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Only Financial Weekly Published in English & Gujarati Page
50

GAMC No. :1703/2018-20. Issued by SSP Ahd. Valid up to 31-12-2020

VOL : 12 • Issue No: 42 RNI No : GUJENG / 2008 / 24320 1st Dec. to 7th Dec. 2019

FII Activity (Rs. in Cr.)

Date Buy Value Sell Value Net Value
25-11-19 5257.86 4296.96 960.9
26-11-19 39885.28 35207.53 4677.75
27-11-19 4526.38 4483.45 42.93
28-11-19 5250.85 4241.96 1008.89
29-11-19 4769.15 6661.44 -1892.29
TOTAL 59689.52 54891.34 4798.18
DII Activity (Rs. in Cr.)
DATE BUY VALUE SELL VALUE NET VALUE
25-11-19 3378.86 3592.52 -213.66
26-11-19 5501.94 9743.95 -4242.01
27-11-19 3999.3 3559.79 439.51
28-11-19 4132 4287.47 -155.47
29-11-19 4407.04 3453.42 953.62
TOTAL 21419.14 24637.15 -3218.01
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Financial Weekly

SMART 1st December to 7th December 2019 4

INVESTMENT
Financial Weekly

SMART 1st December to 7th December 2019 5

INVESTMENT

Smart Education : Ankit Gala (9819664831)

Important Economic Factors:
Political Stability, GDP & IIP Data
Last week we understood what is Economic Analysis and list of Economic Factors which one needs to
watch out to perform Economic Analysis. For next few weeks we will try to understand some of these
Economic Factors and their importance in stock market investing.
1. Political Stability
This is the most important factor which directly and indirectly affects the entire economy, various indus-
tries and ultimately stock prices.
Political stability and economic growth are deeply inter-connected. A stable political environment is nec-
essary for steady and balanced growth.
If a country is ruled by a stable government which takes decisions for the long term development of the
country then under such a scenario the economy will grow at a good pace for longer term.
On other hand, if a country is ruled by an unstable or coalition government, then it might be difficult for it
to carry out major policy decisions and economic reforms.
The uncertainty associated with an unstable political environment may reduce investments into the
economy thereby reducing the pace of economic development. In severe cases, poor economic perfor-
mance may lead to government collapse and political unrest. Such instability can cause insecurity, espe-
cially if there is a possibility of a government being ousted and replaced by another government that holds
completely different political and economic views.
Similarly, a communist government in a capitalist economy is also not favorable.
2. Gross Domestic Product (GDP) Data
GDP data measures the value of economic activity within a country and hence it is often termed as the
size of the economy of the country. It is one of the primary indicators used to gauge the health of a country's
economy.
Growth Rate of GDP is expressed as a comparison to the previous quarter or year.
When there is expansion in GDP, increase in GDP growth rate or GDP growth rate is above consensus
or market expectations, corporate earnings tend to increase, which leads to overall bullishness in stock
market. The inverse happens when there is contraction in GDP, GDP growth rate declines or GDP growth
rate is lower than consensus or market expectations.
Looking at just one year period does not help much. We have to see data of past few years and also see
what the long-term growth prospects are.
3. Index of Industrial Production (IIP) Data
Index of Industrial Production (IIP) is a composite indicator that measures the change in the volume of
production of a basket of industrial products during a given period with respect to the volume of production
in a chosen base period.
Currently, IIP data is calculated and released every month by CSO (Central Statistical Office) and the
base year for the current series of IIP is 2011-12 while the base year value is 100.
Rather than the actual number, the annual growth rate of IIP is keenly watched by economists and
market participants. IIP Data helps us to understand the general level of industrial activity in the economy.
Just like GDP growth rate, when IIP growth rate is above consensus or market expectations, corporate
earnings increase, which leads to overall bullishness in stock market. The situation is opposite when there
is contraction (de-growth) in IIP, IIP growth rate declines or IIP growth rate is lower than consensus or
market expectations.
Next week we will see other economic factors like Inflation and Interest Rates and how they
affect stock market. To learn Fundamental Analysis you can read the book Fundamental Analysis of
Shares by Ankit Gala & Khushboo Gala. Book is available in English.
Financial Weekly

SMART 1st December to 7th December 2019 6

INVESTMENT

YES Bank Board takes up

preferential allotment plan
By Vijaya Kittu M, GetPaidIndia.com
The author feels that crisis-hit banks are good for patient long-term investors. He is on WhatsApp
at +91 98495 19188.
Fund starving YES Bank is in the news after having received overwhelming offers for capital
infusion in the Bank by individual entities. The bank disclosed having received aggregative fund-
ing of a total of $2 billion from separate sources. These include a $120 M from a top tier US fund
house whose name would be disclosed next week. A $50 M commitment came from Discovery
Capital and $30 M came Ward Ferry. All these three investors are institutional investors.
From family offices segment, a $25 M offer came from Aditya Birla Family Office, $500 M from
Citax Holding Ltd &Citax Investment Group, $50 M from GMR Group and Associates, $1200 M
from Erwin Singh Braich / SPGP Holdings and $25 Mn from Rekha Jhunjhunwala. With discus-
sions still going on, the binding term sheet date with Erwin is extended till December 31, 2019.
The Board decided to do preferential share allotment such that none of the investors will hold 25
percent holding in the company. The board will reconvene on December 10 to approve the allot-
ments and convene an extra-ordinary general body meeting to take the approval from the share-
holders. The allotments are of course, subject to the approval of the regulators.
Early media reports say that RBI might not be keen on allowing any single entity to have more
than 15 percent voting rights in the company, and hence the deal with Erwin would be difficult to go
through. HDFC Mutual Fund is also reported to have shown interest in capital infusion in the bank.
Earlier in August 2019, the Bank successfully did a QIP for Rs. 1930 crores. The bank was clear
that the capital infusion is done to improve the retail franchise and for its future growth. Expose to
real estate and few stressed companies/groups has spiked up the bad loans book. The divergence
report issued by RBI reported even more stress than what the bank reported in its quarterly results.
With a series of news rolling out in the counter, the share price has doubled in the last two
months and made 15 percent in the last four trading sessions. The volatile moves are primarily
because of the various speculative news making rounds. Edelweiss Securities, in its Bravehearts
report, has given a target of Rs. 101 for the stock which is at almost 40 percent above the current
levels.
Considering the risks and opportunities, the bank stock is suitable only for high-risk takers only
with at least 3-year view.

Avoid financial accidents! Become an empowered investor

Learn the Art of Investing by attending our learning session near you.

Mumbai (6, 7 & 8 Dec.); Delhi (5 Jan 2020)

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Financial Weekly

SMART 1st December to 7th December 2019 7

INVESTMENT

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Financial Weekly

SMART 1st December to 7th December 2019 8

INVESTMENT

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Financial Weekly

SMART 1st December to 7th December 2019 9

INVESTMENT

Rapid Fire Stocks

Kalpna J (Email- [email protected])

(Ring : 97690 37711) Twitter : @Kj_TechTrades

Axis Bank (Buy at CMP : 739)

Target - 930 to 985 ,SL- 623, Time Frame 5 to 24 Months ( Add in All Dips )
Axis Bank is the third largest private sector bank in India. The Bank operates in four segments, namely
treasury, retail banking, corporate/ wholesale banking and other banking business. Axis Bank was incor-
porated in the year 1993 with the name UTI Bank Ltd. Axis Bank is one of the first new generation private
sector banks to have begun operations in 1994. The bank was promoted in 1993, jointly by Specified
Undertaking of Unit Trust of India (SUUTI) (then known as Unit Trust of India), Life Insurance Corporation
of India (LIC), General Insurance Corporation of India (GIC), National Insurance Company Ltd., The New
India Assurance Company Ltd., The Oriental Insurance Company Ltd. and United India Insurance Com-
pany Ltd.
The treasury operations include investments in sovereign and corporate debt, equity and mutual funds,
trading operations, derivative trading and foreign exchange operations on the account, and for customers
and central funding. Retail banking includes lending to individuals/small businesses subject to the orienta-
tion, product and granularity criterion. It also includes liability products, card services, Internet banking,
automated teller machines (ATM) services, depository, financial advisory services, and non resident Indian
(NRI) services. The corporate/wholesale banking segment includes corporate relationships not included
under retail banking, corporate advisory services, placements and syndication, management of publics
issue, project appraisals, capital market related services, and cash management services. The Banks
registered office is located at Ahmedabad and their Central Office is located at Mumbai. With 3,485 domes-
tic branches (including extension counters) and 14,332 ATMs across the country as on 30 September
2017, the network of Axis Bank spreads across 2,033 cities and towns, enabling the bank to reach out to a
large cross-section of customers with an array of products and services. The bank also has nine overseas
offices with branches at Singapore, Hong Kong, Dubai (at the DIFC), Shanghai and Colombo; representa-
tive offices at Dubai, Abu Dhabi and Dhaka and an overseas subsidiary at London, UK.The Bank has five
wholly-owned subsidiaries namely Axis Securities and Sales Ltd, Axis Private Equity Ltd, Axis Trustee
Services Ltd, Axis Asset Management Company Ltd and Axis Mutual Fund Trustee Ltd
A consumer and specialities chemical company Pidilite Industries Limited (Pidilite) was incorporated on
28th July 1969. Pidilite is the market leader in adhesives and sealants, construction chemicals, hobby
colours and polymer emulsions in India. Its brand name Fevicol has become synonymous with adhesives
to millions in India and is ranked amongst the most trusted brands in India. The Company's product range
includes Adhesives and Sealants, Construction and Paint Chemicals, Automotive Chemicals, Art Materi-
als, Industrial Adhesives, Industrial and Textile Resins and Organic Pigments and Preparations.
Cont...
Financial Weekly

SMART 1st December to 7th December 2019 10

INVESTMENT

Pidilite (Buy at CMP 1303)

(Target of 1500 to 1777) Time frame - 5 months to 18 Months, SL - 1090

Cont...
Financial Weekly

SMART 1st December to 7th December 2019 11

INVESTMENT

Dominant Market Position

Pidilite enjoys leadership position in adhesives and industrial chemical market with 70% mar-
ket share. The Company’s brand name ‘Fevicol’ has become synonymous with adhesives in In-
dia. The Company operates around the world in North America, South America, South East Asia,
Middle East and Africa.
The high market share is attributable to a wide range of high quality products and a strong
dealer network. The Company operates through 15 overseas subsidiaries, 19 manufacturing fa-
cilities in India and international manufacturing facilities in Thailand, Singapore, Dubai, Brazil, US,
Egypt and Bangladesh. The Company exports to more than 80 countries. In addition, Pidilite is
constantly adding new products and dealers to maintain its market share. The Company has intro-
duced several new product brands like Woodlok, Roff, and Smartcare catering to construction,
healthcare and hospitality segments.
Retail Network & Distribution
Pidilite has a robust distribution network of more than 4,000 distributors servicing more than
400,000 dealers/retailers and 4,000 industrial customers. Pidilite has created strong relations with
the intermediaries like contractors, carpenters, plumbers, painters, ensuring customer stickiness.
Pidilite enjoys strong pricing power due to its diversified product mix, prominent brands and exten-
sive distribution network.
Flourishing International Operations
Pidilite has considerable presence in the global markets with 15 overseas subsidiaries includ-
ing those having manufacturing and selling operations in USA, Brazil, Thailand, Dubai, Egypt and
Bangladesh.
****

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Financial Weekly

SMART 1st December to 7th December 2019 12

INVESTMENT

Smart SME Stocks - Dilip K. Shah

SME Stocks worth Keeping in Mind

Innovators Facade (Rs. 33.00) (BSE Code: 541353) (Market Lot: 1,600
shares) :- Maharashtra-based Innovators Facade Systems is engaged in designing, engineer-
ing, fabrication and installation of façade systems. It offers total solutions for façade installation in
complex projects, and has completed residential buildings, commercial complexes, IT parks, etc.
so far. It has a manufacturing facility at Wada in Maharashtra. The company had raised Rs. 40.7
crores by issuing shares at Rs. 72 apiece in May 2018. The shares had got listed at Rs. 75, but they
have been on a decline since. The shares touched a 52-week high of Rs. 63 and low of Rs. 23. The
stock can be seen crossing the 52-week high price in the coming days.
Ahlada Engineers (Rs. 51.50) (NSE SME) (Market Lot: 1,000 shares) :-
This Hyderabad-based company makes steel doors, windows, and frames. It had signed a Master
Manufacturing and Supply Agreement with Tata Steel in August 2017 to supply decorative and
wood-finished doors. The company had issued shares at Rs. 150 apiece in September last year,
and the shares were listed at Rs. 141. The share fell sharply to touch 52-week low of Rs. 38.
Current can be seen in the stock going ahead.
Felix Industries (Rs. 15.00) (NSE SME) (Market Lot: 4,000 shares) :-
Ahmedabad-based Felix Industries works in environment conservation and offers solutions and
services for water & waste water engineering, e-waste recycling, etc. The company had raised Rs.
4.79 crores by issuing shares at Rs. 35 apiece in November 2017. The shares were listed at Rs.
35.50, but fell steadily to the current levels. The share touched a 52-week high of Rs. 25 and low of
Rs. 14. Investors can consider this stock with a long-term view.

