3007, 2015

Suckered: Castex Goes From 40 to 360, and Since Then, No Buyers.

By |July 30th, 2015|Categories: Castex, Suckered|14 Comments

So there’s this stock called Castex Technologies.

Let me introduce you to this chart:

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The stock rose from Rs. 40 to Rs. 360 and then, it’s been limit down (5% down per day) since. With next to no volume.

The company is in the auto component space, and used to be called Amtek India. It’s still promoted by Amtek Auto, which is a listed company but that share is not doing anywhere close […]

2707, 2015

JP Associates Gets a "Near Default" tag by CARE, Loans of Over 22,000 cr. at Stake

By |July 27th, 2015|Categories: ICICI Bank, idb, IDBI, JPAssociates|5 Comments

CARE has downgraded JP Associates‘ rating to D, which means that according to CARE they are in default, or very likely to default.

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What they say:

The revision in the ratings of the bank facilities and instruments of Jaiprakash Associates Ltd (JAL) takes into account delay in servicing of debt obligations by the company due to its weak liquidity position.

But What Do Rating Agencies Know, Huh?

The biggest problem with […]

2207, 2015

Infy: Jun 2015 Quarter Results Show Terrible Profit Growth Even Though Revenues Pick Up

By |July 22nd, 2015|Categories: Infosys, Results|0 Comments

Infy results had come out yesterday and we do a chart thing with them:

Revenues up 7.03% : The Only Good Thing About Results

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Profits are up 5% yoy but down 2% quarter on quarter. The only metric that works for them is quarter-on-quarter revenue growth.

EPS Growth, Too, Falls

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[…]

2306, 2015

Video: Full Interview at CNBC-TV18 on 22nd June

By |June 23rd, 2015|Categories: CNBCTV18, Stocks, Video|Tags: , , |Comments Off on Video: Full Interview at CNBC-TV18 on 22nd June

Here is the full video of my interview at CNBC-TV18 in which I discuss select stocks including Reliance Industries, Sriram Transport and more. I also share my thoughts on the real estate, railway and defense sectors. Click the image below to see the video on the CNBC/Moneycontrol page:

Video 

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1706, 2015

Why is FIPB Rejecting the Request for the Strides-Shasun Merger?

By |June 17th, 2015|Categories: Government, Stocks, StridesArcolab|2 Comments

So Strides Arcolab was going to merge with Shasun. This merger was cleared by shareholders. Then it was cleared by the Competition Commission. And there’s some court meetings that have been done.

It needed an approval from the Foreign Investment Promotion Board (FIPB) which has, apparently, rejected the proposal. They needed this approval in order to issue shares of Strides to Shasun shareholders that were non-resident. Shasun has about 21% ownership by Foreign investors, which will, post the merger translate to just 5% of shares in Strides.

Strides has about 38% holding with […]

1506, 2015

Vedanta to Merge With Cairn, Gets Hands on Cash, Takes Retro-Tax Risk

By |June 15th, 2015|Categories: Cairn, Stocks, Vedanta|Comments Off on Vedanta to Merge With Cairn, Gets Hands on Cash, Takes Retro-Tax Risk

Cairn and Vedanta will merge soon, says a Vedanta Board Meeting note, where Cairn shareholders will get:

  • One share of Vedanta for a share of Cairn
  • A preference share of Vedanta worth Rs. 10 for every share owned, which pays 7.5% dividend per year and pays it out at the end of each financial year.

And that’s pretty much it.

When?

Sit back and relax. Sometime in the March 2016 quarter. That is approximately the time of the next Greece drama, so I would not suggest immediate outrage. Though honestly I am a terrible person to […]

1006, 2015

JustDial Will Buy Back at 1550 per Share, But Just 2-3% of Shares Will Be Bought

By |June 10th, 2015|Categories: JustDial|4 Comments

JustDial recently decided to buy back shares. They have a reasonable amount of cash on the books, and they will be using about Rs. 170 cr. of that money to buy back shares through a tender offer. See the conference call transcript.

