TOP MARKET CAPITALISATION...21-09-12

http://money.rediff.com/companies/market-capitalisation Company	Current Price (Rs)	% Change	Volume	Equity	Face Value	Market Cap (Rs Cr)
Reliance Inds.	849.90	+2.13	737436	3,242.00	10	2,75,537.58
Tata Consultancy	1,303.30	-1.38	126482	195.72	1	2,55,081.88
ONGC	293.35	+3.04	669082	4,277.76	5	2,50,976.18
Coal India Ltd.	371.90	+1.90	205638	6,316.36	10	2,34,905.43
ITC Ltd.	261.65	+2.03	316197	782.29	1	2,04,686.18
Infosys	2,594.65	-0.80	97398	287.00	5	1,48,932.91
SBI	2,212.60	+4.30	894848	671.04	10	1,48,474.31
HDFC Bank	625.25	+3.02	272519	471.18	2	1,47,302.65
NTPC	168.65	+2.68	285508	8,245.46	10	1,39,059.68
ICICI Bank	1,065.25	+4.19	742411	1,152.93	10	1,22,815.87
HDFC	779.15	+2.52	229822	297.72	2	1,15,984.27
Hindustan Unilever L	529.55	+0.34	115300	216.18	1	1,14,478.12
Bharti Airtel	279.10	+4.01	535168	1,898.80	5	1,05,991.02
L & T	1,584.20	+4.15	451699	122.56	2	97,079.78
Wipro Ltd	377.50	+1.19	106445	492.00	2	92,865.00
Tata Motors Ltd.	275.35	+1.03	1438281	637.98	2	87,833.90
NMDC Ltd.	196.65	+4.77	97120	396.47	1	77,965.83
MMTC Ltd.	769.85	+0.55	53370	100.00	1	76,985.00
Sun Pharma.	669.30	-0.10	55514	103.56	1	69,312.71
Cairn India Ltd.	350.25	+2.65	224228	1,907.87	10	66,823.15
Indian Oil Corp	252.85	+1.81	59818	2,427.95	10	61,390.72
Reliance Petroleum L	130.85	+0.35	2233265	4,500.00	10	58,882.50
Bharat Heavy Ele	232.30	+7.12	1631701	489.52	2	56,857.75
Hind. Zinc	132.10	+1.81	123348	845.06	2	55,816.21
Power Grid Corpo	120.00	+2.70	276990	4,629.73	10	55,556.76
Bajaj Auto Ltd.	1,802.10	+0.76	28470	289.37	10	52,147.37
UltraTech Cement	1,838.00	+0.22	43002	274.08	10	50,375.90
GAIL (India) Ltd.	386.05	+2.93	96600	1,268.48	10	48,969.67
Mahi. & Mahi	808.15	+2.96	251286	294.67	5	47,627.51
Axis Bank Ltd.	1,124.70	+7.70	598324	414.29	10	46,595.20
Kotak Mahindra Bank	623.05	+3.38	137297	371.24	5	46,259.95
Nestle India	4,355.00	-0.45	105910	96.42	10	41,990.91
DLF Ltd.	235.25	+2.22	789939	339.51	2	39,934.86
Jindal St & Pwr	426.60	+6.41	1033237	93.48	1	39,878.57
Tata Steel	409.00	+3.85	1051276	971.41	10	39,730.67
HCL Technologies	569.15	+0.26	32616	138.66	2	39,459.17
Hero MotoCorp	1,921.05	+1.40	23695	39.94	2	38,363.37
Steel Authority	92.55	+7.68	658050	4,130.53	10	38,228.06
Maruti Suzuki India	1,312.75	+2.37	46870	144.46	5	37,927.97
Asian Paints Ltd.	3,944.05	+1.24	8520	95.92	10	37,831.33
Sterlite Indus.	104.20	+5.20	876516	336.12	1	35,023.70
Bank of Baroda	779.25	+4.26	149058	412.38	10	32,134.71
Ambuja Cements Ltd.	195.20	+1.93	118951	307.63	2	30,024.69
Grasim Inds.	3,236.35	+4.10	16290	91.74	10	29,690.27
Idea Cellular Ltd.	88.00	+0.11	137575	3,309.75	10	29,125.80
Cipla	361.35	+0.24	429082	160.58	2	29,012.79
Oil India Ltd.	474.00	-0.74	11824	601.13	10	28,493.56
Dr. Reddy's Labs	1,643.55	-1.38	25321	84.90	5	27,907.48

Stock Markets. Euphoria..Tata Steel and Tata Motors…

The Euphoria/Exuberance  in the stock markets are always temporary…unless the investors professionally invest in and take away the profits at the right time…..normally get trapped in the boom time….tend to keep their investment for more gains and averaging while falling… become a huge burden to carry for more losses..book the LOSSES at the bottom of the trough. 

