Tips - April 12th, 07 - Emkay

Sujana Metal Products Ltd.
(Rs 131, FY08E - P/E - 6x, BUY, Target Price Rs 215)

> De-merger/Merger –Gets court Approval

> Business Outlook and Valuation.
We continue to remain positive on Sujana Metal Products and expects the stock to
be re-rated following the de-merger proposal.

At Rs 131 the SML stock trades at a P/E 6x on FY08E on consolidated EPS of Rs
23. We maintain “BUY” on the stock with target price of Rs 215.We had earlier
initiated the call of Sujana Metal at Rs 109.

Technical Tip - April 12th, 07

The daily candlestick chart of Tata Steel Futs shows a rally from Rs.431 to Rs.519 in 6 days. Resistance is pegged at Rs.520-525 (trendline in orange). The short term oscillators have reached overbought zone, hence one can expect profit taking at current levels. High risk traders can buy Tata Steel 510 PA in small lots around Rs.12 as well as in declines at Rs.9.50 with a strict stop loss below Rs.6.75 in close for a target of Rs.23-25 in the next 7-8 trading sessions.

Tips - April 12th, 07

In the Punter's zone we have a buy in IVRCL & sell in INFOSYS TECHNOLOGY and CENTURY TEXTILES.

In the technical zone we have a buy in GRASIM and ORCHID CHEMICALS &sell in ESCORTS.

Top 5 stock picks - Macquarie

Top 5 stock picks -

Bharti Airtel (BHARTI IN, Rs753, Outperform, TP: Rs1,025),

TCS (TCS IN, Rs1,203, Outperform, TP: Rs1,672),

Reliance Industries (RIL IN, Rs1,362, Outperform, TP: Rs1,590),

Tata Steel (TATA IN, Rs467, Outperform, Target: Rs556)

Dr Reddy’s (DRRD IN, Rs738, Outperform, TP: Rs837.5).

Idea Cellular - Lehman Brothers

Price: Rs90
Price Target: Rs110
Time - 12 months

Intra-day Stock Ideas - April 11,07

NIFTY (3848.15) SUP 3826 RES 3865

BUY IOC (406.8)
SL 401 T 416, 419

BUY RANBAXY (357.90)
SL 352 T 366, 369

BUY BANKINDIA (172.20)
SL 168 T 180, 182

SELL MPHASIS (274.95)
@ 277 SL 281 T 267, 265

SELL DRREDDY (720.50)
@ 724 SL 728 T 714, 711

Amtek

Amtek Auto Ltd
(Rs. 365, FY08E - P/E 13x, BUY with a Target Price of Rs. 510)

AAL is a leading Indian supplier of automotive components and is an integrated automotive component manufacturer with facilities for forgings, machining and subassemblies in locations in India, the United States and Europe. AAL is a Tier I supplier of auto components to major automobile majors like Maruti, Hyundai, M&M, Ford, Tata Motors, General Motors, Hero Honda, Bajaj Auto, HMSI (Honda Motorcycles and Scooters India) and many others.

Picks for April 11th, 07

In the Punter's zone we have a buy in Mind Tree , Biocon & Reliance Industries.

In the technical zone we have a buy in Indian Hotels , Balaji Tele & Torrent Power.

STOCK UPDATE

New Delhi Television
Cluster: Emerging Star
Recommendation: Buy
Price target: Rs375
Current market price: Rs330

IT Buy recommendations

Infosys CMP Rs1965
Reco BUY
Target Price Rs 2530

TCS CMP Rs1203
Reco BUY
Target Price Rs 1499

Satyam CMP Rs457
Reco Outperformer
Target Price Rs 536

Wipro CMP Rs 535
Reco Outperformer
Target Price Rs 685

Tech Mahindra CMP Rs1342
Reco Neutral
Target Price Under review

Daily Call April 10th , 07

BSE Code Scrip BSE Quotes Enter Around Stop–Loss
500042 BASF India 192.95 188
500043 Bata India 142.90 141 138
517569 KEI Industries 69.15 67
532652 Karnataka Bank 173.40 172 167

Daily Technical Note April 10th,07

In the Punter's zone we have a BUY in KTK BANK , CROMPTON GREAVES & SELL in TATA STEEL.

In the Technical call section, we have a BUY in KOTAK BANK , BHARTI AIRTEL & BOMBAY DYEING.

