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

VOL : 13 • Issue No: 17 RNI No : GUJENG / 2008 / 24320 7th June 2020 to 13th June 2020
FII Activity (Rs. in Cr.)

Date Buy Value Sell Value Net Value
01-06-20 7015.34 5439.88 1575.46
02-06-20 12157.07 4658.78 7498.29
03-06-20 9979.47 8128.35 1851.12
04-06-20 8506.04 5601 2905.04
05-06-20 4585.79 4488.18 97.61
TOTAL 42243.71 28316.19 13927.52
DII Activity (Rs. in Cr.)
DATE BUY VALUE SELL VALUE NET VALUE
01-06-20 4890.67 5349.92 -459.25
02-06-20 5065.9 4624.85 441.05
03-06-20 4633.07 5414.86 -781.79
04-06-20 3622.8 4470.11 -847.31
05-06-20 3539.03 3491.74 47.29
TOTAL 21751.47 23351.48 -1600.01
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Financial Weekly
SMART 7th June 2020 to 13 th

June 2020 4
INVESTMENT
D(en)O(f)W(ealth)
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English), Smart Plus News Letter & Smart Bonanza (Gujarati Weekly), Smart Investment proudly announces launch of DOW
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Performance of our last Recommendation
Stocks Reco Date Reco Price Recomm. High After
target Recomm.
EID PARRY 20th April 20 147.5 165-175 225
LAURUS LAB 21st April 20 423 445-460 536
ALEMBIC PHARMA 21st April 20 630 685-700 914.4
BAJAJFINSERV 23rd April 20 4730 5150-5300 Stop loss
A B CAPITAL 27th April 20 49.25 55-56 Stop Loss
ENDURANCE TECH 27th April 20 615 650-675-700 848
NAVKAR CORP 30th April 20 22.5 27-30 25.8
(Booked profit around Rs.25.5)
APOLLO MICRO 4th May 20 70 85-95 95.55
(Booked profit around Rs.85)
NAVKAR CORP 8th May 20 23.25 27-30 26.3
(Booked profit around Rs.25.75-26)
EID PARRY 8th May 20 156 175 206.4
ZEE LEARN 11th May 20 14 17-19 Range bound
ADVANCED ENZYMES 15th May 20 160 185-190 Stop loss
GRANULES 19th May 20 164.5 190-200 189
LAURUS LABS 19th May 20 438 490-525 483
CHEMBOND CHEMICALS 20th May 20 171 200 Stop loss
DYNEMIC PRODUCTS 26th May 20 111 - 126
(Booked profit around Rs.122-124)
TALBROS AUTO 29th May 20 92.5 105 Booked
around Rs.100
PLASTIBLEND India 1st June 20 160 190-200 Range bound
Moldtech Techno 3rd June 20 41 55-60 45.5
Contact : (M) 9825006980 & 9979330348

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Financial Weekly

June 2020 5
INVESTMENT
Jatin Sanghavi
Market Scan (Mumbai)
(M) 098205 26455
jatinsanghavi100@yahoo.com
STRENGTH TO STRENGTH
TIME FOR CAUTION :- From Daily Bullish Gap to Weekly Bullish Gap, Bearish Island to
Bullish Island and from Closing Marubuzo to Opening Marubuzo, the Nifty never had it as good as
it has in the past couple of weeks. It is difficult to find a precedent in the last one year where Nifty
had 1100 points rally in just 2 weeks. Indices and Stocks have started to take a Bullish turn, on the
back of lockdown being lifted in major parts of the country. One can have a stock specific Bullish
approach but the same cannot be done for the Nifty. Nifty is now entering a cluster of strong Resis-
tances on daily and weekly timeframes and hence one requires adopting a cautious and hedged
approach moving forward.
TECHNICALLY SPEAKING :- Sensex opened the week at 32906, made a high of
34488, low of 32876 and closed the week at 34287. Thus it closed the week with a gain of 1863
points. At the same time the Nifty opened the week at 9726, made a high of 10177, low of 9706 and
closed the week at 10142. Thus the Nifty closed the week with a gain of 562 points.
On the daily charts, both the indices have formed a small White body Spinning Top which is
completing a Bullish Tri-Star pattern. Since it is forming in an Uptrend, it has little significance. On
the weekly timeframe, both Sensex and Nifty have formed a big Opening White body Marubuzo
following previous weeks Closing White body Marubuzo. Thus daily as well as weekly candlestick
study suggests a bullish bias.
Both the indices have formed a Bullish Gap on Weekly as well as Daily timeframe i.e. between
This Weeks Recommendations

Rec. Name CMP SL TGT-1 TGT-2
Buy MRF 63526 62338 65326 67139
Buy ConCor 402 394 415 429
Buy SBI 187 183 194 202
Buy BoB 46 44 50 54
Buy IDFC 17 16 19 21
:::: INDEX LEVELS ::::
S3 S2 S1 CLOSE R1 R2 R3
NIFTY 9584 9731 9995 10142 10294 10417 10534
SENSEX 32876 33354 33866 34287 34769 35261 35987
Cont...
Financial Weekly

June 2020 6
INVESTMENT
Sensex 32876-32480 and Nifty 9706-9598. Weekly Bullish Gap will act as strong Support for the
Market going forward, whereas the Daily Bullish Gap will act as a Measuring Gap and the Target
as per Gap Theory will be Sensex 35388 and Nifty 10498.
The Bullish Island has prevailed over the Bearish Island as the Market moved from strength to
strength. Bearish Island stood negated as the Sensex closed above the Failure point of 33887 and
Nifty above 9889. Failure point for Bullish Island stands at Sensex 29968 and Nifty 8806.
After the negation of the Bearish Island, both the indices are now testing the strong Resistance
due to the Daily Bearish Gap between Sensex 34472-35261 and Nifty 10040-10334. Besides this,
the 61.8% Retracement level falls at Sensex 35918 and Nifty 10551, which is accompanied by
strong Resistances due to weekly and monthly Moving Averages. On the higher side, there exists
a weekly Bearish Gap between Sensex 36950-37011 and Nifty 10751-10827, which seems too
difficult to surpass as per current scenario.
Both the indices are well above the Short term average of 20dma (Sensex - 31889 and Nifty -
9385) as well as Medium term average of 50dma (Sensex - 31005 and Nifty 9089). Both the indi-
ces continue to remain below the Long term average of 200dma (Sensex - 37226 and Nifty - 10965).
Thus the Trend in the Short term as well as Medium term Timeframe is Bullish, whereas the Trend
in the Long term Timeframe continues to remain Bearish.
MACD as well as Price ROC are both positive and continue in Buy mode. RSI (68) suggests
momentum to be strongly Bullish. Stochastic Oscillator %K (92) is below %D and hence in Sell
mode. ADX (18) suggests the continuation of sideways consolidation. Directional Indicators con-
tinue in Buy mode as +DI continues above -DI. MFI (75) suggests strong Positive Money Flow.
OBV continues in Buy mode as it has started making higher tops, higher bottoms. Buy signal was
generated in Bollinger Band on Monday. Thus Oscillators are suggesting a Bullish bias.
Options data for June series indicate highest Call Open Interest at the strike of 10500. Highest
Put build-up is at the strike of 9000, closely followed by 9500. Thus Options data suggest a trading
range with Resistance at 10000 and Support at 9500.
Buy... Buy... Buy on Dips Hold Sell on High

HFCL 12.00 IRCTC 1456.00 Bajaj Auto 2776.00
India Cement 130.00
IDBI 38.00 National Pero. 2266.00 TCS 2048.00
Gujarat Gas 285.00
Madhav Infra 23.45 United Bre. 1077.00 Chola INvest 291.00
Tata Motors 110.00
BHEL 27.00 HAL 630.00 Dabur 462.00
White Organic 140.00
NBCC 22.00 BEML 621.00 Nestle 17096.00
Bharati INfra 236.00
Tejas Network 42.00 HDFC Bank 1034.00 ITC 200.00
Indian Bank 54.00
PNB 33.00 ICICI Bank 357.00
Jindal Steel 145.00 HCL Techno 575.00
Nalco 32.00
Maruti Suzuki 5748.00 Jubilant Food 1675.00
Goblin 41.00 Kalpataru Power 218.00
ABB 878.00 SUN TV 405.00
Sail 33.00 BPCL 369.00
Thermax 747.00 Colgate 1359.00
RVNL 19.00 JSW Steel 197.00
PFC 86.00 Titan 991.00 MindTree 925.00
IGL 488.00
Financial Weekly

June 2020 7
INVESTMENT
Reveiw of SMART INVESTMENT Last Issue

Amazing 50% RETURN
SMART GAIN FOR SMART INVESTORS
Company Reccom. Weekly Ch. Company Reccom. Weekly Ch.
29-5-2020 High (%) 29-5-2020 High (%)
DARK HORSE STOCK BUZZ
Talbros Auto 92.5 93 0.54 JSW Energy 40 45 12.50
WPIL 348.3 372 6.80 BHAVI CHAAL
SURE SHOTE Apollo Micro 57 85 49.12
Birla Corporation 518 549 5.98 Anuh Pharma 144 208 44.44
UPL 401 424 5.74 Sumitomo Chem. 232 272 17.24
Bajaj Consumer 133 149 12.03 Tyche Ind. 101 115 13.86
JB Chemicals 681 700 2.79 Aries Agro 56 71 26.79
EID-Parry 195 216 10.77 SMART BEST BUY
SCRIP TO WATCH Pidilite 1468 1510 2.86
L&T 932 961 3.11 ACC 1271 1287 1.26
GMM Pfaudler 3807 4165 9.40 Bajaj Finserv 4407 5287 19.97
Coromandel INtl. 644 657 2.02 SBI Life 767 806 5.08
MARKET TIPS DALAL STREET WHISPERS
Berger Paints 492 515 4.67 Eicher Motors 16555 17516 5.80
PI Ind. 1538 1591 3.45 Birla Corp 518 549 5.98
Trent 468 575 22.86 Jindal Steel & Power 121 137 13.22
KPIT Techno 49 56 14.29 JK Lakshmi Cement 239 244 2.09
Sanofi India 7713 8162 5.82 Vodafone Idea 6.56 8.63 31.55
SMART TIPS Apcotex Ind. 108 116 7.41
Bharat Electronics 69 73 5.80 ITC 197 200 1.52
Heidlberg Cement 160 171 6.88 BEML 581 602 3.61
GSPL 196 211 7.65 BPCL 342 357 4.39
SMART SUPER DUPER Shilpa Medicare 395 427 8.10
Granules India 171 184 7.60 KPIT Techno 49 56 14.29
Bajaj Electricals 363 446 22.87 CEAT 809 910 12.48
Just Dial 392 413 5.36
Only Subscribers will get SMART PLUS NEWSLETTER

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Financial Weekly

June 2020 8
INVESTMENT
Rapid Fire Stocks
Kalpna J (Email- Kjtech79@gmail.com)

(Ring : 97690 37711) Twitter : @Kj_TechTrades
Performance of Last Week Rapid Fire Stocks

Axis Bank - 384 to 432 • HUL - 2057 to 2143
Kotak Bank - 1224 to 1428
Watchlist For Fortnight
HDFC Life , CMP 517 Targets - 535- 555
Kotak Bank – 1337 Targets 1375- 1450
GSPL - 211 , Targets - 221- 232
ICICI Prudential Life Insurance Buy at CMP : 388

Target - 444-529 Time Frame 2 to 9 Months (Add in Dips)
Company's net premium earned rose 4.16% to Rs 10,475.12 crore in Q4 March 2020 from Rs
10,056.32 crore in Q4 March 2019.
Net premium earned rose 7.52% to Rs 32,878.95 crore in FY20 from Rs 30,578.29 crore in
FY19. Value of new business (VNB), used to measure profitability of the new business written in a
period, rose 20.85% to Rs 1605 crore in FY20 over FY19. VNB margin was at 21.7% for FY20
compared with 17% for FY19.
The increase in VNB margin is primarily on account of increase in protection mix. Embedded
Value at 31 March 2020 was Rs 23030 crore compared to Rs 21623 crore at 31 March 2019. The
annualized premium equivalent (APE), a measure of new business written by a life insurance
company, was at Rs 7381 crore for FY2020 as compared to Rs 7799 crore for FY2019.
The company offers a range of products across protection and savings solutions to meet the
specific needs of customers. During FY2020, the protection APE recorded a growth of 54.6% ris-
ing to Rs 1116 crore as compared to Rs 722 crore in FY2019.
The company has strong focus on improving the quality of business and customer retention
which is reflected in 13th month persistency ratios. Its 13th month persistency stands at 83.2% for
11M-FY2020. The 49th month persistency was 64.6% in 11M-FY2020 as compared to 63.8% in
FY2019.
Cont....
Financial Weekly

