Year: 2011

For the last few months even we were disturbed by the events that were unfolding in the Political Capital – Scams, Massive Corruption,  Government Sponsored Violence on Peaceful Protesters [Web users compared this to tiananmen square], Shooting of Investigative Journalists and the arrogance of the Central Government led by the Weakest Prime Minister to accept his Government’s fault and correct on the same.Foreign Institutional Investors have lost hope on Indian Government and its ability to take policy decisions.

Adding to the Government’s woes, Sonia Gandhi flying to Switzerland (more…)

Everybody wants a Multibagger but most of them end up with Junk Stocks in search of it. The better approach we recommend our investors is to go with modest stocks which can double in the next 3 years i.e deliver in excess of 25% compound annual returns. In an Analysts survey, the stocks that made it to the top 20 are as follows. (more…)

In a faster than expected surprise, Morgan Stanley pushed the report on Indian Banks saying that Margins are headed for a Collapse and Downgraded the Indian PSU Banking Space to Underweight. Morgan expects the NIM to fall between 40-70 bps.

The pre-provision operating profit (PPOP) will drop to single digits after the 40%+ growth in F11. PSU Bank F12E multiples have (more…)

Engineering Wage Arbitrage / Trading Company – Infosys Technologies was in a Chaos on Friday as two Sr. Members of the board quit with its CEO announcing dismal Q4 performance and a tepid guidance for the next fiscal. Infosys has lagged peers in the recent past – leading to a relative de-rating. 4Q results are weak.

4Q was weak on most counts – volumes declined ~1.4% qoq and the company missed the lower end of revenue guidance in constant currency terms. Management attributed this (more…)