Disclosures as per SECURITIES AND EXCCHANGE BOARD OF INDIA (Research Analysts) Regulation, 2014; • I and / or my clients may have investment in this
stocks • I/My family have no financial interest or beneficial interest of more than 1% in the company whose stocks I am recommending • Stop loss is useful for Short
/ Medium Term investor Only • Smart Investment will not be responsible / liable for any loss arising out of investment based on tis advices • Past performance may or
may not be substainedin future " (Dilip K. Shah) Research Analyst : SEBI Regn No. : INH000002152
Financial Weekly

SMART 1st December to 7th December 2019 13

INVESTMENT

SMART
BUY OF THE WEEK
Dark Horse

KILPEST INDIA
(532067) (84.7) (Face Value Rs.10)
KILPEST is one of India's leading Agri-based companies, established in the year 1972. It was
the only pesticide formulating company in the entire region of Madhya Pradesh in 1970s. The

Particulars Half Year Ended company has now grown over the years and is leading
H1FY20 H1FY19 % Var. today in Central India and manufactures about 50 pesti-
Sales 15.26 11.96 28 cide products, microfertilizers, biofertilizers and
PBT 4.74 3.25 46 biopesticides. Kilpest has representation in India in the
PAT 3.27 2.30 42 field of agriculture business comprising crop protection,
public health products and bio-products and is reputed
Month of Latest High May 2018 reliable supplier to various Govt. organizations. The com-
pany has nationwide distribution network of over 2000
High price 179.2
dealers. The company has diversified manufacturing in
CMP 84.7 the field of micronutrients, bioproducts and plant growth
Discount from high 53% regulators etc. The company is also exporting its prod-
ucts to Bangladesh and Afghanistan.
Company is looking very interesting play in diagnostics space. Diagnostic business is growing
at 50% CAGR. Company's subsidiary 3B blackbio biotech is a leading player in diagnostic indus-
try with 50% net profit margins. This business can be a game changer for this Company.
It has an equity base of just Rs.7.49crore that is supported by reserves of around Rs.22.70crore.
The Promoters hold 37.87% while the investing public holds 62.13% stake in the company.
During H1FY20, PAT grew 42.17% to Rs.3.27crore from Rs.2.30crore on 27.59% higher sales
of Rs.15.26crore fetching an EPS of Rs.4.89.
Currently, the stock trades at a P/E of just 9x. Its recent high rate was Rs.179.2 which was
formed in May 2018. Stock almost corrected 53% from recent high.
Investors can accumulate this stock with a stop loss of Rs.73. It may give very good returns in
medium to long term.

Cont...
Financial Weekly

SMART 1st December to 7th December 2019 14

INVESTMENT

Elecon Engg.
(505700 & NSE) (34.4) (Face Value Rs.2)
Elecon Engineering Company Limited is one of Particulars Qtr. Months Ended
Asia's largest gear manufacturing Company with vast Q2FY20 Q1FY20 % Var.
experience of about six decades and significant busi- Sales 266.16 271.38 -2
ness presence in India and abroad. The Company PBT 12.45 1.38 802
designs and manufactures worm gears; parallel shaft PAT 9.77 0.45 2071
and right-angle shaft; helical and spiral level helical
gears; fluid geared and flexible couplings, as well as Month of Latest
planetary gear boxes. The Company also manufactures High December 2017
material handling equipment, mining equipment, cast- High price 113.5
ing processes amongst others. The Company was in- CMP 34.4
corporated in 1960 by Shri Ishwarbhai B Patel and has Discount from high 70%
its headquarters in Vallabh Vidyanagar, Gujarat.
It has an equity base of just Rs.22.44 crore that is supported by reserve of around Rs.749.81
crore. The promoters hold 58.93% while the investing public holds 41.07% stake in the company.
Promoters increased their stake by 0.25% during Q2FY20 which is positive sign.
For Q2FY20, it posted 2071% higher PAT of Rs.9.77 crore on sales of Rs.266.16 crore and an
EPS of Rs.0.87 on Quarter to Quarter basis.
Currently, the stock trades at a P/E of 17x and at 70% discount to its recent high of Rs.113.5
recorded in December 2017.
During Q2FY20, company booked orders worth Rs.135.07 Crores in gear business. This trans-
lates to an order backlog of Rs.737.63 Crores for execution in the near to medium term. In the
material handling business, company closed orders worth Rs.46.70 Crores. The pending order
book for MHE business now stands at Rs.514.48 Crores.
Commenting on the Company's performance for Q2FY20, Mr. Prayasvin Patel, CMD said "We
are pleased to report healthy performance in this quarter with improvement in margins and profit-
ability as compared to the preceding quarter. We are witnessing revival in demand scenario and
are confident of positive performance in the future led by strong execution and better product mix.
We continue to be on track in terms of reduction of debt and recovery of old receivables."
Investors can accumulate this stock with a stop loss of Rs.28. It may give very good returns in
medium to long term.

Financial Weekly
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Financial Weekly

SMART 1st December to 7th December 2019 15

INVESTMENT

Stock Buzz
Subramanian Mahadevan
[email protected]

Kesoram Industries Limited (Rs.60)

Demerging for Revival!
Kesoram Industries (Kesoram) - Kolkata based company, part of B K Birla Group is into produc-
tion ranges from tires to cement to rayon with three major divisions - Birla Tyres, Birla Shakti Ce-
ment and Kesoram Rayon.
CementDivision - Its cement division is located near the limestone deposits of Sedam and
Basantnagar and Birla Shakti's two cement manufacturing plants have a total combined capacity
of 7.25 million metric tonnes, making it one of the leading cement manufacturers in the region.
Sometime in 2015, debt ridden Kesoram has sold one of its loss making tyre plants at Laksar
(Haridwar) for Rs 2,200 crore to JK Tyre to reduce the debt significantly, which currently stands at
about Rs 3620 crore (March 2018).
TyreDivision- Aiming for a turn around, company has proposed to demerge its tyre business -
Birla Tyres Limited (BTL) and list it as a separate companyon the bourses by July 2019. The
demerged tyre entity which has an annual revenue of around Rs.1500 crore is likely to bear a debt
of ?500-1,000 crore, while the cement business is likely to have a debt of around ?2,600crore.
Food packaging solution - Kesoram Rayon, a unit of Cygnet Industries, a wholly-owned subsid-
iary of Kesoram Industries, has been in the business of transparent paper since 1961 primarily for
use in industrial segment. The company has relaunched an environment-friendly food packaging
solution 'Kesophane' aimed at the retail segment.
Cygnet Industries, which has three business divisions including rayon, chemicals and transpar-
ent paper, is expecting to clock a turnover of ?350 crore by the end of this fiscal.With the launch of
Kesophane biodegradable cellouse transparent films, the company is expecting to cross ?400
crore revenue by next fiscal. Rayon business contributes about 60 per cent to its annual turnover,
while transparent paper has a share of 30 per cent with the remaining coming from chemicals.
Conclusion - After more than six consecutive quarterly loss, Kesoram has reported net profit of
Rs. 20.75 crore in the quarter ended March 2019 as against net loss of Rs 158.17 crore during the
previous quarter ended March 2018. Sales rose 5.20% to Rs 1036.58 crore in the quarter ended
March 2019 as against Rs 985.33 crore during the previous quarter ended March 2018. Low risky
bet at current level considering huge underlying asset in the form of 7.25 million tonne capacity
profitable cement business coupled with a consumer facing brand business - Birla Tyres, both
available at the market cap of 983 crore that too before demerger. Stock has the potential to deliver
100% returns for sure from a two year perspective.
Financial Weekly

SMART 1st December to 7th December 2019 16

INVESTMENT
Jatin Sanghavi
Market Scan (Mumbai)
(M) 098205 26455
[email protected]

MID-CAP RALLY TO GATHER PACE

NIFTY @ LIFE-HIGH :- Nifty registered an Opening White body Marubuzo on the weekly chart
which was a confirmation for the Tri-Star formation. This acted as a confirmation for the resumption
of Uptrend after a small sideways consolidation of three weeks. In the near term, Nifty is headed
towards Bullish Flag Target of 12338. Nifty has been in an Uptrend for a long time but the same
cannot be said for the Mid-Cap indices. As a matter of fact, the benchmark Mid-Cap100 index has
finally given a consolidation breakout in the form of a Weekly Falling Wedge. Hence it won't come
as a surprise if the Mid-Caps massively outperform the large caps after a gap of nearly three years.
TECHNICALLY SPEAKING :- Sensex opened the week at 40439, made a high of 41163, low

of 40393 and closed the

week at 40793. Thus it
closed the week with a
gain of 434 points. At the
same time the Nifty opened
the week at 11922, made a
high of 12158, low of 11919
and closed the week at
12056. Thus the Nifty
closed the week with a
gain of 142 points.
On the daily charts, both
Sensex and Nifty have
formed an Opening Black
body Marubuzo. On the This Weeks Recommendations
weekly charts, both the in- Rec. Name CMP SL TGT-1 TGT-2
dices have formed an
Opening White body Buy Pfizer 4140 4062 4262 4389
Marubuzo. This comes on Buy PVR 1811 1775 1865 1921
the back of weekly Tri-Star
Buy ICICI Lom. 1362 1334 1405 1449
pattern and is acting as a
confirmation for the con- Buy TataGlobaL 323 316 334 346
tinuation of Uptrend. Thus Buy Hindalco 200 195 208 217

:::: INDEX LEVELS ::::

S3 S2 S1 CLOSE R1 R2 R3
NIFTY 11694 11802 11945 12056 12158 12266 12391
SENSEX 39638 40026 40392 40793 41163 41467 41918
Cont...
Financial Weekly

SMART 1st December to 7th December 2019 17

INVESTMENT

daily candlestick study suggests a consolidation with a slight bearish bias, whereas the weekly
study suggests buying every dip as it indicates strong bullishness.
After a rare Tri-Star formation, both the indices made an Opening White body Marubuzo which
indicates that the Uptrend has resumed. In the near term time-frame, we are headed towards Bull-
ish Flag target of Sensex 41437 and Nifty 12338, with the Failure point being a close below Sensex
38718 and Nifty 11490. On an intermediate time-frame chart, a Bullish Cup & Handle got com-
pleted whose target is at Sensex 42895 and Nifty 12751. Failure point is a close below Sensex
37415 and Nifty 11090.
In case of any decline, Nifty will find strong Support at the short term average of 20dma which is
at 11964. In a high intensity correction, Market will move lower towards the strong Support Zone of
Sensex 39569-39426 and Nifty 11734-11694. Thus any decline in the Market should be treated as
a Buying opportunity.
This week, both the indices closed above the short term average of 20dma (Sensex - 40513 and
Nifty - 11964), medium term average of 50dma (Sensex - 39310 and Nifty - 11638) and the long
term average of 200dma (Sensex - 38349 and Nifty - 11437). Thus the Trend in the short term,
medium term as well as long term Timeframe remains Upwards.
MACD continues in Sell mode, whereas Price ROC is both positive and in Buy mode. RSI (61)
suggests Bullish momentum. Stochastic Oscillator %K (86) is above %D and hence is in Buy mode.
ADX (30) suggests UpTrend is strong. Directional Indicators are in Buy mode as +DI is above -DI.
MFI (55) suggests Positive Money Flow. OBV continues to make higher top, higher bottom forma-
tion. Thus majority of Oscillators are suggesting a Bullish bias.
Options data for December series indicate highest Call Open Interest at 12500 and the highest
Put build-up at the strike of 12000. Thus Options data suggests a trading range with resistance at
12500 and support at 12000.
Financial Weekly

SMART 1st December to 7th December 2019 18

INVESTMENT

Jignesh R Mehta
(SEBI Registered Research Analyst)
E-mail : [email protected]
Website : www.KiranJadhav.com
Phone: 9327 11 3344 / 9328 11 33 44
Twitter: @jigneshrmehta

Still elevated range for bourses

We couldn't write our article for last week however, our views on north side breakout a
week before last week played well. Our markets, as per our view, continuously showed a
positive momentum & showed a good move until last day of the concluded week. The down
move of Friday suggests some consolidation and we should therefore watch out for the lower
supports on the market. The same supports on Nifty are at 11800 and on Nifty Bank are at
31050. We still believe that the EMA structure of market suggest elevated range for market
and hence upside resistances for Nifty and Bank Nifty are 12300 and 32400 respectively.

