 FY20 10MFY21
Issue Details Total Revenue 35.16 37.75 32.07 44.39
• Issue Opens on 28th July & Closes on 2nd August Profit After Tax 1.27 1.31 0.77 1.01
EPS 2.05 2.11 1.25 1.62
• Object of the issue : Working Capital requirment.
RONW (%) -- 13.57 7.44 8.81
• Issue Size : 24,00,000 Equity Shares • Total Rs. 6.24 Cr.
• Face Value Rs. 10
• Offer price Rs. 26 Per Share • Minimum Lot : 4000 Share
• Listing : NSE - SME • BRLM : Navigant Corporate Advisors Ltd.
• Registrar : KFintech Pvt. Ltd.
• Company Management : Mr. Sharwan Kumar Kaler, Mrs. Sohani Devi
• Pre Issue Promoter Holding : 84.65%
• Issue constitutes 27.91% of the post issue paid up capital
• Average of last 3 Yrs. EPS Rs. 1.67 & RONW : 10.8%
• Pre IPO Equity Capital Rs. : 6.20 Cr.
• Post IPO Equity Capital Rs. 8.60 Cr.
• Pre IPO P/BV Ratio : 1.41 (NAV : 18.42) (31-1-21)
• Post Issue : P/BV Ratio : 1.27 (NAV : 20.54)
• Post IPO asking P/E on fully diluted equity : 19
• BRLM’s Performance : This is 20 Issue from BRLM in last 5 years. In Last 10 listing : 7 Issue Opened with
premium price & 1 Issue opened with Discount and 2 issues opened with at par.
OTHER SIDE OF THE COIN
• The average cost of acquisition of equity share to the promoter is Rs. 5.28 and 6.69 per share and offer
price is Rs. 26 per share.
• It has issued bonus shares in the ratio of 3:2 in January 2018
• It has setback in top line & bottom line of FY2020
• Sudden jump in top & bottom line of 10MFY21 is surprising
Recommendation : On valuation front P/BV of 1.27 & PE of 19, Offer price seem reason-
able but considering inconsistency in financial performance, it is risky bet hence investor
may apply for long term.

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Markets have reached to the life time high


levels & many stocks have reached in overbought
zone & profit booking will be witnessed.
In coming days only selective stocks will run the bull rally.
If you want to know which selective stocks
will run the rally going ahead ?
Join Equity 99 Telegram Channel
https://t.me/equity99
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Smart Best Buy S. N. Zaveri
JSW Steel : Record break profit and revenue
Insecticides India : More patent will enhance revenue
Balkrishna Industries Q1 numbers to be much better
Coforge Ltd up on strong Q1 numbers
Bajaj Finserv will enter into AMC business

JSW Steel (Rs. 737.00) (Code : 500228) : JSW Steel recorded


its highest-ever consolidated net profit at Rs 5,904 core in the quarter ended June 30, 2021,
on low base effect. It had posted a consolidated loss of Rs 561 crore in the corresponding
quarter last fiscal. The company also recorded its highest ever consolidated revenue at Rs
28,902 crore in Q1 FY22, a 145 per cent rise as compared to Rs 11,782 crore in Q1 FY21.
JSW Steel saw its consolidated Earnings Before Interest, Tax, Depreciation and Amortisa-
tion (EBITDA) rise to its highest ever level at ?10,274 crore, with an EBITDA margin of 35.5
per cent. Net debt to equity stood at 1.04 times at the end of the June quarter this fiscal, as
opposed to 1.14 times seen in the Q4 of previous fiscal. Net debt to EBITDA was recorded at
1.89 times in Q1 FY22, as against 2.61 times at the end of Q4 FY21. Steel sector is very hot
at this time. Buy.

