Tower Talk 12/11/22

 Karnataka Bank’s best ever quarterly results with Q2 business crossing Rs. 1.41 lakh cr. and NIM over 3.56% aided by a CASA ratio of over 32%. Its H1 EPS has already doubled its FY22 earning. The share may double in 18 months. Buy immediately.

 Forecasting Orient Green Power to report profits and recommended buying it at Rs. 8.20, we hit the bull’s eye. Its good Q2 results and pending sovereign dues augur well for it. Buy before the price gallops out of reach

 SPL Industries with over 65 % revenue from Textile Apparel exports may post FY23 EPS of Rs16+. A PE multiple of just 10x against the industry average of 40.85x justifies a share price of Rs 160 within 1 year. A strong Buy.

 EID Parry into sugar, nutraceuticals, distillery and co-generation is also the promoter of Coromandel International. It is adding capacities and merits an Add at current beaten-down prices.

 One of the best Defence sector stock is Mazagon Shipbuilders, which is working on Frigates and Scorpion class submarines for the Indian Navy. The share may double in two years. Accumulate on every decline.

 NMDC has become stronger after the demerger of its Steel unit and may declare a dividend of around Rs. 6 per share in the next few days. Accumulate.

 Auto components major, SJS Enterprises, looks attractive at current rates given the uptick in the automobile sector. Add.

 Passenger vehicle sales are rising as per the sales figures of car makers Companies with Maruti Suzuki leading the race. The Company also expects its margins to rise this year. Add. 

 Kirloskar Electric posted good turnaround Q2 numbers with a NP of Rs. 15.60 cr. from a loss Rs. 10.63 cr. YoY and a positive EPS of Rs. 2.34 against a negative Rs. 1.61. Add.

 Minda Corpn. has collaborated with Daesung Eltec for ADAS technology for automotive electronics. Add.

 PNB Housing expects a 40% jump in disbursals this fiscal. Long-term prospects for the entire industry look good and this share must be added.

 Tata Motors said that the company’s sales in the domestic & overseas markets rose 15% in October. Going forward, this company is worth an investment. Buy.

 UPL’s consolidated Q2 NP surged 28.4% to Rs 814 cr. on higher realizations and better product mix. The next few months are expected to be better. The share price may rise over 30% in the next two quarters. 

 M&M recorded 45% higher sales of 61,114 vehicles in October 2022. The management said that the volumes will continue to grow in the next two quarters. A screaming buy! @mwglobal

 Balrampur Chini plans to buy-back its shares, which speaks of its strong cash flows. The govt. announcement to allow to step up sugar exports will also benefit the company. Add.

 fsn e-commerce ventures (nykaa) posted good q2 profits. the share is available way below its peak price. prudent investors may add in small quantities.

 Robust stamp duty collection of homes suggests a big boom in housing finance. Indiabulls Housing may become the best bet this time. Add.

 Although Tech Mahindra posted a mute Q2 with EPS falling to Rs. 14.58 from Rs. 15.25, hold the share in view of the special dividend of Rs. 18 per share. Await a quick bounce back.

 The US is keen on wanting to be a ‘Partner of Choice’ for the developing a new fighter jet engine. HAL can be the biggest beneficiary. A big Buy.

 LIC Housing Finance, the second-largest housing finance co., posted figures below market expectations. Investors may take advantage of falling prices and add to their holdings as it is poised to fare better in Tier-II cities in times to come.

 Yes Bank to sell stressed assets of Rs. 48000 cr. to JC Flowers ARC by end Nov. and cut its gross NPA ratio below 2% from 12.89% and receive Rs. 11,183 cr., which amounts to 23% recovery rate. Buy Yes Bank with a horizon of two years.

 Titan Company posted 34% jump in Q2 PAT at Rs. 857 cr. on 18% higher revenue of Rs. 8134 cr. The share remains a good investment bet and must be accumulated in small lots. > Multiplier Wealth - Stocks | Nifty | Sensex | NSE | BSE:  90-year old Karnataka Bank with 879 branches, 1 extension counter and 879 ATMs spread across 22 states and 2 Union Territories has notched 230% higher Q2 EPS of Rs 13.2 and 128% higher EPS of Rs 16.9 in H1, which indicates that FY23 EPS could be over Rs 35. Buy for a target of over Rs 180.

 Andhra Paper Mills, acquired from International APPM, is in a Capex mode and notched 494% higher Q2 EPS of Rs 28.5 and 357% higher H1 EPS of Rs 50 as against FY22 EPS of Rs 35. Its FY23 EPS may cross the Rs 80 mark. Buy for 30% gain. 


Happy Trading