Amara Raja Batteries (750.65),

NSE: AMARAJABAT
SECTOR: AUTO ANCILLARIES

Cont...
Financial Weekly

SMART 1st December to 7th December 2019 19

INVESTMENT

Amara Raja Batteries (750.65),

NSE: AMARAJABAT
SECTOR: AUTO ANCILLARIES
Price moving in a specific channel i.e. in a parallel range for more than five
years after a similar years of prior uptrend is an astounding proposition on
chart. Such is the opportunity that we found out today in the form of
AMARAJABAT chart today. Daily Chart of AMARAJABAT is attached herewith
and as can be seen from the charts, up trend that started in 2012 ran until mid
of 2015. That was about 3 and half year of relentless uptrend. After an uptrend,
price went in to the channel and this channel was very interesting as it was
down trending one. This was just consolidation and such a channel creates a
great price resolve to rise further in a supreme way. At this instance, price
consolidation is almost about 4 years and even more. Due to out IT Delight
method way, we have been able to find out that price is ready to break the
channel quite early. It is because, long term EMAs have started to spread in
bullish way along with short term EMA group doing the same by staying above
long term group. We believe that up trending support line is fine and hence it
should be treated as current support. Any newer and steeper lines would be
our trailing stop loss. So for the current price in the stock the current stop loss
is placed at 600.00. If your financial advisor is ready to keep such a SL, you too
can venture in to this stock for the target of 1250 in one and half year or so.
Jignesh R Mehta
SEBI Registered Research Analyst
www.kiranjadhav.com
[email protected]
Phone: 9327 11 33 44 / 9328 11 33 44
Twitter: @jigneshrmehta
Disclosers : Views expressed in this article/articles are personal opinion of
Author and it does not constitute an offer to buy or sell securities mentioned
herein. Enough care has been taken before arriving at these data, figures &
charts, however, readers are advised to do their own assessment before tak-
ing any actions in the market. The author and his company does not take any
responsibility for any results that may arise out of using this information.
***
Financial Weekly

SMART 1st December to 7th December 2019 20

INVESTMENT

TECHNICAL TALK Dhananjay Kadam

TECHNICAL ANALYST, M. 7588622374

LAST WEEK’s UPDATE-: In last week’s article we have given two steel
companies JINDAL STEEL & KALYANI STEEL
JINDAL STEEL was given at 144 and it made a high of 166.40 our target is 180 and stop loss is
138
KALYANI STEEL was given at 224 and it made a high of 233 our target is 253 and stop loss is
215
Both stocks are currently up from our recommend level, hold both stocks for given target and
always use TSL once your position comes in profit. Never let your trading profit turn into a loss!!!

CUPID LTD - Closing Price 201.15

Cupid Limited (A leading manufacturer & supplier of quality Male condoms, Female Condoms
& Water based Lubricant Jelly) was incorporated as a Public Limited Company in 1993 with the
Registrar of Companies, Maharashtra and listed on BSE (Bombay stock Exchange) in 1995 and
on NSE (National stock Ex-
change) in 2016.
Companies modern facility has
a current capacity of over320 mil-
lion pieces for Male Condoms , 52
million pieces of the Female
Condoms & 210 million sachets
of Lubricant Jelly per annum. Its
manufacturing facility is located at
Sinnar near Nashik. It is the first
company in the world to obtain
Pre-qualification status from
WHO/UNFPA for supply of both
Male & Female condoms. Cupid
Ltd. has an active R&D center in
addition to its main production fa-
cility. Cupid ltd. works with
healthcare professionals, governments and organizations to support them in promoting good sexual
health and the importance of consistent condom use to prevent HIV and other STDs.
Now as per chart pattern from 13/03/2019 23/10/2019 CUPID was Trading in a channel of 105
to 150, And on 23/10/2019 it gave massive range breakout candle with 30x volume as compared to
previous day which shows more positiveness from that day stock was in uptrend till 11/11/2019
and gave 103 points striaght upmove after this huge rally stock went to consolidation zone for
some days and again on 28/11/2019 it gave breakout of that consolidation with 4x volume and that
creates Bullish Flag Pattern
So as per this pattern you can buy this stock for following Targets
CLOSING PRICE -: 201, STOP LOSS -: 189, TARGET -: 272 - 283, TIME FRAME -: 15 -
20 DAYS , RR RATIO - : 1:5, (MAINTAIN SL ONLY ON DAILY CLOSING BASIS)
Financial Weekly

SMART 1st December to 7th December 2019 21

INVESTMENT

PFIZER LTD - Closing Price 4140

Pfizer Limited is an India-based pharmaceutical company. The Company has a portfolio of ap-
proximately 140 products across over 15 therapeutic areas. The Company is engaged in manufac-
turing, marketing, trading and ex-
porting pharmaceutical products.
The Company has its own manufac-
turing facility at Thane and Goa.
Now as per chart pattern From 10/
10/2019 stock made huge upward
rally from 3095 to 4141 and then
went in consolidation zone for 20
Days. Now on 29/11/2019 stock
gave massive breakout candle to
complete Bullish Flag Pattern
So as per this pattern you can buy
this stock for following targets
CLOSING PRICE -: 4140, STOP
LOSS -: 4080, TARGET -: 4983,
TIME FRAME -: 20 DAYS, RR RA-
TIO - : 1:10+, (MAINTAIN SL ONLY ON DAILY CLOSING BASIS)

BUY.... BUY....BUY TIPS OF THE WEEK

Co. Name Code Price Co. Name Code Price
NCC 500294 59.00 Ujjivan Fin. 539874 338.00
First Source 532809 41.00 Persistent Sys. 533179 684.00
IDFC First Bk. 539437 46.00 ICICI Lom. 540716 1366.00
BOB 532134 105.00 APL Apollo 533758 1564.00
Federal Bank 500469 89.00 PVR 532689 1813.00
Hindalco 500440 200.00 Divis Labs. 532488 1786.00
Tata Global 500800 323.00 Future Retail 540064 339.00
ITI 523610 91.00 Pidilite 500331 1303.0
L&T Fin. 533519 120.00 DLF 532868 219.00
Adani Trans. 539254 309.00 I.B. Hsg. Fin. 535789 290.00
Supreme Ind. 509930 1149.00 PFIZER 500680 4154.00
Bharti Airtel 532454 442.00 Minda Ind. 532539 345.00
Balkrishna Ind. 502365 925.00 3M India 523395 22247.00
Financial Weekly

SMART 1st December to 7th December 2019 22

INVESTMENT

Techno Funda Sachin Shah : 9372144204

(Mumbai)

sound stocks [email protected]

YES BANK Ltd

(532648 & NSE) (68.3) (FV 2)
Last time on 21st January 2019, I recommended YES BANK at Rs.198.25 with target price of
270. It zoomed to 286 level on 3rd April 2019 and achieved my targets. Now again I feel that
worst is over for Yes Bank so I recommend Yes Bank for investment purpose.
YES BANK, India's fourth largest private sector bank is a high quality, customer centric and
service driven Bank. YES BANK is a 'Full Service Commercial Bank' providing a complete range
of products, services and technology driven digital offerings, catering to corporate, MSME &
retail customers. YES BANK operates its Investment banking, Merchant banking & Brokerage
businesses through YES SECURITIES and its Mutual Fund business through YES Asset Man-
agement (India) Limited, both wholly owned subsidiaries of the Bank. Headquartered in Mumbai,
it has a pan-India presence across all 28 states and 9 Union Territories in India including an IBU
at GIFT City, and a Representative Office in Abu Dhabi.
Change in CEO and cleaning up of balance sheets with consistent fund raisers gives clarity of
intentions of growth and corporate governance from the new CEO and his team. Worst is over for
YES BANK. Bank is going to raising 2 billion $ funds which will change its fortune.
Technical Observations : Technically speaking, stock bottomed out at 29 and moved up
sharply to 80 in October showing strength in price action. The stock is now trading above its
5,10,20,50 day SMA and EMA. The stock can bought at 68 with targets of 82 and 114 within 3
months and 12 months respectively.

Cont...
Financial Weekly

SMART 1st December to 7th December 2019 23

INVESTMENT

J B CHEMICALS & PHARMACEUTICALS

(506943 & NSE) (396.25) (FV 2)
JBCPL, one of India's leading pharmaceu- Q2FY20 Q2FY19
Sales 428.12 crore Sales 404.20 crore
tical companies, manufactures & markets a PAT 95.96 crore PAT 51.44 crore
diverse range of pharmaceutical formula- Sales Growth 5.92% PAT Growth 86.55%

tions, herbal remedies and APIs. JBCPL ex-

ports to many countries worldwide with presence in US, Europe, Australia, South Africa, other
developing countries, Russia and CIS. The Company continues to invest in growing its share in
the regulated markets such as USA, Europe and Australia. JBCPL has a strong R&D and regu-
latory set-up for development of new drug delivery system and formulations, filing of ANDAs and
DMFs. Its State-of-the-Art manufacturing facilities are approved by health authorities of impor-
tant regulated markets.
Technical Observations : The stock is trading above its 10, 20, 50, 100 and 200 day moving
averages and in buy mode on ADX, MACD, PSAR and SUPER TREND on weekly and monthly
charts. The stock trading at 396 can be bought at CMP and on dips with a target of 475 over the
next 12 to 15 months.
Financial Weekly

SMART 1st December to 7th December 2019 24

INVESTMENT

Terrific Shots - Dilip K. Shah

Ratnamani Metal (Rs.985.00) (Code:520111) :- Shares of this B Group listed com-

pany touched a 52-week high of Rs. 1030 and low of Rs. 780. Ratnamani makes tubes and pipes,
which are used in chemical, petrochemical, refinery, thermal power, oil & gas, water distribution,
aeronautics, food & dairy, and other sectors. Its equity is only Rs. 9.35 crores, whereas reserves
are to the tune of Rs. 1,513.41 crores. Promoter holding is 60.09%, FII holding 11.26%, and DII
holding 9.54%. In the second quarter of 2020, the company's income decreased from Rs587.67
crore to Rs610.33 crore , while profit increased from Rs62.73 crore to Rs76.43 crore with EPS of
Rs16.36. Lower commodity prices will boost its profits. The stock can be included in the portfolio
with a long-term view.

Thyrocare (Rs.449.00) (Code: 539871) :- The company set up in 2000 has pan-India
presence in diagnostic segment. In September quarter, the company's income increased from
Rs103.88 crore to Rs116.24 crore, while net profit increased from Rs25.26 crore to Rs35.05 crore.
The stock is being quoted at P/E of 28 which is quite lower than the peers. The listed companies in
the sector are witnessing bullish trend. The stock seem attractive at current price. The floating
stock is very less so stock is good option for investment in phased manner.
Mahindra CIE (Rs152.00) (Code:532756) :- M&M Group's forging company got
merged with foreign company CIE in 2013. It manufactures equipment. It is one of the leading truck
forging suppliers in Europe and supplies engine excels and iron casting and automotive magnates
in India. The company is moving towards turnaround position slowly after the merger with CIE.
Mahindra Group is ready to pump in more money once again. As against equity of Rs378.78 crore,
the company has reserves of Rs3910.30 crore. The company follows calendar year as financial
year. In Septemberquarter, the company's income decreased from Rs652.41 crore to Rs471.42
crore, while it recorded losses of Rs32.59 crore as against profit of Rs42.58 crore in the corre-
sponding period. However, the losses are higher due to one time loss of Rs26.89 crore. Moreover,
the slowdown in the market has also affected the performance of the company. As the stock seems
attractive after correction it can be considered for investment.

Jay Bharat Maruti (Rs.237.00) (Code:520066) :- Auto parts and equipment com-
pany is flagship company of JBM Group in which Maruti Suzuki owns 29.28% stake. It supplies
majority of its products to Maruti Suzuki. In September 2019, the company's income witnessed dip
of 25.24% at Rs410.97 crore, while profit decreased by 79.43% at Rs3.38 crore. The company's
equity is Rs10.83 crore, debt is Rs348.64 crore, market cap is Rs514.19 crore, book value is
Rs186.63. It paid 50% dividend last year. The stock is being quoted at attractive P/E of 13. The
valuation is attractive.