Midcaps.in tips 8 April , 07

Scrips - BSE Code - Recommended Rate - Target Rate
Mcleod Russel - 532654 - 60.00 - 75.00
Oudh Sugar Mills - 507260 - 69.10 - 87.00
P B A Infrastructure - 532676 - 72.85 - 92.00
Welspun India Ltd. - 514162 - 73.80 - 93.00
Paradyne Infotech - 532672 - 93.90 - 118.00

10 paise tips April 8, 07

Scrips - BSE Code - Recommended Rate - Target Rate
Nakoda Textile - 521030 - 15.90 - 20.00
Kwality Dairy - 531882 - 17.80 - 23.00
Pochiraju Industries - 532803 - 22.75 - 29.00
Agro Dutch - 519281 - 26.15 - 33.00
Ashco Industries - 517565 - 40.80 - 51.00

Target rates are expected in three months frame of time, but we recommend you that whenever any scrip touches its target rate, you must dispose of all shares or in parts(If you have invested in that scrip),so that you may be able to invest those funds in other scrips recommended in further newsletters.

Trading calls , April 9,07

Ashwani Gujral
Buy Tata Steel with stop loss of Rs 430 for target of Rs 520; Call valid for maximum 1 week
Buy JSW with a stop loss of Rs 465 for target of Rs 565/600; Call valid for maximum 1 week

Deepak Mohoni
Buy Dabur India below Rs 94.50 with stop loss of Rs 93. This is a day-trading recommendation
Buy Educomp Solutions below Rs 1105 with stop loss of Rs 1080; This is a day-trading recommendation.

Rajat K Bose
Buy BEL with stop loss below Rs 1625 for target of Rs 1672, 1691, 1712; This is a day-trading recommendation.
Buy Cipla with stop loss below Rs 226.50 for target of Rs 243–245; This is a day-trading recommendation.

Intra-day Stock Ideas - April 9,07

NIFTY (3752) S3731 R3784

BUY Tata Motors (686)
SL 680 T 696, 700

BUY Cummins (271)
SL 267 T 278, 281

BUY VSNL (402)
SL 398 T 410, 413

SELL Aptech (229)
SL 233 T 220, 218

SELL Bajaj Hind (204)
SL 208 T 196, 194

Telefolio Plus - Honeywell Automation India

Buy Honeywell Automation India
BSE Code 517174
NSE Code HONAUT
52-week High/Low Rs 2003 /Rs 935
Current Price Rs 1650 (as on 4th April 2007)

ShareKhan Investor's Eye April 5th, 07

Orchid Chemicals & Pharmaceuticals
Cluster: Emerging Star
Recommendation: Buy
Price target: Rs390
Current market price: Rs265


Bharat Electronics
Cluster: Apple Green
Recommendation: Buy
Price target: Rs1,715
Current market price: Rs1,650

Cheery Pick for the week 9 april - 13 april

Scrip .............. Close ... High ... Low ... Support ... Resistance
Varun Shipping ... 54.95 .... 55.4 ..... 51 ...... 52-49 ... ... 57-58
Up Trend.Buy

Torrent Pharma ... 200.6 .. 202 ... .. 194 ... ..196-191 ... ..204-207
Up Trend.Buy

Guj Ind Power ... ... 56.8 ... ..57 ... .. . 54 ... .... 55-53 ... ... 58-59
Up Trend.Buy

Cadila Healthcare .. 334 ... .. 350 ... 328.05 ... 325-315 .. 347-359
Up Trend.Buy

NALCO ... ... ... ... 234.6 ... 236.95 .... 222 ... . 225-216 ... 240-246
Up Trend.Buy

Balrampur Chini ... 73.7 ... ... 75 ... ... ... 64 ... ... 67-60 ... ... 78-82
Up Trend.Buy

India Hotels ... ... ...144.6 ... .. 145.7 ... 137.8 ...140-135 ...148-151
Up Trend.Buy

Intl. Travel House ..162.6 ... . 164 ... . 136.15 ...145-126 ...172-182
Up Trend.Buy

Weekly Stock Ideas

BUY VSNL (402)
SL 394 T 420, 426

BUY GT Offshore (608)
SL 595 T 640, 650

BUY Plethico Pharma (341)
SL 330 T 363, 369

BUY Praj Industries (395)
SL 386 T 413, 419

BUY Cummins (271)
SL 263 T 287, 293

HSBC Securities - HT Media

Broking House - HSBC Securities
Recommendation - Overweight


Newspaper industry to achieve vertical growth
In its report dated 30th March, 2007 HSBC securities and capital Markets (HSBC) upgrades HT Media Ltd. (HT) to "Overweight" at its CMP of Rs.178 with target price of Rs.230.