Insecticides India (Rs. 783.00) (Code : 532851) :- Insec-


ticides India stock has recently hit new 52-week high of Rs.803 and now trading at around
Rs.780 plus level. The stock has given significant break-out after huge consolidation. The
company has received a patent from Govt. of India, titled 'A Synergistic Fungicidal Compo-
sition Comprising Hexaconazole and Carbendazim'. The patent is for a term of 20 years from
15 June 2017. The said patent also covers the fungicidal composition, Hexaconazole 4% +
Carbendazim 16% SC which the company has been selling pan-India under the trademark of
'Sofia'. More patent will enhance its revenue and profit. Buy in phased manner.

Balkrishna Industries (Rs. 2372.00) (Code : 502355) :


The brokerage house ICICI direct expects Balkrishna Industries to report net profit at Rs.
310 crore up 154.3% year-on-year (down 16.8% quarter-on-quarter). Net Sales are expected
to increase by 80.5 percent Y-o-Y (down 4 percent Q-o-Q) to Rs. 1,676 crore. EBITDA are
likely to rise by 110.5 percent Y-o-Y (down 10.4 percent Q-o-Q) to Rs. 485 crore. EBITDA
margins are expected to be at 29%, down 200 bps QoQ largely tracking deterioration in
Cont...

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gross margins. Balkrishna Industries Limited (BKT) is the market leader in off-highway tyres,
used in specialist segments like mining, earthmoving, agriculture, and gardening. The stock
is worth accumulation in phased manner.

Coforge Ltd (Rs. 5087.00) (Code : 532541) : IT firm Coforge


Ltd, formerly known as NIIT Technologies, has reported a 54.7 per cent jump in consolidated
net profit at Rs 123.6 crore in the April-June quarter. Its consolidated revenue rose 38.3 per
cent to Rs 1,461.6 crore in the first quarter of FY'22, as against Rs 1,057 crore in the year-
ago period. Total headcount at Coforge, after including the employees of the recently ac-
quired SLK Global, increased to 20,491 during the quarter under review. Total orderbook
executable over the next 12 months has expanded 38.7 per cent y-o-y to USD 645 million as
on June 30, 2021. Its order intake increased to USD 318 million on the back of three large
deals secured during the quarter. The company's board has declared the first interim divi-
dend of Rs 13 per equity share for the financial year FY2021-22. It has fixed August 10 as
record date for the same. Grab this stock.

Bajaj Finserv (Rs. 14221.00) (Code : 532978) : Bajaj Finserv


Ltd now has a higher market capitalisation than Axis Bank Ltd following a surge in its share
price which hit a fresh record-high last week. Currently, Bajaj Finserv stands at 18 positions
in the overall market cap ranking. Meanwhile, in a major development, Bajaj Finserv will
enter the asset management business. The company has applied for a licence to start an
asset management company and is awaiting approval from the Sebi. Its two insurance joint
ventures with Allianz, the Bajaj Allianz Life and Bajaj Allianz General Insurance, were com-
pleting 20 years this year and both had built solid businesses with combined gross premium
of Rs 24,000 crore and assets under management of around Rs 1,00,000 crore as on March
31, 2021. The partners have no plans of going public and listing these insurance companies.
Invest.

(SEBI Registered Research Analyst)


* Disclosure :- The author has not brought / sold any stock advised in this news paper during last one month • All stocks rates / indices on
30th July, 2021 unless specified o Stoploos is useful for Short - Medium term investors only
* Disclaimer :- • Smart Investment will not be responsible / for any loss arising out of investment based on its recommendation. • Though,
every care has been taken, we will not responsible for any errors / omissions o All disputes are subject to Ahmedabad jurisdictioner

