Bull is ready.. Don’t miss the Opportunity

Indian market is set to begin roller coaster ride for next 3 to 6 year. Mid-cap will be on the front seat. Keep your portfolio ready with quality stocks to enjoy the ride.

Let's find out some of the possible candidate for our front seat:

Sintex Industries: 

CMP: 100
Sintex has shown sustain growth in 2014 and create more than 300% return this year. Balance sheet of Sintex is positive for last couple of quarters. All factors for company are positive and it will continue to grow also in FY15 with same as in FY14. So if you don't have it in your portfolio thinks again about it.
(Also read: http://kevaljethi2363.blogspot.in/2014/05/gujarat-base-small-cap-multi-gainer.html)

Axis Bank:

CMP: 490
Axis Bank is leading from front in private sector banks. Stock almost double in FY14. One must have this blue chip in his model portfolio.

Ashok Leyland:

 CMP: 49
 Ashok Leyland came from loss to profit in FY14. Stock is hitting 52 week high. It has bags big order recently and company is set to join ride.

Gati:

CMP: 280
Gati is the one of the wealth creator in FY 14. Stock was trading at 26 on DEC13 and today it surges to 280.Within a year it created 10 x returns for its investor. E Commerce market is booming in Indian and it directly bring business to logistic and courier industries. Gati will keep doing well in FY15-16.So don't miss this wealth creator.

Eveready Industries:

CMP: 190
Along with Gati Eveready was another wealth creator in FY14. Eveready stock gained more than 600% in FY14. With Warren Buffet’s Duracell buy stock of dry cell are hitting high. Keep this stock in your portfolio and see its magic.

    
    Along with above there are many small and midcaps stocks like Adani Ports, Ceat, South India Bank, GMR Infrastructure , JM Finance, Pipavav Defence, Rolta, Rico Auto, Tata Coffee. All you need to do is to buy on every dip. Indian market is now entering in Bull phase and all this stock will be the money makers for their investor. Pick your money maker smartly.




  Be Smart. Invest Smartly

 

 

Best Tax Saver Fund with good Return.

When come to Tax saving one should take in count of Tax Saver fund known as ELSS (Equity Linked Savings Scheme).

ELSS fund may give you dual advantage: Tax Saving + Good Return. Also Locking period of ELSS Fund are only 3 years.

There are few very good Mutual Funds which have well past performance with 15-20 % annual return over 5 years.

Let’s check out the best option you can pick 

1. Reliance Tax Saver (ELSS) Fund.

NAV: 36.076

Asset Size (Cr):1948.85

Min Investment: 500

This Fund have massive 61% return over last year while 5year return is 20.4%. The scheme is ranked 2nd in ELSS category by Crisil.

2. Axis Long term Equity Fund (G).

NAV: 22.28

Asset Size (Cr):921.68

Min Investment: 500

This Fund have massive 50% return over last year while 3year return is 21%. The scheme is ranked 1st in ELSS category by Crisil.

3. SBI Magnum Tax Gain Scheme.

NAV: 91.018

Asset Size (Cr):4110

Min Investment: 500

This Fund have massive 41% return over last year while 3year return is 14.3%. The scheme is ranked 3rd in ELSS category by Crisil.

 Many other best options are available to invest.

SIP is best way to invest in this MF. Monthly Small contribution creates big value at long term.

Be smart. Invest Smartly.

Gujarat base small Cap Multi Gainer: Sintex Industries

When market is running high most stocks are also on it year high and one of the biggest price shocker of last 8 month is Sintex Industries.

On 17^th Sept 2013 (8 month ago) price of stock is 23.3 INR.

CMP (16^th May 14): 68.5.

In past 8 month Sintex Return is 193%.  And still much more to go.

Sintex Ind is in the Diversified sector. The current market capitalisation stands at Rs 2,144.80 crore. The company has reported consolidated sales of Rs 1,376.13 crore and a Net Profit of Rs 83.64 crore for the quarter ended Dec 2013.

After Big Win of NDA, Gujarat base company Sintex likely to Run Faster than any other company

So still you don’t have it in your portfolio, time is not yet gone.

 Be Smart. Invest Smartly.

Not Always Blue Chips

If you are willing to take more risk and want to make more money than Blue chip might not good Idea to go.

For last couple of month some small value stock completely outperforms and still hitting the bar.

1. Himalaya International:

CMP: 20 INR

On 1st April 2014: 8.95

Change: 11.05 INR (123%)

2. HCL Info system:

CMP: 53.5 INR

On 1st April 2014: 38.4

Change: 15.1 INR (39%)

3. Everready Industries:

CMP: 54.85 INR

 On 1st Feb 2014: 34.9 INR

Change: 19.95 INR (57 %).

