Infosys’ S D Shibulal ???... is NO Exception.....

Investors show 'rare frustration' with Infosys



BS Reporters / Mumbai/ Bangalore Apr 21, 2012, 00:55 IST

Infosys’ continued weak performance has institutional investors worried. In an open letter to the company’s CEO & MD S D Shibulal, brokerage firm, CLSA Asia Pacific Markets, voiced the collective dismay of 100 institutional investors seeking to know the company’s plans to correct the loss of revenues and earnings before interest and tax.
According to the letter, over 600 investors have put $15 billion in the company. Foreign institutional investors hold around 39 per cent in the company. Oppenheimer Developing Markets Fund, Abu Dhabi Investment Authority, the government of Singapore and Aberdeen are some of the prominent foreign institutional investors in Infosys.
The brokerage firm said these investors it spoke to (the 100 investors) after the March quarter result were showing ‘rare frustration’ over Infosys’ recent financial performance, and wanted the company to “articulate a clear policy about the potential usage of over $4-billion cash reserves” that the company has currently.
Infosys, which announced its fourth-quarter numbers earlier this week, missed its March 2012 guidance by 1.9-2.2 per cent. More importantly, its guidance of 8-10 per cent growth in FY13 shocked the Street, as it was lower than industry body Nasscom’s estimate of 11-13 per cent. Post the results, the company lost about 13 per cent ($4 billion) in market value and its shares tumbled to a seven-month low. “The key question on every shareholder’s mind is what is troubling the company, which has been the flag-bearer of the Indian IT industry globally and single-handedly raised the profile of Indian equities among foreign institutional investors. I am just acting as a channel for communicating the consolidated thoughts of institutional investors,” CLSA analyst Nimish Joshi stated in the letter.
When contacted, Infosys CFO V Balakrishnan said the company did not want to comment on any analyst report, as those were personal views. Asked if investors’ frustration was not a matter of concern, he said, “We talk to all our investors all the time. So, if they have any concern, they will tell us.” The CLSA letter also warned the loss of market share may affect Infosys’ ability to garner higher prices for its services over a period of time.
It also questioned Infosys' 'extraordinary ability’ to predict its own business after lowering its outlook twice during last year and finally missing it. Moreover, the massive fall in utilisation for the second consecutive time in the fourth quarter was also worrying, it said.
Stating that clients’ focus remained excessively on cost-cutting, the letter said, “Infosys may not find enough deals which satisfy its threshold pricing criteria. Combine that with the new-found aggression among Infosys’ peers and greater hunger for acquisitions, reasons for the loss of revenue market share become clearer," Joshi said.
The letter says Infosys’ business model is neither capex nor working capital heavy. “Infosys has no doubt been disciplined in usage of cash for potential acquisitions. Given the low capex/working capital needs in IT devices, I do not think a higher dividend payout or buyback will be construed by investors as a precursor to lower growth prospects ahead,” it added.

SERIOUS FLAWS....DIFFERENT MAGICS!!!!!!!

I HAVE PERSONAL EXPERIANCE OF THIS KIND IN A DIFFERENT SITUATION.
I REMEMBER THIS HAPPENED TO ME IN ACC. I AM TRADING IN ZEN SECURITIES, I PLACED MY SELL ORDER AT A PRICE, MY SELL ORDER WAS NOT EXECUTED BUT HIGH WAS REGIGESTED ABOVE MY PRICE AND SETTELED LOWER. I ONE MORE OCCATION MY STOPLOSS WAS TRIGGERED BUT THE HIGH IS LESS THAN MY TRIGGER PRICE.
MY FRIEND KRISHNAMURTY HAS SIMILAR EXPERIENCE WHILE TRADING IN ANAGRAM STOCK BROKING, HE PLACED A ORDER, DIDN,T EXECUTED BUT ABOVE HIS PRICE ORDERS EXCUTED (BE CAUSE THE DAY HIGH REGISTERED ABOVE HIS PRICE-PLACED)

WHEN I TOLD NO BODY ACCEPTED ( EVEN KRISHNAMURTY GARU) BUT HIS EXPERINCE MADE HIM FURIOUS, PLANNED TO WRITE TO SEBI AND NSE TRIED TO DOCCUMENT.....GOE WITH THE WIND....LEFT AFTER THE EMOTION DIED....