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Dalal Street Whispers Dilip K. Shah
Sun Pharma (Rs. 774.00) (Code: 524715) :- This pharma company’s shares
surged 10% on Friday after the company achieved turnaround results in the first quarter. As
against loss of Rs. 1655.60 crore last year, Sun Pharma reported profit of Rs. 1444.10 crore
this year.
Ashoka Buildcon (Rs. 107.00) (Code: 533271) :- This road-highway construc-
tion company has won the contract for developing Mumbai's Grand Port Hospital into a 600-
bed super-specialty hospital and medical college.
Concor (Rs. 644.00) (Code: 531344) :- This PSU has reported excellent numbers
for the first quarter. Net profit surged 409% to Rs. 251 crore, while income rose 50% to Rs.
1877 crore.
TVS Motor (Rs. 579.00) (Code: 532343) :- The company has narrowed losses in
the first quarter to Rs. 15 crore from Rs. 183 crore last year. Brokerages have upgraded
their targets on the stock following the results. Jefferies has given a target price of Rs. 800,
indicating a 37% potential upside, while Motilal Oswal has a neutral rating with Rs. 625 target
price.
Apollo Tricoat (Rs. 1648.00) (Code: 538566) :- According to reports, Fumistic
Gaming LLP has brought 2 lakh equity shares through bulk deals on BSE at Rs. 1650 apiece.
The company had acquired 2.43 lakh shares in the previous session too.
Garware Hi-Tech (Rs. 1058.00) (Code: 500655) :- Ace investor Ashish Kacholiya
has increased his stake in the company from 2.35% to 2.58% by buying 1,41,871 lakh
shares at Rs. 1005 in June quarter.
Allcargo Logistics (Rs. 197.00) (Code: 532749) :- Allcargo’s subsidiary Allcargo
Belgium NV has entered into a JV agreement with Swedish logistics firm Nordicon Group.
Allcargo Belgium will hold 65% stake in the JV. ECU Worldwide will be a market leader with
a near 40% market share of the less-than-container-load (LCL) business in the Nordic re-
gion.
IOCL (Rs. 103.00) (Code: 530965) :- This PSU oil marketing company has re-
ported bumper results for June quarter. Net profit zoomed 210% to Rs. 5941 crore. The GRM
soared to US $6.58 per barrel compared with $ 1.98 last year.
Ashok Leyland (Rs. 132.00) (Code: 500477) :- The shares are in focus after the
company announced plans to enter the EV segment. The company aims to launch its first e-
LCV by December.
Balrampur Chini (Rs. 381.00) (Code: 500038) :- The board is slated to meet on
August 9 to consider June quarter results, and the share buyback proposal.
Tejas Networks (Rs. 258.00) (Code: 540595) :- Tata Sons subsidiary Panatone
Finvest has signed a definitive agreement to acquire 43.3% stake in Tejas Networks for Rs.
1,850 crore. The company will also acquire 26% additional stake in the company through an
open offer.
Cont.....

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Colgate-Palmolive (Rs. 1704.00) (Code: 500830) :- The company’s June quar-
ter profit rose 18% to Rs. 233 crore, while sales were up 12% to Rs. 1158 crore. The share is
up over 16% in three months.
Welspun India (Rs. 133.00) (Code: 514162) :- This home textiles manufacturer’s
net profit for Q1 surged 315% to Rs. 223 crore, while income was up 84% to Rs. 2214.4
crore.
SRF (Rs. 8660.00) (Code: 503806) :- The company has reported excellent num-
bers in spite of the COVID-19 challenges. Net profit increased 123% to Rs. 395 crore and
income grew 75% to Rs. 2699 crore. The company has also approved Rs. 550 crore expan-
sion plan at Dahej.
Radico Khaitan (Rs. 903.00) (Code: 532479) :- The largest and oldest manufac-
turer of Indian Made Foreign Liquor has reported excellent numbers for the June quarter.
Consolidated net profit was up 36% to Rs. 60.87 crore, while net sales were up 60.45% to
Rs. 2847.4 crore. It follows other liquor companies such as United Spirits, United Global,
United Breweries, etc. in reporting excellent numbers.
IDBI Bank (Rs. 37.00) (Code: 500116) :- The bank’s net profit for the June quarter
rose by more than four times from Rs. 144 crore to Rs. 603 crore. Income was up 11.1% to
Rs. 6555 crore. Net Interest income was up 41%.
Bharti Airtel (Rs. 561.00) (Code: 532454) :- The company has hiked the entry-
level tariff for pre-paid customers. From Rs. 49 earlier, it has enhanced the tariff to Rs. 79.
BLS Intl. (Rs. 151.00) (Code: 540073) :- The shares are touching new highs after
the company reported very good numbers for the June quarter. It has reported a profit of Rs.
20.25 crore compared with a loss of Rs. 0.80 crore last year. Income surged three-fold to
Rs. 178 crore.
Shilpa Medicare (Rs. 631.00) (Code: 530549) :- The company has received
WHO approval for its API Tenofovir Disoproxil Fumarate.
Tata Motors (Rs. 293.00) (Code: 500570) :- The company is set to hike prices
across its models from next week as it seeks to pass on the steep hike in steel and other raw
material prices, which are up by 8-8.5% in the past year.