June 2020 9
INVESTMENT
The cost to total weighted received premium (TWRP) ratio stood at 15.9% in FY20 compared to
15% in FY19. The cost to TWRP for the savings business stood at 10.4% in FY20 compared to
11.5% in FY19.
The total assets under management of the company stood at Rs 1,52,968 crore as on 31 March
2020. The company had a debt-equity mix of 60%:40% at 31 March 2020. 93.9% of the debt invest-
ments are in AAA rated and government bonds.
The companys net worth was Rs 7047 crore at 31 March 2020. The solvency ratio was 194.1%
against regulatory requirement of 150%.
ICICI Prudential Life Insurance Company Limited (ICICI Prudential Life) is promoted by ICICI
Bank Limited and Prudential Corporation Holdings Limited. ICICI Prudential Life began its opera-
tions in fiscal year 2001 and has consistently been amongst the top players* in the Indian life
insurance sector. The Assets Under Management (AUM) as on 31st March 2018 were ?1,395.3
billion.
ICICI Prudential Life Insurance Company Limited (ICICI Prudential Life) is promoted by ICICI
Bank Limited and Prudential Corporation Holdings Limited.
ICICI Prudential Life began its operations in fiscal year 2001 and has consistently been amongst
the top players* in the Indian life insurance sector. Our Assets Under Management (AUM) as on
31st March 2019 were `1,604.10 billion. In FY2015 ICICI Prudential Life became the first private
life insurer to attain assets under management of `1 trillion. ICICI Prudential Life is also the first
insurance company in India to be listed on NSE and BSE.
At ICICI Prudential Life, we operate on the core philosophy of customer centricity. We offer long
term savings and protection products to meet different life stage requirements of our customers.
We have developed and implemented various initiatives to provide cost-effective products, supe-
rior quality services, consistent fund performance and a hassle-free claim settlement experience to
our customers.
Cont....
Rapid Fire Stocks

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Financial Weekly

June 2020 10
INVESTMENT
Indraprastha Gas Ltd. Buy at CMP : 488

Target - 520-595 Time Frame 2 to 9 Months
(Add in Dips)
Indraprastha Gas Q3 PAT jumps 35% on rise in gas sales volumes
Indraprastha Gas (IGL) reported 34.8% jump in consolidated net profit to Rs 297.37 crore in Q3
December 2019 (Q3 FY20) over Q3 December 2018 (Q3 FY19)
During Q3 FY20, CNG sales volume increased by 9% to 317.76 million kgs and PNG sales
volumes increased by 18% to 163.80 million scm over Q3 of FY19. On an overall basis there is
13% increase in sales volume during this quarter as they stood at 615.96 million scm as compared
to the corresponding quarter of FY19.
Incorporated in 1998, IGL took over Delhi City Gas Distribution Project in 1999 from GAIL (India)
Limited (Formerly Gas Authority of India Limited).
The project was started to lay the network for the distribution of natural gas in the National
Capital Territory of Delhi to consumers in the domestic, transport, and commercial sectors. With
the backing of strong promoters – GAIL (India) Ltd. and Bharat Petroleum Corporation Ltd. (BPCL)
– IGL plans to provide natural gas in the entire capital region.
The two main business objectives of the company are -
To provide safe, convenient and reliable natural gas supply to it’s customers in the domestic
and commercial sectors.
To provide a cleaner, environment-friendly alternative as auto fuel to residents of the areas of
NCT of Delhi; districts Gautam Budh Nagar, Ghaziabad, Hapur, Muzaffarnagar, Shamli, uncov-
ered parts of Meerut & Kanpur, Fatehpur and Hamirpur in Uttar Pradesh; districts Rewari, Gurugram,
Karnal and Kaithal in Haryana; and, district Ajmer, Pali & Rajsamand in Rajasthan. This will con-
siderably bring down the alarmingly high levels of pollution.
The transport sector uses natural gas as Compressed Natural Gas (CNG), the domestic and
commercial sectors use it as Piped Natural Gas (PNG) and R-LNG is being supplied to industrial
establishments.
Financial Weekly

June 2020 11
INVESTMENT
Alternative Investment Returns Monitor

Price Price Return Return
28-5-2019 28-5-2020 1 Week 1 Yr.
Sensex 39750 32201 4.10% -18.99%
10Yr. Yield (%) 7.15 5.99 -4.30(bps) -115.80(bps)
USD - INR 69.61 75.81 0.04% 8.90%
Value of Rs. 1 Lakh Invested in Various Asset

(As on 29-5-2020) Sensex Gold Silver FD (SBI) PPF*
1 Year 82082 140994 134448 104000 108000
1 Year
Post Tax Returns 82082* 132896 124114 104900 108000
5 Year 116514 174082 125107 146933 151757
5 Year
Post Tax Returns 116514* 166674 122596 131317 151757
* Notes : Cumulative equity gains up to Rs. 1,00,000 in a financial year are tax free.
All post - tax returns are calculated for an individual in the 30% tax braket, without considering the indexation benefit
Top 5 SIPs Top 5 MIPs

Top 5 Equity Schemes based on Top 5 MIP Schemes based on 3
10 Yr. SIP Return yr. SWP returns
Scheme Name Return Scheme Name Return
Annualised Annualised
SBI Small Cap. 14.51 Indiabulls Saving Income 7.10
Canara Robeco Emergin 13.60 Baroda Conservative 7.04
Axis Long Term Equity 12.02 ICICI Prudential 5.44
Principal Emergin 11.48 Canara Robeco Conservative 5.34
DSP Midcap 11.18 LIC MF Debt Hybrid 4.86
Fast Growing Stocks Least Expensive Stocks Best PEGs Income Generators Least Risky
Higesht Expected Revenue The 5 Stocks with the Top 5 Stocks with the least Top 5 Stocks with the Top 5 Stocks With the
growth over the previous year lowest forward P/E price earning to growth ratio highest dividend yield lowest downside risk
Co. Name Revenue Co. Name Lowest Co. Name Earning Investor Earn as Div. for Co. Name Lowest
Growth(%) Forward PE (%) Grwoth Ratio Every Rs.100/- Invested Downside Risk
HG Infra Engg. 43 NTPC 6.24 HG Infra 0.12 Co. Name Hig.Div. Yield Dr. Reddy’s 1.20
Tata Consumer 41 Redington 9.25
CESC 6.42 Gujarat Gas 0.25 CIPLA 1.35
IPCA Labs. 40 PFIZER 8.10
Dilip Buildcon 6.46 Power Grid 0.29 Thermax 1.35
Engineers India 7.05
V-Mart Retail 39 Redington 6.46 Dilip Buildcon 0.31 Alkem Labs. 1.37
Power Grid 5.38
Info Edge 33 Power Grid 6.55 KEC Intl. 0.32 LUPIN 1.37
VRL Logistics 4.67
Financial Weekly

June 2020 12
INVESTMENT
Smart Education : Ankit Gala : buzzpublishing@gmail.com

Balance Sheet of A Company : Part 1
Last week we had seen importance of Financial Statements and their Notes in Company's An-
nual Report while analyzing companies to identify good companies for investing point of view.
From this week we shall try to understand components of Balance Sheet of a Company.
Balance Sheet of a Company :
Balance Sheet is an important financial statement which helps us to analyze the fundamentals
of a company.
A balance sheet is just like a photograph; it captures the financial position of a company at a
particular point of time and the financial position of a company can be entirely different on the next
day or a day after that. On the other hand, Profit Loss Account is like a moving video, which cap-
tures the profitability of a company for the financial year under consideration.
Balance Sheet can be used to understand how the company has evolved financially over the
years of its existence.
Components of the
Balance Sheet:
The key components
of a balance sheet are
broadly divided into two
main sections - the Assets
and the Liabilities.
Currently, all compa-
nies registered under the
Companies Acts have to
prepare their Balance
Sheet as per Schedule III
of the Companies Act
2013.
I shall explain all these
components of Balance
Sheet of a company in
coming weeks.
To learn Fundamen-
tal Analysis you can
read the book Funda-
mental Analysis of
Shares by Ankit Gala &
Khushboo Gala. Book
is available in English.
Financial Weekly

June 2020 13
INVESTMENT
SMART FINANCIAL SERVICES

By Vijaya Kittu M, GetPaidIndia.com
The author feels that investors need to study sectoral trends from time to time. He is on
WhatsApp at +91 98495 19188
1. Media reports are suggesting that HDFC Ltd is considering partial stake sale in an attempt to build
buffers expecting loan demand after the economy reopens fully. The money could be used to absorb
any potential shocks that come because of COVID-19-led lockdown. The lender is considering raising
$1 billion in this round and is reportedly in talks with investment banks for the assignment. Some bank-
ers have reportedly made presentations to HDFC for an institutional stake. As per the March 2020
shareholding, FIIs hold 70.9%, while DIIs holds 17.8%. The strong balance sheet and capital adequacy
position are the financial highlights making HDFC an attractive investment. Gross NPAs stood at 1.99%,
and much of the increase was because of the non-individual loan book. Trouble in real estate can
potentially impact the developer's financing segment of the book. NPLs of non-individuals rose by 180
bps and is currently at 4.71%.
2. HDFC offloaded 2.6 crore shares it held in HDFC Life in a bulk deal recently. The shares traded at
an average price of Rs. 490.22.
3. Diversified financials company Cholamandalam said as much as 75% of its loan book is under
moratorium. The company made provisions to a sizeable extent of its profits impacting coverage ratios,
saying it will be challenging to make recoveries in the current situation. The liquidity position is decent
enough for now. Credit costs might marginally go up going forward.
4. NHB and SIDBI have started disbursal of loans to mortgage lenders and microfinance firms as
part of the Rs. 50,000 crore special window announced by the Government and the RBI. The window is
expected to bring in the much necessary liquidity. As much as Rs. 3,400 crores of this will be made
available for lending to small businesses and Rs. 1,060 crores to microfinance institutions.
5. GAME, an industry body for the MSME segment, said that most firms are confused with the
recent stimulus package announced by the Government.The All India Manufacturers' Organisation
(AIMO) says that 35% of MSMEs and 37% of self-employed individuals have begun to shut shop, not
hoping any quick recovery of the economy.
6. SREI Infra Chairman, in a recent interview, said that NBFCs need a one-time restructuring of
loans. He said that the stimulus package improves liquidity but is more suitable for medium to long-
term. He said SREI Infra is managing its liquidity well.
KWJ Investing Webinars

Fridays of June 2020 / Sundays of July 2020
Get a strong introduction on Portfolio Design,
MFs and Equity Investing
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Financial Weekly

June 2020 14
INVESTMENT
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Financial Weekly

June 2020 15
INVESTMENT
SMART
BUY OF THE WEEK
Dark Horse
Some successful recommendations of Smart Dark Horse
in last one and half month
Recommended Dt. Stocks Recomm. High after Gain
Price Recomm. (%)
1st May 2020 Apollo Micro 70.85 95.55 35%
9th May 2020 Rama Phosphates 31.7 40 26%
30th May 2020 WPIL 348.3 398.95 15%
30th May 2020 Talbros Auto 92.5 104 12%
KRITI INDUSTRIES (INDIA) LTD

(526423) (17) (Face Value Re.1)
Incorporated in 1990, Indore based, Kriti Industries Particulars 9 Months Ended
(India) Limited manufactures and sells plastic prod- 9MFY20 9MFY19 % Var.
ucts in India. The company offers RPVC pipes and Sales 477.70 465.69 2.6%
fittings, casing pipes, PE coils, sprinkler systems, sub- PBT 18.79 9.34 101.2%
PAT 12 5.78 107.6%
mersible pipes, suctions, garden pipes, SWR and
drainage pipe and fittings, CPVC and plumb pipes and 9MFY20 PAT 12 crore
fittings, micro irrigation laterals, RPVC ring fit pipes FY19 Full Year PAT 6.01 crore
(elastromeric) and fittings, HDPE and MDPE pipes and
Month of Latest High March 2018
fittings, PLB telecom ducts, and micro ducts under the
High price 62.8
Kasta brand name. It serves agriculture, building prod- CMP 17
ucts, micro irrigation, and infrastructure sectors. Discount from high 73%
With an equity capital of Rs.4.96 crore and reserves of Rs.83.96 crore (17x of its equity capital),
KIL's share book value works out to around Rs.17.93. The promoters hold 66.13%, which leaves
33.87% stake with the investing public. Its price to book value ratio stands at just 0.95x. Promot-
ers have increased their stake by 0.33% during FY20.
During 9MFY20, its PAT zoomed 107.6% to Rs.12 crore as against Rs.5.78 crore on higher
sales of Rs.477.70 crore fetching an EPS of Rs.2.42. Investors must note that its 9MFY20
profit is double of the profit recorded in FY19.
Currently, the stock trades at a P/E of just 6.9x. It paid 15% dividend for FY19. Its recent high rate
is Rs.62.8 which was formed in March 2018. Stock almost corrected 73% from recent high.
Investors can accumulate this stock with a stop loss of Rs.13.50. It may give very
good returns in medium to long term.
Cont....
Financial Weekly