BUT IT HAPPENS... I AM THE I WITNESS.... EVEN TO THIS....I SAW I PUZZELED....

NOW SHARING......DIFFERENT MAGICS..DIFFERENT...MANAGEMENT TECHNIQUES...
-------------------------------------------------
Nifty futures drop 6.7% in seconds

 Dealers say algo trade from large foreign institutional investors triggered freak crash
BS Reporter / Mumbai Apr 21, 2012, 00:33 IST
Flash crash — was the catch phrase among market players on Friday after a huge sell order dragged Nifty futures down by nearly seven per cent within a few seconds.
During afternoon trade, the Nifty April futures plunged to 5,000 from 5,300 levels with about 35,000 lots of Nifty futures getting traded in the space of a few minutes.The sharp drop in futures also dragged the underlying index, with the 50-share Nifty declining from 5,313 to 5,245 within a few seconds.
Nifty April futures finally closed at 5,304.8, down 0.96 per cent; while the benchmark Nifty closed at 5,290.85, down 0.78 per cent.
According to market buzz, the sell order was placed due to an algorithmic trading error by a leading foreign institutional investor.
Market participants said the order didn’t specify a selling price, which resulted in a large supply of shares. “A huge sell order got punched without a ‘sell price’. The order got executed till the last available trade,” said the head of derivatives with a domestic brokerage.
Typically, institutions, while executing large quantity trades, space these out, so that the impact on price is minimal.The National Stock Exchange said the trading systems worked normally and all the trade executions were within the price limits prescribed by the market regulator. “The exchange is examining the causes for the sudden fall in the Nifty, as part of normal investigation procedure. No trades were cancelled or annulled by the exchange,” said NSE in a statement.
“Even though the trade quantity was relatively not very high, low trading volumes deepened the fall,” said a dealer.The average daily trading turnover for the derivative segment this month is Rs 99,272 crore, down 22 per cent compared to this year’s average of Rs 1,26,718 crore. The derivative market turnover on NSE stood at Rs 1,44,562 crore on Friday.
“The market bounced back after the fall, which indicates that the trade was on account of a punching error. Given the low volumes in the past couple of days the impact cost has gone up and this was clearly evident in Friday’s fall,” said Yogesh Radke, head of quantitative research at financial services company Edelweiss Securities.
The incident refreshed memories of last year’s Muhurat day trading when the Bombay Stock Exchange (BSE) had to annul all its trades due to unusually high volumes. On October 26, 2011, BSE had cancelled all derivatives trades during the Muhurat session after volumes shot up ten times its normal numbers.
Also, in June 2010, the Reliance Industries stock had crashed nearly 20 per cent on execution of a large ‘sell’ order using algo. The order, which appeared to be a punching error , saw the Sensex plunge more than 600 points the moment it was executed.
Last month, the Securities and Exchange Board of India (Sebi) announced detailed guidelines for algorithmic trading to maintain order in the market. The new rules will come into affect in the next few weeks

TATA MOTORS...REMEMBER..

I AM SURPRISINGLY REMEMBERING... TATAMOTORS... TARGET I MENTIONED ONE DAY AT 1750 BUT ALSO MENTIONED ABOUT 725 BEFORE IT SETTLE DOWN...ALSO MENTIONED THAT THE MARKET TAKES THE BOTTOM SUPPORT.

ANY WAY THERE ARE MORE TO COME ...THERE ARE MANY MORE SCRIPS THAT CAN OFFER MULTIBAGER RETURNS...

THE PHARMA SECTOR IS UNFOLDING... I MENTIONED PEOPLE TO BUY THE BIOTEK STOCKS...OFFER HUGE MONEY IN NEXT 3-5 YEARS...