The tides of "Highs and Lows"- a natural phenomena in the stock markets. Most of the company’s valuations rise phenomenally in the boom times but bust in the economic down turn. The retail investors get attracted to markets in the BOOM time and burn their fingers during the down turn due to lack of  understanding of the stock markets behavoiur. I can say, fails to follow the ”RULES OF THE GAME”…some examples…of my choice….

The News Head lines…made as…”THE BEST BUYS” from any Indian company is non other than Tata steel acquiring CORUS in Jan-2007 for 12.04 billion USD. The company at one times was the world’s best low cost steel producer but with a 56^th rank in volumes, now 3^rd largest in the world with Corus acquisition.

What it means to the Investors, who invested in Tata Steel when the high profile coverage was in the headlines. The stock jumped from Rs Rs 450-430 range in Jan-Feb-07 to a high of Rs 1048 in Oct-07. The jump in volumes is directly proportional to the profits, but the prolonged recession made the differenc…….and now….????.

Now after 5 years, a series of down turn put the TataSteel stock falling from a High of Rs 1050 in OCT-2007 to a low of Rs 150, DEC-08. For example a retail Investor invested Rs ONE LAKH has to become Rs 2 LAKH by now,(…incase made fixed deposit) means the price of Tata Steel should be close to Rs 2100 by now.

The amount that was invested at the high by a common investor for good returns….waiting…lack of exit capacity…to book the loss is no joke….now the inefficiency of not taking a right decision… a pretext of consoling once own heart burn fact…in the name of LONG TERM INVESTMENT…it is a good company…TATA company…the price will come sooner than later…..The above statements have no value when it comes to STOCK MARKETS. I used to mention to my close friends that the “Bourses” are “Slaughter Houses” for retail/novice investors.

In the boom times the retail investor see more positive headlines, thinks every thing rosy….gets free tips…. Lured by the rise in the Index and come with their hard earned money to gain some extra money…thinking…as if every-thing is made ready…JUST BUY…Take away HUGE PROFITS. This is not the case at any time in the STOCK MARKETS.

Take the Case of TATA MOTORS… started its operations in 1954 in collaboration with German auto major Daimler Benz. The Company has grown from then to world 18^th largest auto maker, 4^th largest truck manufacturer and 2^nd largest Bus manufacturer.

The Company bought the Jaguar and Land Rover in 2008 for 2.5 UDS from Ford Motors. In March-Apr-08 when the deal was completed, the stock was ruling Rs 711-600 range, High was at Rs 816 in Jan-08. In case the same Retail Investor invested at the High at Rs 800, the stock fell to a low of Rs 122 in Nov-08 along with the general fall across the globe in the Stock markets ….as the stock market journey is a perennial one, continued till date and will continue…. In the process the Tata Motors stock could touch a high of Rs 1380 in Dec-10. The stock face value now stands at Rs 2. After the spilt the stock could touch a high of Rs 320, registered in Apr-12 (equals to Rs 1600). The investment of Rs ONE LAKH doubled in Just FOUR years….

So the inference is very simple…BUY LOW and SELL HIGH… ALWAYS be ALERT to UNDERSTAND the STOCK MARKET GYRATIONS…….UNDERSTAND THE ECONOMIC BOOM TIMES…UNDERSTAND…THE RULES OF STOCK MARKET   for making INVESTMENTS…as PROFIT fountains.

Nifty Resistance at 5685 level.

Nifty is in BULL grip, the best indication of Bull unwinding has started when the HIND LEVER AND ITC took a serious beating when the markets are advancing further. The irony is that the se stocks along with TCS, the best performing stocks are trading lower than their price quoted for last my F&O closing. 