June 2020 16
INVESTMENT
ALBERT DAVID LTD

(524075 & NSE) (522.50) (Face Value Rs.10)
Albert David Limited (ADL), a prominent drug Particulars 9 Months Ended
house, distinguished in the field of manufacturing 9MFY20 9MFY19 % Var.
Pharmaceutical Formulations, Infusion Solutions, Sales 260.79 249.20 4.65%
Herbal Dosage Forms, Bulk Drugs and Disposable Operating Pr. 32.65 19.27 69.43%
Syringes & Needles has its base in Kolkata, India. PBT 32.63 17.48 86.67%
The Kolkata manufacturing units is a WHO GMP ap- PAT before
proved unit and Small Volume Parental suite com- onetime gain 22.46 10.31 117.85%
PAT after*
pliant to USFDA cGMP requirements. Another unit is
onetime gain 22.46 19.23 16.80%
located at Ghaziabad, New Delhi. This unit is ISO
*Onetime gain of Rs.8.42 crore in 9MFY19
9001:2008 certified plant. The third unit is located at
Mandideep, near Bhopal. This unit has the Certifi- 5 years CAGR sales growth 1.98%
cate of Pharmaceutical Products under WHO - GMP 5 years CAGR PAT growth 16.41%
Certification Scheme with unique distinction of
Month of Latest High Sept. 2018
achieving and acquiring quality accreditation of ISO
High price 860
9001:2008, ISO 13485:2003 and CE Certification CMP 522.50
through DNV NORWAY. ADL also has significant Discount from high 39%
presence in South East Asia, Africa, countries of Middle - East, Europe, USA and Latin America,
covering almost 35 countries.
With an equity capital of Rs.5.71 crore and reserves of Rs.220 crore (38.5x of its equity capital),
ADL's share book value works out to around Rs.395.03. The promoters hold 61.15% of the equity
capital, GIC hold 3.79% which leaves 35.06% stake with the investing public. Its price to book
value ratio stands at just 1.32x. Promoters have increased their stake by 0.17% during
January 2020 to March 2020.
For 9MFY20, its PAT stood at Rs.22.46 crore against Rs.19.23 crore in 9MFY19 on higher sales
of Rs.260.79 crore fetching an EPS of Rs.39.36. On PAT front, it has reported 25.60% CAGR
growth in last 3 years, 16.41% CAGR growth in last 5 years and 13.57% CAGR growth
in last 10 years.
Currently, the stock trades at a P/E of just 10x. It paid 60% dividend for FY19 & paid 70% interim
dividend for FY20. Its recent high rate is Rs.860 which was formed in September 2018. Stock
almost corrected 39% from recent high.
Investors can accumulate this stock with a stop loss of Rs.475. It may give very
good returns in medium to long term.
Financial Weekly

June 2020 17
INVESTMENT
Global markets are again on bull path

&
Great Stock specific opportunity will be
emerging in the month of June.
Which sectors will take lead in next Bull Run?
To know more Join our FREE telegram channel
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Financial Weekly

June 2020 18
INVESTMENT
www.smartinvestment.in
Smart Investment Website Index
9,999 hits only 1 Week
Total number of Hits
1,37,78,888
Kuber Bhandar of earnings
Future - Options, Stock - Watch, Funda - Picks,
Technical Shares, Speculative Scrips, Primary Market,
BUY.... BUY....BUY TIPS OF THE WEEK

Co. Name Code Price Co. Name Code Price
Vodafone-IDEA 532822 10.52 Paushak Ltd. 532742 2153.00
RCF 524230 44.00 Venky’s India 523261 1161.00
Marksans Pharma 524404 31.80 Tata Steel 500470 339.00
IDFC 532659 17.00 BPCL 500547 369.00
Schneider Ele. 534139 91.00 Voltas 500575 581.00
Indian Glycol 500201 279.00 Concor 531344 402.00
BOB 532134 46.00 Bharti Airtel 532454 584.00
NTPC 532555 98.00 Reliance Ind. 500325 1581.00
IRCON 541956 91.00 Kotak Bank 500247 1339.00
RITES 541556 245.00 Sun Pharma 524715 494.00
SBI 500112 187.00 Balkrishna Ind. 502355 1162.00
KEC Intl. 532714 246.00 Bombay Burmah 501425 1093.00
Power Grid 532898 171.00 Fine Organics 541557 2057.00
MOIL 533286 146.00 Eicher Motors 502500 17506.00
Sumitomo Chemi. 542920 274.00 MRF 500290 63526.00
Financial Weekly

June 2020 19
INVESTMENT
Stock Buzz
Subramanian Mahadevan
dolphincapital@gmail.com
Shanthi Gears Limited (Rs.84)

Geared for future!
Shanthi Gears Limited (Shanthi) - is a Coimbatore based company which is into the de-
sign and manufacture of gears and gear boxes for industrial applications and a leading
manufacturer of industrial power transmission founded by Mr. P Subramanian, four decades
ago. Listed company Tube Investments of India (TII) part of Chennai based Murugappa
group acquired Shanti for 464 crore in July 2012 around INR 82/share. Reason behind buying
was attributed to superior operating profit margin of around 25% far better than Elecon
Engineering, in-house foundry for better quality and efficiency and excellent customer base
within and outside India. Its product includes Worm Gear Boxes, Helical Gear Boxes, Geared
Motors, Cooing Towers Geared Boxes, Extruder Gear Boxes, Rolling Mill Gear Boxes and
Textile Gears & Gear Assemblies catering to various industries like Steel, Cement, Mining,
Sugar and Paper among others. Shanti's reported good set of numbers for FY20 with a
revenue of 242.3 crore and profit before tax of 32.7 Crores with continues focus on four key
priorities of Revenue growth, Profitability, ROCE and Free Cash Flow (FCF). Profitability and
lower capital employed enabled the Return on average Capital Employed (ROCE) to 19%
from 21% of the previous year.The Company generated cumulative operating free cash flow
of Rs. 62 Crores during the year. Cumulative Free cash flow to PAT is 254%. During the year
the Company had booked orders for Rs. 254 Crores (against Rs. 288 Crores for the previous
year). This is on account of sluggish demand from almost all major user industries due to
continued industrial slow down and lockdown on account of COVID-19 with a pending orderbook
as on 31st March 2020 was Rs. 155 Crores against Rs. 168 Crores in the previous year.
Last year, company completed share buy-back, acquiring up to 50 lac shares at 140 per
piece including a special dividend of Rs.5/share signals investor friendly nature of the
Murugappa group. It typically adds around 60 crores of new orders every quarter and ex-
ecutes roughly around 150 crore of order (backlog) mostly repeated orders from existing
customers in a given financial year. Small equity (7.67 crore shares), reserves worth 220
crore, healthy dividend payout, excellent ROE & ROCE, debt-free, promoter holding of more
than 70% and good orders on defence too instills enough confidence. Shanti is better pre-
pared to garner a larger chunk of 2500+ crore worth of domestic gear box opportunity once
the overall economy improves. Buy on every decline for superb returns.
Financial Weekly

June 2020 20
INVESTMENT
- Parag Salot
Technical Trading Trends (SEBI Registered Research Analyst)
M. : 91-9930011789
Nifty Overview :- In Last Trading Session, Nifty closed at 10179. Nifty gave excellent bounce
back and now is at resistance. Nifty near term upside level is at 10450 and if it sustains those levels then
next level is 10940. Nifty support is at 9750 and 9400 levels. Nifty has positive bias and the range for now
is 9500 to 1040 levels until levels crossed.
Bank Nifty Overview : In Last Trading Session, Bank Nifty closed at 21185. Similar to Nifty, Even
Bank Nifty gave a good bounce and is now in positive zone. Range for Bank Nifty is from 19500 to 23500
levels. Support for Bank Nifty is at 20300 levels while upside levels are 21500 and 22000 levels.
Trading Results
Scrip Name BSE Code Buy / Enter at Did High/ Remarks
Sell Low
Bajaj Finance 500034 Buy 1875 2488 Target Achieved
Century Tex 500040 Buy 290 326 Target Achieved
IBulsHsgFin 535789 Buy 120 134 Target Achieved
REC 532955 Buy 89 101 Target Achieved
Sun Pharma 524715 Buy 458 511 Target Achieved
Tata Motors 500570 Buy 87.10 112.45 Target Achieved
Tata Steel 500470 Buy 298 344 Target Achieved
Tech Mahindra 532755 Buy 534 592 Target Achieved
Torrent Pharma 500420 Sell 2410 2288 Target Achieved
Scrip Name BSE

Trading Buy
Last Enter at 1st 2nd Stop
Code Close Between Tgt. Tgt. Loss
Adani Ent 512599 154 148/150 158 165 144
Century Tex 500040 319 305/315 330 350 295
Chola Fin 504973 146 138/142 150 160 133
Divis Labs 532488 2482 2420/2430 2480 2520 2385
HPCL 500104 204 192/195 200 208 186
IbulsHsgFin (Risky) 535789 128 115/120 130 140 110
Sun Pharma 524715 495 485/490 500 510 477
Sun Tv 532733 404 390/395 405 415 385
Tata Motors (Investment Buy) 500570 112 100/102 110 120 95
Ujjivan 539874 180 175/180 190 200 172
Trading Sell
Scrip Name BSE Last Enter at 1st 2nd Stop
Code Close Between Tgt. Tgt. Loss
Adani Ports 532921 342 358/365 350 330 372
Biocon 532523 392 405/408 395 380 415
Cipla 500087 653 667/672 660 650 678
Tata Consumer 500800 378 384/390 375 360 400
Torrent Pharma 500420 2370 2480/2500 2400 2300 2540
Note: All calls are momentum calls based on technical analysis and all levels as per future prices (If scrip not available in futures then BSE Cash price). All
these calls are given based on daily charts but intra-day signals are equally important to enter the trade in a timely manner. Timing is very important and we at
shareinfoline.com give you timely calls based on intra-day charts. Read Disclaimer at ShareInfoline.com
Financial Weekly

June 2020 21
INVESTMENT
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Financial Weekly

June 2020 22
INVESTMENT
TECHNICAL TALK Dhananjay Kadam

TECHNICAL ANALYST, M. 7588622374
Corrections Are Temporary, Growth Is Permanent

Unlock 1.0 and Greed continues on D-Street !
* From June 8, malls, restaurants, and religious places will see the light of day after 75 days
of being under lockdown. The Ministry of Health and Family Welfare (MoHFW) has issued
standard operating procedures (SOPs), which have to be followed by hotels, restaurants,
malls, and offices as they gear up to re-open and re-start operations.
* Except for FMCG, all benchmark indices ended higher on June 5 helped by the bank, auto,
metal and infra sectors. At close, the Sensex was up 306.54 points or 0.90% at 34287.24,
and the Nifty was up 113.10 points or 1.13% at 10142.20.
* The macroeconomic impact of the coronavirus pandemic, which brought economic activ-
ity across sectors to a virtual standstill, is turning out to be more severe than initially
anticipated, according to the Monetary Policy Committee (MPC) of the Reserve Bank of
India (RBI).
* The minutes of the MPC's May 20-22 meeting were released by the central bank on June
5. On the economic outlook, the MPC noted that various sectors of the economy are
experiencing acute stress, with the impact of the shock having been compounded by the
interaction of supply disruptions and demand compression. It noted that the inflation out-
look for the months to come was highly uncertain. With respect to the growth outlook, it
had said, "economic activity other than agriculture is likely to remain depressed in Q1
FY21 in view of the extended lockdown." MPC member Michael Patra said the damage to
the economy is so deep and extensive that India's potential output has been pushed down,
and it will take years to repair. "Apart from the unidirectional loss of speed in real GDP
growth, monetary conditions are also reflecting the fragile state of demand," he added.
RBI Governor Shaktikanta Das, while pointing to the uncertainty as to when the COVID-19
curve will flatten, had said," Even as the supply side is expected to ease gradually, as the
lockdown related restrictions are phased out, it is the demand side which will continue to
weigh heavily on economic activity for some time to come." The central bank had accord-
ingly announced a repo rate cut of 40 basis points, bringing it down to the current 4
percent. It had also maintained its accommodative stance.
* Its official! 39% of all loans in banking system now under 6-month moratorium.
* Mubadala to invest Rs 9,093.6 crore in Reliance Jio for 1.85% stake.With this investment,
Cont...
Financial Weekly

June 2020 23
INVESTMENT
Jio Platforms has raised Rs 87,655.35 crore from leading global technology and growth
investors.
* THE US Comeback ! May month jobs report: US economy unexpectedly adds 2.5 million
payrolls, unemployment rate falls to 13.3%. Nonfarm Payrolls (May and unempolyment
data good then expectation.
* TRUMP ADMINISTRATION SELECTS FIVE CORONAVIRUS VACCINE CANDIDATES
AS FINALISTS - NYT. The five companies are Moderna, a Massachusetts-based biotech-
nology firm, which Dr. Fauci said he expected would enter into the final phase of clinical
trials next month; the combination of Oxford University and AstraZeneca, on a similar
schedule; and three large pharmaceutical companies: Johnson & Johnson, Merck and
Pfizer. Each is taking a somewhat different approach.
* State Bank of India’s quarterly profit quadrupled over a year ago, aided by weak profitabil-
ity in the year-ago quarter and proceeds from a stake sale in its payments subsidiary.
Net profit rose to Rs 3,580.8 crore in the January-March quarter compared to Rs 838.4
crore, according to an exchange filing. That compares with the Rs 6,169-crore consensus
estimate of analysts tracked by Bloomberg. This quarter’s net profit includes a one-time
benefit of Rs 2,731 crore from sale of stake in SBI Cards & Payment Systems. The state-
run bank’s net interest income fell less than a percent year-on-year to Rs 22,766 crore.
Analysts had forecast NII at Rs 25,403 crore.
SBI’s asset quality improved over the January-March quarter. Gross non-performing as-
sets fell 6.6% over the preceding quarter to Rs 1,49,091 crore. The gross NPA ratio stood
at 6.15% as of March 2020 compared with 6.94% a quarter ago. The net NPA ratio stood
at 2.23% against 2.65% in the previous quarter.
* India VIX : India VIX is a volatility index based on the NIFTY Index Option prices.
It had made a 52 week high of 86.63 on 24th March 2020 and then there was maximum
pessimism in the market. Vix topped out and market saw reversal and NF has moved from
52 week low of 7511 to 10177.8 DH on 05th June 2020. 200 Days SMA for India Vix is 24.32.
And on 5th June 2020 it made a low of 25.92 and closed at 28.68. 52 week low of India Vix
9.16.
# Nifty (10142) : The overall sentiment has improved among market participants
due to green shots and better liquidity has led to good global markets rally. While writing,
this article at on Friday US Dow Jones Index was trading at 27,262.64 +980.82 (3.73%) due
to better than anticipated Nonfarm Payrolls (May) and unempolyment data. Rally may con-
tinue in Nf and we may see 10600 + levels. Good support is around 9900.
Cont...
Financial Weekly