HSBC mentions that the profile of HT Media is transforming from a print company to a comprehensive media offering with the addition of radio and internet businesses. HSBC believes that the media channel and geographical diversification will increase exposure to fast growing radio and on-line segments, and also insulate earnings from shifts in spend by medium and advertising category.

HSBC expects the traditional print business to keep on growing ad revenues by over 20% pa and also anticipates that new ventures in radio and the internet will provide an additional leg of growth. HSBC expects a 28.7% in top line CAGR FY06-08e as the group''s strategy of bundling ad space accelerates HT Media''s ability to garner revenues from geographical expansion and new media formats.

HSBC highlights that HT''s new business newspaper, Mint produced in association with the Wall Street Journal has been successfully launched with an initial print order of 80,000 copies achieving a No.2 position in Delhi and Mumbai market combined. The group also plans expansion into other cities making Mint an important weapon in HT media''s arsenal.

HSBC mentions that HT''s new internet venture plans to leverage on its newspaper business to achieve verticals in matrimonial, real estate and recruitment. HSBC estimates on-line revenues of INR 25 cr in FY08E and growing to INR 130 cr by FY11E.

HSBC points out that HT Media''s "Fever 104 FM" gives the company exposure to FM radio, one of the fastest growing media markets in India and estimates revenue generation of INR 40 cr in FY08E and EBIT break even by FY10E.

HSBC anticipates that HT''s high operating leverage will ensure that profit grows much faster than revenues, driving 126% EPS growth FY07-FY09E. HT media''s FY08E PE multiple of 24.0x is lower than Indian TV stocks'' average PE of 30.8x, but the stock offers superior EPS growth of 62.4%, compared to the 30.4% average in the TV sector. HSBC mentions 12-month PE multiple/DCF price target emerges at INR 230, implying 29.7% absolute upside and upgrades rating to Overweight

Citigroup Global - Aban Offshore

Broking House - Citigroup Global Markets Inc
Recommendation - Buy



Capacity expanding with high level of gearing.
In its report dated 4th April 4, 2007 Citigroup Global Markets Inc (Citi) recommends a "Buy" on Aban Offshore Ltd (Aban) at its current price of Rs. 2,052 with a target price of Rs. 2,850.

Citigroup Global Markets Inc (Citi) mentions that Aban Offshore Ltd (Aban) is the flagship company of the Aban group which was established in 1986 as an Indo-US joint venture in offshore drilling. Aban is the largest offshore oilfield service provider in the private sector in India, says Citi.

Citi states that Aban''s acquisition of Sinvest has created a material, leveraged play on the tight market for offshore drilling services. Citi further adds that re-pricing of existing rigs and a significant pipeline of 9 drilling assets coming on-stream over the next 2 years will help Aban grow consolidated earnings 20.5x over FY06-FY09E.

Citi points out that Aban''s consolidated net debt of US$210 m presents a very high level of gearing given its equity base of US$65 m. Citi also initiates that gearing will come off very rapidly with strong cash flows from operations (US$130 m over FY08- 10E) and further equity infusion in the parent entity (with consequent dilution) cannot be ruled out.

Citi maintains that the capacity is expanding across all offshore asset classes, but there is no evidence that additions have exceeded demand growth. Citi forecasts E&P spending to rise by 7% in CY07, following a 26% growth in 2006. Spending plans are now building in higher long-term oil prices (US$53.7/bbl); however, sensitivity to oil price changes has declined.

Citi makes us aware that slowdown in offshore services demand growth could have a huge impact on Aban given its high gearing. Citi further states that re-pricing of 3 of Aban''s domestic rigs, due this quarter, will be a short-term trigger for the stock.

Hence, Citi raises target price for Aban to Rs2850, from its earlier price of Rs1700 based on 8x FY09E consolidated EPS, in-line with target multiples for global peers. Citi reiterates Buy, but raise the risk rating on the stock to High from Medium due to Aban''s high financial leverage.

Prabhudas Lilladher - Yes Bank

Broking House - Prabhudas Liladher
Recommendation - Buy


Healthy profits with an attractive valuation...
In its report dated 4th April 2007, Prabhudas Lilladher (Prabhu) Recommends Buy on Yes Bank at its Cmp of Rs 140 With Target of Rs 185.

Prabhudas Lilladher (Prabhu) mentions that Yes Bank was started on a green field platform in August 2004. This was the time when interest rates had fallen considerably and banking sector started witnessing high growth in credit off take. Prabhu highlights that this not only helped Yes Bank in establishing itself in a highly competitive environment but gave it an edge over other banks in terms of starting with a clean balance sheet. Yes bank started with focusing on corporate loan book to leverage on its corporate relationships and stayed away from venturing into retail assets.