The Nifty closed last month at 5315 and now ruling at 5550 level but above mentioned old time performers are now in distribution list. As I mentioned earlier in my postings, in YOUTUBE @BNRSTOCKS, the Banks performed, lead the rally. The other stock I mentioned is DLF, one of the best performing stock in the lot.

Now some disturbances are cropping in the Govt., so the Bull rampage will be reduced, will see some correction. The Best outperformed stocks like SBIN, INFY, ICICI, REC, PFC and DLF may consolidate. The short-term price correction is not a selling opportunity but should wait till the clouds are clear.

There are some issues in the COAL block allocation, is a serious dent to the Govt and also to the Big corporate houses. The CBI may bring some more surprises in the course of time……

Panel recommends deallocation of 12 coal blocks allotted to private sector, government accepts recommendations

NDTV | Reported By: Raj Kumar Sahu | Updated On: September 20, 2012 23:55 (IST)

The Inter Ministerial Group (IMG) reviewing the development of coal blocks concluded its task today. After more than 10 meetings since it was set up, the panel recommended the deallocation of 12 blocks awarded, since 1998, to private firms.

The government has accepted IMG’s recommendations, sources said. The ministerial panel was constituted on July 3, 2012, to review the progress of the coal blocks allotted to private and public sector firms.

Private companies owning the 28 coal blocks under review were sent show cause notices in May this year asking them why their licenses should not be revoked because of the delay in developing their respective blocks…………………………..http://profit.ndtv.com/news/corporates/article-panel-recommends-deallocation-of-12-coal-blocks-allotted-to-private-sector-government-accepts-recomm-311130?pfrom=home-latest  

DE ALLOCATION

1.     Electrosteel Castings & Others: North Dhadu block

2.     Rungta Mines & Sunflag Iron & Steel: Choritand Taliya block

3.     Electrotherm India and Grasim Industries: Bhaskarpara block

4.     IST Steel & Power, Gujarat Ambuja Cements, Lafarge: Dahegaon Makardhokra block

5.     Maharastra Seamless,Dharial Infrastructure & Kesoram Ind: Gondkhari block

6.    JSW Steel and Himachal EMTA Power Gourangdih ABC block

7.     SKS Ispat and Power: Rawanwara North block

8.     Bhushan Steel Ltd. and others: New Patrapara block

9.     Castron Mining: Brahmdiha block

10.                        Fieldmining and Ispat Limited: Chinora and Warora (South) block

11.                        DOMCO Smokeless Fuels: Lalgarh (North) block

12.                       Bihar Sponge Iron Company: Macherkunda block

BANK GUARANTEE ENCASHMENT

1.    Jayaswal Neco: Moitra block

2.      Arcelor Mittal india Ltd & GVK power: Seregarha block

3.     Neelachal Iron & Steel & Bajrang Ispat: Dumri block

4.     DB Power Ltd: Durgapur II/Sariya block

5.    Gupta Metaliks & Power and Gupta Coalfields: Nerad Malegaon block

6.     Usha Martin: Lohari block

7.     Tata Sponge Iron Ltd. & others: Radhikapur (East) block

8.     Bhushan Ltd: Bijahan block

9.     Shri Virangana Steels: Marki Mangli-II block

10.                        Shri Virangana Steels: Marki Mangli-III block

11.                        Shri Virangana Steels: Marki Mangli IV block

12.                        Monnet Ispat & Energy: Utkal B2 block

13.                       JSPL: Jitpur block

 CLEAN CHIT

1.    Reliance Power (Sasan UMPP): Moher block

2.     Reliance Power (Sasan UMPP): Moher Amlohri block

3.    Tata Steel: Pachmo block

NIFTY- BULL ZONE NOT REACHED YET!!!!

The Stock markets across the globe are booming with high liquidity. The macro economic concerns are not the point of discussions at this juncture. The Euro crisis is still alive. In my earlier postings I asked our viewers to take DAX as a barometer for observing the future course of action in the stock markets. When DAX made its decent run from a low of 5366 on 24-11-2011 reached to a level of High at 7194 on 16-3-2012, again fell from 7200 to a low of 5914 on 05-06-2012 then it came to the recent high level of 7446 high on 14-09-2012. Pls refer my earlier posting where in I clearly mentioned that the markets are in Bull grip and we have to change our opinion only when DAX trades below 5900-5850 level. Now the DAX is in over bought Zone. It will continue to be in Bull grip until it trades above 6950 at first level and 6670 at second level. 