Disclosures as per SECURITIES AND EXCCHANGE BOARD OF INDIA (Research Analysts) Regulation, 2014; • I and / or my clients may have investment in this
stocks • I/My family have no financial interest or beneficial interest of more than 1% in the company whose stocks I am recommending • Stop loss is useful for Short
/ Medium Term investor Only • Smart Investment will not be responsible / liable for any loss arising out of investment based on tis advices • Past performance may or
may not be substainedin future "
(Dilip K. Shah)
Research Analyst
SEBI Regn No. : INH000002152
Financial Weekly

SMART 1st December to 7th December 2019 25

INVESTMENT
Sarvesh Ashok Trivedi
Stock Wave (Mumbai) (Mob) 09820728124
www.chartsanketstock.com

Market is Overbought
Be cautious on sudden spurt
BSE Index (40359.41) :- It is moving upward from bottom of 37415.83. It shows over-
bought position on daily, weekly and monthly basis. On upward movement, beyond 40390 it may
go up to 41164 and 41400. On the downward movement, below 40664 it may indicate weak senti-
ments below 40550. Market is highly overbought so new buying is not advisable.
Nifty Future (12092.90) :- It is moving up from bottom of 11113.75. It shows overbought
position on daily, weekly and monthly basis. On upward movement, beyond 12117 it may go up to
12141, 12175 and 12240. On the downward movement, below 12050 it may indicate weak senti-
ments below 11985 level.
Bank Nifty Future (31990.00) :- It shows upward movement from bottom of 27652.20. It
shows overbought position on daily and weekly basis, while towards overbought position on monthly
basis. On upward movement, beyond 32015 it may go up to 32148 and 32430. On the downward
movement, below 31700 it may indicate weak position below 31450 and 31400.
JSE Steel (261.60) :- It is moving upward from bottom of 206. It shows overbought position
on daily and weekly basis, while neutral position on monthly basis. On upward movement, beyond
269 it may go up to 275 and 282. It may get support at 252 on downward movement.
LIC (462.60) :- It is moving upward from bottom of 353.85. It shows overbought position on
daily and weekly basis, while oversold position on monthly basis. On upward movement, beyond
471 it may go up to 480, 493 and 507. On the downward movement, below 451 it may get support
at 442.
LUPIN (799.95) :- It shows upward movement from bottom of 715.25. It shows overbought
position on daily and weekly basis, while neutral position on monthly basis. On upward movement,
beyond 813 it may go up to 834 and 855. On the downward movement, below 792 it may get
support at 782.
Shriram Transport (1127.20) :- It is improving from bottom of 1004.65. It shows neutral
position on daily basis, while towards overbought on weekly and monthly basis. On upward move-
ment, beyond 1165 it may go up to 1188, 1211 and 1235 level. On the downward movement,
below 1128 it may get support at 1117.
Sun Pharma (345.00) :- It shows improvement from bottom of 407.10. It shows towards
overbought position on daily basis. On upward movement, beyond 467 it may go up to 486, 507
and 530. It may get support at 445 on downward movement.
Disclosure : The Recommendations are based on technical analysis. There is a risk of loss in trading.

Golden quote
Life is really simple but,
We insist on making it complicated
Financial Weekly

SMART 1st December to 7th December 2019 26

INVESTMENT

Dilip Davda
e-mail Expert’s Eye
[email protected]

Another record making week

amidst all odds
Amidst all odds during the week, we witnessed record making of benchmarks in domestic mar-
kets as FIIs have turned bullish with continued pumping of funds in Indian Markets. According to
seasoned operators, market gave farewell to November expiry on expected lines with Nifty above
12K. Although market witnessed range bound activities for most part of the week, investors' darling
Reliance lead the rally and got support from Banking, Power and IT counters. No doubt side mar-
ket did not fared well as expected, but select fancy counters gained. Nifty and Sensex marked
closing above 12K and 40.7K levels and thus hinted at overheated market that is now overdue for
corrections. FIIs have pumped in over Rs. 17K crore (net) in markets so far in the month of Novem-
ber 2019.
For the week, we witnessed movements of benchmarks in the range of 12158.80 - 11919.75 for
NSE Nifty and 41163.79 - 40393.90 for BSE Sensex.
The derivatives expiry week ended with gains of 141.65 points for NSE Nifty and of 434.40
points for BSE Sensex.
Markets opened on a positive note on Monday, and remained in green zone to close with good
gains. NSE Nifty gained 159.35 points to close at 12073.75 and BSE Sensex scored 529.82 points
to end the day at 40889.23. While Nifty was at kissing distance for an all time high, Sensex marked
new highs. Banking counters lead the rally and got support from IT, FMCG, Pharma, Auto and
Metal counters. Fancy Mid and Small cap counters too witnessed surge on fresh buying support.
FIIs were the net buyers while DIIs were the net sellers for the day.
On Tuesday too markets opened on a positive note and Sensex opened above 41K. However,
as profit booking at higher levels dragged indices from the high of the day, benchmarks closed in
red. NSE Nifty lost 36.05 points to end the day at 12037.70 and BSE Sensex marked deficit of
67.93 points to close at 40821.30. While banking counters rallied, Consumer Durables, IT, Telecom
and Auto counters eased on profit bookings at higher levels. Mid and Small cap counters too were
hammered down at every rise. RIL made new high before correcting. Thus market witnessed both
side movements. FIIs were net buyers while DIIs were net sellers for the day.
With positive opening on Wednesday, benchmarks staged recovery with fresh buying support
for fancy index heavy weights. While NSE Nifty scored 63.00 points to end the day at 12100.70,
BSE Sensex gained 199.31 points to close at 41020.61. Thus both benchmarks closed at record
new highs. Rejuvenated hope for US-China trade war issue getting resolved amicably boosted
Bonus Announcement sentiment. Banking, Pharma, IT, Auto, Oil and Gas counters participated
Poojawester (1 : 1) in the rally. However, Capital Goods, Power counters eased on profit
Ex-Split bookings at higher levels. Mid and Small cap counters underperformed.
Ramasigns Ind. (2 for 1) FIIs and DIIs were the net buyers for the day.
With flat but positive beginning on Thursday indices moved both ways
Dividend
but closed the session in green. NSE Nifty gained 50.45 points to close
Announcements at 12151.15 and BSE Sensex scored 109.56 points to end the day at
Heidelberg Cement (15%)
Cont....
Financial Weekly

SMART 1st December to 7th December 2019 27

INVESTMENT
41130.17. Thus another new all time high closing was witnessed and that too on derivatives expiry
day. Reliance Ind. too scaled to a new high and got support from fancy counters in Banking, Oil
and Gas, IT, Power, Metal sectors. Even Mid and Small cap counters too rallied on bargain hunt-
ing. Both benchmarks posted new all time intraday and closing highs. FIIs were the net buyers
while DIIs were the net sellers for the day.
On Friday we marked divergent openings that finally closed in red on profit bookings at higher
levels in an overheated market. NSE Nifty posted deficit of 95.10 points to close at 12056.05 and
BSE Sensex lost 336.36 points to end the day at 40793.81. Banking, Oil and Gas, Power and
Telecom counters gained while Auto, Pharma, Metal and FMCG counters eased on profit book-
ings. Fear of poor GDP data kept operators on a selling spree to unwind their long position. Mid
and Small cap indices outperformed the benchmarks. FIIs turned net sellers while DIIs were the
net buyers for the day. According to seasoned observers, today's FIIs net sell position is perhaps a
pre-cursor for their movements in the month of December 2019 that propelled profit booking at
higher levels.
During the week under report dividend announcements came in from Heidelberg Cement (15%)
etc.
During the week bonus announcement came in from Poojawestern (1 for 1),
During the week scrip turned ex-split included Ramasigns Ind. (2 for 1).
Dollar moved in the range of Rs. 72.1 to Rs. 71.50 per dollar for the week. Brent Crude Oil
marked high of 64$ a barrel in midweek before settling around 62.7 $ a barrel. Now all eyes will be
on auto and cement sectors November 19 dispatches data. However, major trigger will come from
RBI's monetary policy meet that is scheduled on 05.12.19. Global cues will continue to impact the
general sentiment as usual. We will be entering in the final month of CY 2019 which will be critical
in the second half as FIIs selling may begin in that period. While FinMin has been making some or
the other announcements on finance related policies often, that is keeping operators on their toes
for a while. April-October fiscal deficit marking 102.4% of the annual budget data announced post
closure of markets. Even announcement of Sept. 19 quarter GDP at 4.5% (indicating decline for
the sixth quarter in a row) late Friday eve will have cascading impact on market sentiment.
This is an alarming situation and might have impact on markets when it opens for trades on Mon-
day.
Amidst such a scenario, benchmarks movement is likely in the range of 12300-11300 for NSE
Nifty and 41500-3970 for BSE Sensex for coming week.
DISCLAIMER : No financial information whatsoever published anywhere here should be con-
strued as an offer to buy or sell securities, or as advice to do so in any way whatsoever. All matter
published here is purely for educational and information purposes only and under no circumstances
should be used for making investment decisions. Readers must consult a qualified financial advi-
sor prior to making any actual investment decisions, based on information published here. Any
reader taking decisions based on any information published here does so entirely at own risk.
Above information is based on the details available as on the date along with market perceptions.
Investors should bear in mind that any investments in stock markets are subject to unpredictable
market related risks. (THE AUTHOUR IS SEBI REGISTERED RESEARCH ANALYST)
 Financial Weekly

SMART 1st December to 7th December 2019 28

INVESTMENT

Nifty & Sensex Movement during the last week

Nifty Open High Low Close Diff
25-Nov-19 11922.45 12084.5 11919.75 12073.75 159.35
26-Nov-19 12110.2 12132.45 12006.35 12037.7 -36.05
27-Nov-19 12068.5 12114.9 12055.15 12100.7 63
28-Nov-19 12132.1 12158.8 12099.95 12151.15 50.45
29-Nov-19 12146.2 12147.4 12017.4 12056.05 -95.1
Net Weekly Gains 141.65
BSE Sensex Open High Low Close Diff
25-11-19 40,439.66 40,931.71 40,393.90 40,889.23 529.82
26-11-19 41,022.85 41,120.28 40,710.20 40,821.30 -67.93
27-11-19 40,979.39 41,075.76 40,848.70 41,020.61 199.31
28-11-19 41,161.54 41,163.79 40,996.08 41,130.17 109.56
29-11-19 41,138.26 41,143.22 40,664.18 40,793.81 -336.36
Net Weekly Gains 434.40

Buy... Buy... Buy on Dips Hold Sell on High

Thyrocare 549.00 M&M 530.00
Lemon Tree 63.00 Va-Tech Wabag 174.00
HDFC 2295.00 Sun TV 482.00
HMT 15.00 Atul Auto 248.00
BEML 996.00 HPCL 282.00
Navneet Education 98.00 Ashoka Buildcon 96.00
Mahagar Gas 1043.00 RITES 280.00
I.B. Real 68.00 Bharat Dynamics 333.00
RBL Bank 373.00 Bajaj Auto 3176.00
Future Enterprise 26.00 Adani Green 137.00
ICICI Bank 511.00 Syndicate Bank 29.00
HOCL 15.05 Chambal Fert. 149.00
I.B. Hsg. Fin. 290.00 Vinati Organivs 1990.00
Birla Soft 69.00 Ugar Sugar 13.00
ICIcI Sec. 347.00 Tata Steel 27.00
Royal Orchid 68.00 Hexaware 339.00
Voltamp Trans. 1059.00 Jindal Steel 161.00
Equitas 105.00 KNR Const. 230.00
Financial Weekly

SMART 1st December to 7th December 2019 29

INVESTMENT
A. K. Asnani
(M) 9893512098
Smart Verc (Bhopal)
Author of Book
Way to Billionaire

Will your stocks ever revert back?

How to find if the share of the company you are invested-in, will revert back or not.
I analysed 19 companies randomly whose stock price fell more than 60% and found a few com-
mon things:-
1. 70% of companies had not paid any Dividend for the last year.
Dividend is the only cash that flows from the company to the shareholders as long as it is a
going-concern. Dividend indicates the liquidity position of the company to a great extent, though
not fully.
2. Management sounded confident statements when the first time some corporate governance
issues evolved.
Every company wants the damage to share price as small as possible. Promoter(s) lose money
in direct proportion to fall in the share price. Also, steeply falling share price sends a poor
signal to other stakeholders like Suppliers, Debtors, Creditors, Employees, other investors etc.
Don't rely solely on the management commentary, numbers should speak the same story. Also,
never forget to read the footnotes.

3. Retail investors raised their stake in 100% of the cases, while financial institutions reduced
considerably.
In almost all the cases Value fell much faster than Price. Retail investors are strongly focussed
on price. What retail investors don't realise is, it is the Value that counts. Price has to follow
Value sooner or later.
4. If your stock has fallen more than 60% from the peak during last 20 months then chances of
complete pull-back are remote.
Every stock has certain correlation with respect to the Index. Thus Reliance Industries has
close to 100% correlation with Sensex/Nifty. In stock parlance, this correlation is known by the
term 'Beta'. Stocks with 'Beta' close to 1 (Unity) move in the same proportion as the Index. Thus
if Index moves up by say 2% then RIL may also move up by 2%.
In general a) mid and small cap stocks are more volatile and command higher Beta values
compared to Large cap stocks, and b) fundamentally stronger companies command lower Beta
values compared to weaker ones. Thus if you are invested in fundamentally sound company
and even if it is small or midcap then it should not have Beta value of more than 1.5 or at the
most 2. BSE Midcap index has fallen 25% and BSE Small cap index has fallen 35% from the
peak in Jan 2018. Assuming an average decline of 30% in mid/small cap index and limiting the
volatility to two times index (i.e. Beta=2). Thus any stock which has lost more than 60% (two
times the index loss) from peak made during last 20 months needs a very intensive investiga-
tion.
The above measures are simple and can certainly help you in avoiding/exiting likely losers.