June 2020 24
INVESTMENT
# Torrent Power Limited (Last close Rs 344.55)

It is a holding company engaged in the business of power generation, transmission and distri-
bution.
Book Value: 190.45
Stock P/E: 7.88
Dividend Yield: 3.37 %
ROCE: 11.89 %
ROE: 10.43 %
Sales Growth (3Yrs): 4.03 %
* Company has been maintaining a healthy dividend payout of 25.63%.
* The company has delivered a poor growth of 8.76% over past five years.
* Promoters have pledged 48.54% of their holding.
Technicals : Resistance breakout on daily chart. One can buy and hold for a price target of Rs
396. Stop-loss would be Rs 330 on daily closing basis. Time frame is 26 days.
# JBM Auto (Last close Rs 182.75)
JBM Auto is engaged in the automotive business that manufactures and sell sheet metal com-
ponents tools dies & moulds and buses including sale of spare parts accessories & maintenance
contract of Buses.
Book Value: 109.41
Stock P/E: 12.16
ROCE: 17.92 %
ROE: 18.07 %
* Company has reduced debt.
* Promoter holding has increased by 5.50% over last quarter.
* The company has delivered a poor growth of 5.55% over past five years.
Technicals : Bullish flag on weekly chart. One can buy and hold for a price target of Rs 226.
Stop-loss would be Rs 166 on weekly closing basis. Time frame is 5 weeks.
# Venkys (Last close 1,166) :
Venkys (India) has diversified its activities in poultry sector that includes production of SPF
eggs, chicken and eggs processing, broiler and layer breeding, animal health products, Poultry
feed & equipment, soya bean extract and many more.
Book Value: 669.57
Stock P/E: 16.48
ROCE: 27.79 %
ROE: 21.77 %
* Company has reduced debt.
* Company has good. consistent profit growth of 47.82% over 5 years.
Technicals : Bullish flag pattern on weekly chart. One can buy and hold for a price target of Rs
1530. Stop-loss would be Rs 1075 on weekly closing basis. Time frame is 5 weeks.
Financial Weekly

June 2020 25
INVESTMENT
Terrific Shots - Dilip K. Shah
Paushak Ltd (Rs.2150.00) (Code:532742)

The specialty chemical sector company is part of Gujarat-based Alembic Group. The company
established in 1972 produces isocyanates, Chloroformates and Corbonyl Chlorides and other or-
ganic intermediates. It has entered into manufacturing contract with global customers. Around 15% of
the company's income comes from export. In FY2020, the company recorded net profit of Rs34.91
crore on sales of Rs136.90 crore and other income of Rs4.60 crore. The company had bought shares
worth Rs21.25 crore at price of Rs1700 a share under buy back scheme in 2018. It has 98.58 crore
long term finance investment. Considering the huge cash reserves, there is a possibility of stock split
or bonus shares. The stock may cross Rs2500 in short term and 2800 in medium to long term.
Symphony (Rs.901.00) (Code:517385)

It is one of the leading air cooler makers of India and has presence in 60 countries. The COVID-
19 pandemic effect has created negative impact on the company's demand across the globe. The
company's income from domestic market is Rs136 crore and foreign market is Rs113 crore. The
promoters hold 75% and public hold 25% stake in the company. In March quarter, the company's
income increased by 5.96% on consolidated basis to Rs249 crore and the net profit increased by
900% to Rs40 crore. It paid 1150% dividend last year and the dividend yield touched Rs2.57%.
Thought the performance has been affected by COVID-19, the collection can reach normal level
once the inventory goes down. It may give good return in medium to long term.
Finolex Industries (Rs.472.00) (Code: 500940)

The one of the leading companies in agri-plastic segment may witness bullish trends in upcom-
ing months due to higher rural demand. There are favourable circumstances for the company with
better yield of Rabi crop and the support provided to the farmers by the government. The company
is completely debt-free. It recorded net profit of Rs349.80 crore on income of Rs3091.32 crore
during the financial year 2020. The government schemes like Housing for All, Nal Se Jal, Project
AMRUT and Swatch Bharat Mission may benefit the company. The finance minister has recently
announced stimulus package for the PVC pipes segment.
MAZDA Ltd (Rs.276.00) (Code:523792)

The 'B' group company is active in segments like sheet laser cutting machine, tube laser cutting
machine, electrolamination mobile lase welding systems, jewellery laser welding machine apart
from FMCG sector where in instant drink powder, fruit powder, instant fruit flavoured drink are
manufactured and exported. It paid 75% dividend for FY2020. The company is debt-free. It has
reserves of Rs141.38 crore. In FY2020, the company recorded net profit of Rs14.10 crore on in-
come of Rs141.38 crore with EPS of Rs33.11. The stock is being traded at PE multiple of 6.42.
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

June 2020 26
INVESTMENT
Sarvesh Ashok Trivedi
Stock Wave (Mumbai) (Mob) 09820728124
www.chartsanketstock.com
Upward movement may continue in selected shares

BSE Index (34287.24) :- It shows upward
movement from bottom of 29968.45. It shows over-
bought position on daily basis, while neutral on
weekly and monthly basis. On upward movement,
beyond 34490 it may go up to 35000, 35520, 36040,
36560 and 37075. On the downward movement,
below 33711 it may go down to 33450 with support
at 33190.
Bank Nifty Future (21185.00) :- from bot-
tom of 17005.95, it is moving upward. It shows over-
bought position on daily basis, towards neutral on
weekly basis and oversold on monthly basis. On upward movement, beyond 21611 it may go up to 21780,
22305, 22825, 23350, 23875, 24400, 24920, 24550, 25970 and 26375. On the downward movement, below
20540 it may get support at 20233.
Nifty Future (10179.00) :- It shows improvement from bottom of 8811.05. It shows overbought
position on daily basis, while neutral position on weekly and monthly basis. On upward movement, beyond
10193 it may go up to 10280, 10550, 10590, 10690 and 10890. On the downward movement, below 9932 it
may get support at 9780.
HUL (2087.60) :- It shows improvement from bottom of 1902. It shows overbought position on daily
basis, towards neutral on weekly basis and overbought to neutral on monthly basis. On upward movement,
beyond 2150 it may go up to 2175, 2200, 2213 and 2258. On the downward movement, below 2080 it may
get support at 2065.
M & M (154.30) :- It shows improvement from bottom of 125.40. It shows towards overbought position
on daily basis, while oversold on weekly and monthly basis. On upward movement, beyond 160 it may go
up to 177, 182 and 192. It may get support at 142.
MGL (1012.65) :- It shows improvement from bottom of 862.80. It shows overbought position on daily
basis, towards overbought on weekly basis and neutral on monthly basis. On upward movement, beyond
1058 it may go up to 1064 and 1200. On the downward movement, below 990 it may get support at 970.
Tata Steel (338.95) :- It shows improvement from bottom of 262.45. It shows overbought position on
daily basis, neutral on weekly basis and oversold on monthly basis. On upward movement, beyond 348 it
may go up to 370 and 362. On the downward movement, below 330 it may get support at 322.
Tech Mahindra (579.85) :- It shows improvement from bottom of 490. It shows overbought position
on daily and weekly basis, while oversold on monthly basis. On upward movement, beyond 588 it may go
up to 615, 635 and 658. It may get support at 565.
Disclosure : The Recommendations are based on technical analysis. There is a risk of loss in trading.
Golden quote :-
But man is not made for defeat
A man can be destroyed but not defeated
Financial Weekly

June 2020 27
INVESTMENT
Dilip Davda
e-mail Expert’s Eye
dilip_davda@rediffmail.com
June starts with a mega positive week

Reliance Ind lead the rally for the week
First week of June 2020 that started on a positive note marked green trades for the week
except for Thursday. In fact Reliance Industries that had successfully completed its mega
rights issue with 1.6 times subscription lead the rally and got support from banking, finance,
Auto, Telecom and Metal counters. Even Mid and Small cap counters gained momentum
amidst ongoing slow but steady Q4 number announcement prolonged season. In fact Reli-
ance Industries marked new 52 week high on ex-right basis on Friday and surprised all. By
the weekend both benchmarks reclaimed 10K and 34K marks respectively.
Net buying position of FIIs for entire week remained at the center stage and fuelled the
sentiment. Bulls were full in charge of rally amidst reports of Unlockdown-1.
For the week, benchmarks moved in the range of 10177.80 - 9706.95 for NSE Nifty and
34488.69 - 32876.55 for BSE Sensex. Both the benchmarks closed above the sentimental
barriers of 10.1K and 34.2K respectively and brought sigh of relief amidst COVID 19 pan-
demic.
The week ended with GAINs of 561.85 points for NSE Nifty and of 1863.14 points for BSE
Sensex.
With a gap up openings on Monday, markets traded in green pasture and closed with
Cont....
Board meetings for considering Bonus issues convened by

Madhav Infra and White Organic on 8th June 2020,
by Goblin India on 13.06.20.
During the week dividend announcement

Advance Enzyme (30%), Capital India (1%), G E Shipping (27%), Kanpur Plast (6%),
Mercury Lab (20%), MCX (300%), Orient Elect (50%), Seshasayee Paper (175% + 25%),
Srikalahasthi Pipes (70%), Universal Cables (20%), Vindhya Tele (100%), Welspun Enter
(20%), ASM Techno (25%), Granules India (25%), Marksans Pharma (10%), Vishnu Chem
(10%), Alkem Lab (150%), Disa India (25%), Lakshmi Elect (5%), Oriental Hotels (20%),
Chemfab Alkalis (12.5%), DLF (40%), Igarashi Motors (12%), NIIT Ltd. (100%), PNB Gilt
(30%), TD Power (7.5%), Cg-Vak (7.5%), Guj Gas (62.5%), Larsen & Toubro (400%), Natural
Caps (6%), PI Ind (100%), Saregama (15%), Sumitomo Chem (5.5%), Timken India (500%)
Financial Weekly

June 2020 28
INVESTMENT
respectable gains. NSE Nifty gained 245.85 points to close at 9826.15 and BSE Sensex
scored 879.42 points to end the day at 33303.52. Banking, Auto, Consumer Durables, IT
counters lead the rally and got support from Reliance Industries that marked over 1 time
subscription for its ultra mega rights issue on third last day. More sops for MSME segment
announcement from Government listed sentiment for select Mid and Small cap too. Amidst
high volatile trades 50 counters witnessed 52 week high whereas 68 counters marked 52
week lows. Market breadth was highly positive. FIIs were the net buyers while DIIs were the
net sellers for the day.
With a positive opening on Tuesday too markets moved both ways to end the day in green.
NSE Nifty scored 152.95 points to end the day at 9979.10 and BSE Sensex gained 522.01
points to close at 33825.53. Moody's downgrading of banking sector, however, despite such
scenario, we marked positive trades in Banking, Auto, IT, Pharma, Telecom, Consumer
Durables for the second session in a row. Continued buying in select Mid and Small cap
counters kept market breadth hugely positive. With high volatile trades 47 counters wit-
nessed 52 week high whereas 52 counters marked 52 week lows. FIIs and DIIs were the net
buyers for the day.
On Wednesday again we witnessed gap up openings that ended in green pasture to mark
hat trick for the week and sixth positive session in a row. NSE Nifty gained 82.45 points to
close at 10061.55 and BSE Sensex scored 284.01 points to end the day at 34109.54. Thus
both benchmarks closed above sentimental upper barriers of 10K and 34.1K respectively.
Cont....
Nifty & Sensex Movement during the last week

Nifty Open High Low Close Diff
01-Jun-20 9726.85 9931.6 9706.95 9826.15 245.85
02-Jun-20 9880.85 9995.6 9824.05 9979.1 152.95
03-Jun-20 10108.3 10176.2 10035.55 10061.55 82.45
04-Jun-20 10054.25 10123.85 9944.25 10029.1 -32.45
05-Jun-20 10093.8 10177.8 10040.75 10142.15 113.05
Net Weekly Gains 561.85
Sensex Open High Low Close Diff
01/06/2020 32,906.05 33,673.83 32,876.55 33,303.52 879.42
02/06/2020 33,450.19 33,866.63 33,301.29 33,825.53 522.01
03/06/2020 34,185.41 34,488.69 34,027.50 34,109.54 284.01
04/06/2020 34,072.50 34,310.14 33,711.24 33,980.70 -128.84
05/06/2020 34,198.55 34,405.43 33,958.02 34,287.24 306.54
Net Weekly Gains 1,863.14
Financial Weekly