This is only some of stock that now breaks the silence. If you are ready to take calculated risk you must have one of above in your Portfolio.

Be Smart. Invest Smartly.

Multibagger stocks of tomorrow.

How to find Multi Bagger Stocks?

1.Promoter’s track record.

 

This parameter is having highest priority. If the management is not honest, will they want to share the benefit with you? No, they will look for the first opportunity to draw off the profits and pull the wool over your eyes. If you study TCS, Tata Motors or any of Tata group of companies, you will understand that they are having excellent top management. We can trust Tata. Promoter record should not be fraudulent.

2.Unique business model.

 

A stock with a monopoly or duopoly command in that particular market sector would be great. VST Industries, for instance, operates in the particular cigarette industry, where there is no danger of fresh competition coming in here in India. CRISIL, Nestle are good examples. A powerful brand that draws customers is necessary.

3. Business growth opportunity should be exponential

In simple words, if you are pretty sure about company’s growth at the rate of 20% to 25% on year on year basis with significant visibility for more than 5+ years, then you have identified correct multibagger stock.

4.Capital requirement should be less

Company should require minimal capital but generating huge returns there from. Generally IT companies require very minimum capex for expansion as compared to infrastructure/real estate company to run their projects.

other than this their are many other factor.

Some stock that I have sorted out which could be Run a Long way..

Adani Power : CMP 48.4 .

Tata Coffee: CMP 944.

Ashok Lyend: CMP 22.7

Jaiprakash Power :CMP 14.25

Tata Motors: CMP 396

Be Smart. Invest Smartly.

Just Dial: Most Promising IPO of 2013.

What is IPO?

An Initial Public Offering (IPO) or stock market launch is a type of public offering where shares of stock in a company are sold to the general public, on a securities exchange, for the first time. Through this process, a private company transforms into a public company. Initial public offerings are used by companies to raise expansion capital, to possibly monetize the investments of early private investors, and to become publicly traded enterprises

Last year when Just Dial announce IPO most people thumps up this company and Just Dial  doubles money for it subscriber after only 6 month of getting listed .

Let’s check out how Just Dial becomes multibagger and hottest stock recent days.

On May 20^th 2013 Just dial IPO open for subscription with price band 470-543 for May 20-May 22. CRISIL has assigned grade 5/5 to the proposed IPO of Just Dial. Out of 17.5 million shares, 13.5 million shares were offered to the public and 3,936,925 shares have been subscribed to by 15 Anchor Investors at 530 INR per equity share, for a total of around  208.65 Crore. Just Dial has reserved 75% of its IPO for institutional investors, 15% for high net worth individuals (HNIs) and remaining 10% for retail investors.

Just Dial adopted a scheme "safety net" for retail investors proposed by the capital market regulator Sebi in 2012 where the company promoters assure that they will buy back shares from the retail applicants at the IPO price, if its stock falls sharply during the first six months after listing.

At the end of day 1 A majority of the bids came from Foreign Institutional Investors (65, 87,275 shares), around 72% of total shares on offer for QIBs. Retail investor appetite was low, with only 14% (246,200) of shares, whereas 1,749,745 shares were offered to them. HNIs bid for only 3750 shares of the 2,624,618 shares offered for them.

At the end of day 2 Retail investor participation increased almost fivefold after a fairly low key participation on day one of Just Dial’s IPO: Total bids from retail investors increased to 1,224,725 shares from 246,200 shares at the end of day 1. Thus, around 70% of the total 1,749,745 shares that retail investors were allowed and most of them have been at the cut-off price. Participation from Qualified Institutional Buyers (FII’s and Mutual Funds) also increased, with Mutual Funds finally participating, but bidding only for 56200 shares. FII’s have bid for 8141850 shares in all. Participation from Corporates and Individuals other than retail investors has been insipid. All in all, around 69.62% of the shares on offer have been bid for, mostly by QIBs, which sets the stage for day 3. On day 3 of issue, Just dial IPO was over-subscribed 11.63 times

 On June 05, 2013, the equity shares of Just Dial Ltd are listed on BSE and NSE. Since then

Stocks do not look back. In September’s Q1 result company book 28.66 Cr Net profit.

On 8^th January 2013 Just dial close at 1423 INR with market capital 10,001.45 Cr.

Just Dial: Underline business and History.

Just Dial is an Indian company providing local search services over the Phone, Web, Mobile and SMS. It is headquartered in Mumbai, Maharashtra. Users are required to call a common number and simply tell the human operator what service they are looking for. Text and email alerts are then sent to users listing the best options around them.