STOCK MARKET PLANNING......!!!!!!!

http://www.inc.com/paul-schoemaker/6-Habits-of-Strategic-Thinkers.html?nav=next

Topics > Leadership and Managing > Strategy and Planning > THE STRATEGIC DECISION
Paul J. H. Schoemaker
Mar 20, 20126 Habits of True Strategic Thinkers
You're the boss, but you still spend too much time on the day-to-day. Here's how to become the strategic leader your company needsIn the beginning, there was just you and your partners. You did every job. You coded, you met with investors, you emptied the trash and phoned in the midnight pizza. Now you have others to do all that and it's time for you to "be strategic." Whatever that means.
If you find yourself resisting "being strategic," because it sounds like a fast track to irrelevance, or vaguely like an excuse to slack off, you're not alone. Every leader's temptation is to deal with what's directly in front, because it always seems more urgent and concrete. Unfortunately, if you do that, you put your company at risk. While you concentrate on steering around potholes, you'll miss windfall opportunities, not to mention any signals that the road you're on is leading off a cliff.
This is a tough job, make no mistake. "We need strategic leaders!” is a pretty constant refrain at every company, large and small. One reason the job is so tough: no one really understands what it entails. It's hard to be a strategic leader if you don't know what strategic leaders are supposed to do.
After two decades of advising organizations large and small, my colleagues and I have formed a clear idea of what's required of you in this role. Adaptive strategic leaders — the kind who thrive in today’s uncertain environment – do six things well:
Anticipate
Most of the focus at most companies is on what’s directly ahead. The leaders lack “peripheral vision.” This can leave your company vulnerable to rivals who detect and act on ambiguous signals. To anticipate well, you must:
•Look for game-changing information at the periphery of your industry
•Search beyond the current boundaries of your business
•Build wide external networks to help you scan the horizon better
Think Critically
“Conventional wisdom” opens you to fewer raised eyebrows and second guessing. But if you swallow every management fad, herdlike belief, and safe opinion at face value, your company loses all competitive advantage. Critical thinkers question everything. To master this skill you must force yourself to:
•Reframe problems to get to the bottom of things, in terms of root causes
•Challenge current beliefs and mindsets, including your own
•Uncover hypocrisy, manipulation, and bias in organizational decisions
Interpret
Ambiguity is unsettling. Faced with it, the temptation is to reach for a fast (and potentially wrongheaded) solution. A good strategic leader holds steady, synthesizing information from many sources before developing a viewpoint. To get good at this, you have to:
•Seek patterns in multiple sources of data
•Encourage others to do the same
•Question prevailing assumptions and test multiple hypotheses simultaneously
Decide
Many leaders fall prey to “analysis paralysis.” You have to develop processes and enforce them, so that you arrive at a “good enough” position. To do that well, you have to:
•Carefully frame the decision to get to the crux of the matter
•Balance speed, rigor, quality and agility. Leave perfection to higher powers
•Take a stand even with incomplete information and amid diverse views
Align
Total consensus is rare. A strategic leader must foster open dialogue, build trust and engage key stakeholders, especially when views diverge. To pull that off, you need to:
•Understand what drives other people's agendas, including what remains hidden
•Bring tough issues to the surface, even when it's uncomfortable
•Assess risk tolerance and follow through to build the necessary support
Learn
As your company grows, honest feedback is harder and harder to come by. You have to do what you can to keep it coming. This is crucial because success and failure--especially failure--are valuable sources of organizational learning. Here's what you need to do:
•Encourage and exemplify honest, rigorous debriefs to extract lessons
•Shift course quickly if you realize you're off track
•Celebrate both success and (well-intentioned) failures that provide insight
Do you have what it takes?
Obviously, this is a daunting list of tasks, and frankly, no one is born a black belt in all these different skills. But they can be taught and whatever gaps exist in your skill set can be filled in. I'll cover each of the aspects of strategic leadership in more detail in future columns. But for now, test your own strategic aptitude (or your company's) with the survey at www.decisionstrat.com. In the comments below, let me know what you learned from it.