The world markets are very likely to stay above the best support levels due to high liquidity. Our Nifty is good above 5225 and good support at 5080-5030 level. We have to rethink/strategize our approach only when Nifty trades below 5050 level. The Buy on decline story is valid till the second support is breached. Unfortunately the sector rotation and stock specific approach is continuing for now and will for some more time until Nifty breaches the best BULL ZONE above 5850 level.

ICICI BANK --ONLY...ICICI BANK

ICICI BANK --ONLY...ICICI BANK...YEARLY HIGH OF 1060 FIRST TARGET ACHIEVED.

I BELIEVE THE VIEWERS BOUGHT IT ACCUMULATED A LOT FROM 915 TO 880 LEVEL AS A REQUESTED TO HOLD FOR BIGGER GAINS......

HUGE PROFITS......ENJOY......GOODLUCK...

INDIA VS RUSSIA.....BUSINESS Vs POLITICS/ CROSS BORDER....

Sistema can now start legal proceedings against Indian govt: SSTL

Press Trust of India | Updated On: September 10, 2012 21:00 (IST)

SSTL today said its partner Russia's Sistema is now "technically" empowered to start legal proceedings against India under BIPA to protect its investment in its telecom JV which has lost its 21 licences.
"We are not (in a) position to give any deadline to government (of India) but if we don't have response in due time, we have to act. Legal constraint was one (reason) we couldn't start the proceedings against government earlier than six months after the notice. Now, technically we can start legal proceedings anytime," SSTL's President and CEO Vsevolod Rozanov said. Sistema, which holds around 56.68 per cent stake in Sistema Shyam Teleservices Ltd (SSTL), had served legal notice under Bilateral Investment Promotion and Protection Agreement (BIPA) in February."It is our decision, we can start today, tomorrow or after five years. There is no legal restriction now," Rozanov said.
The Supreme Court had in February this year held that the process of allocating 122 2G licences, including 21 to SSTL, was 'arbitrary' and 'unconstitutional' and had canceled all the mobile permits.
In its notice, Sistema had said that in case the dispute (regarding 2G issue) is not settled amicably through conciliation by August 28, 2012, it reserves the right to commence proceedings against India on the basis of any applicable inter-governmental investment treaty.
Rozanov today said the Indian government has expressed its willingness to resolve the issue amicably but SSTL is yet to see "specifics" of the proposed solution. Meanwhile, SSTL today stuck to its demand of keeping the minimum price of airwaves for pan-India CDMA services at Rs. 1,658 crore.The Cabinet has already approved a minimum price of Rs. 18,200 crore for 5 Mhz spectrum in 800 Mhz being used for CDMA services.Rozanov reiterated that SSTL does not find any business case at the "high" price for 800 Mhz spectrum."We invested more than USD 3 billion and we are running cash out of USD 15 million approximately a month. We are yet to make any profit and in this respect (regulatory constraints) the prospect of profit is very very remote.Internally, we are struggling to justify this price," he said. When asked if company would like to bid for airwaves in 1,800 Mhz frequency band which is being used for GSM services, Rozanov said "It will be even worse. To start greenfield operations from year and half from now, we will not create even remotely possible positive business case. Extremely unlikely."
SSTL, which nationally operates its telecom services under the MTS brand, earlier today said its loss has widended to Rs. 1,180.1 crore for the April-June quarter, mainly due to fall in rupee against the US dollar."The forex loss during the quarter were around Rs. 375 crore," SSTL Chief Financial Officer Sergey Savchenko said.
http://profit.ndtv.com/news/corporates/article-sistema-can-now-start-legal-proceedings-against-india-310609?pfrom=home-latest