Just dial was founded by V.S.S. Mani and performs in the capacity of the Managing Director and Chief Executive Officer of the Company.  Mr.Mani thought of the idea while working for Yellow Pages Company called United Database India (UDI) in 1987. He felt that the information could prove to be much more useful if it could be provided over the phone. In 1996, he came to know that Mumbai's Kandivali exchange owned the number 088 888 88 888. He was well aware of the importance of having an easy to remember number for a service like this and he somehow persuaded the GM to allot the number to him. Mr Mani started the company with a few pieces of borrowed furniture, rented computers, a 3x5 feet garage which he took on hire and a seed capital of 50,000 INR.

Sooner Just Dial signs Amitabh Bachchan as a brand ambassador. Mr Amitabh Bachchan was allotted 62794 shares at a price of 10 INR in January 2011. His investment cost was 6.27 lakhs which is on 8^th January worth 8.93 Cr.

Currently Just Dial provides service to user 24*7 by helpline numbers 08888888888 and 699-999-99. Other than this www.justdial.com and wap.justdial.com (Accessible from mobiles) are web services for internet user.

Very few companies can become as big brand over the time and Just Dial is on the way of that.

If you are in India and If you need any help Just Dial 08888888888.

Be smart. Invest smartly.

Bitcoin: The mysterious currency

Current rate (17:19 GMT, 8th Jan 2014): 1 BTC=859.2 USD=53330 INR

Last year (8th Jan 2013): 1 BTC: 13.74 USD=753 INR

Bitcoin a very much discuss topic in recent time in global currency market. Very few people know totally about this mysterious digital currency. 

Let’s have brief introduction of bitcoin:

1. What is bitcoin and Bitcoin?

Bitcoin is per to per payment system without any central authority; network for bitcoin transition. On the other hand bitcoin is a digital currency. Bitcoin introduced as open source software in 2009 by pseudonymous developer Satoshi Nakamoto. It is a crypto currency, so-called because it uses cryptography to control the creation and transfer of money.

2. How it works?

To do transition using Bitcoin one need Bitcoin ‘Wallet’.

Wallets allow a user to make and accept payments using Bitcoin. At the most basic, a wallet stores a public key, which some refer to as a Bitcoin address, and its associated private key. Let’s take an example:

Here is an example of a Bitcoin transaction:

• Adam owns an online store that accepts bitcoin as a form of payment.
• Eve wants to purchase a $2400 item. He looks online and sees that the prevailing rate for bitcoins is approximately $800/bitcoin.
• Adam is selling the item for 3 bitcoins on his website.
• Eve creates a new Bitcoin address through his wallet. He can see Adam's public Bitcoin address on Adam's website. 
• Just as a seller does not need to know your physical identity if you pay cash, Eve never needs to disclose his identity to Adam and can thus remain completely anonymous.
• Eve instructs his Bitcoin client (the free Bitcoin software he installed on his computer/mobile) to transfer 3 bitcoins from his wallet to the Adam's address. This is the transaction message.
• Eve's bitcoin client will electronically "sign" the transaction request with the private key of the address from where he is transferring his bitcoins. While Eve's public key is available to anyone for signature verification, his private key is only known to him.
• Eve's transaction is broadcast to the Bitcoin network and will be verified in a few minutes by miners. The 3 bitcoins have been successfully transferred from Eve's address to the Adam's address.

3. What is Block Chain?

Each transition of bitcoin is public transition log, the block chain. Each payment transaction is broadcast to the network and included in the block chain so that the included bitcoins cannot be spent twice. After an hour or two, each transaction is locked in time by the massive amount of processing power that continues to extend the block chain. Using these techniques, Bitcoin provides a fast and extremely reliable payment network that anyone can use.

4. How to obtain bitcoin?

The main ways to acquire bitcoins are: exchanges, mining, and selling products or services for bitcoins.

Daily Bitcoin are buy and sell in global currency market.

5. What is mining?

Mining is the process of spending computation power to secure Bitcoin transactions against reversal and introducing new bitcoins to the system.

Technically speaking, mining is the calculation of a hash of the block header, which includes among other things a reference to the previous block, a hash of a set of transactions and a nonce. If the hash value is found to be less than the current target (which is inversely proportional to the difficulty), a new block is formed and the miner gets the newly generated Bitcoins (25 per block at current levels). If the hash is not less than the current target, a new nonce is tried, and a new hash is calculated. This is done millions of times per second by each miner.