Disclosures as per SECURITIES AND EXCHANGE BOARD OF INDIA (Research Analysts) Regulation, 2014; • I and / or my clients may
have investment in this stocks • I/My family have no financial interest or beneficial interest of more than 1% in the company whose stocks I am
recommending • Stop loss is useful for Short / Medium Term investor Only • Smart Investment will not be responsible / liable for any loss arising
out of investment based on tis advices • Past performance may or may not be substainedin future " (Dilip K. Shah) Research Analyst : SEBI
Regn No. : INH000002152

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Investor’s Third Eye
Smt. Dr. Hemavathy / Padmanaban (Chennai)
E-mail : [email protected]

Astrological planetary predictions


FOR STOCK MARKET INVESTMENTS
2ND AUGUST TO 8TH AUGUST 2021
In this week, the speculative planet Rahu in Taurus, sun and mercury in cancer, Mars and venus
in Leo, saturn in capricorn, jupiter in Aquarius and ketu in Scorpio. Moon occupies Taurus and
gemini, cancer houses. On 5th august 2021, mercury transit happens from cancer to leo house. On
2nd August and 3rd august 2021, the conjunction of moon and Rahu happens in Taurus taking
seventh position towards ketu in Scorpio brings volatility in the market.on 4th and 5th august
2021,Mars, mercury and venus in leo taking seventh position towards jupiter in Aquarius favours
the market. On 6th august 2021, moon in the star of Rahu taking eighth position towards saturn in
capricorn where market brings volatility in the market. Several sectors such as health and pharma,
agro based sector, solar power, battery producing sector, paper industry, sugar sector, chemicals,
ethonal producing firms, energy and power, information technology sector gains Greater momentum.
Subex systems, borosil renewables, Tejas Network, Rail tel corporation, IRCTC, goldiem
International, GAIL India Limited, Gujarat Gas, Indraprastha Gas, RITES, unique organics, super
crop safe, Deepak fertilizer panacea biotech, Dr reddy labs, kilitch drugs, dhampur sugar, dalmia
Bharat sugar, Balrampur chini,kaveri seeds, JK agri genetics, nath bio genes, on mobile, quess
corp, intellect design automotive may outperform

Astrological planetary predictions for


GOLD PRICE MOVEMENTS
2ND AUGUST TO 8TH AUGUST 2021
2nd and 3rd august 2021 : The speculative planet Rahu in Taurus taking seventh position
towards ketu in Scorpio brings volatility in the market
4th and 5th august 2021: the conjunction of mars, venus and mercury in leo taking
seventh position towards jupiterin Aquarius favours the market
6th august 2021 : Moon in gemini taking nineth position towards jupiter in Aquarius favours
the market

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Aug. 2021 63
Senior Astrologer
Dharmesh Joshi
Mob. : 9909941816
E-mail :
[email protected]

Sensex Predictions ; Dt : 2nd August 2021 to 6th August 2021

" Please consider 10 minutes plus and minus in each prediction, and act accordingly. " Ganesha
advises you to compare every prediction with the prediction of the previous time slot.