BHEL- AN INDICATOR

PEOPLE CLOSE TO ME KNOW THAT THIS STOCK HAS BECOME AN INDICATOR WHEN IT FELL FROM 300 ABOVE LEVELS. THE JOURNEY IS RUDE FOR THE INVESTORS BUT IT IS A GOOD INDICATOR FOR THE ANALYSTS TO STUDY THE MARKET STRENGTH AND THE INTRINSIC STRENGTH OF OUR ECONOMY. THE 298 LEVEL IS THE BEST PLACE TO JUDGE THE DIRECTION. NOW THIS STOCK HAS FALLEN MORE THAN 30% STILL ....TO GO.
THE STOCK HAS BOTTOM SUPPORT AT 180 LEVEL AND 168 LEVEL. I LOOK FOR THE UPWARD VIGOR IN THE STOCK. THE NUCLEAR POWER DRIVE WILL COME AS A NEXT WAVE OF INVESTMENT ATTRACTION WILL BOOST THE PROSPECTS OF THE COMPANY. AS OF NOW IT HAS TO TRADE ABOVE 230 LEVEL TO CONSIDER FOR A BUYING.....

'More downside for BHEL'

Due to uncertainties surrounding the power sector, analysts expect project delays and cancellation of equipment orders, leading to earnings pressure for the firm

Jitendra Kumar Gupta / Mumbai Sep 11, 2012, 00:45 IST Bharat Heavy Electricals Ltd (BHEL), key beneficiary of an upturn in the power sector, is now in the news due to headwinds facing the sector, including delay in implementation of existing and new projects, lack of clarity over fuel supply, etc. These events have not only hit demand for power equipment but threaten cancellation of existing orders. This is also why analysts expect a decline in the company’s earnings over the next two years and, consequently, have downgraded the stock, already down 15 per cent to Rs 198 in the past two weeks. In the worst case scenario, Macquarie Capital Securities India puts the stock’s value at Rs 100. Though other analysts might not agree to such low valuations, a few term BHEL a ‘potential value trap’. The probability of such a scenario increases if the concerns highlighted recently become reality, thereby impacting earnings in the coming years. In simpler words, though on the basis of the current financial year’s earnings the stock might look reasonably valued at 8.5 times, if one considers the potential negative impact on earnings over the next two years, the valuations might not look as attractive. CONCERNS OVER PROFITABILITY In Rs crore FY12 FY13E FY14E Sales 47,979.0 47,528.0 47,285.0 Ebitda 9,722.0 8,407.0 7,426.0 Ebitda (%) 20.3 17.7 15.7 Net profit 6,874.0 5,683.0 4,985.0 EPS (Rs) 23.6 23.2 20.4 RoE (%) 30.2 20.9 16.2 PE (x) 8.4 8.5 9.7 RoE is return on equity Source: Macquarie Research “With the prospect of earnings declining another 50 per cent from FY13 estimated levels, the stock’s current price could be at 20 times FY15 worst-case earnings. We would stay clear of BHEL until there’s concrete evidence of a turnaround in thermal generation award activity,” says Inderjeet Singh Bhatia, who tracks the company at Macquarie Capital. The brokerage on September 6 came out with an ‘Underperform’ report on BHEL, with a 12-month price target of Rs 186. Besides earnings, analysts also see a possibility of a 1,500-basis points reduction in RoE (return on equity), to about 15 per cent over the next two years. Visibility concerns Back in 2010 and 2011, BHEL had an order book to sales ratio of over four times (on an average). This is now around 2.9. Even the current order book (partly) of the company at Rs 1,39,000 crore is at risk, believe analysts. This, they believe, is consequent to about 35 per cent of BHEL’s orders being accounted by private sector clients. “We estimate a total of 28 per cent of the existing order backlog (as of June) is at risk of cancellation or deferment due to either non-availability of coal linkage or cancellation of existing coal mines or linkage due to the coal allocation scam,” says Amar Kedia of Nomura Equity, in a note on the company. Apart from cancellation risk, there is a risk of delay in projects. “With 46,000 Mw of power capacity struggling for long-term fuel supply, the pace of project execution would be delayed. This will result in a slower pace of project executions across the existing order book. We do not expect pick-up in ordering activity in FY13, considering the macro issues related to fuel supply,” says Rabindra Nath Nayak, lead research analyst, tracking the power sector at SBICAP Securities.http://www.businessstandard.com/india/news//more-downside-for-bhel//486013/