L&T Construction

L&T Construction today said it had secured orders worth Rs 1,454 crore across various verticals, including power transmission and water and effluent treatment, in February and this month. In the water and effluent treatment segment, the company bagged orders worth Rs 579 crore from Tamil Nadu Water Supply and Drainage Board

Upcoming IPO=>MULTI COMMODITY EXCHANGE OF INDIA LTD

MULTI COMMODITY EXCHANGE OF INDIA LTD

Incorporated in 2003, Multi Commodity Exchange of India Ltd (MCX) is India based electronic commodity futures exchange. MCX provides online trading facility along with clearing and settlement operations for commodity futures across India.MCX allows trading in more than 50 commodities across sectors like bullion, metals, energy, weather, and agricultural products. The Exchange is the world's largest exchange in Silver, the second largest in Gold, Copper and Natural Gas and the third largest in Crude Oil futures, with respect to the number of futures contracts traded.

Issue Open:         February 22, 2012
Issue close:         February 24, 2012
Price Band:        Rs. 860 - Rs. 1032 Per Equity Share
Minimum Bid Size: 6 Equity Shares
Face Value:         Rs. 10 Per Equity Share
Issue Type:         100% Book Building
Maximum Subscription Amount  for Retail Investor: Rs. 200000


CRISIL has assigned an IPO Grade 5 to MCX IPO. This means as per CRISIL, company has 'Strong Fundamentals'. CRISIL assigns IPO grading on a scale of 5 to 1, with Grade 5 indicating strong fundamentals and Grade 1 indicating poor fundamentals.

Website:http://www.mcxindia.com/

‘Buy’ maintained on Hindalco – TP reduced to Rs.179

Buy rating on Hindalco Industries is maintained with a target price of Rs.179 as against the earlier 

target price of Rs.186.

Though the company’s standalone performance was up to market expectations in 3QFY12, Novelis’

EBITDA missed expectations. Considering this along with lower metal prices, hardening rupee against 

USD, higher coal prices and slower execution of Mahan smelter, EPS estimates for FY12 has been 

reduced by 10 -17%. Hence, the target price is lowered to Rs.179.

Company’s standalone outperformance was driven by better than expected aluminium premium. 

However, cost pressure on domestic aluminium business still persists.

Start up Mahan smelter has been delayed.

Novelis’ volume and margin will recover but this may take 1-2 quarters.

It seems that the stock price would hinge on aluminium price recovery and timely execution of 

expansion projects.

Further delays in expansion projects and sharp increase in coal prices are downside risks.

Update - Muthoot Finance

Net profit of Muthoot Finance rose 61.27% to Rs 250.88 crore in the quarter ended December 2011 as against Rs 155.57 crore during the previous quarter ended December 2010. Sales rose 91.24% to Rs 1226.14 crore in the quarter ended December 2011 as against Rs 641.15 crore during the previous quarter ended December 2010.

Stock-Jungle Portfolio

Lets create portfolio and watch it in a particular interval of time. Lets discuss and find out each shares UP and DOWNs. Lets assume 27-jan-2012 as start date of our portfolio. Lets take some recommended shares in our portfolio.

S.No	Share Name	Quantity	Purchase price	Current market value(INR)	Value on purchase date(INR)	Purchase date
1	Shree Renuka Sugars Ltd.	100	39.25	3925	3925	27-Jan-2012
2	Axis Bank Ltd	5	1075.75	5378.75	5378.75	27-Jan-2012
3	Tata Steel Ltd.	10	458.75	4587.5	4587.5	27-Jan-2012
4	NTPC Ltd.	20	173.75	3475	3475	27-Jan-2012
5	Larsen & Toubro Ltd.	5	1381.60	6908	6908	27-Jan-2012
Total				24274.25	24274.25

Total invested amount on 29-Jan-2012 is 24274.25 INR. Lets see the same portfolio value in few days later. Until than  please wait.. This tracking will be under the label 'Portfolio'.