02-08-2021 Monday :- " Today, as Moon-Rahu are together, there may be con-

fusion. " For the next three days, there will be heavy volatility in the market. " The opening is quite
tricky, so let the market open, make a decision after that. " From 9:15 to 10:40, do jobbing. " From
10:40 to 12:40, there may be an uptrend in the Nifty. " In the slot after 12:40, do only jobbing.

03-08-2021 Tuesday :- " Today, as Sun-Saturn are in perfect view, a new

government policy may be announced or there may be some issue which may make the market
more volatile. " From opening till 10:10, Nifty will be mixed. " From 10:10 to 12:10, there may be
buying positive effect in"A" group stocks. " From 12:10 to 13:00, Nifty will be down. " After 13:00,
again there may be a temporary bounce, then it will go into downtrend, there is such a possibility.

04-08-2021 Wednesday :- " Move forward as per your risk capacity. " Buy

Nifty around 10:00 and exit around 11:55. " Short sell Nifty around 14:00 and exit when you get
your profit.

05-08-2021 Thursday :- " Around 12.00, there will be a temporary jump. "

Around 15:19, there may be a temporary sale. " From 9:15 to 12:15, the larger view is mixed to
positive. " From 12:15 to 14:23, there is no clear trend. So, keep reshuffling your trades. " From
14:23, there may be a downtrend.

06-08-2021 Friday :- " Slot - 1 = From 9:15 to 9:45, Nifty will be up. " Slot - 2 =

From 9:45 to 10:15, is a small time phase, there will be a correction. " Slot - 3 = From 10:15 to
12:15, Nifty will be up. " Slot - 4 = From 12:15 to 13:00, Nifty will be down. " Slot - 5 = From 13:00
to 14:15, Nifty will be towards up. " Slot - 6 = From 14:15 to 15:30, Nifty will move towards down.

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Two different sets of Provisions on the same subject
matter is in existance from 01/04/21 to 30/06/21 under the
Income Tax Act - Discripancy of the Department.
As per the old Provision of Section 148 under the Income Tax
Act, if the Assessing officer having jurisdiction of the assessee,
has 'reasons to believe' that income of the assessee escaped
income, he has right to re -open the assessment u/s 147 of the
IT Act after obtaining prior approval of the designated authority
u/s 151 of the Act.
The said provision of Section 148 was in operation upto 31/
03/2021. CBDT vide Notification No. 20/2021 dated 31/03/2021
extended the date to issue the Notice u/s 148 upto 30/04/2021.
Again on 27/04/2021 vide notification NO. 38/2021, extended the
date upto 30/06/2021. Hiren R. Vakil
Finance Act 2021 has drastically changed all the provisions Advocate

w.e.f. 01/04/2021 relating to income escaping assessment. The said Act substituted Section
148A introducing concept of enquiry, hearing prior to issue of Notice u/s 148 etc.
The Income Tax department had issued millions of Notices u/s 148 across the country
under the provisions existed prior to 01/04/2021 during the extended period from 01/04/2021
to 30/06/2021.
The moot question arises that when new section 148A substituted and came into operation
w.e.f. 01/04/2021, how can the old section 148 survives?
Can there be two laws dealing with the same subject - matter i.e. escapement of income at
the same time?
In my humble opinion, old provision of Section 148 is a dead law and New section 148A
has to be applied w.e.f. 01/04/2021 passed by the parliament. There shall not be two simulta-
neous provision applicable on the same subject matter at the same time.
As per the article 265 of the Constitution of India, no tax can be levied or collected except
by the authority of law. The legislature (Parliament) cannot delegate its legislature function of
imposition of tax to an executive authority.
Moreover, the notification NO. 20/2021 & 38/2021 as mentioned earlier has extended the
provision of Section 148,149 and 151 and not extended charging section 147 which grants
power to the AO to re-open the case.Without invoking charging section, the AO cannot issue
notice u/s 148,149 and 151 which are procedural sections and cannot be operative if the AO
do not assume jurisdiction to assess escaped income u/s 147.
According to Author,The law is to be followed in the following order. Constitution, Act,
Rules, Circulars, Notifications and system. So, Act shall prevail over the Notifications and
notices issued u/s 148 from 01/04/2021 to 30/06/2021 are invalid, non-est and does not
assume jurisdiction.