By A K Asnani - Author - Way To Billionaire - 09893512098 - [email protected]

(above techniques worked very well for me with moderate risk-return profile. Same may not hold good for all
kind of investors)
Financial Weekly

SMART 1st December to 7th December 2019 30

INVESTMENT

Scrip Watch - Siddharth Shah

Abbott India (Rs. 12583.00) (Code : 500488) :- Well-known investor Saurabh
Mukherjea has recently picked Abbott India and the stock is doing quite well. He has said ‘Abbott
is a cash machine. It makes it to my consistent compounder portfolio. It has got almost a quasi
monopoly in some elements of therapeutic care, but it is a domestic play and I like it for that. It is in
the consistent compounder portfolio …. as a steady compounder over the next three, four, five
years, Abbott should be in there in a classy Indian portfolio.’ Aboot India has reported 29.5 per cent
rise in net profit at Rs 178.33 crore for the quarter ended September 30, 2019. Total income for the
quarter under review rose about 8 per cent to Rs 1,083.7 crore as against Rs 1,004.2 crore for the
same period a year ago. The stock has hit 52-week new high of Rs.13,200 recently and has closed
at Rs.12,584 on Friday. Still, it has more upside in days to come. Accumulate in phased manner.
ACC Ltd (Rs. 1521.00) (Code : 500410) :- ACC Limited is engaged in manufactur-
ing of cement and ready mixed concrete. The company’s segments include cement and ready mix
concrete. The company manufactures cement, which includes Ordinary Portland cement (OPC),
Portland Pozzolana Cement (PPC), Portland Slag Cement (PSC) and Ready Mixed Concrete
(RMX). The company’s products include portland cement and premium cements, bulk cement.ACC’s
recent tie-up with third-party in high growth markets of Central and East regions would limit market
share loss and seed the market for the announced expansion program. ACC has net cash of Rs.3,100
crore (11 per cent of mid-cap) and continues to enjoy better than peers’ return ratios. ACC reported
a 44.7 percent jump for the third quarter with consolidated net profit at Rs 302.6 crore for the third
quarter ended September 30, 2019. Revenue increased 2.8 percent at Rs 3,528.3 crore against
Rs 3,433.2 crore. EBITDA increased by 25.6 percent at Rs 557.1 crore. The stock is worth accu-
mulation.
Gujarat Gas (Rs. 212.00) (Code : 539336) : Shares of Gujarat Gas rose more than
seven percent on November 26 after global brokerage house Macquarie maintained its outper-
form rating. The research house also raised its target price on the counter to Rs 240 per share from
Rs 210 earlier. It increased FY21/22 earnings estimates by 13 percent and 15 percent, respec-
tively. It also raised its FY21/22 EPS estimates by a similar amount on better margin and steady
volumes. For the quarter ended 30-06-2019, the company has reported consolidated sales of Rs
2614.61 crore, up 37.07% from last quarter sales of Rs 1907.55 crore and up 48.13% from last year
same quarter Sales of Rs 1765.13 crore. The company has reported net profit after tax of Rs 233.68
crore in latest quarter. Buy.
DLF (Rs. 219.00) (Code : 532868) :- Realty major DLF's arm will invest around
Rs.1,500 crore in the next two years on construction of over 3 million sq ft office space in Gurugram,
Haryana to tap into growing demand for commercial properties from corporates and co-working
players.DLF Cyber City Developers Ltd (DCCDL), a joint venture between DLF and Singapore's
sovereign wealth fund GIC, has initiated the development of its new mixed-use project 'Downtown'
comprising 11 million sq ft of leasing area. DLF has 67 per cent stake in the DCCDL, while GIC has
the rest. Meanwhile, Morgan Stanley has upgraded real estate major DLF to overweight from equal-
weight and raised target price to Rs 269 from Rs 201. It said the spotlight will now shift towards
monetisation of DLF’s Rs 10,000 croreunsold completed inventory which leads to positive free
cash flow generation and further deleveraging. DLF stock is at 52-week high. It will hit some more
new highs. Buy in phased manner.
Disclosures : At the time of writing this article, author, his clients & dependent family members may have positions in the stocks mentioned above.
The author, his firm, his clients or any of his dependent family members may make purchases or sale of the securities mentioned in website. Author
may have positions in above stocks so have vested interest obviously in their going up or down as the case may be.
Disclaimer : Investing in any equity is risky. Our recommendations are based on reliable & authenticated sources believed to be true & correct, and also
is technical analysis based on & conceived from charts. Investors should take their own decisions. We assume no responsibility for any transactions
undertaken by them. The author won't be liable or responsible for any legal or financial losses made by anybody.
 Financial Weekly

SMART 1st December to 7th December 2019 31

INVESTMENT

Market Tips - Het Zaveri

Supreme Industries (Rs. 1149.00) (Code : 509930) :- Supreme Industries is

India's largest plastics processor by volumes, handing over 3,20,000 tonnes of polymers annually.
Different types of plastic processing include injection, rotational, compression and blow molding
and extrusion. Pioneering products include cross-laminated, high-molecular-high-density and mul-
tilayer films and soil-waste-and-rain piping systems. The consumer products business comprises
furniture. The industrial products group has industrial components, material handling system and
pallets, roto molded crates, pallets and garbage bins and composite LPG cylinders. Packaging
products consist of flexible packaging film products, protective packaging products and cross-lami-
nated film products. Consolidated sales went up 3% to Rs 1270.9 crore in Q2. Volumes jumped
12% to 93,500 tonnes. The overall turnover of value-added products grew 14% to Rs 491 crore.
Volume growth is expected to be between 10% and 12% for FY 2020. Buy.

NGL Fine-chem (Rs. 416.00) (Code : 524774) :- NGL Fine-chem is a manufac-

turer of pharmaceuticals and intermediates for usage in veterinary and human health. It caters to
various global companies to custom manufacture high quality pharmaceuticals with reliability and
flexibility. NGL Fine-Chem’s margin has expanded in the past five years, due to average net in-
come growth of 30.08% outstripping 15.68% in average revenue growth. Its business is modelled
around the changing customer demands and their ability to offer value-added innovative solutions
to meet and even exceed these demands. Utilizing its expertise in complex multi-stage organic
synthesis, it continues to expand the product portfolio with new products. It has established a strong
presence in global pharmaceutical companies with its commitment to competitive prices, delivery
schedules, international quality standards and constant technological upgradation.NGL Fine-chem
Ltd has a strong focus on developing intellectual property as a key ifferentiator and as a platform for
further growth up the pharma value chain. It respect intellectual property and invest in developing
it as a key growth driver for the future. Buy.

Voltamp (Rs. 1059.00) (Code : 532757) :- Voltamp Transformers manufactures oil-

filled power and distribution transformers up to 160 mega volt amp (MVA), 220 kilovolt (kv) class;
resin-impregnated dry-type transformers up to five MVA, 11KV class in technical collaboration with
Mora, Germany; and cast resin dry-type transformers up to 12.5 MVA, 33 KV class in technical
collaboration with HTT, Germany. Other products include induction furnace transformers and light-
ing transformers.About 80% of the annual sales come from project business. Voltamp has reported
better Q2 numbers. Its net profit rose 68.25% to Rs 25.91 crore in the quarter ended September
2019 as against Rs 15.40 crore during the previous quarter ended September 2018. Sales rose
3.12% to Rs 194.90 crore. The company manufactures power and distribution transformers with a
total installed capacity of 13,000 MVA per annum. Analysts are bullish on the stock due to its
strong order book, debt-free status, free cash flows and robust return ratios. Its margins are likely to
improve due to the higher operating leverage and superior execution capabilities. Moreover, any
uptick in the private sector capex will add to the company’s order inflows and in turn will enhance
its revenue. Buy.

Disclosures : At the time of writing this article, author, his clients & dependent family members may have positions in the stocks mentioned above. The author, his firm, his clients or any of his dependent family members may make purchases or sale of the
securities mentioned in website. Author may have positions in above stocks so have vested interest obviously in their going up or down as the case may be.
Disclaimer : Investing in any equity is risky. Our recommendations are based on reliable & authenticated sources believed to be true & correct, and also is technical analysis based on & conceived from charts. Investors should take their own decisions. We assume no
responsibility for any transactions undertaken by them. The author won't be liable or responsible for any legal or financial losses made by anybody.
Financial Weekly

SMART 1st December to 7th December 2019 32

INVESTMENT

SMART TIPS Smita N. Zaveri

ITI Limited (Rs. 91.00) (Code: 523610) :- Shares of A Group listed telecom equip-
ment manufacturer touched a 52-week high of Rs. 117 and low of Rs. 56. The central government
holds 90% stake in Bangalore-headquartered ITI. The company has dedicated network systems
units in Delhi, Kolkata, Bhopal, Ambala and other places. It owns state-of-the-art manufacturing
facilities at Bangalore, Srinagar, and Rae Bareily. The company offers equipment and total solu-
tions covering transmission, optical, microwave, broadband equipment, and subscriber premises
equipment. The company has equity of Rs. 897 crores, and debt Rs. 1,258 crores. For September
quarter, income went up 48% to Rs. 419.50 crores, while net profit declined 5% to Rs. 7.19 crores.
EBIDTA was up 13.27% to Rs. 53.95 crores. The stock can be seen touching new high in the next
4-6 months.
Munjal Auto (Rs. 48.00) (Code: 520059) :- Shares of this auto parts company are
listed in B Group, and have face value of Rs. 2. The shares touched a 52-week high of Rs. 69 and
low of Rs. 29. Promoter Munjal Group holds 74.81% stake in the company. Company's equity is
Rs. 20 crores, while it has reserves of over Rs. 281 crores. The company is known for rewarding
shareholders with attractive dividends. It had paid 50% dividend last year, and the dividend yield
works out at more than 2%. Book value of the share is Rs. 30.12. For September quarter, Munjal
Auto reported income of Rs. 295.39 crores and profit of Rs. 3.03 crores. Operating profit margin
was 3.34%, while net profit margin was 1.03%. The stock is trading at a PE multiple of 17. It can be
seen touching Rs. 65 in two to three quarters.
Heidelberg Cement (Rs. 187.00) (Code: 500292) :- Shares of this A Group listed
company touched a 52-week high price of Rs. 217 and low of Rs. 139. Heidelberg Cement India is
a subsidiary of Germany's Heidelberg Cement. The company has three manufacturing plants in
MP, UP and Karnataka with a total capacity of 5.4 million tonnes per annum. It took over Mysore
Cement and Indorama Cement, and merged their businesses with itself. The company is in the
race for acquiring Emami Cement, which has an enterprise value of Rs. 6,000 crores. For Septem-
ber quarter, its profit went up by 16.11% from Rs. 50.08 crores to Rs. 58.11 crores. Income rose by
8.34% from Rs. 479 crores to Rs. 519.51 crores. The company's equity is Rs. 226.62 crores and
reserves of Rs. 944.57 crores. Promoter holding in the company is 69.39%. The stock can be seen
crossing Rs. 200 in the short to medium term, and touching fresh 52-week high.
Jamna Auto (Rs. 45.00) (Code: 520051) :- Shares of this A Group listed auto parts
and equipment company have face value of Re. 1. The shares touched a 52-week high of Rs. 71
and low of Rs. 30. Promoter holding in the company is 47.88%. It is gearing up to export to new
markets, and is also eyeing enhanced presence in domestic market. It has a technology transfer
agreement with UK-based Tinsley Bridge for transfer of its extralite spring and special steel tech-
nologies, which provides access to lighter and strong springs. It plans to launch newer products
such as stabilizer bars and U-bolts. The company's equity is Rs. 39.83 crores, and reserves of Rs.
474.67 crores. Its September quarter numbers were under pressure. It reported income of Rs. 242.35
crores and profit of Rs. 6.37 crores. The stock can deliver attractive returns in the short to medium
term.