June 2020 29
INVESTMENT
Banking counters remained in limelight for the third session in a row and got support from
select counters in Consumer Durables, Auto etc. Reliance again surged on reports of its
right issue getting over 1.5 times subscription. Select Mid and Small cap counters continued
to mark informed buying and kept market breadth hugely positive. For this session while 50
counters marked 52 week high, 58 counters touched 52 week low. FIIs remained net buyers
while DIIs turned net sellers for the day.
With negative openings on Thursday we witnessed highly volatile trade with weekly expiry
that ultimately ended in red. NSE Nifty lost mere 32.45 points to end the day at 10029.10 and
BSE Sensex marked deficit of 128.84 points to close at 33980.70. Issue on interest for
moratorium cases getting SC alarm kept a tab on general sentiment. Weekly traders pre-
ferred to book profits at higher levels that pulled down the market and arrested last six
sessions gaining streak. While pharma counters maintained lead, banking counters eased.
Select Mid and Small cap counters too marked selling spree. With volatile trades while 48
counters marked 52 week high, 55 counters touched 52 week lows. Market breadth re-
mained positive with thin difference amidst gainers and losers. FIIs were net buyers while
DIIs were net sellers for the day.
On Friday, we marked positive openings, and with both side movements, trades ended in
green. NSE Nifty gained 113.05 points to close at 10142.15 and BSE Sensex scored 306.54
points to end the day at 34287.24. Thus both benchmarks ended the first week of June 2020
above sentimental upper barriers of 10.1K and 34.25K respectively. Reliance Industries
clinching investment worth Rs 87K crore for its Jio platform attracted buyers for the counter
that translated into new 52 week high in intraday trades. SBI lead the rally with bumper
results for Q4 and got support from select counters in telecom, auto and metal sectors.
Select Mid and Small cap counters gained momentum amidst fresh support at lower levels.
Market breadth turned hugely positive. For the session 60 counters touched 52 week high
and 61 counters marked 52 week lows. FIIs and DIIs were token net buyers for the day.
Dollar hovered around Rs. 75.60 a Dollar. FIIs net buying for the week helped Dollar to
remain stable. On production cut reports, Brent Crude Oil prices surged to cross 41$ a barrel
and raised concern.
Now Micro and Macro economic data from domestic and global markets will be on radar.
Movement of Monsoon is going to impact the trends of the market. Lockdown-V which is also
termed as Un-lock down-I has raised hope for reversal of recessionary trends going forward.
Flow of Q4 numbers will keep market in stock specific mode as usual.
Amidst such a scenario, benchmarks movement is likely in the range of 10650-9250 for
NSE Nifty and 35750-30500 for BSE Sensex for the coming week.
DISCLAIMER : No financial information whatsoever published anywhere here should be construed 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 advisor 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 informa-
tion 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 REGIS-
TERED RESEARCH ANALYST)
Financial Weekly

June 2020 30
INVESTMENT
A. K. Asnani
(M) 9893512098
Smart Verc (Bhopal)
Author of Book
Way to Billionaire
Kya lagta hey Bazar?

The market is represented by a broad-based Index like Dow and NASDAQ in the US and BSE
Sensex and Nifty 50 in India.
These indices have a reasonably good number of stocks. But due to the varying contribution
(weightages) to the Index, even the couple of heavyweights can have a telling impact on the Index.
Also, the different sectors have different weightages in the Index. Thus, Finance and related
sectors have a very high level of weightage in most country indices.
In the long term it, the combined movement of the stocks which decides the returns from the
Index but in the short term, the heavyweights can distort the movements.
Similarly, in our portfolio, it is the stocks that decide the returns. Thus,weshould be strongly
focused on the companies we hold rather than where the market is going or expected to go.
The rational way would be not to predict the Market rather try to understand what would be the
impact of the changing economic scenario on the stockswe hold.
There is hardly any speciality chemical representation in Sensex but that sector holds very
good potential. Similarly, in Healthcare in terms of free float market capitalisation the weightage is
just 1.49% but the prospects are much better than most other segments of the economy.
the Pharmaceuticals there is only one company in Sensex that is Sun Pharma which itself is
facing Corporate Governance issues and even the financial performance is not much to write about,
but as a whole Pharmaceutical sector hold decent prospects.
The economic situation around the world is not that good as the Indices level and movements
indicate.
Then why the indices are rising?
Governments and Central banks around the world have declared huge economic stimulus and
reduced interest rates to support the economy. This is creating excess liquidity into the system and
part of this liquidity is finding a way into the stock markets. The market is overvalued and may
become more overvalued in times to come. As a smart investor, we need to invest carefully in
undervalued stocks only.
No one knows where the market is headed. All times we investors should have confidence in
our stocks, as we are betting on healthy horses (read companies) and smart Jockeys (read Man-
agement).
Perception about the market plays a crucial role in deciding our portfolio returns.
Happy investing!
A. K. Asnani
Author | Advisor | Coach | Mentor |
09893512098
smartasn@gmail.com
(investors are advised to act as per their own conviction. Above are only the views of the Author)
Financial Weekly

June 2020 31
INVESTMENT
Scrip Watch - Siddharth Shah
Alkem Labs. (Rs. 2395.00) (Code : 539523) (F. V. : 2.00)

Drug firm Alkem Laboratories has reported a 12.34 per cent rise in consolidated net profit
to Rs 191.54 crore for the quarter ended on March 31, 2020. The company had posted a net
profit of Rs 170.50 crore for the corresponding period of previous fiscal. Revenue also rose
to Rs 2,048.99 crore for the quarter under consideration as against Rs 1,853.03 crore for the
same period year ago. Net profit for the fiscal ended March 2020 stood at Rs 1,149.31 crore
as against Rs 773.64 crore for 2018-19. The company posted Rs 8,344.36 crore as revenue
for 2019-20. It was Rs 7,357.19 crore for the year ago fiscal. The company's board has
approved final dividend of Rs 3 per equity share for FY20. Alkem Lab’s 67% of revenue
comes from domestic generic and API business. Anti-infectives and cronic business con-
tinue to provide revenue growth for Alkem. Promoters held 65.88 per cent stake in the
company as of March 31, 2020, while FIIs held 3.64 per cent, DIIs 11.78 per cent and public
and others 18.70 per cent. Buy.
V-Mart Retail (Rs. 1730.00) (Code : 534976) (F. V. : 10.00)
Net Loss of V-Mart Retail reported to Rs 8.44 crore in the quarter ended March 2020 as
against net loss of Rs 0.90 crore during the previous quarter ended March 2019. Sales
declined 3.45% to Rs 332.66 crore in the quarter ended March 2020 as against Rs 344.53
crore during the previous quarter ended March 2019. Marking a new milestone in its retail
footprint expansion, the Company opened 55 new stores in FY20 (9 in Q4), its highest-ever
tally in a single year, taking the total store count to 266. This surpassed yet another highest-
ever achievement of 44 stores added last year, growing the total retail area by 23% y-o-y to
2.2 mn sq ft at FY20-end. While the new store additions focused on penetrating deeper and
wider in existing clusters, the Company also ventured into two new states, Arunachal Pradesh
and Nagaland, both in the North East.
Amber Enterprise (Rs. 1534.00) (Code : 540902) (F. V. : 10.00)
Amber Enterprises' net profit declined 4.72% to Rs 62.84 crore in the quarter ended March
2020 as against Rs 65.95 crore during the previous quarter ended March 2019. Sales rose
9.96% to Rs 1315.18 crore in the quarter ended March 2020 as against Rs 1196.01 crore
during the previous quarter ended March 2019. For the full year,net profit rose 69.12% to Rs
158.40 crore in the year ended March 2020 as against Rs 93.66 crore during the previous
year ended March 2019. Sales rose 44.00% to Rs 3962.79 crore in the year ended March
2020 as against Rs 2751.99 crore during the previous year ended March 2019. Amber Enter-
prises (Amber) manufactures room air-conditioners (RAC), indoor units (IDU), outdoor units
(ODU) and split & window air-conditioners (WAC), on a contract basis. Amber also manufac-
tures RAC and non-RAC components, making it a one-stop solutions provider for major
brands, currently serving eight out of the top-10 RAC brands in India. Invest.
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

June 2020 32
INVESTMENT
Market Tips - Het Zaveri
Bombay Burmah (Rs. 1093.00) (Tea & Coffee Sector)

The Wadia Group is looking to sell up to 5 per cent stake in India’s largest biscuit maker,
Britannia Industries, to raise as much as Rs 4,000 crore it is looking to take advantage of a
spike in share prices since March. The Wadias are likely to sell shares through secondary
block deals. The group is expected to infuse these funds into its aviation firm GoAir and
textile and real estate company Bombay Dyeing. Shares of Britannia have risen 48 per cent
since the beginning of the lockdown, highest in comparison to that of any other FMCG
company. In the end of March 2020, promoter holding in Britannia was 50.6 per cent. Of this,
44.8 per cent was held through Associated Biscuits International while the remaining was
held through Bannatyne Enterprises, Dowbiggin Enterprises, Nacupa Enterprises, Valletort
Enterprises and Spargo Enterprises, each holding 1.16 per cent. The stock is worth accumu-
lation.
Dixon Techno (Rs. 5014.00) (Consumer Electronics)
AIL Dixon Technologies, a Joint Venture Company of Dixon Technologies (India) has
entered into MOU with Molbio for manufacturing of Truelab Quattro Real Time Quantitative
micro PCR Analyzer machines. These portable machines are capable of performing 40-48
tests per day of critical infectious diseases. These technologically driven machines will be
manufactured at AIL Dixon's manufacturing facility situated at Tirupati, Andhra Pradesh,
India. Meanwhile, Dixon Technologies is planning to invest Rs 250 crore and hire 2,500
people in next 8-9 months to expand operations to take advantage of the Product Linked
Incentive (PLI) scheme that opened on Tuesday. Electronics manufacturing companies will
get 4-6 percent incentives based on certain incremental sales every year. The company is
readying to apply for the PLI scheme shortly. It will benefit the company. Invest.
Quess Corp. (Rs. 282.00) (Diversified)
Quess Corp has completed the additional acquisition of 25% equity shares in Terrier
Security Services (India) ("TSSIPL"), an associate company of Quess Corp ("Quess") from
Heptagon Technologies, another associate of Quess. The shareholding of Quess in "TSSIPL"
stands increased from existing 49% to 74%, thereby making TSSIPL a subsidiary of Quess
effective 01 June 2020. The management has indicated that impact on operations in Apr-
May’20 was not as bad as initially feared. Having large enterprises as customers and limited
exposure to SMEs has helped the company in navigating through the crisis. Monster is
expected to witness growth and margin challenges in the near term as renewals (typically
happen in the last week of March) are hit. As recruitment picks up, this segment is expected
to recover. Promoters held 54.86 per cent stake in the company as of March 31, 2020, while
FIIs held 14.61 per cent, DIIs 16.55 and public and others 13.9 per cent. 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

June 2020 33
INVESTMENT
SMART TIPS Smita N. Zaveri
Talbross Auto (Rs. 94.00) (Code: 505160)

Shares of this B Group listed auto parts and equipment manufacturer have face value of
Rs. 10. The shares touched a 52-week high of Rs. 187 and low of Rs. 62. Established in
1956, it is the flagship company of Talbross Group. The company makes auto and industrial
gaskets, forging response systems, and anti-vibration products. It has formed joint ventures
with Japan's Nippon Corporation, Italy's MagnetiMarelli, and Japan's Murugo Rubber. It has
also signed technology sharing agreements with Japan's Sanwa Packaging and Interface
Solution of US. It commands a market share of 40% in gaskets, which is three times its
nearest competitor. Its equity is Rs. 12.35 crore and reserves of Rs. 184 crore. Promoter
holding in the company is 58.16%. For first nine months of the year, it reported sales of Rs.
293.66 crore and profit of Rs. 11.92 crore. Its profit has grown at a CAGR of 34.61% in the
last three years, 16.29% in five years, and 44.68% in the last ten. One can invest in the
stock with a stop-loss of Rs. 77.
Manappuram Finance (Rs. 139.00) (Code: 531213)
Shares of this A Group listed NBFC have face value of Rs. 2. The shares touched a 52-
week high of Rs. 194 and low of Rs. 75. The company's AUM grew 30% in March quarter.
Operating profit rose by 55% on an annual basis. Reduction in corporate income tax boosted
net profit by 43%. Gold loans account for 65% of its total AUM. This is likely to allow it to
report stronger growth than other NBFCs in 2020-21. Moreover, gold prices are also high. Its
business was impacted due to the lockdown in April and May, but it is now showing strong
growth. It did well in the online gold scheme during the lockdown, which has pushed share of
online gold loan to 61%, and touch 70% by the end of the year. For March quarter, Manappuram
reported 48% rise in consolidated income at Rs. 1,605 crore, while profit rose 53.77% to Rs.
395 crore. EBIDTA was up by 54% to Rs. 1,158 crore. The company has filed papers with
BSE to enter the debt market with a Rs. 500 crore NCD issue.
NCC (Rs. 27.00) (Code: 500294)
Shares of this A Group listed construction and engineering company have face value of
Rs. 2. The shares touched a 52-week high of Rs. 103 and low of Rs. 16. Promoter holding in
the company is 19.57%. The company has track record of four decades, and operates in
housing, roads, water management, environment, irrigation, railway, and other areas. Known
as Nagarjuna Construction Corporation when it was established, NCC has bagged orders of
Rs. 25,000 crore last year, taking its total order book to Rs. 33,000 crore. The company's
operations were disrupted for a week because of the lockdown in March, while the whole
month of April was washed away. However, it has resumed operations in May. However, the
company reported better than expected numbers for March quarter. Revenue declined 38%
to Rs. 2,334.41 crore, while profit fell 60% to Rs. 75.82 crore. EPS fell from Rs. 3.12 to Rs.
1.25. The company bagged orders of Rs. 3,800 crore in the fourth quarter. Promoter holding
in the company is 18.1%. FIIs hold 19.5%, MFs 22.3%, and non-promoters 16.9%. Book
value of the shares is Rs. 84. Trading at a PE multiple of 7, the stock can be seen touching
Rs. 50 in the short term, and Rs. 75 in the 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
5th June, 2020 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

