Jitendra Kumar Gupta's blog

Punj Lloyd: Engineering a bounceback The recent rise in new orders, stable margins and the plan to repay high cost debt augur well for Punj Lloyd Recent events at Punj Lloyd indicate that the company’s fortunes could turn around for the better. And hence, its stock price (adjusted for the stock split) which is closer to its listing price of Rs 211 in January 2006 could move higher. Although Punj Lloyd’s sales have grown almost seven times since 2006, the stock is now quoting at 2006 levels, thanks to the problems the company had to undergo over the last one year or so. The consolidated net loss, substantial erosion in operating profit margins and lower order inflows took a toll on the share prices. However, analysts believe that the concerns are now fully factored in and the stock could get rerated on the back of a substantial pick up in new orders, repayment of high cost debt, improvement in margins and restructuring of its key subsidiaries. ...

http://www.business-standard.com/india/news/sterlite-ind-value-in-this-metal/13/03/345162/

BGR Energy Given the current order book, which stands at over 7.2 times its FY08 revenues, there is good earnings visibility for the next three to four years. With faster execution of these projects, the company’s revenues and earnings are expected to grow at a CAGR of 60 per cent over the next two years.At Rs 160, the stock is trading at 8.5 and 5 times its estimated FY09 and FY10 earnings, respectively. The faster growth, vast opportunity in the power sector and reasonable valuations make BGR a good investment. Investors can expect returns of 45-50 per cent over the next 18 months. The company’s order book, which was about Rs 3,000 crore a couple of months ago, has now gone up significantly to Rs 11,000 crore. This improvement is mainly on account of the order worth Rs 3,100 crore the company received from Tamil Nadu Electricity Board. And, very recently, the company bagged its biggest order ever, for EPC works, worth Rs 4,900 crore from Rajasthan Rajya Vidyut Utpadan Nigam. Importan...

The current global environment is not only depressed, but highly uncertain too. While India may be relatively better off, the health of her economy has deteriorated and is not showing any signs of recovery. The fall in industrial output, slowdown in GDP growth and expected decline in corporate earnings remain major worries for the markets. In light of the current scenario, Jitendra Kumar Gupta sought answers on key issues from renowned investment guru of emerging markets and executive chairman, Templeton Asset Management, Dr Mark Mobius. Known for his understanding and studies on emerging markets, Mobius currently manages more than $24 billion in emerging market assets and directs the Templeton research team based in 14 emerging markets across the world. A value investor with a bottom-up stock selection approach, Mobius shared his views on the Indian equity markets and spelt out his investment strategies. How do you assess the economic stimulus package announced by the Indian governme...

"Not much downside from here...at the most 10%" SMART TALK Jitendra Kumar Gupta / Mumbai December 29, 2008, 0:27 IST Jim Walker, the founder and managing director of Hong Kong-based Asianomics, believes that the worst is not yet over and there could be bad news flowing with regards to industrial and GDP numbers. The corporate earnings could equally be in bad shape and surprise the markets. Meanwhile, he suggests that investors be cautious and selective while investing as the difficulties could last till the middle of financial year 2010. Asianomics is an independent economic research company providing insights and analysis on policy making and macroeconomic trends across Asian economies principally for the fund management industry. Prior to establishing Asianomics in December 2007, Walker was the chief economist at CLSA Asia-Pacific Markets. In a conversation with Jitendra Kumar Gupta he shared his view on various issues pertaining to the Indian economy and the equity markets...

Why Century Textile is good buy http://www.moneycontrol.com/india/video/stockmarket/17/20/newsvideo/344983

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