SEBI Registered Research Analyst)

* Disclosure :- The author has not brought / sold any stock advised in this news paper during last one month • All stocks rates
/ indices on 29th November, 2019 unless specified o Stoploos is useful for Short - Medium term investors only
* Disclaimer :- • Smart Investment will not be responsible / for any loss arising out of investment based on its recommendation.
• Though, every care has been taken, we will not responsible for any errors / omissions • All disputes are subject to Ahmedabad
jurisdiction
Financial Weekly

SMART 1st December to 7th December 2019 33

INVESTMENT

Smart super duper - Het Zaveri

Huhtamaki PPL (Rs.246.00) (Code:509820) :- Earlier it was known as Paper Prod-

ucts. The company set up in 1935 was acquired by a company from Finland in 1999, which is one
of the top 10 packaging companies across the world with annual turnover of 2.1 billion Euros. It
supplies goods to the top FMCG companies. As against equity of Rs14.54 crore, the company's
reserves stand at Rs662.31 crore. It follows December as year end. In September quarter, the
company's income increased from Rs.595.16 crore to Rs638.81 crore, while it recorded profit of
Rs31.90 crore as against losses of Rs15.12 crore. The stock seems attractive at current price from
valuation point of view. It paid 150% dividend for 2018.
Chalet Hotels (Rs.353.00) (Code:542399) :- After listing the promoters hold 71.41%
and public hold 28.59% stake in the company including 16.47% stake of mutual funds and 9.42%
stake of FIIs. The company's portfolio includes prestigious brands like JW Marriot Hotels. In Sep-
tember quarter, the company's witnessed profit of Rs10.36 crore on income of Rs235.37 crore. It
should be noted that the company witnessed losses of Rs17.20 crore in the corresponding quarter
in 2018. As against equity of Rs205.02 crore, the company has reserves of Rs1217.65 crore. The
hotel sector's performance is very optimistic so the stock may also benefit and one positive thing is
the company's profit margins increased from 13.50% to 34.68% in September quarter. GST cut
may benefit the company.
Tata Global Beverages (Rs.323.00) (Code:500800) :- It is the biggest beverages
company of India, which is associated with trading, production and distribution of tea, coffee, water
and other beverages. It is active in braded beverages business in more than 40 countries spanning
over India, Europe, Canada, America and Australia. It is number two tea producer in the world. It is
also promoter of Tata Coffee. It is working on new projects through joint venture with multinational
companies and one of the important projects is opening coffee stores in India in association with
Starbucks. It has opened many stores till now. As against equity of Rs63.11 crore, the company
has huge reserves of Rs7268.58 crore. The promoters hold 34.45% and public hold 65.55% stake
in the company. In the second quarter of FY2020, the company's income increased from Rs.1760.87
crore to Rs.1834.06 crore, while profit increased from Rs183.96 crore to Rs166.65 crore. It paid
250% dividend for FY2018. The stock is good option for investment.
JBM Auto (Rs.240.00) (Code:532605) :- The stock was being quoted at just Rs15 in
the beginning of 2014 but made a new high of Rs628 by end of 2017. It means that it gave a
unimaginable returns to the shareholders during the bullish trend. In September quarter, the
company's income decreased from Rs454.62 crore to Rs388.13 crore, while profit decreased from
Rs20.90 crore to Rs16.27 crore. As against equity of Rs20.40 crore, the company has reserves of
Rs476.93 crore. The promoters hold 61.96% and public hold 38.04% stake in the company. The
downside seems limited in the stock. It is good option for investment in phased manner.

Disclosures : At the time of writing this article, author, his clients & dependent family members may have
positions in the stocks mentioned above. The author, his firm, his clients or any of his dependent family members
may make purchases or sale of the securities mentioned in website. Author may have positions in above stocks so
have vested interest obviously in their going up or down as the case may be.
Disclaimer : Investing in any equity is risky. Our recommendations are based on reliable & authenticated sources
believed to be true & correct, and also is technical analysis based on & conceived from charts. Investors should take
their own decisions. We assume no responsibility for any transactions undertaken by them. The author won't be liable or
responsible for any legal or financial losses made by anybody.
Financial Weekly

SMART 1st December to 7th December 2019 34

INVESTMENT

Investment Ideas telegram.me/rupeegains7

NIFTY :- For next week NIFTY has strong support around 12005 levels. Break will take it to
11955-11920 levels. On the upper side NIFTY will face strong hurdle at 12115 levels, cross over
with volume and close above will create short covering at take NIFTY up to 12160-12200 levels…
BANK NIFTY :- For next week BANK NIFTY has strong support around 31715 levels.
Break will take it to 31465 levels. On the upper side BANK NIFTY will face strong hurdle at 32150
levels, cross over with volume and close above will create short covering at take BANK NIFTY up
to 32350 levels…
INVESTMENT IDEAS…
PNB GILTS LTD (532366 & NSE) (28.35) (Face Value Rs.10) :- PNB Gilts Ltd,
a renowned and preferred name in the Indian debt market was one of the first entities to be granted
the Primary Dealership License by the Reserve Bank of India. The company is also a subsidiary of
one of the largest Indian commercial banks, Punjab National Bank. Company has played a pivotal
role in strengthening of the domestic fixed income markets and is a dominant player, marking its
presence with significantly high market share in the overall trading turnover. As a Primary Dealer,
Company's primary activities entail supporting government borrowing program via underwriting of
government securities issuances and trade in a gamut of fixed income instruments such as Gov-
ernment securities, Treasury Bills, State Development Loans, Corporate Bonds, Interest Rate Swaps
and various money market instruments such as Certificates of Deposits, Commercial Papers etc.
Company has dedicated trading desk managed by experienced professionals having strong re-
search and market insights.
It has an equity base of just Rs.180.01 crore that is supported by reserve of around Rs.720.19
crore. The Promoters (PNB) hold 74.07% while the investing public holds 25.93% stake in the
company.
During Q2FY20, its operating profit zoomed 60.2% to Rs.183.48 crore from Rs.114.53 crore in
Q2FY19 on 58.67% higher income of Rs.190.47 crore. Company has written off Rs.62.55 crore
due to DHFL default. Due to this only one time loss it has reported loss of Rs.1.92 crore on net
level. Company has recorded strong numbers in H1FY20 also.
Its recent high rate was Rs.64.7 which was formed on 7th February 2017. Stock almost cor-
rected 56% from recent high. It is regularly dividend paying company and it paid 14% dividend for
FY19 at CMP dividend yield is around 5% in this stock which is more than saving account's inter-
est. Everyone, whose financial advisor is allowing to trade in this stock for medium to long term can
watch with stop loss of 26.

Disclosures: At the time of writing this article, author, his clients & dependent family members may have
positions in the stocks mentioned above. The author, his firm, his clients or any of his dependent family
members may make purchases or sale of the securities mentioned in website. Author may have positions in
above stocks so have vested interest obviously in their going up or down as the case may be.
Disclaimer: Investing in any equity is risky. Our recommendations are based on reliable & authenticated
sources believed to be true & correct, and also is technical analysis based on & conceived from charts. Inves-
tors should take their own decisions. We assume no responsibility for any transactions undertaken by them.
The author won't be liable or responsible for any legal or financial losses made by anybody.
Financial Weekly

SMART 1st December to 7th December 2019 35

INVESTMENT

Primary Market - Dilip K. Shah

Ridding bullish wave Sensex, Nifty and Bank Nifty touched the historic highs last week
Bullish trend in secondary market results in long queue for filing DRHP for mega issues
CSB IPO receives robust response: Listing could be vibrant
Ujjivan Small Fin Bank's subscription may be like CSB so fancy may increase
Manglam Global's issue with fixed price of Rs51 got listed on NSE SME with nominal premiums
Muthoot Fin's NCDs issue to enter the market 20th time: Gets good response from beginning
SBI Cards files DRHP for Rs9500 crore mega issue
Home Life Finance will file DRHP for Rs1600 crore IPO next week
How and When will be allotment and listing for CSB and what next after listing
How will be allotment and listing of Ujjivan IPO?
Ascom Leasing's IPO sailed through the market with 1.47 times subscription
Muthoot Fin and Kosmattam Fin's NCDs issue to close ahead of time
Indian Share Markets witnessed a bullish wave in the second week so Sensex touched a new
high on November 24 and Nifty on Tuesday and Bank Nifty on Wednesday. This infused new
confidence in the investors.
It has also affected the primary market positively, so mega issues are queuing up in the primary
market. The market experts believe that the issues that have been announce may hit the market
soon as inauspicious times starts from December 16 and will last till January 14, 2020. It should be
noted the investors are eagerly waiting for issues like SBI Cards.
* Mainboard IPOs:
• CSB Bank :- Rs.409.68 crore issue opened on November 22 and closed on November 26. It
received good response from the investors.
Subscription :- It got 86.93 times subscription including 62.18 times in QIB, 164.48 times in HNI
and 44.53 times in retail segment. It should be noted that Smart Investment had accurately pre-
dicted that it may get more than 50 times subscription in QIB, 200 times in HNI and 20-25 times in
retail.
Allotment and Refund :- Allotment may take place on December 2, fund unblocking and share
deposit on December 3. As it has got 44.53 times subscription in retail segment out of 30/32 appli-
cants one may get 75 stocks.
Listing :- The issue may get listed on November 4
SBI cards is the second around Rs240/260 and may cross Rs275 level ridding
biggest Credit Card Company good market sentiments. If it crosses Rs250 level, it is
Bank Name Averages No. of No. of Total advisable to book 50% profit as high premium is difficult
Spends (Rs.) Cards (mn) Cards Spends to survive.
HDFC Bank 144770 12.5 27 28 • Ujjivan Small Finance Bank :- It started banking op-
SBI Cards 144813 8.3 18 17 erations in February 2017. It has 552 banking offices, 441
ICICI Bank 117203 6.6 14 11 ATMs and 16776 employees serving 49 lakh customers
Axis Bank 121220 6 13 10 in 24 states and UTs. The company's business has in-
Citi Bank 199881 2.7 6 9 creased in affordable housing and MSME segments. It
Subscription Figures of SME IPO (Dt. 29-11-2019) has also started three-wheeler loan to diver-
IPO Listing Day Subscribed sify the loan book.
Ascom Leasing NSE SME Issue Closed 28-11-19 1.47x Cont...
 Financial Weekly

SMART 1st December to 7th December 2019 36

INVESTMENT

yk MkÃíkknLkk Main - line IPO Ãkh yuf Lksh (Non SME)

Sr Company Issue Open Dt. Issue size Offer price Min. Rs. 1,00,00 Rs. 2,00,000 Listing Lead Rating Remark
Issue Close Dt. (Rs. Cr.) (Rs.) App. Limit Limit Manager (Out of 50)
1 Ujjivan Small 2-12-2019 20,83,33,333 Eq. Shares 36 to 37 400 Shares 2400 Shares 5200 Shares BSE IIFL Holdings 39 % : Apply
Short to
Finance Bk. 4-12-2019 Rs. : 750 Cr. (Rs. 14800) (Rs. 88800) (Rs. 192400) NSE J M Fin.
Mid Term
(Book Building) Kotak Mah. (Listing Gain)

Subscription Figures of CSB Bank Grey Markets Premium

No. Shares Issue Subscribed IPOs Offer Price Premium Kostak Price Subject to
Offered/ Name (Rs.) (Rs.) *Min. Appl. Sauda
Reserved 22-11-19 25-11-19 26-11-19 CSB Bank 193 to 195 62 to 64 -- 3500-4000
QIBs 6302721 0.00x 0.26x 62.18x (High : 90 (H : 4500
HNI 3151360 0.10x 1.07x 164.48x (Low : 20) (L : 3000)
Retail 2100906 5.60x 21.53x 44.53x
Ujjivan 36 to 37 19 to 20 350 6000-6300
Total 11554987 1.05x 4.35x 86.93x
Small (High : 21) (H : 6500)
Allotment & Listing Process Fin. Bank (Low : 9) (L : 3500)
CSB Bank
Ujjivan Don't subscribe IPO only on the basis of Grey premium.
Small Bk. Before Investing check the fundamentals of IPO
Issue Closes 26-11-19 4-12-19
Finalization of Basis of Allotment2-12-19 9-12-19 Listing Information of Ujjivan Small Fin. Bank
Unblocking of Fund 3-12-19 10-12-19 Retailers may apply
Credit of Equity Shares 3-12-19 11-12-19
Mangalam Global
Shares Amt. Shares Amt.
Listing 4-12-19 12-12-19 NSE SME IPO 400 14800 2800 103600
Listing Date 28-11-19 800 29600 3200 118400
The issue with valuation of Rs750 crore Offer Price Rs. 51.00 1200 44400 3600 133200
with offer price of Rs36-37 will open on De- Listing Price Rs. 51.50 1600 59200 4000 148000
Listing Day High Rs. 51.70 2000 74000 4400 162800
cember 2 and close on December 4. The
Listing Day Low Rs. 51.40 2400 88800 4800 177600
loan book has doubled and CASA has im- 5200 192400
proved by 1.6% to Rs11.9%. The promot- Listing Day Close Rs. 51.40
ers' stake is 85% which will be brought CMP (Rs. 29-11-19) Rs. 51.45

down to 40% as per RBI norms and the company is also planning reverse merger and universal
banking license.
The strong presence in micro finance, higher asset quality, diversified loan book and strong
management coupled with attractive valuation will increase fancy in the issue. More details are
given in separate table.
Subscription : Like CSB, the retail category allotment is only 105 so it may get 20 to 25 times
subscription in this category, while in HNI it may get more than 200 times and in QIB it could be
around 50 to 60 times.
Allotment/Refund :- Share allotment may take place on December 9, while fund unblocking
may be on December 10 and Share deposit may be on December 11. In retail category out of 100
applicants only 3 or 4 applicants may get 400 shares.
Listing :- Listing may take place on December 12 around Rs50 to 52. However, good market
sentiments may take it to 60+. The investors holding on the shares may get good return in medium
to long term.
* This week's SME IPOs:-
• Manglam Global :-Rs.21.57 crore IPO with fixed price of Rs51 got listed on November 28 at
price of Rs51.50 and went up to Rs51.70 and down to Rs51.40 before closing at Rs51.40. The
stock that got listed with nominal premium got closed at Rs51.45 on Friday November 29, 2019.
• Ascom Leasing :- The Surat-based company's Rs6.32 crore issue with fixed price of Rs30
closed on November 26 with 1.47 times subscription.
Financial Weekly