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 65
JACKPOT WEALTH CREATER FOR HUGE RETURN
BUY BSE LISTED
EVEXIA LIFECARE LTD
BSE CODE (524444) (CMP: Rs. 19)
Short term target: Rs. 25 • Positional Target Rs.40
BSE Listed,EvexiaLifecare Limited has received initial plant layout permis-
sion from FDA to setup Active Pharmaceutical Ingredient (API) manufacturing
plant of Isometamidium (Isometa) in addition to the current ongoing commercial
activity.
The Isometamidium (ISOMETA) mainly used for the rare diseases in cattle,
buffalo, goat, sheep, dogs, etc. Very few companies are manufacturing the said
API in India and worldwide. The company is going to set up a plant with a ca-
pacity of 400kg per month API which will be the highest production by any com-
pany.
This API plant will increase the revenue by 30-40 Crore p.a. as well as in-
crease the profitability substantially. There is high demand of this API mainly in
Middle East, Africa and Latin America. Advanced stage negotiations are already
going on with buyers for pre order of this API product. The company has col-
laborated with eminent scientists, Mr. Avsari and Mr. Deepak Yarde for this project.
They have experience of more than 35 years in this field.
The company has setup state of the art, ultramodern, well equipped
R&DLaboratory at its Vadodara based plant location. The company is going to
setup a large plant to manage the demand of ISOMETA worldwide. Evexia has
strong technical background and good manufacturing facility for manufacturing
of API and formulations.
EvexiaLifecare Ltd. will market this product with wide International contacts
and expecting sizable market share. The company is aiming to supply 20% of
the total demand of this API in future.

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 66
REVIEW OF “SMART PLUS NEWS LETTER”
Amazing 37% RETURN
SMART GAIN FOR SMART INVESTORS
Company Reccom. High after Ch. Company Reccom. High after Ch.
30-7-21 Recomm. (%) 30-7-21 Recomm. (%)
EID Parry 412 437 6.07 Arvind Fashion 197 215 9.14
Havells India 1144 1176 2.8 Tata Moors 295 302 2.37
Ramco Cement 1095 1123 2.56 Pennar Ind. 38 41 7.89
Info Edge 4841 5256 8.57 Apollo Hospital 3919 4100 4.62
Guj. Flouro 1572 1731 10.11 Kanpur Plast 271 296 9.23
L&T Info 4360 4640 6.42 Ajanta Soya 108 122 12.96
Persistant Sys. 3039 3250 6.94 JSW Energy 240 251 4.58
Jubilant Food 3569 3723 4.31 Burger King 178 184 3.37
Ultratech Cement 7490 7701 2.82 Hind. Copper 144 152 5.56
Tata Metalicks 1262 1332 5.55 Manappurm Fin. 195 209 7.18
Coromandal INt. 868 913 5.18 Jayshree Tea 122 139 13.93
Tata Consumer 725 776 7.03 Asian Hotel 208 286 37.5
IRCTC 2325 2367 1.81 Reliance Chemotex 151 173 14.57
Apollo Pipes 1161 1197 3.1 Tamilnadu Petro 134 139 3.73
MFSL 1081 1123 3.89 Mirza Intl. 63 66 4.76
Alkaly Amines 4025 4633 15.11 Mukand 136 142 4.41
Tata Coffee 208 235 12.98 Sail 126 142 12.7
Apr Ind. 613 677 10.44 Guj. Ambuja Export 185 193 4.32
Zensar Techno 376 422 12.23 GIPCL 98 101 3.06
Aptech 240 280 16.67 Rico Auto 56 59 5.36
Mahindra Life 721 768 6.52 Max Venture 89 93 4.49
Godrej Consumer 960 998 3.96 Pennar Ind. 38 41 7.8