(Also read: Demystifying Share Buybacks)

Just Dial will pay Rs. 1550 per share. At that price it can buy back just 11 lakh shares.

Their stock price is much lower – at 1096 as we write.

[…]

2005, 2015

Interviewed at ET Now: On Splitting Airtel, The Upgrade of Persistent Systems and The Bank EPS Push

By |May 20th, 2015|Categories: Banks, Bharti, BHARTIARTL, ETNow, PERSISTENT, Video|6 Comments

I was interviewed on ET Now Today, and here are the snippets. Plus, clarifications

Splitting Airtel’s business a good idea, but may hurt Indian shareholders

I believe that splitting Airtel’s business into the Indian and African units is a good idea, but it’s unlikely to happen because of the debt overhang.

Therefore, it would be seen that will the lenders agree on creating a new entity and pass on most of the debt to it. That would be difficult to push. Even if the telecom operator engineers a split, it might have to end up taking […]

2404, 2015

Infy: The Impact of Results on the Stock In The Past

By |April 24th, 2015|Categories: Infosys, Results|Tags: |1 Comment

As we approach Infy Results, we see that markets have been relatively benign about the company in recent times. While the stock shot up over 5% in Jan (after Dec qtr results) it is comparatively little compared to earlier times, where a 5% move was a bit on the lower end of the spectrum.

 

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Today, for the first time in a long time:

2204, 2015

Who Bought Those SunPharma Shares?

By |April 22nd, 2015|Categories: Stocks, SunPharma|10 Comments

After that insane 20,000 cr. volume in Sun Pharma yesterday as Daiichi sold a whopping Rs. 20,000 cr.  worth shares, who really bought them?

Turns out the buyers weren’t named Dilip Shanghvi (the promoter of Sun Pharma). While we don’t know the identity of all other buyers, we do know from NSE’s Bulk Deals reporting that three big investors bought into Daiichi’s selling. Here they are:

[…]

1704, 2015

Is The TCS Bonus a Way To Show Their Severance Payouts? Slowest Headcount Growth in a While, Stock Falls 4% on Falling Revenue Growth

By |April 17th, 2015|Categories: TCS|8 Comments

We first thought the TCS results were okay. They made a profit of 5773 cr., they said, which looked okay over the previous year’s number of 5358 cr. (same quarter last year). But here’s the detail:

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The little * there is: * Figures are excluding One-time Special Employee Reward of Rs. 2,628 crore in Q4.

TCS has paid out Rs. 2628 cr. as a special bonus for the 10th anniversary of its listing. […]

304, 2015

J&K Bank: A Combination of Bad Luck and NPAs, Talks Big on MetLife. Back to Public Sector Valuations?

By |April 3rd, 2015|Categories: Banks, JKBank, Stocks|6 Comments

This is a very interesting story on J&K Bank. The bank’s been in the news for the wrong reasons recently: for one, it saw a big fraud that hurt its Dec quarter results. Now it’s been hurt because of the floods in J&K, which will definitely hurt its NPA situation after the major floods last year too.

J&K Bank’s NPAs have gone up tremendously in the Dec quarter, adding over 460 cr. to Gross NPAs, taking them to 2658 cr. on total advances of Rs. 46,000 cr. This is up tremendously from 725 cr. in the same quarter last […]

204, 2015

March Shows Returns of -4.6%, 10-year Returns Will Fall Unless Sensex Goes Up 67%

By |April 2nd, 2015|Categories: Charts, Nifty, Sensex, Stocks|Tags: |1 Comment

The Nifty returns for March were lousy, giving us a -4.6% month at the end of the financial year:

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This takes the year’s return to just +2.5%, but at least we’re positive. March’s median returns have been horrible at -1.3%, and April and May too have seen lousy returns in the recent past.

[…]

2303, 2015

On CNBC TV18: Of Jindal Steel, Bank Headwinds and That Markets Haven’t Corrected Enough

By |March 23rd, 2015|Categories: Banks, CNBCTV18, JINDALSTEL, Stocks, Video|6 Comments

I was on CNBC TV-18 today and spoke about Jindal Steel, Banks and the overall situation in the market.

 

 

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