June 2020 34
INVESTMENT
Smart super duper - Het Zaveri
India Glycol (Rs.279.00) (Code:500201)

Set up in 1983, the company is a diversified company with operations in chemicals, indus-
trial gas, bio pharma, natural gum and spirit segments. As against equity of Rs30.96 crore,
the company has reserves of Rs931.67 crore. The company witnessed huge losses from
2014 to 2017 but witnessed turnaround in 2018 with profit of Rs96.53 crore. In the first nine
months of 2020, the company's sales increased from Rs2481.03 crore to Rs2578.67 crore,
while profit decreased from Rs105.89 crore to Rs96.76 crore. The stock may witness bullish
trend from current price after witnessing covering at lower level. It paid 60% dividend for
2019. It can be considered for investment in phased manner. The company may be benefit-
ted because of production of sanitizers.
Tanfac Industries (Rs.170.00) (Code: 506854)

The company was set up as a joint venture between Aditya Birla Group and Tamil Nadu
Industrial Development Corporation. Its plant at South Puduchchery sprawls across 60 acre.
It start the production in 1985. It produces different types of chemicals including Anhydrous
Hydrofluroicacid, Sulphuric Acid, Oleum. AluminiumFluroide, Potassium Fluroide,
PotassiumBifluroide, Broon Trifluroide Complexes, CalciumSulphate (Gypsum), IsoButyl
Acetophenone,Acetic Acid, Peracetic Acid andPoly Aluminium Chlroide. As against equity of
Rs9.98 crore, the company has reserves of Rs48 crore. In December 2020 quarter, the
company's profit went down from Rs8 crore to Rs4 crore, while income decreased from
Rs57 crore to Rs38 crore. The stock is being traded at PE of 10.
Godrej Agrovet (Rs.381.00) (Code:540743)

The company has recently come up with an IPO at price of Rs460. It is active in segments
like animal feed, crop protection, pam oil, dairy, poultry and processed food segments. In the
financial Year 2020, the company's income increased from Rs5917.73 crore to Rs6964.04
crore, while profit decreased from Rs329.04 crore to Rs306.19 crore. As against equity of
Rs192.03 crore, the company has reserves of Rs1646 crore. It has backing of Godrej Group.
It paid 45% dividend for FY2019 and 55% for FY2020. The company's all business segments
might not see effect of CORONA Virus. The segments like Crop Protection and Dairy will
start showing results once lockdown is over. The stock is good option for investment on
downward trend.
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

June 2020 35
INVESTMENT
Di wan-E-Khas A.J. Diwan (Mumbai)

E-mail : divanconsultancy@rediffmail.com
som e scri ps
Before we talk on scrips, we like to draw your attention on banking shares, Banking sector
is passing through very danger time. As per indication given in the last week banks will not
be allowed to charge interest on moratorium amount, The decision is expected around 11/12
June. If no interest charged, banks will have to undergo huge loss. The true picture of this
will come around Diwali time. Small businessmen able to pay dues or not. This is very big
risk. ICICI and SBI are two major banks with huge loan. It is followed by BOB, RBL, Canara
Bank etc.
Reliance :- As soon as right issue closed reliance came out with another JIO sale to Abu
Dhabi based company to the invest of Rs.9000 cr. Reliance wants to be in the news to keep
share price up.
In ITC hotel business may not run at top capacity for next six Months. If anyone have in
portfolio should get out around rs.205.
Asian paints and burger are worth selling on rise. Burger paint has last support at Rs.495.
Asian paints if closes below Rs.1600 for two days may attract bears,
Ujjivan :- Now price range for share is Rs.175 to Rs.190. Trade on either side is trade
price is taken away.
Anti dumping duty on steel extended for next six months has benefited Tata Steel, Jindal
and JSW Steel. Buy on any correction is a call
Vedants is also going up buy we have no clear picture on de-listing. So avoid share.
In Auto :- Tata Motors, TVS and Ashok leyland are good buy.in tata motors keel s/l of
Rs.101 for target of Rs.125.
In Pharma shares like Cipla, Cadila, GlenMark are worth accumulating on any fall. Biocon
has resistance at 395/98. aAirtel should able to close above Rs. 590./95.
Adani group shares future depends on whether getting contract to maintain Ahmedabad
airport or not,
Nifty has support at 9980.
Financial Weekly

June 2020 36
INVESTMENT
Investment Ideas telegram.me/rupeegains7
NIFTY
For next week NIFTY has strong support around 10035 levels. Break will take it to 9945-9870
levels. On the upper side NIFTY will face strong hurdle at 10295-10335 levels, cross over with
volume and close above will create short covering at take NIFTY up to 10500 levels…
BANK NIFTY
For next week BANK NIFTY has strong support around 20715 levels. Break will take it to 20310-
20175 levels. On the upper side BANK NIFTY will face strong hurdle at 21465 levels, cross over
with volume and close above will create short covering at take BANK NIFTY up to 21620-21965-
22500 levels…
Some of our successful recommendations in

last one and half month
Recommended Dt. Stocks Recomm. High after Gain
Price Recomm. (%)
20th April 2020 Apollo Micro 57.1 95.55 67%
27th April 2020 Anuh Pharma 144 219.4 52%
11th May 2020 BAJAJ Steel 84 102 21%
18th May 2020 Sumitomo Chemicals 232 280 21%
18th May 2020 Amines & Plasti 27 32.85 22%
18th May 2020 Laurus Labs 437.25 483 10%
25th May 2020 Tyche Industries 101 122 21%
25th May 2020 Aries Agro 56 72.7 30%
1st June 2020 Kanchi Kapooram 211 259 23%
Request to all investors-traders

Stop loss is highly necessary with every trade. Because market & stock move-
ments are always uncertain. Your small or big profit can turn into big loss in
few minutes to few days due to wild Volatility. Cash flow, capital protection,
loss cutting, review of portfolio & risk management are the main rules for
create big wealth from market.
INDIA GELATINE & CHEMICALS LTD

(531253) (102) (Face Value Rs.10)
Incorporated in 1973, Mumbai-based India Gelatine & Chemicals Ltd (IGCL) manufactures and
sells chemical products. It offers edible, photographic, technical and pharmaceutical gelatins as
well as Ossian. It exports to USA, the EU, Japan, Korea, the Middle East, Indonesia, etc.
Cont....
Financial Weekly

June 2020 37
INVESTMENT
With an equity capital of Rs.7.09 crore and reserves of Rs.95.74 crore (13.5x of its equity capi-
tal), IGCL's share book value works out to around Rs.145. The promoters hold 61.38%, which
leaves 38.62% stake with the investing public. Its price to book value ratio stands at just 0.70x.
For Q3FY20, IGCL posted 219% higher PAT of Rs.3.13 crore on 13% higher sales of Rs.37.23
and an EPS of Rs.4.41. For 9MFY20, it posted 70% higher PAT of Rs.6.81 crore on 14% higher
sales of Rs.99.78 crore and an EPS of Rs.9.61. It paid 35% dividend for FY19 v/s 20% paid in
FY18 and 9% in FY17. Its 9MFY20 PAT is 18% higher than FY19 PAT. Currently, the stock trades
at a P/E of 8.5x and at about 35% discount to its July 2017 high of Rs.157.75. Everyone, whose
financial advisor is allowing to trade in this stock for medium to long term can watch with stop loss
of 90.
TALBROS AUTOMOTIVE COMPONENTS LTD

(505160 & NSE) (102) (Face Value Rs.10)
Talbros Automotive Components Ltd., the flagship manufacturing company of the Group was
established in the year 1956 to manufacture Automotive & Industrial Gaskets in collaboration with
Coopers Payen of UK. Today, after 58 successful years, Talbros stands proud and tall as a mother
brand of Gaskets & Heat Shields, Forgings, Suspension Systems & Modules, Anti Vibration com-
ponents and Hoses. Talbros Group has strong partnerships formed with global giants. Notable
among the joint venture partners are Nippon Leakless Corporation- Japan, Magneti Marelli- Italy,
Marugo Rubber- Japan and technology partners are Sanwa Packaging - Japan and Interface So-
lutions - USA. Today, it's manufacturing prowess spans over 5 business and 8 facilities. The larg-
est OEMs like Ashok Leyland, Bajaj Auto, Cummins Group, Eicher India, Escorts Group, Force
Motors, General Motors, Hero Honda, Honda, Hyundai, John Deere, Mahindra & Mahindra, Maruti
Suzuki, Suzuki, TAFE, Tata Motors, Tata Cummins, Simpsons and international corporates like
Carraro, DANA, KMP Brand, Maxi Force, GKN Driveline are its proud customers. Company has
~40% Market share in Gaskets 3x the nearest competitor. It has an equity base of just Rs.12.35
crore that is supported by reserves of around Rs.184 crore. The Promoters hold 58.16% while the
other investing public holds 41.84% stake in the company. Promoters have increased their stake
by 1.53% during July 2019 to March 2020. For 9MFY20, it posted a PAT of Rs.11.92 crore on sales
of Rs.293.66 crore and an EPS of Rs.9.66. It is consistently dividend paying company since last 50
years and it paid 18% dividend for FY19. On PAT front, it has reported 34.61% CAGR growth in
last 3 years, 16.29% CAGR growth in last 5 years and 44.68% CAGR growth in last 10 years.
Currently, the stock trades at a P/E of 7x and at 71% discount to its January 2018 high of Rs.354.
Everyone, whose financial advisor is allowing to trade in this stock for medium to long term can
watch with stop loss of 90.
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

June 2020 38
INVESTMENT
Primary Market - Dilip K. Shah
A host of SEBI announcements failed to revive IPO Market

The investors are still disappointed with the discounted rates in SBI IPO
Wait & Watch policy of Promoters and
Merchant Bankers will wash out IPO market in 2020
Despite Lockdown RIL Rights Issue oversubscribed by 1.54 times
Reliance Rights Issue Shares will get credited on June 11 and
partly paid shares to get listed on June 12
SEBI Reliefs have failed to revive the IPO Market
Market Regulator SEBI has announced around a dozen reliefs but in vain. As per
the market experts, though secondary market is improving, some of the leading com-
panies in respective sectors are getting billion dollar flow so there is no possibility of
revival of IPO market in the current year.
SEBI extended IPO deadline for 6 more months to the companies, whose approval
lapsed or going to lapse between March 1 and September 30. It was a major relief for
companies like Shriram Properties, EMAMI Cement, Penna Cement, Powerica, Satyasai
Pressure, Annai Infra, Angel Broking, Bajaj Energy, Shyam Steel and Indian Renew-
able Energy which planned to raise Rs15000 crore from the market.
Investment bankers welcomed the SEBI move, but they differ their entry in the mar-
ket due to uncertainty in the secondary market. According to merchant bankers, they
will be able to capitalize the SEBI announcement as and when the secondary market
bounces back.
Cont...
Due to sky rocketing prices of Reliance Ind,

the rights issue will get listed with a bang
Despite SEBI's more than a Due to COVID-19 Pandemic
dozen reliefs measures IPO listing of LIC and sale of IDBI
Market is still vacant Bank will be postponed
Financial Weekly

June 2020 39
INVESTMENT
Thanks but No Thanks

Companies that stand to benefit from
6 Month extension of approval
Issuer Date of SEBI Estimated Issue
Approval Size (Rs. Cr.)
Shriram Properties 9-4-2019 1250
EMAMI Cement 15-5-2019 1000
Penna Cement 31-5-2019 1550
Powerica 7-6-2019 800
Satyasai Pressure 21-6-2019 --
Annai Infra 12-7-19 250
Angel Broking 26-7-2019 600
Bajaj Energy 30-8-2019 5450
Shyam Steel 20-9-2019 500
Indian Renewable Energy 27-9-2019 750
It is estimated that Indian Indices have crumbled by 40% from top in January. Even
after recovery in May and June, the indices are down by 18 to 20 %. Lockdown has
come to an end with unlock-1. Still companies will take time before entering the market.
The companies planning the issue have a number of challenges to face like the lower
valuation. So they will have to address the challenges before entering the market.
Year 2020 have been bad for the IPO market as only mainline public issue of CY2020, SBI
Cards, has been traded at 30% discount. The investors sentiment is ruined and their confi-
dence is at bottom.
Moreover, there is an apprehension whether the companies will be able to bounce back in
post-COVID-19 situation and will be able to perform as they used to prior lockdown. The
investors will prefer investment in only those companies which are capable of fast recovery.
Moreover, the SEBI has also allowed to reduce the IPO size by 50% without re-filing of the
documents. But it will have only a limited effect as majority of the issue are Offer for Sale
(OFS). So the promoters will wait instead of choosing discounted valuation.
Financial Weekly

