7 Indian companies in future giants list

Morgan Stanley picked 7 Indian companies among the Asia Pacific’s best 20 companies by their future growth potential. It is clear signal for Long term investors (3-5 years) to make strategic investments in these companies. You should accumulate these stocks on every fall. Safe 7 Indian companies according to growth potential:

1. Reliance Industries: There is so much value left unlocked in this giant. It is a safe investment in terms of growth potential and value.

2. Reliance Capital: This Company made good investments in high growth sectors whose value will be unlocked in 2-3 years.

3. Pantaloon Retail: I have some doubts over this stock due to increase in competition and high valuations.

4. Larsen and Toubro: My favourite company which will give at least 200% returns within 3 years just due to value unlocking. If you add growth potential, sure jackpot. I will accumulate this stock as long as it stays below 3,500.

Short term target: 2,900-3,200 (Face value-2)

3-year target: 4,500-5,000 (Face value-1).

5. Bharti Airtel: It is making big investments over bandwidth which will play crucial role in future. Reliance Communications is also a good bet.

6. IDFC: Another safe stock for investors.

7. Sobha Developers: I have some doubts over this stock.

Can Anil Ambani beat Mukhesh Ambani?:

If you search for Reliance in Google, first result is Reliance Communications but not Reliance Industries. Can he repeat this performance in real life?

Please share your opinion on these 7 companies.

Stocks rebound temporarily

Indian stocks will see sharp temporary rebound on the account of strong global cues. Sustainability of this rise will depend on future course of global markets.

Market movements: Dow Jones gained 286 points after initial volatility and Asian markets are rising from global cues. Indian markets will follow their global peers. Global markets are in a precarious situation. It is not an ideal time for retail investors to take short positions in markets. Stay away from futures and options. BSE Sensex may settle around 14,300-14,500 and Nifty at 4,100-4,200 in the near term. Take positions in over corrected stocks.

1. BSE Sensex:
CMP: 14903.
Target: 15060.

2. NSE Nifty:
CMP: 4339.
Target: 4403.

Positive Stock News:

1. Hindustan Unilever will announce winners of bids for real estate projects in Bengaluru and Mumbai on next Tuesday.
2. Wal-Mart and Bharti enterprises announced 50-50 joint venture for retail.
3. Bharti Airtel received LOI for DTH service and will launch its DTH services by March 2008.
4. Hindalco and Tata Power will jointly develop a coal block in Jharkhand.
5. Government should approve gas price before marketing – Cabinet secretary.
6. GVK Power announced financial closure for its Uttarakhand project.
7. Strides Arcolab acquired Italian company.

Negative Stock News:

1. Novartis lost Glivec case and will not appeal.
2. Surge in International crude oil price is a real concern.
3. Volumes are declining gradually in the last three days.
4. Sales of Ashok Leyland were down by 19% in July.
5. DCM Shriram announced massive loss in its Q1 results.

My Stock views:

1. FIIs are selling in a big way while Domestic institutions are using this opportunity to accumulate. Mutual funds are waiting in the sidelines.
2. Don’t underestimate the impact of US Subprime market. Global markets are closely interlinked in these days. FIIs will spoil in Indian party in the coming days but long term story is intact. Accumulate good stocks on every dip.
3. Sugar stocks will temporarily rise in this week due to disruption of supply (heavy rains).
4. Indian Real estate stocks are the most expensive ones. Accumulate DLF in the 500-530 range for long term investment.
5. Oil refining companies will announce surprise results in the next quarter due to earning s from oil bonds. Accumulate these companies.
6. I think stocks like Suzlon and Sterlite are over corrected due to weak earnings but its long term prospects are good.
7. Acquisition of Infocrossing by Wipro will benefit it in the next financial year.
8. If rupee stabilizes due to weak markets and RBI measures, IT stocks will see some contra buying.
9. Accumulate Sesa Goa and Mount Everest as promoters will announce open offers in the coming days.

Best Stocks for Day Traders:

1. Bharti Airtel: Wal-Mart, DTH, Google tie-up news.
CMP: 866.
Target: 878 and 889.

2. IFCI: If it breaks 64 (strong resistance).
CMP: 63.7
Target: 65.7 and 67.6

3. Reliance Communications.
CMP: 531.5
Target: 538 and 546.

4. GVK Power.
5. DLF, HDIL and GMR Infra may bounce back.
6. Hindustan Unilever.

Please share your views on my stock views.

Bears will dominate Indian Stock markets

Indian stock markets will lost around 150-200 points in the initial session on Thursday. Banking stocks will suffer heavy losses. If CRR hike is true, Markets may lose more than 300 points. It is better for investors to stay away from Indian share markets.

Market trend: Bearish/ Crash.

Rumour of the day:

1. RBI will hike CRR on Friday.

Significant News:

1. Global markets ended negatively. Indian ADRs suffered losses. Asian markets are in down ward trend.

2. Monsoon may be delayed by 3-4 days.

3. Alcohol consumption in India surpassed Juices and carbonated drinks. United spirits is a good bet for long term investors even at this price.

4. Crude price is gaining. Stay away from BPCL and HPCL.

Best stock picks for Day traders:

1. Alembic:
CMP: 65.6
Target: 70
Stop Loss: 58
It will receive Rs 45 crore as mile stone payment from Belgium Company.

2. Bharti Airtel:
CMP: 850.2
Target: 860
Stop Loss: 840
It crossed 40 million subscribers and reached top 10 cell operators in the world.

3. NIIT Tech:
CMP: 523
Target: 537
Stop Loss: 508
133% increase in net profit.
Concern: Rupee appreciation.

4. Hindustan lever:
CMP: 198.55
Target: 201 and 203.5
Stop Loss: 193

5. Sterlite Opticals:
It begged Rs 170 crore MTNL broadband contract.
CMP: 206
Target: 213
Stop Loss: 200

Stocks to watch out:

1. Idea cellular.
2. JSW Steel.
3. Divi's Labs.

Stay away from following Indian Stocks:

1. Dr Reddys, Torrent Pharma and Cadila received noticed from Government for increasing MRP of331 drugs. Stay away from these stocks.

2. Stay away from banking stocks due to CRR hike concerns.

3. Stay away from oil refining stocks due to rise in crude price.

Please share your views on movements of Indian stock markets.

Indian Business Marvels

Indian Business Wonders

A young engineer starts of a world class company which makes even peons rich

- Narayana Murthy of Infosys.

A small timer from meerut moves to Mumbai and builds an airline empire

- Naresh Goyal of Jet Airways

A cycle parts trader from Ludhiana takes phones out of the house and puts them in the hands of plumbers and fruit vendors - Sunil Mittal of Bharti Airtel

The son of a school teacher created petroleum giant - Dhirubhai Ambani of Reliance.

Source : Times of India