5. Why bitcoin?

Well there are many benefits to bitcoins over traditional currencies. For example, let's assume you need to purchase an item for INR 10,000, but the seller doesn't accept credit cards or bitcoins; he only wants cash. You now need to scrounge around for INR 10,000 and pay the seller in hard cash; the seller, on his side, has to somehow ensure that the money you're giving him is not counterfeit. Just the hassle of having to pay him INR 10,000 in cash is what Bitcoin prevents. If you have at least INR 10,000 worth of bitcoins (after converting rupees to bitcoins) and the seller accepts bitcoins, the entire transaction is completed in less than 10 minutes.

But, you say, the seller is willing to accept credit cards. Well, this is where the seller would much rather want to accept bitcoins versus traditional credit cards. There is usually a 2 - 3 per cent transaction fee for every credit card transaction that the seller needs to pay. With bitcoins, there are little to no fees involved. So the seller has a strong incentive to accept bitcoins.

6. Risk associate with Bitcoin?

As whole Bitcoin network works over internet there is always risk of hacker to find loophole in network. In 13 June 2011 a Bitcoin user claims that hackers stole 25,000 bitcoins from him, worth around $500,000 at the time. Those bitcoins would be worth around $2148000 today.

Different country have different view on Bitcoin .USA is most friendly with Bitcoin operations. While on other hand China introduced a series of prohibitions on Bitcoin trading.

In December 2013 RBI published an official warning to the public, cautioning users of virtual currencies about the "potential financial, operational, and legal, customer protection and security related risks that they are exposing themselves to."

But As Mark Twain popularly said, "The more things are forbidden, the more popular they become."

It is interesting to see how in future this mysterious currency bitcoin impact global currency.

 

Be smart. Invest smartly

IT stocks:Money maker in 2013

Information Technology is the one of the fastest growing Industry in India since last 10 years. There are some big well-known name in IT industry are like TCS, Infosys, HCL Tech, Tech Mehindra , Wipro.

In last year this big IT giant outperform with almost double it stock values.

Lets look inside it:

Tata Consultancy Service Ltd.

CMP:2239
 M-cap(In Cr): 438,676
Indian's largest IT company and  largest market capital of Indian stock market. TCS stock really continue in 2013 with return rate of around 75% .

Infosys.

CMP:3514
M-cap(In Cr): 201,798.

After TCS , Infosys is second largest IT compnay of India. Return of Narayana Murthy after many year driven the stocks price of Infosys. It end 2013 with 51% return . Just wait for quaterly result on 10th Jan 2014.

Tech Mahindra

CMP:1817
M-Cap(In Cr): 42,378
 Tech Mahindra is one of the money multiplier for Investor in last year with rate of return 93%.

HCL Technology

CMP:1251
M-Cap(In Cr): 87,444.

HCL Tech is consistent performer since last 5 year. 2013 would be best year for it investor. HCL Tech.
stock return 99% to their investor.

Wipro:

CMP:558
M-Cap(In Cr): 137,589.

Wipro is India's third largest IT company. Stock of Wipro return 40% last year ; it seems less compare to above figure but when you compare stock price you find wipro a good option. 

MindTree

CMP:1594
M-Cap(In Cr):6665

MindTree is less known company compare to above but it is the best performer in return in last year with 130% return rate.

All the above IT company are now trading at premium rate.But they will continue to grow in future also.

So if you are looking for safer bet with good return then Indian IT sector is open for you.

Be smart.Invest Smartly

Hidden Gems of Indian Stocks market.

In my previous post I have focus on Big Bulls of Indian stocks market since many years. And now in this article I will mainly focus on small fish which have capability to become giant in near future.

Clean natural energy source must be big supplier of energy in future.

And in that Wind is one of that.

Suzlon is one of the biggest Indian companies in this sector.

We know demand of energy will increase in future so supply also must be increase and as we know energy

Resource  are limited so we must move to natural energy resource.

So it’s simple to understand that company working in that sector has bright future.

Now let’s see about Suzlon current market data;

Stock price on 3rd Jan 2014: 10.86 INR

Market Cap  (Rs Cr) : 2,624.92

Stock of Suzlon is available at very cheap price. Many people think that such cheap price stock has not good growth in future. For them please read my previous article where I have talk about Asain Paint.

Let’s know more about Suzlon:

The Suzlon Group is ranked as the world’s fifth largest* wind turbine supplier, in terms of cumulative installed capacity and market share, at the end of 2012. The company’s global spread extends across Asia, Australia, Europe, Africa and North and South America with over 22,500 MW of wind energy capacity installed, operations across over 30 countries and a workforce of over 10,000.

Find more about suzlon on http://www.suzlon.com/

At the end I want to say is that if not now then never.

 (*I have personal holding in Suzlon.)

If you like this article please comment your views on investment. You can mail me on jethi_keval@yahoo.com.
 

Be smart. Invest smartly