Only Subscribers will get SMART PLUS NEWSLETTER


on their E-mail Address
Log on to..... www.smartinvestment.in

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 67

Financial Weekly

Editor : Dilip K. Shah

ARCHI PUBLICATIONS
311 to 313, Nalanda Enclave, Pritamnagar 1st Dhal, Ellisbridge, Ahmedabad-6. GUJARAT, INDIA
Phone : 079 - 2657 66 39, Fax : 079 - 2657 99 96 • Mob. : 0982500 6980
E-mail :
[email protected] / [email protected] / [email protected]

web : www.smartinvestment.in
Disclaimer :- Investment recommendations made in Smart Investment are for information
purposes only and derived from source that are deemed to be reliable but their accuracy and
completeness are not guaranteed. Smart Investment or the analyst / writer do not accept any
liability for the use of this column for the buying or selling of securities. Readers of this column who
buy or sell securities based on the information in this column are soley responsible for their ac-
tions. The author, his company or his acquaintance may / may not have positions in the scrips
featured herein

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 69
MULTIBAGGER SHARE FOR BUMPER RETURNS
BSE and NSE Listed
KARDA CONSTRUCTIONS LTD
BSE Code : 541161 & NSE : KARDA (Rs. 196.00)
SHORT TERM TARGET Rs.240 • POSITIONAL TARGET Rs.300

BONUS SHARES ANNOUNCED IN RATIO OF


4 BONUS SHARES FOR 1 HELD
Karda Board of Directors Recommend Issuance of Bonus Shares in 4:1 Ratio
BSE & NSE listed Karda Constructions Ltd. (KCL) (BSE: 541161; NSE: KARDA), is a
leading real estate developer. In a board meeting held on 14 July, 2021, the company's
board of directors have recommended issuance of bonus shares in the ratio of 4:1, i.e. four
equity shares for every one fully paid up equity share of Rs.1/- each, subject to approval of
shareholders. The company will inform in due course the "Record Date" for determining
shareholders entitled to receive Bonus Shares.
As the board of directors have recommended the sub division of the face value of shares
from Rs.2/- to face value of Rs.1/- in its meeting on May 31, 2021. The consent from the
members for both matters will be sought in forth coming AGM.
Earlier last month, the Company had announced excellent results for quarter and year
ended 31st March, 2021. The company had reported a jump of 240% in its net profit for the
4th Quarter (Q4) of FY 20-21 on QoQ basis on the back of strong recovery in the real estate
sector post the ease in lockdown measures. The company's net profit increased to INR
12.65 crores in Q4 FY 21 from INR 3.74 Crores in Q3 FY 21 showing a significant growth of
240%.
For the year ended 31st March 2021, The Total Revenue of the company increased to INR
128.46 Crores in FY 21 from INR 118.33 Crores in FY 20 showing a growth of 8.50%. Net
Profit saw a huge improvement in FY21, and stood at INR 20.18 crore (FY21) as compared
to INR 9.55 crore (FY20), an increase of 111%. EPS also grew to INR 3.28 (FY21) from INR
1.55 (FY20).
The company's business activity falls within two business segment - Development of Real
Estate Properties and Civil Contracting Business.
Karda Constructions Ltd is a First-Generation Construction Company in Maharashtra and
Western India with a disciplined and professional approach. The Company is founded and
promoted by Mr. Naresh Karda in year 2007. Promoter has an experience of more than 25
years in construction industry. The company has established brand name as "Hari" for all its
project. The Company has received an Award for the "Iconic Budget Home" by Times Realty
Icons Award 2019, Navi Mumbai & Thane. The Company also received an Award for the "The
Most Preferred Real Estate Company", of Nashik at the event "My Maharashtra Awards-
2019".

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Financial Weekly

1st Aug. 2021 to 7 th


Aug. 2021 71
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