‘Buy’ Yes Bank

• Buy rating on Yes Bank is maintained with an increased target price of Rs.354 over one year. TP increased on upward revision of earnings prospects. The bank reported 3QFY12 net profit of Rs. 250 crore, which increased 32.9% yoy. Net interest income at Rs.430 crore is up 32.3% yoy.
• Net interest margin (NIM) was flat at 2.8%v qoq.
• Company’s earnings projections were revised upward by 8.4% for FY12, by 9.5% for FY13 and by 11.3% for FY14.
• The bank could maintain margins as 38% of incremental deposits during the quarter were lower cost CASA deposits against 15% in 2QFY12.
• The bank is expected to benefit from policy rate cut as wholesale deposits would get re-priced at lower rates.
• Currently traded at 1.7 multiple of FY13 adjusted book value estimates. This valuation looks attractive for a bank with ROE estimate of 21% over FY12- 14.
• Risks to the target price may arise from higher slippages in the SME and infrastructure space.

Axis Bank

Buy rating on Axis Bank is maintained with a higher target price of Rs.1186 over one year, as against 

the earlier target   price of Rs.1127.

The TP is hiked on upward revision of its earnings estimates on stable NIM and higher other income.

Earnings estimates for  FY12 have been hiked by 3.7% and by 4.6%, by 4.1% for FY13 & FY14 

respectively.

For 3QFY12, net profit at Rs.1100 crore increased 23.7% yoy. Net interest income at 2140 crore 

increased 23.5% yoy with stable net interest margin at 3.75%.

Slippages remained more or less stable at 1.7% and this seems to be a positive. Stressed assets were 

reported at Rs. 8-8.5billion. It would be a positive if this level could be maintained from going up.

The bank has added 34% of its current branch network during the last two years. Its benefits are 

expected to accrue and will key earnings driver in the near term.

The bank had achieved higher priority sector requirements of around 45% in FY11 against 40% by the 

RBI norms. So the bank need not expand lending in this segment. This coupled with retail loan growth, 

the bank would maintain its profit margins.

‘Buy’ Hero Motocorp – TP Rs.2050

• Company’s 3QFY12 revenue increase at 17% yoy and EBITDA at 31% yoy are in line with market expectations.
• EBITDA margin at 15.8% up 170 bps yoy and 10 bps down qoq has also been line with market estimates.
• Company could offset higher raw material cost by lower other operating expenses.
• Depreciation increase of 7% is due to weakness in rupee against JPY.
• Domestic motorcycle volume increased 11% yoy against industry growth rate of 9%,  translating in to market share gain of 125 bps yoy.
• Company showed healthy improvement in all operating parameters yoy. Sequentially, the margins are slightly down due to seasonality and change in product mix.
• 4QFY12 volume growth is expected to be similar to that of 3Q. 
• Honda’s entry in to 100 cc bikes has been a significant overhang on the stock. However, the brand equity and distribution edge enjoyed by the company would help limit market share loss.
• Market share gain in 125 cc bikes and scooter segment will limit the market share loss in the two wheeler segment.

Sun TV Network has launched three new pay channels

Sun TV Network has launched three new pay channels from Monday -- Sun Life, Sun TV RI (Rest of India) in Tamil and Gemini Life in Telugu.

Sun Life and Gemini Life will focus on areas like lifestyle, religion, health and education, the Chennai-based broadcaster said. Sun TV RI will transmit the same content that goes on air on its flagship Sun TV channel, but the broadcast will be specialized for all states other than Tamil Nadu, allowing advertisers to focus on specific geographical areas.

The company now has 32 TV channels, which includes 12 in Tamil, nine in Telugu, seven in Kanada and four channels in Malayalam languages, Sun TV said.

Sun TV has been quite aggressive in launching new channels and pushing new content recently. Last week it launched four advertisement free action movie channels in Tamil, Telugu, Kannada and Malayalam. In December, it had launched four high definition TV channels, three in Tamil and one in Telugu.

http://www.sunnetwork.in/

ICICI Prudential Fixed Maturity Plan Series 61- 18 months Plan B

The launch of ICICI Prudential Fixed Maturity Plan Series 61- 18 months Plan B. A close-ended debt fund, which seeks to generate regular returns by investing in a portfolio of fixed income securities/ debt instruments which mature on or before the date of maturity of the Plan.

Date of Opening         January 03, 2012
Date of Closing         January 09, 2012
Asset allocation & Credit profile Non-Convertible Debentures: AAA - 0-5%, AA - 95-100%