SMART 1st December to 7th December 2019 37

INVESTMENT

Non Convertible Debenture (NCD) Issues at a Glance

Sr Company Issue Open Bond size F.Value Min. Listing Rating Recomm.
Issue Close (Rs. Cr.) (Rs.) App.
11-11-2019 Base Size of Rs.175 Cr. 1,000/- 10 NCDs BSE IND BBB/Stable
1. Kosamattam 10-12-2019 Withoversubscription (Rs.10,000) AVERAGE
Finance up to Rs. 175 Cr. Lead manager :
(aggregating to Karvy Investor
(Rs. 350 Cr.) SMC Capitals
29-11-2019 Base Size of Rs.100 Cr. 1,000/- 10 NCDs BSE ICRA AA/Stable
2. Muthoot 24-12-2019 Withoversubscription (Rs.10,000) CRISIL AA/Stable
APPLY
Finance up to Rs. 690 Cr. Lead manager : FOR
(aggregating to A. K. Capital LONG TERM
(Rs. 790 Cr.) Edelweiss

* This week's NCDs issues:- Subscription figure of

• Kosmattam Finance :- The issue with base price of Rs175 Kosamattam Fin. NCDs Issue
crore and shelf limit of Rs350 crore has got 1.33 times subscrip-
Category No. of Bond Issue
tion till now. It is scheduled to close on December 10 but may get Offered/ Subscribed
close 2-3 days ahead of the schedule. Reserved 29-11-19
• Muthoot Finance NCDs issues :- The company is entering Category I 1,75,000 0.00x
into the debt market for 20th time after August 2011. The Category II 7,00,000 1.21x
company's issue with base price of Rs100 crore and shelf limit of Category III 8,75,000 1.69x
Rs690 crore has got AA Stable rating by ICRA and Crisil. The Total (Base Issue) 17,50,000 1.33x
issue period is 24 months, 60 months and 90 months which offer
coupon rates ranging from 9.25% to 10%. Subscription figure of
It got 0.65 times subscription on the first day and may close Muthoot Finance
ahead of the schedule. Category No. of Bond Issue
Recommendation :- The rating is strong, coupon rates are Offered/ Subscribed
attractive so good option for investment for long term. Reserved 29-11-19
Insight into upcoming issues:- Category I 1,00,000 0.00x
Category II 1,00,000 0.71x
SBI Cards :- It plans to raise Rs9500 crore and has filed DRHP
Category III 3,00,000 0.47x
for the same. SBI will get Rs2500 crore and it's jv partner Carlyle Category IV 5,00,000 0.88x
Group will get Rs6500 crore. Lead managers are Kotak Capital, Total (Base Issue) 10,00,000 0.65x
Axis Capital, BoFa Sec, HSBC, Nomura and SBI Capital.
Home First Finance :- It plans to raise Rs1600 crore fund. It will file DRHP shortly for the same.
It will be mix of fresh equity and OFS.
Grey Market Movement:-
Grey Market turns active after exit of PSU IRCTC
CSB Bank IPO premiums and subject to rates are highly volatile
Ujjivan IPO premiums and subject to rates sky rocket
The high volatility witnessed in the Grey Market during PSU IRCTC's IPO has been seen once
again with huge response to CSB Bank IPO and high expectations from upcoming IPO Ujjivan
Small Finance Bank.
CSB Bank :- The grey market witnessed deals at premiums of Rs20 even before the IPO was
announced, which went up to Rs85/90 and now are at Rs60-65. The subject to rates started at
Rs4000, went up to Rs4500, came down to Rs3000 and after huge response of 44 times in retail
segment, the subject to rates have gone up to Rs3500. The interest rates were Rs200 but didn't
witness much of the deals.
Ujjivan Small Finance Bank :- IPO premiums started at Rs9-10 and went up to Rs19-20.
Subject to rates started at Rs 3500 but went up to Rs 6000-6500. Interest rates are in rang of
Rs300-350.
Financial Weekly

SMART 1st December to 7th December 2019 38

INVESTMENT

Ujjivan Small Finance Bank

Issue Opens on 2nd Dec. & Closes on 4th Dec.
Price band Rs. 36 to 37; Listing on NSE - BSE Platform
Considering strong fundamentals better return ratio: reasonable offer price and
Attractive valuations than peers, make this IPO a GOOD BET
Incorporated in 2017, Ujjivan Small Finance Bank Limited (USFB) offers small finance to underserved & unserved
segments in India. The bank aims to work for the financial inclusion of the country. USFB Bank is promoted by Ujjivan
Financial Services Limited (UFSL) which is an NBFC providing financial services to the economically active poor,
who are not served by the Financial Institutions. USFB has a wide presence across 24 states and union territories in
India. As on 30 June 2019, it has 4.72 million customers, 474 Banking Outlets, 387 ATMs, two 24/7 phone banking
units (in Bangalore and Pune) and 50 additionally operated Asset Centres. Customers can use USFB mobile banking
application in 5 languages.
USFB Loan Product :- 1. Agriculture and allied loans, 2. Affordable housing loans, 3. Loans to micro banking
customers, 4. Personal loans, 5. Financial institutions group loans, 6. Vehicle loans, 7. MSE loans.
Issue Details
• Issue Opened on 2nd December & Closes on 4th December, 2019
• Object of the issue : Bank’s Future Capital requirment, Benefit of LIsting.
• Issue Size : 20,27,02,703 Eq. Shares
• Face Value : Rs. 10, Total Rs. 750 Cr. Particulars (Rs. Cr.) FY 18 FY-19 H1 2020
Financial
• Offer price : Fixed at Rs. 36 to 37 Per Shares Performance Total Revenue 1579.4 2037.60 1434.90
• Minimum Lot : 400 Shares Shares Consolidated Profit After Tax 6.88 204.39 305.47
• Listing : BSE & NSE Platform Basis EPS 0.05 1.20 --
• BRLM’s : IIFL, J.M. Fin., Kotak Mahindra Capital RONW (%) 0.42 9.49 --
• Registrar : Karvy Computer Shares.
• Management : Ujjivan Financial Services Ltd.
• Pre Issue Promoter Holding : 100%
• Post Issue Promoter Holding : 83.3%
• Issue Constitutes 11.73% of the post issue paid up capital
• Average 3 Years EPS Rs. 0.62 & RONW : 4.88%
• Pre IPO Equity capital Rs. 1525.52 Cr.
• Post IPO Equity Capital Rs. 1728.22 Cr.
• Pre IPO : P/BV Ratio 2.67 (NAV : 13.84) 30-9-2019
• Post IPO asking P/E on Fully diluted equity : 17.2
• Insutry Peer Group PE Ratio : 29.64
• BRLM’s performance : This is 34th issue from BRLM in last 3 Years. : 24 Issue Opened with Premium & 10 Issue with
Discount.
Other side of Coins
• The average cost of acquisition of equity shares to the promoter is only Rs. 10 and offer price Rs. 36 to 37
• Company issued 85483667 Equity shares at Rs. 35 (Pre - IP Placement) in November 2019
• Retail portion is offer 10% of net issue.
• RONW has gone down during FY 19 & H1 FY20
• Micro, Personal & MSE loans are not supported by any collateral, makes loans risky.
• Bank has a limited operating history as small finance bank.
• Due to significant cash operations, risks arise for fraud & petty theft.
• Top-20 Depositors account for 34.89% of total deposits, which is risky portfolio.
• All Banking outlets, Asset centre and registered office are on lease.
• Negative cash flow from operating activities in the past.
Note : In comparison with peers, Yield of advances, NIMs (%), ROE, ROA (%) are on higher side
which cost of funds (%), GNPA (%) is on lower side. ON financial parameter, P/BV of 2.67 and asking PE
of 17.2 seems reasonable against listed peers.
Recommendation : Company's asset quality is healthy due to diversification into retail loans and
urban market. Considering strong fundamentals, attractive valuations than peers, reasonable offer price
and better return ratio - make this IPO good bet.
Financial Weekly

SMART 1st December to 7th December 2019 39

INVESTMENT

Smart Best Buy S. N. Zaveri

3M India : Diversified product portfolio makes it a compelling buy

Trent Ltd : New launches will witness healthy growth
SBI Life : Biggest gainer in insurance stocks
HDFC : Morgan Stanley overweight on this stock
Britannia : Strong brand, strong fundamental
3M India (Rs. 22247.00) (Code : 523395) :- 3M India has access to the 51 global
technology platforms and a differentiated product portfolio derived from such intellectual property.
US-based 3M Company is holding 74.99% equity. The local R&D team is part of the free flowing
exchange of ideas and innovations. Its consolidated sales were up 6% to Rs 1568.02 crore in H1
of FY 2020, driven by growth in revenues of all the four core business segments. But with the
operating profit margins contracting by 30 basis points to 17.6%, operating profit could incline only
4% to Rs 276.24 crore, facilitated largely by higher sales. Profit before tax was flat at Rs 264.19
crore after accounting for higher interest cost. Eventually, profit after tax increased 10% to Rs 190.14
crore on 19% decline in taxation to Rs 74.05 crore. The EPS is likely to go up to Rs 356 in FY 2020
and Rs 394.4 in FY 2021 from Rs 304.6 in FY19. The scrip is trading around Rs 22247 on Friday.
Accumulate.
Trent Ltd. (Rs. 520.00) (Code : 500251) :-Trent Ltd : Motilal Oswal has maintained
its rating on Trent Limited with a target price of Rs 605. With strong contribution from margin-accretive
private labels (over 90 per cent) and faster execution capabilities of new launches, Trent should
witness healthy growth, according to the brokerage. While the recent fund raise is expected to
have a near-term impact of equity dilution on earnings growth and return on capital, over a three-
year period, the dilution could drive accelerated growth. Recently, Trent has announced that it will
acquire 51 percent stake in Booker India Pvt Ltd (BIPL) in a cash deal of around Rs 22 crore. BIPL
operates five stores while its wholly-owned subsidiary Booker Satnam Wholesale operates one
store. Trent will benefit from this acquisition. The stock is worth accumulation.
SBI Life (Rs. 960.00) (Code : 540719) :- Insurance stocks are now a premium breed
in the domestic market, and are seeing heavy demand. SBI Life Insurance stock is the biggest
gainer year to date, surging 65 per cent. Private equity firm Carlyle Group recently divested 3%
stake in SBI Life Insurance for over Rs 2,800 crore through an open market transaction. Carlyle
Group sold a total of 3 crore shares, amounting to 3 per cent stake, of SBI Life. The shares were
offloaded at an average price of Rs 938.83, valuing the transaction at Rs 2,816.5 crore. Carlyle
Group, through its entity CA Emerald Investment, had acquired 9.2% stake in the life insurer in
March. SBI Life is a joint venture between the State Bank of India and leading global insurance
company BNP Paribas Cardif. As on September-end this year, SBI owned 57.6% stake in the
insurance company, while BNP Paribas held 5.20%. Buy in phased manner.
HDFC (Rs. 2295.00) (Code : 500010) :- India's largest housing finance company,
Housing Development Finance Corporation (HDFC), is a key beneficiary of the structural consoli-
dation underway in the housing and real estate finance segments, says Morgan Stanley which has
an overweight rating on the stock, citing attractive valuations. The global brokerage house be-
lieves the return on equity (ROE) and the earnings per share (EPS) growth at HDFC is poised to
stage a multi-year recovery, supported by structurally stronger positioning among non-bank
Cont...
Financial Weekly

SMART 1st December to 7th December 2019 40

INVESTMENT
lenders.The brokerage raised its price target on the stock to Rs 2,900 from Rs 2,600 earlier. While
many NBFCs/HFCs grew aggressively in home loans and wholesale real estate loans over the
past five years, HDFC stayed conservative.The brokerage believes HDFC will step up growth in
wholesale real estate loans (higher-yielding), given its significantly-improved industry positioning
owing to the lack of credit supply to this segment. Invest.
Britannia (Rs. 3056.00) (Code : 500825) : Biscuit maker Britannia Industries Ltd’s
second quarter profit jumped 33% to touch Rs.403 crore as the maker of Good Day cookies and
NutriChoice biscuits rode on cost efficiencies amid escalating raw material costs. Net sales were
up 5.88 per cent to Rs 3,022.91 crore during the quarter under review as against Rs 2,854.81 . The
company continued to premiumise its biscuits portfolio during the quarter and launched new flavours
for some of its existing brands. The company witnessed a pickup in its new category of other bak-
ery products as well. During this phase of sluggish demand, Britannia continued to invest in en-
hancing its brand equity through focused product campaigns. Grab this strong brand. and funda-
mentally very sound stock. Invest.