June 2020 40
INVESTMENT
KLM AxivaFinvest's NCDs issue that opened on June 2 will close on June 25
Muthoot Mini Fin's Rs100 crore NCDs issue to close on June 26
NCDs issues:-
KLM AxivaFinvest :- The issue with base price of Rs100 crore and shelf limit of
Rs125 crore opened on June 2 and will close on June 25. The company offers 11 to 12%
interest for 400 days to 5 year period. It got 0.23 times subscription as on June 5.
Muthoottue Mini Fi-
Subscription figure of Subscription figure of
nance :- The issue with KLM Axiva Finvest Muthoottu Mini Fin.
base price of Rs100 crore
Category No. of Bond Issue Category No. of Bond Issue
and shelf limit of Rs200 Offered/ Subscribed Offered/ Subscribed
crore opened on June 3 and Reserved 5-6-2020 Reserved 5-6-2020
will close on June 26. It of- Cat. 1 QIB 1,00,000 0.00x Cat. 1 QIB 1,00,000 0.00x
fers 9.50% to 10.50% inter- Cat. 2 NII 4,00,000 0.29x Cat. 2 NII 4,00,000 0.03x
est. It has got 0.02 times Cat. 3 HNI 5,00,000 0.23x Cat. 3 HNI 5,00,000 0.02x
subscription as on June 5. Total 10,00,000 0.23x Total 10,00,000 0.02x
Non Convertible Debenture (NCD) Issues at a Glance

Sr Company Issue Open Bond size F.Value Min. Listing Rating
Issue Close (Rs. Cr.) (Rs.) App.
2-6-2020 Rs.100 Cr. (Base Issue) 1,000/- 5 NCDs BSE
1. KLM Axiva 25-6-2020 withan option to Retain (Rs. 5,000) CARE BB+/Stable
Finvest Oversubscriptionup to Lead manager : By CARE
Rs.25 Cr. Vivro Financial Services
Aggregatign up to Rs.125 Cr.
3-6-2020 Rs.100 Cr. (Base Issue) 1,000/- 10 NCDs BSE
2. Muthoottu 26-6-2020 withan option to Retain (Rs. 10,000) CARE BB-/Stable
Mini Fin. Oversubscriptionup to Lead manager : By CARE
Rs.100 Cr. Vivro Financial Services
Aggregatign up to Rs.200 Cr.
KLM Axiva Finvest NCDs (Coupon Rates)

Series 1 2 3 4 5 6 7 8 9 10
Interest (M : Montyly) M C C M Y M Y M Y C
Tenor (Months) 400 D 400 D 18 M 2 Yr. 2 Yr. 3 Yr. 3 Yr. 5 Yr. 5 Yr. 75 M
Coupon Rate 11% NA NA 11.25 11.50 11.50 11.75 11.75 12 NA
Redemption (Rs.) 1000 1123 1179 1000 1000 1000 1000 1000 1000 2000
Muthoottu Mini Financiers NCDs (Coupon Rates)

Series 1 Series 2 Series 3 Series 4 Series 5 Series 6 Series 7
Frequency of Interest Monthly Monthly Cumulative Monthly Cumulative Monthly Cumulative
Tenor (Months) 480 Day 24 24 36 50 60 85
Coupon Rate (Retail) 9.50% 9.75% NA 10.00% NA 10.50% NA
Amount on Maturity (Rs.) 1,000 1,000 1,205 1,000 1,500 1,000 2,00
Cont...
Financial Weekly

June 2020 41
INVESTMENT
Reliance Rights Issue

gets robust respose
Reliance Industries Ltd's Rights Issue got 1.54 times subscription on June 3, 2020. This is
the biggest rights issue of India.Moreover, it is the biggest Rights Issue in the world in last 10
years. The company's Rs53,125 crore Rights Issue got robust response despite lockdown
due to COVID-19 pandemic.
There are more than 25.4 lakh retail shareholders and more than 1700 domestic and
international institutions and investors. It should be noted that earlier Bharat and Vodafone-
Idea Rights Issues got only 5 to 6% oversubscription in April-May. Besides, RIL Rights
Issue size was much bigger than these issues.
Earlier, the biggest Rights Issue of non-financial company was in 2009 when Rio-Tinto
raised $12.3 billion. In the same year, Italy's Oil Co ENEL had raised $7.6 billion.
As against total issue size of 42.26 crore shares, the company got application for 67.16
crore shares including 54.30 crore shares from BSE, 12.03 crore shares from NSE and
82.74 lakh from R-WAP. The company got total funds of Rs 21,105.36 crore as against issue
size of Rs13281 crore. It shows 158.81% subscription.
Reliance Rights Issue price is Rs1257, which is to be paid in 18 months in three install-
ments. The first installment of 25% paid at time of application, another 25% in May 2021 and
last installment of 50% in November 2021.
The Rights Issue shares will be credited in the account on June 11 and partly paid shares
will get listed on June 12.
It should be noted that in last six weeks six giant investors including Facebook, Silver
Lake, Vista, General Atlantic, KKR and Mubadala has invested Rs87,655 crore for 18.97%
stake.
Silver Lake has invested Rs 4546 crore more in the Jio Platforms. Microsoft is also likely
to be in the queue for mega deal with Jio Platforms.
RIL shares touched Rs1618 at one point of time on Friday June 5 so the partly paid shares
of Rights Issue may also get listed with a bang on June 12.
Reliance Right Issue - Final Subscription

BSE NSE R-WAP BSE+NSE+R-WAP Total Szie
ASBA 54,30,42,918 12,02,93,057 -- 66,33,35,975
Non Asba -- -- 82,74,655 82,74,655
158.91%
Total No. of Shares 54,30,42,918 12,02,93,057 82,74,655 67,16,10,630 42,26,26,894
Total Application 3,62,534 18,869 1,73,874 5,55,277
Rs. Cr. 17,065.12 3,780.21 260.03 21,105.36 13,281.05
Cont...
Financial Weekly

June 2020 42
INVESTMENT
As valuation has gone down due to CORONA pandemic

listing of LIC and Sale of IDBI shares
have been postponed
As valuation has gone down due to CORONA pandemic listing of LIC and Sale of IDBI
shares have been postponed by the Government, which plans to raise Rs90,000 crore
from these two companies. The Government has set disinvestment target at Rs2.10 lakh
crore. Selling of the Government's stake in LIC was part of budget 2020-21.
Lockdown has opened doors for

country's corporate bond issues
In just two months of April and May total
Rs 1.63 crore have been raised through bonds
It seems that lockdown has opened the doors of Cor-
Big Bond Issue In
porate Bonds in the company. In April and May, compa-
nies have raised Rs1.63 lakh crore which is doubled com-
April & May Month
pared to the corresponding period last year and four times Name Bond Issue Size
than FY2019. Interest rates have touched the bottom and (Rs. Cr.)
banks are going slow on loans. In such situation, HDFC, HDFC Ltd. 11250
L&T Group, Power Finance Corporation, Tat Group and Reliance Ind. 24955
Reliance Ind, etc raised Rs1.63 lakh crore in just two L&T 10720
months. In April and May 2019-20, total bonds worth L&T Finance 1875
Rs73,286 crore were sold while the figure was Rs44062 Tata Group Cos. 11125
crore in 2018-19. Power Fiancne 14292
It seems that the companies are planning to have cash REC 10854
on hand in such a critical time. It seems that the compa- HDB Financial 3200
nies will be encouraged to go for primary issue and pre-
pare itself for post-lockdown situation as interest rates are low and there is enough liquid-
ity. Some of the NBFCs that sold the bonds include HDB Financial, L&T Finance, Shriram
Transport, Balaji Finance, Mahindra Finance, Aditya Birla Finance and Indiabulls Housing
Finance.
Financial Weekly

June 2020 43
INVESTMENT
Smart Best Buy S. N. Zaveri
MGL (Rs. 1012.00) (Code : 539957) (F. V. : 10.00)

Mahanagar Gas: Margin will improve
Margin expansion is expected to drive earnings growth for city gas distribution player
Mahanagar Gas (MGL) during the current fiscal despite the pressure on volumes. It has
passed on only a portion — 50-70% — of the lower gas prices in April to their consumers.
This is expected to give a boost to its operating margins (Ebitda) per standard cubic metre of
gas (SCM) and help retain the momentum for the stock also. MGL has shown a sustained
improvement in Ebitda per SCM over the past four years. Buy this stock for next two years
with patience.
Polycab India (Rs. 773.00) (Code : 542652) (F. V. : 10.00)
Better Q4 numbers in challenging environment
Polycab India : Polycab India's net profit was up 52.40% to Rs 213.94 crore in the quarter
ended March 2020. Sales declined 13.57% to Rs 2129.38 crore in the quarter ended March
2020 as against Rs 2463.64 crore during the previous quarter ended March 2019. Export
revenues jumped 3.4x y-o-y and was flat on a sequential basis led by execution of Dangote
order and higher revenues from the US. Company has executed orders worth ?750 crore of
the total ?1,100 crore order from Dangote. Margins surprised positively led by improvement
in product mix and price hikes taken in some FMEG segment. Net profit outperformance
was aided by jump in other income (114.1 per cent y-o-y) and higher margins (+423 bps y-o-
y). Company has restarted all its manufacturing capacities and is gradually ramping up to
meet demand from exports and Tier II/III towns. Company is looking at expanding its reach
in the export market ($38 billion opportunity) as consumers shift procurement from China.
Polycab's earnings revival is expected over the next 2-3 years would be led by market share
gains in the FMEG business. Buy.
Affle India (Rs. 1492.00) (Code : 542752) (F. V. : 10.00)
Strong Q4 numbers with unique business model
Net profit of Affle India rose 59.53% to Rs 6.78 crore in the quarter ended March 2020 as
against Rs 4.25 crore during the previous quarter ended March 2019. Sales rose 45.41% to
Rs 43.39 crore in the quarter ended March 2020 as against Rs 29.84 crore during the previ-
ous quarter ended March 2019. For the full year,net profit rose 97.18% to Rs 32.89 crore in
the year ended March 2020 as against Rs 16.68 crore during the previous year ended March
2019. Sales rose 49.48% to Rs 176.07 crore in the year ended March 2020 as against Rs
117.79 crore during the previous year ended March 2019. Affle, through its various platforms
like data management platform, fraud detection platform and real time inventory buying ad
inventory helps advertisers deliver more relevant & engaging experiences to consumers,
Cont...
Financial Weekly

June 2020 44
INVESTMENT
which is more likely to lead to the desired action, such as downloading of an app or the
purchase of a product or service. This helps advertisers generate higher return on invest-
ment (RoI). This is a unique business model and the market is expected to move towards
such performance-based advertising making Affle a preferred ad tech partner. Accumulate.
Voltas (Rs. 579.00) (Code : 500575) (F. V. : 1.00)
Voltas : Better than expected numbers
Voltas Ltd, a Tata Group company and leading air-conditioner manufacturer has reported
a 12.52 per cent increase in its consolidated net profit at Rs 159.50 crore in the March 2020
quarter. Its consolidated net profit was Rs 141.74 crore in the January-March quarter of the
last fiscal. In spite of substantial loss of business in the crucial month of March 2020 due to
a sudden nationwide lockdown on account of COVID-19, consolidated total income for the
quarter ended March 31, 2020 was higher at Rs 2,150 crore as compared to Rs 2,120 crore
in the corresponding quarter last year.Â Voltas'' revenue from ''unitary cooling products for
comfort and commercial use'' was up 20.17 per cent atÂ Rs 1,198.86 crore as against Rs
997.57 crore of Q4 FY2018-19. For the fiscal year 2019-20,Â Voltas net profit was up 1.39
per cent at Rs 521.05 crore against Rs 513.88 crore in the previous year. Its total income for
the fiscal was Rs 7,888.68 crore, up 7.91 per cent. It was Rs 7,310.32 crore in 2018-19.
Meanwhile, Voltas board has recommended 400 per cent dividend, i.e. Rs 4 per share.
Strong brand recall and healthy balance sheet will cushion the company from any adverse
situations. Buy.
BATA India (Rs. 1414.00) (Code : 500043) (F. V. : 5.00)
Bata : Past perfect, future better
Bata India has reported a 56.68 percent decline in consolidated net profit at Rs 38.40 crore
for the fourth quarter ended March 2020 due to COVID-19 induced lockdown. Revenue from
operations declined 8.77 percent to Rs 620.57 crore during the quarter under review as
against Rs 680.23 crore. For fiscal year 2019-20, Bata India's net profit was almost flat at Rs
328.95 crore. It stood at Rs 328.99 crore in the previous year. India still has lower footwear
consumption per head i.e. 1.7 in comparison to around 3 in China. Moreover, per pair spent
is also on the lower side. The organised part of this industry is approximately 40 per cent. Of
the organised part, BIL commands a share of 15 per cent. Bata has the largest range of
footwear in Indian market. The parent company-Bata is the world’s leading shoemaker by
volumes. Buy.
(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
5th June, 2020 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
Financial Weekly