Prabhu throws light that in a rising rate environment, when most of the banks face higher level of uncertainty on bottom line due to depreciation losses on investment book as well as higher provisioning cost due to probable increase in delinquencies; Yes bank offers a safer bet as it is newly set up on green field platform. This gets complemented by professional and well skilled manpower supported with state of the art technology platform, says Prabhu.

Prabhu highlights that Yes Bank doesn''t carry any legacy of bad loans; so far Yes Bank has focused on corporate and SME loans where it has reported aggressive loan growth. This is the segment which in comparison to retail segment has better absorbed the various interest rate hikes without any meaningful slowdown in credit demand or increase in delinquencies. Green filed platform coupled with robust risk management system in place has resulted in zero level of net as well as gross NPAs.

Prabhu states that Yes Bank is growing its branch network quite aggressively. Out of 60 branch licenses, it has set up 29 branches as on Q3 FY 07 and expected to roll out the remaining branches in next couple of months and it is expected to reach 100 mark by end FY 08.

Parabhu believes that Yes Bank given its green field platform, superior infrastructure and high growth potential offers attractive investment opportunity. Give its strong balance sheet and healthy profitability it could be one of the prime acquisition target as well. Prabhudas recommends BUY on the stock with a price target of Rs 185, which translates to 3.5x FY09 ABV.

ShareKhan Investor's Eye

STOCK UPDATE

Mahindra & Mahindra
Cluster: Apple Green
Recommendation: Buy
Price target: Rs1,050
Current market price: Rs711

Logan unveiled

Key points

* Mahindra Renault has made the much-awaited launch of its passenger car Logan. Three variants of the car have been launched—two in the petrol segment and one in the diesel segment.
* The vehicle has been priced aggressively as its petrol version is priced between 4.28 lakh and 5.69 lakh, and its diesel version is priced between Rs5.47 lakh and Rs6.44 lakh.
* Currently, the vehicle is being manufactured at the company's Nasik plant. With the setting up of a new greenfield plant near Chennai by mid-2009, the capacity would be scaled up by 300,000 units. Also, the localisation content would improve from 50% currently to about 80-90%.
* We expect the car to do well in the Indian markets, mainly on account of its pricing. We expect the launch of Logan to have a negative impact on models like Maruti's Esteem, Tata Motors' Indigo, and Hyundai's Getz. The launch of the passenger cars also further diversifies M&M's business model.
* At the current market price of Rs711, the stock discounts its FY2008E consolidated earnings by 10.4x. We maintain our Buy recommendation on the stock with a price target of Rs1,050.

Anand Rathi - Daily Technical Note

In the Punter's zone we have a BUY in RELIANCE CAPITAL and MIND TREE & SELL in JET AIRWAYS.

In the Technical call section, we have a BUY in RELIANCE INDUSTRIES & SELL in SOBHA , SHREE RENUKA SUGARS.

ASK RJ - Tech Mahindra

We have given TechM a target PE multiple of 21x (5% premium to Satyam and 11% to HCL Tech) mainly on account of better revenue visibility, superior management quality and higher return ratios. On FY09E fully diluted earnings of Rs86.4, the target price works out to Rs1,815 implying an upside of 27% from the current levels. We initiate coverage on TechM with a Buy recommendation.

Intraday Stock Ideas

NIFTY (3733) SUP 3720 RES 3764

BUY CROMPGREAV (196.40)
SL 192 T 204, 206

BUY ADANIENT (210.95)
SL 206 T 218, 221

BUY TATASTEEL (438)
SL 432 T 448, 451

SELL PRITHVI (253.45)
@ 256 SL 260 T 246, 243

SELL M&M (711.80)
@ 714 SL 719 T 704, 701

Poweryourtrade.com Trading Calls

Buy Aptech at Rs 221. Stop Loss at Rs 215 (Intra-day Call)
Buy NTPC and remain invested for a target of Rs 199 and 266. Keep room to accumulate at Rs 147 or below when it comes. (Delivery based Call)
Buy CESC at current price and on dip to Rs 346 and remain invested for a target of Rs 475 and 646. Long term stop loss at Rs 290. (Delivery based Call).

Intraday Stock Ideas

NIFTY (3690) SUP 3667 RES 3727

BUY NATIONALUMI (233)
SL 229 T 240, 242

BUY PSL (200)
SL 196 T 208, 210

SELL CEAT (106.4)
@ 108 SL 111 T 99, 97

SELL TULIP (602)
@ 606 SL 611 T 594, 592

SELL ACC (703)
@ 707 SL 711 T 692, 689