(SEBI Registered Research Analyst)

* Disclosure :- The author has not brought / sold any stock advised in this news paper during last one month • All stocks rates / indices on
29th November, 2019 unless specified o Stoploos is useful for Short - Medium term investors only
* Disclaimer :- • Smart Investment will not be responsible / for any loss arising out of investment based on its recommendation. • Though,
every care has been taken, we will not responsible for any errors / omissions o All disputes are subject to Ahmedabad jurisdictioner

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Financial Weekly

SMART 1st December to 7th December 2019 41

INVESTMENT

Dalal Street Whispers Dilip K. Shah

Reliance Industries (Rs. 1550.00) (Code: 500325) :- Mukesh Ambani-led Reli-

ance Industries has become the first Indian company to touch market cap of Rs. 10 lakh crores.
The stock is up 50% in the past year. Brokerages are bullish on the stock and have given a target
price of Rs. 1,700 on the stock.
Linde India (Rs. 650.00) (Code: 523457) :- The stock is up 20% in the past month.
Its parent company BOC Group is gearing up to delist the stock. It had attempted delisting a year
ago, but had failed in the attempt.
DLF (Rs. 219.00) (Code: 532868) :- The stock is in current for the past two weeks.
Morgan Stanley has upgraded the stock from Equalweight to Overweight, and revised target price
to Rs. 269.
IL&FS Engg (Rs. 2.36) (Code: 532907) :- Shares of this construction company are
likely to be in focus. A tribunal has ruled in the company's favour in an arbitration matter with NHAI.
The tribunal has ordered payment of principal amount of Rs. 200 crores and interest of Rs. 242
crores.
Mahanagar Gas (Rs. 1043.00) (Code: 539957) :- The stock has risen 36% from the
bottom in July. The company reported strong margins in September quarter due to lower natural
gas prices. A global brokerage house hiked FY21/22 EPS estimates for the company by 7-11% on
better margins and steady volumes.
Future Retail (Rs. 339.00) (Code: 540064) :- Competition Commission of India has
approved Amazon's proposal to acquire about 49% stake in Future Group subsidiary Future Cou-
pons. Future Group shares surged 15-20% in a day on the back of the news.
Ujjivan Finance (Rs. 338.00) (Code: 539874) :- The Rs. 750-crore IPO of Ujjivan
Finance's subsidiary Ujjivan Small Finance Bank is set to open on December 2. The IPO will lead
to significant value unlocking.
Yes Bank (Rs. 68.00) (Code: 532648) :- There is movement in the stock of this bank
after it sold 17.22 lakh shares of Reliance Capital at Rs. 16.51 apiece.
Tata Steel (Rs. 427.00) (Code: 500470) :- Metal shares are surging as US-China
Trade talks are in advanced stages. Domestic steel companies are likely to raise prices by Rs.
1000 per tonne due to strong demand in international markets. Tata Steel, JSW, JSPL, etc. are
likely to gain.
BASF India (Rs. 997.00) (Code: 500042) :- The company plans to double its produc-
tion capacity. It plans to set up a new polymer product line at Dahej in Gujarat.
OnMobile Global (Rs. 34.00) (Code: 532944) :- OnMobile Global's promoter
OnMobile Systems had entered into an agreement with Jump Networks for sale of 1.90 crore shares
of OnMobile Global in the range of Rs. 75.50 to Rs. 78 apiece in September. The sale was ex-
pected to be completed within 75 days, but the two companies have extended the deadline for the
proposed stake sale to December 20. Big movement can be seen in the stock in the coming days.
Adani Gas (Rs. 161.00) (Code: 542066) :- The shares of this city gas distribution
company are up 65% in a year. The shares are likely to remain in focus as CCI has given approval
to Total Group to acquire stake in Adani Gas.
IIFL (Rs. 168.00) (Code: 532636) :- The share is in limelight in view of reports that
Cont.....
Financial Weekly

SMART 1st December to 7th December 2019 42

INVESTMENT
promoters are increasing their stake in the company through open market purchases.
Omaxe (Rs. 181.00) (Code: 532880) :- Promoters have managed to secure release of
shares that were pledged with lenders.
BEML (Rs. 996.00) (Code: 500048) :- The central government has announced orders
of Rs. 22,800 crores for defence sector. BEML and BEL are likely to bag a good chunk of the
orders.
Bharti Airtel (Rs. 442.00) (Code: 532454) :- The share is coming out of correction
mode in the last two weeks. Bharti Airtel and other telecom companies have announced tariff revi-
sion from December 1.
Autolite Industries (Rs. 24.00) (Code: 500029) :- Autolite Industries has started
production of e-cycles along with its wholly-owned subsidiary Autoline Design Software. Kinetic
Green Energy will market the product across the country.
RBL Bank (Rs. 373.00) (Code: 540065) :- The company's board is slated to meet to
consider proposals to raise Rs. 1,500 crores.
Bajaj Ele. (Rs. 339.00) (Code: 500031) :- HDFC Mutual Fund has hiked its stake in
the company from 6% to 7%.
SBI (Rs. 341.00) (Code: 500112) :- A strong rally has been seen in the stock of SBI in
the past month. Its market cap has crossed Rs. 3 lakh crores as a result. Foreign brokerages are
bullish on the stock in anticipation of improved performance. Credit Suisse has given a target price
of Rs. 451.
Alpha Geo (Rs. 183.00) (Code: 526397) :- Promoters have been aggressively buy-
ing their stock through open market transactions.

Disclosures as per SECURITIES AND EXCHANGE BOARD OF INDIA (Research Analysts) Regulation, 2014; • I and / or my clients may
have investment in this stocks • I/My family have no financial interest or beneficial interest of more than 1% in the company whose stocks I am
recommending • Stop loss is useful for Short / Medium Term investor Only • Smart Investment will not be responsible / liable for any loss arising
out of investment based on tis advices • Past performance may or may not be substainedin future " (Dilip K. Shah) Research Analyst : SEBI
Regn No. : INH000002152

Sensex-Nifty is at life highs

But Your portfolio is still down by 30-50% ???
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Financial Weekly

SMART 1st December to 7th December 2019 43

INVESTMENT

Investor’s Third Eye

Smt. Dr. Hemavathy
Padmanaban (Chennai)
E-mail : [email protected]

Astrological planetary predictions for stock market investments

(From 2nd December 2019 to 6th December 2019)

The planetary position in this week is : The speculative planet Rahu occupies the house of
Mercury- Gemini, Mars in Libra, Sun and Mercury in Scorpio, The planet of wealth- Jupiter occu-
pies its position in its own house Sagittarius along with Saturn, ketu and Venus. Moon, the planet
which influences the mindset of the investors for taking the stock buying and selling decisions
takes its position in the house of Capricorn, Aquarius, and Pisces.
2nd December : Moon in Capricorn occupies the eleventh position towards the sun and
mercury in Scorpio which favors several sectors like agro based sector, sugar firms, paper firms,
seed production firms, solar power and energy related firms, information technology related sector.
Havells, IRCTC, Rites, Affle India, Quess Corp, Reliance Nippon, Britannia, Dabur, RBL Bank,
Clariant Chemicals, Bharat Forge, Granules India, Delta Corp, IRCTC, Rites may have good chances
to give good returns to its investors.
3rd December and 4th December : The conjunction of Jupiter, Saturn, venus, ketu in
Sagittarius and the speculative planet Rahu takes seventh position towards Sagittarius in Gemini
brings a slight decline in the stock prices in automobile sector, entertainment based firms, iron and
steel sector, banking sector, coal and oil firms. Mars in the house of Venus - Libra and Venus takes
its position in Sagittarius along with the planet of wealth- Jupiter , Saturn and ketu may impact
chemicals, fertilizers and pharmaceuticals sector, health sector. IRCTC, Rites, Tera Software, SCI,
Simplex Realty, Lambodhra Tex, ITD Cementation, MOIL may show good gains in future.
5th December and 6th December : Moon takes fifth position in Pisces, the house of
the planet of wealth - Jupiter towards the position of Sun and Mercury in Scorpio which favors the
market to certain extent. Several sectors like solar power, energy, sugar firms, Information technol-
ogy, agro based sector, paper industry may show good movements in stock prices. Investors of
Automobile sector, iron and steel, heavy engineering industry, entertainment firms, banking sector,
coal and oil firms, and infrastructure based sector like cement industry may have to wait patiently to
reap good returns in future. Siemens, Prestige Estate, Grasim, Vadilal Ind, Tata Elxsi, Sun Pharma,
ERIS Life, IRCTC, Rites may shine
As Warren Buffet quotes that "Someone's sitting in the shade today because some-
one planted a tree a long time ago" hold good this week. "Our Favorite holding period
is forever" to gain huge profits in the stock markets is the mantra for the prospective
investors.
Financial Weekly

SMART 1st December to 7th December 2019 44

INVESTMENT
Senior Astrologer
Dharmesh Joshi
Mob. : 9909941816
E-mail :
[email protected]

Sensex Predictions : Dt. 2nd Dec. 2019 to 6th Dec.

" Please consider 10 minutes plus and minus in each prediction, and act accordingly. " Ganesha
advises you to compare every prediction with the prediction of the previous time slot.
02-12-2019 Monday :- " Presently, Moon has changed the sign. But Jupiter, Venus, Ketu
and Saturn are still in conjunction. So, you need to be careful in the personalised horoscope. "
Hopefully, you must have received the monthly file, go through it carefully once. " From 9:15 to
10:32, a very strange pattern is being formed due to which you will get a chance on both the sides,
here you can do intraday trade. " From 10:32 to 11:48, there will be upside movement in Nifty. "
From 11:48 to 13:28, Nifty will be soft. " From 13:28 to 14:34, Nifty will be up. " From 14:34 to
15:30, Nifty will be down.
03-12-2019 Tuesday :- " If we see the micro-level kundli, Saturn, Sun, Moon/Mars, Rahu/
Venus, Ketu are in conjunction which may confuse you. So, be very careful in whatever you do.
This is the advice from Ganesha. " From 9:15 to 11:15, there is a fixed trend, so only do jobbing. "
From 11:25 to 12:32, Nifty will go down step by step. " From 12:32 to 12:44, market will be soft,
avoid making trade. " From 12:44 to 14:04, Nifty will move up step by step. " From 14:04 to 15:30,
Nifty will form a graph like the letter W. What you want to do now, you have to decide.
04-12-2019 Wednesday :- " As per the astrological analysis, there is no change but you
can't let the entire day go like that. Be prepared for both profit and loss today. " Short sell Nifty
around 11:11 and exit around 12:12, but the time is positive, so there is more possibility of risk. So,
do intraday accordingly. " Buy Nifty around 12:55 and exit around 14:00 after taking the profit.
05-12-2019 Thursday :- " Divide today into 4 parts: " Part 1 - From 9:15 to 11:30, Nifty will
move up and will be unstable. " Part 2 - From 11:30 to 13:15, Nifty will move down and will be
unstable. " Part 3 - From 13:15 to 14:30, Nifty will move up and will be unstable. " Part 4 - From
14:30 to 15:30, Nifty will not move much and will be unstable.
06-12-2019 Friday :- " The planet of Banking and Telecom sectors Mercury is changing
the sign and entering Scorpio. " From opening till 11:25, it will be up overall but there will be a
correction around 10:10. " From 11:25 to 13:50, Nifty will form a pattern like the letter V, so make
your trade position accordingly. " From 13:50 to 15:30, Nifty will be up in the first and last few
minutes, in the time between it will be down.
Financial Weekly

SMART 1st December to 7th December 2019 45

INVESTMENT

REVIEW OF “SMART PLUS NEWS LETTER”

Amazing 15% RETURN
SMART GAIN FOR SMART INVESTORS
Company Reccom. Weekly Ch. Company Reccom. Weekly Ch.
25-11-2019 High (%) 25-11-2019 High (%)
Aarti Ind. 826 849 2.78 LUPIN 772 804 4.15
Grasim 793 822 3.66 RBL Bank 359 381 6.13
Reliance Ind. 1546 1579 2.13 Dr. Reddy 2871 2977 3.69
L&T 1378 1393 1.09 Dabur 413 469 13.56
Hero Moto 2440 2521 3.32 Alembic Pharma 506 579 14.43
Eicher Motors 22786 23095 1.36 SBI 329 348 5.78
Amber Ent. 983 1014 3.15 BOB 99 106 7.07
HDFC AMC 3703 3769 1.78 Bandhan Bank 526 583 10.84
SRF 3121 3228 3.43 Pennar Ind. 27 29 7.41
UPL 533 579 8.63 Reliance Chem. 61 67 9.84
E-Clerx 502 553 10.16 Permanent Mag. 102 109 6.86
Siemens 1491 1543 3.49 NCL Ind. 78 82 5.13
Sanofi India 6804 6996 2.82 A.B. Capital 100 108 8
BOSCH 16337 16618 1.72 Kopraran 34 35 2.94
Canara Bank 221 232 4.98 Cochin Shipyard 409 414 1.22
Gujarat Gas 194 206 6.19 Jindal Steel 144 165 14.58
Castrol India 145.5 152 4.47 Nirlon 249 262 5.22
DLF 216 220 1.85 Motherson Sumi 127 133 4.72
Mishra Dhatu 162 167 3.09 Garware Techno 1164 1206 3.61
Tata Chemical 639 670 4.85 Exide Ind. 193 197 2.07

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