June 2020 45
INVESTMENT
Dalal Street Whispers Dilip K. Shah
Reliance Industries (Rs. 1,580.00) (Code: 500325) :- Reliance's rights issue of

more than Rs. 53,000 crore received very good response and was oversubscribed 1.59 times. The
company's market cap has crossed Rs. 10 trillion. After selling stake in Jio Platforms to Facebook,
Silver Lake, Vista, General Atlantic, and KKR, Reliance has sold a further 1.85% stake to Saudi
Arabia's sovereign fund Mubadala for Rs. 9,093 crore. It has raised a whopping Rs. 87,655 crore in
a matter of weeks through stake sale. Experts see the stock touching Rs. 2,000 in the coming
months.
Hexaware (Rs. 311.00) (Code: 532129) :- The shares hit the 20% upper circuit fol-
lowing the company's proposal to delist. The stock has jumped over 32% in a fortnight. The public
shareholding in the company is 37.6% or 111,065,731 shares.
Tata Motors (Rs. 110.00) (Code: 500570) :- Both trading volumes and share price
rose during the week. According to reports, its plants in India and overseas have resumed opera-
tions after the lockdown. All its dealerships in China have also reopened and recovery is being
seen in sales.
Bharat Forge (Rs. 349.00) (Code: 500493) :- Its revenue is expected to rise due to
easing of lockdown restrictions. Moreover, truck sales are likely to be strong in Latin America. The
share has surged 18.5% in a month. A breakout has been seen in the stock.
L&T (Rs. 955.00) (Code: 500510) :- The construction division of this infrastructure
major has received order of Rs. 5,000 crore from Telangana government.
IDBI Bank (Rs. 38.40) (Code: 500116) :- The share has turned circuit breaker after
the bank reported turnaround results. It reported profit of Rs. 135 crore for March quarter after re-
porting losses for 13 consecutive quarters. It had reported loss of Rs. 4,918 crore in the same
quarter last year. It is believed that the bank will be out of PCA soon.
Saregama (Rs. 440.00) (Code: 532163) :- This movie and entertainment sector
company has signed a global deal with Facebook to license its music for video and other social
experiences across FB and Instagram. The shares have surged following the deal.
Britannia Ind. (Rs. 3,466.00) (Code: 500825) :- The company reported 26% rise in
net profit for the fourth quarter. It has declared a dividend of Rs. 35 per share. The share has surged
to a record high.
Tata Power (Rs. 44.00) (Code: 500400) :- The share has surged by 56% in just three
weeks. Tata Power's debt reduction plans, restructuring of renewables business, and acquisition
of 51% stake in Odisha's central electricity supply utility have acted as positive triggers for the
stock.
Escorts (Rs. 965.00) (Code: 500495) :- The company reported encouraging sales
numbers for May. Despite the Coronavirus lockdown, it sold 6,594 tractors this May as against
6,827 last year. The share can be seen outperforming as a bumper Rabi crop is expected, and
monsoon is also forecast to be normal.
Aurobindo Pharma (Rs. 745.00) (Code: 524804) :- This pharma company re-
ported 45.2% rise in consolidated net profit and 16.4% increase in revenue for Q4. The share has
corrected somewhat after touching a 52-week high of Rs. 780.
SCI (Rs. 47.00) (Code: 523598) :- Strong numbers for March quarter have triggered
movement in the stock. Consolidated net profit shot up by 86%. The shares can be seen outper-
forming going ahead.
Cont.....
Financial Weekly

June 2020 46
INVESTMENT
Shoppers Stop (Rs. 214.00) (Code: 532638) :- With malls being allowed to open
subject to certain conditions from June 8, shares of Shoppers Stop, Trent, and Westlife, etc. will be
in focus.
RCF (Rs. 44.00) (Code: 524230) :- Net profit for fourth quarter of the year went up by
three times. Looking at the movement in agrochemicals and fertilizer shares, RCF stock can also
be expected to outperform going ahead.
Kokuyo Chemline (Rs. 61.00) (Code: 523207) :- Nearly 100 years old, this com-
pany makes more than 2,000 products. The company is expected to gain from the levy of anti-
dumping duty on certain chemicals.
VIP (Rs. 268.00) (Code: 507880) :- Promoters have been increasing their stake in this
luggage manufacturer. The company has a strong brand name. Now that the lockdown has ended,
demand for its products is expected to rise.
Dalmia Bharat Sugar (Rs. 89.00) (Code: 500097) :- Sugar shares are turning
sweet due to increase in sugar demand and prices, and high demand for side products like etha-
nol.
Rico Auto (Rs. 36.00) (Code: 520008) :- Auto units have started production with the
beginning of Unlock 1.0. Looking at the economic condition, demand for two wheelers is expected
to grow at a faster rate than four-wheelers. In this situation, shares of Rico Auto and Munjal Auto,
who cater to two-wheeler OEMs, are likely to be in the limelight.
BhartiAirtel (Rs. 584.00) (Code: 532454) :- In a sign of growing attraction of Indian
telecom companies, there are reports that Amazon plans to acquire stake in Airtel with a minimum
investment of $2 billion. The share has been outperforming over the buzz of Amazon's investment
in the company.
BEML (Rs. 621.00) (Code: 500048) :- In a boost to the Make in India policy, the state-
owned company has called for global EoIs for tie-ups as a part of its efforts to indigenize technol-
ogy.
Syngene (Rs. 368.00) (Code: 539268) :- The stock has touched the 52-week high
after the company announced tie-up for production and distribution of Covid-19 test kits.
UPL (Rs 439.00) (Code: 512070) :- The share is up 23% from the lows seen in May.
The company reported strong revenue growth in Q4 despite challenging conditions.
VST Tillers (Rs. 1,206.00) (Code: 531266) :- This tractor manufacturer sold 2,383
units in May, an increase of 23% over last year. In view of forecast of a good monsoon, the share
can be seen doing well in the coming days.
Alok Industries (Rs. 23.60) (Code: 521070) :- Shares of this Silvassa-based textile
manufacturer have been on the rise since its takeover by Reliance Industries. At one point, the
shares had fallen to Rs. 1.30 following defaults by the company. Reliance has deployed the Silvassa
facility for exclusively manufacturing PPE kits, which will be produced at one-third the cost of im-
ported kits
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
Financial Weekly

June 2020 47
INVESTMENT
Investor’s Third Eye

Smt. Dr. Hemavathy / Padmanaban (Chennai)
E-mail : investorsthirdeye@gmail.com
Astrological planetary predictions

FOR STOCK MARKET INVESTMENTS
(MAY 8TH JUNE TO 12TH JUNE 2020)
We thank our Honourable Prime minister of the nation Shri Narendra modi and Honorable Agricultural
minister Shri. Narendra Singh Tomar for announcing the 50% hike of minimum support prices for 14 Kharif
crops to support the farmers from an extended lockdown to curb the spread of cornovirus. In this week,
Sun in the house of Taurus along with venus and the conjunction of mercury, rahu happens in Gemini, mars
in Aquarius, Ketu in Sagittarius, Planet of wealth - Jupiter and Saturn in Capricorn. Moon takes its position
in Sagittarius, Capricorn and Aquariushouses.On 8th and 9th June 2020, the conjunction of moon and ketu
in sagittarrius and the speculative planet Rahu along with mercury in Gemini may bring volatility in the
market to certain extent.On 10thjune 2020, The conjunction of Saturn, moon and Jupiter in the house of
Saturn favors the market where sun along with Venus takes its position in Taurus taking fifth position
towards the house of Saturn- Capricorn favors coal sector, space related sector, energy, fertilizers, chemi-
cals, Pharmaceuticals, Public sector units, sugar firms agricultural sector, paper producing firms, defence,
power, consumer durables, seed producing firms, solar energy may outperform . The conjunction of Jupiter
and Saturn in Capricorn and sun takes fifth position in the house of venus along with venusfavours the
policy reforms for proposal for equity infusion of Rs. 50000 crore for MSME through a fund of fund has also
been appreciated. . JK agri Genetics, Astec Bio sciences , Nath Bio genes, IRCTC, RITES, Laurus Lab, PI
Industries, Rallis India, kaveri seeds,JKpapers, yash paper, Bharti Airtel, Reliance Jio,Sterlite Tech, D
Link, ITI, Rites, BEmL, Bharat Dynamics, NALCO, Coal India, Premier Explosives Ltd, KEC nternational,
Adani Power,Torrent Pharma, Aurobindo Pharma, cipla, Alkem lab, DrLalpath Lab, Hester biosciences ltd ,
KIRI industries , EIMCO elecon may show good share price growth.
Astrological planetary predictions for

GOLD PRICE MOVEMENTS
(MAY 8TH JUNE TO 12TH JUNE 2020)
8th and 9th June 2020 : The conjunction of moon and ketu in Sagittarius taking
sixth position towards Sun along with Venus in the house of venus brings volatility in the gold
price movement.
10th and 11th June 2020 : Being the auspicious day, moon taking its position
along with Saturn Jupiter in the house of Saturn- Capricorn which takes fifth position towards
Venus in the house of Venus favors the bullion market.
12th June 2020 : moon along with mars in the house of Saturn- aquariums creates
volatility in the gold prices.
Financial Weekly

June 2020 48
INVESTMENT
Senior Astrologer
Dharmesh Joshi
Mob. : 9909941816
E-mail :
stockmarket@ganeshaspeaks.com
Sensex Predictions : Dt. 8th June 2020 to 12th June 2020

" 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.
08-06-2020 Monday
" Today, Moon-Ketu are together, so there will be confusion. But Nifty will retain its strength.
" From 9:15 to 12:15, Nifty will be up.
" From 12:15 to 14:15, Nifty will be mixed to negative.
" From 14:15 to 15:30, Nifty will be mixed to positive.
09-06-2020 Tuesday
" With huge volatility, you can play intraday it can be called such a day.
" From 9:15 to 10:30, Nifty will give a movement from above the surface.
" From 10:30 to 11:00, there will be a correction in the Nifty.
" From 11:00 to 12:00, Nifty will make an up jump.
" From 12:00 to 13:00, Nifty will be slight down.
" From 13:00 to 14:30, move as per "Trend is our friend".
" In the last one hour, the impact of buying in "A" group stocks may increase in Call ratio.
10-06-2020 Wednesday
" Friends, today two trends are clear, the remaining time can be called time pass.
" Trend - 1 - Sell around 11:45 and exit as soon as you earn Rs 4.
" Trend - 2 - Buy Nifty around 14:00 and exit as soon as you earn Rs 3.
11-06-2020 Thursday
" Today and tomorrow, there will be good buying in the 15 minutes of closing, but by how
many points it's difficult to say.
" Make 3 parts of today -
" Part - 1 - From 9:15 to 12:15 will be up.
" Part -- 2 -- From 12:15 to 14:15 will be down.
" Part -- 3 -- From 14:50 to the closing bell will be up.
12-06-2020 Friday
" There will be strong and aggressive trades will happen today, so you have to trade very
speedily or else there may be loss.
" From 10:10 till 11:11, the pattern formed will be like the capital letter V, so take the position
accordingly.
" From 11:11 to 14:44, the trend will be in the W shape, Thus, you will have to trade with the
preparation of swing pattern.
" After 14:44, unstable-changeable-incompatible pattern will be there. So make your posi-
tion accordingly.
Financial Weekly

June 2020 49
INVESTMENT
REVIEW OF “SMART PLUS NEWS LETTER”

Amazing 25% RETURN
SMART GAIN FOR SMART INVESTORS
Company Reccom. Weekly Ch. Company Reccom. Weekly Ch.
1-6-2020 High (%) 1-6-2020 High (%)
Mazda Ltd. 258 281 8.91 Granules India 171 184 7.60
GRASIM 589 605 2.72 Kotak Bank 1224 1387 13.32
Dixon Techno 4875 5400 10.77 SBI 161 174 8.07
Balaji Amines 403 408 1.24 Hindalco 138 143 3.62
Maruti 5610 5788 3.17 LUIPIN 888 907 2.14
PII Ind. 1538 1591 3.45 Sun PHarma 471 495 5.10
Ultratech 3905 3905 0.00 CIPLA 639 660 3.29
Godrej Consumer 634 658 3.79 Axis Bank 384 409 6.51
Bajaj Fin. 1933 2413 24.83 BPCL 339 357 5.31
Tech Mahindra 526 582 10.65 KEC Intl. 196 237 20.92
J.B. Chemicals 681 700 2.79 Tata Steel 286 320 11.89
Shriram Transport 572 616 7.69 WPIL 348 372 6.90
HUL 2057 2120 3.06 Radico Khaitan 320 345 7.81
DR. Reddy’s 4070 4073 0.07 TVS Motors 333 364 9.31
L&T 932 961 3.11 I.B. Housing Fin. 116 128 10.34
Muthoot Fin. 861 923 7.20 Bajaj Consumer 133 149 12.03
Supreme Ind. 1018 1063 4.42 RBL Bank 118 130 10.17
Shree Cement 20857 21528 3.22 Bajaj Ele. 363 446 22.87
DLF 150 157 4.67 BEL 69 73 5.80
Tata Chemicals 306 315 2.94 REC 88 94 6.82
Power Grid 157 169 7.64 J.K. Paper 88 93 5.68
Century Tex. 285 311 9.12 Meghmani Org. 47 50 6.38
Biocon 363 393 8.26 Tata Power 36 42 16.67
Birla Corp. 518 549 5.98 JSW Energy 40 45 12.50
Cummins India 361 378 4.71 Vedanta 92.15 104 12.86
UPL 401 424 5.74 Gail (India) 92.35 97 5.04
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Financial Weekly

June 2020 50
INVESTMENT
Editor : Dilip K. Shah
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purposes only and derived from source that are deemed to be reliable but their accuracy and
completeness are not guaranteed. Smart Investment or the analyst / writer do not accept any
liability for the use of this column for the buying or selling of securities. Readers of this column who
buy or sell securities based on the information in this column are soley responsible for their ac-
tions. The author, his company or his acquaintance may / may not have positions in the scrips
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June 2020 52
INVESTMENT
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