The Hindu Business Line : Sunday, June 08, 2003

Why oil stocks are slippery
PASSION, unlike love, is a fleeting thing really. It passes with the moment. And when it passes, the object of passion is left forgotten. And so it could be with oil stocks, which are the latest passion for a ... More

Growth or cyclical stocks: Labels no longer matter
HOW cut-and-dried stock market investing seemed in the late 1990s. Then, there seemed to be two clear categories of stocks for investors to choose from: "Growth" stocks (typically used to describe stocks in the ... More

Delayed rains hit four PSU fertiliser stocks
THE delayed monsoon has hit the fertiliser stocks badly. The four public sector fertiliser companies lined up by the Government for disinvestment have suffered a loss in valuation ranging between four and 12 per cent during the week even as the ... More

MUTUAL FUNDS

Franklin Prima: Hold
FRESH investments can be considered in the Franklin India Prima Fund as its track record has been impressive across different time periods. The long-term performance has been good. The fund has focussed ... More

Birla Midcap Fund: Hold
BIRLA Midcap Fund has generated a reasonable level of absolute returns, at around 20 per cent for the nine months since its launch in September 2002. But the returns have been lower than those of its benchmark ... More

UTI Petro Fund: Book profits/re-enter lower
INVESTORS in the UTI Petro Fund can use the recent uptrend in oil and petrochemical stocks to book profits. Stocks such as Indian Oil. Hindustan Petroleum, IBP and GAIL have run up sharply in the last month. ... More

TECHNICAL ANALYSIS

Bullish trend in HLL
ITC (Rs 706.25): The price movement in the stock was in line with expectations. The outlook for ITC continues to remain bullish with a move to the Rs 745-750 band being a distinct possibility. Only a drop below Rs 680 would blunt the ... More

Further upside for indicies
Preferred view: As anticipated last week, the overall trend remained bullish last week. The outlook continues to remain positive and a move towards the 3400-3450 range being a distinct possibility in the near term. Ideally, the index is ... More

STOCK MARKETS

Stock market events adhere to distinct patterns: Study
The study found that the patterns followed by the stock market are similar to `power laws' that describe the mathematical relationships between the frequency of large and small events. More

DERIVATIVES MARKETS

Three years of derivatives: NSE walks away with the market
IT WILL be three years tomorrow since the intro duction of exchange-trad ed equity derivatives in India. After eight years of intense debate, the Stock Exchange, Mumbai, known as the Bombay Stock Exchange or ... More

Processes help pick the winner
THE NSE then wanted all the loot! It found a window of opportunity, and its primary goal was to crawl through it and then lock the window behind it. As Professor Gary Hamel, author of Leading the Revolution ... More

USING FUTURES/OPTIONS
Implied volatility - Short straddle works!
YOU have suggested writing short straddle/strangle when IVs are high. But typically stock prices make wild movement when volatilities are high and short straddle/strangle is a strategy to be used when share price is expected to remain in a tight ... More

Tata Steel steals the show
WITH the broad market moving up and the benchmark indices appreciating, most of the futures and options were active. However, the turnover volumes retuned to normal levels, after the huge turnover the previous week evinced with the June contracts ... More

COMMENTARY

STOCK MONITOR
Zee Tele moves up on CAS hopes
Elder Pharma (Rs 45): The stock price of Elder Pharma surged by 25.6 per cent on the back of company's tie-up with Blistex Inc, US, to manufacture and introduce Blistex's entire range of lip care products in India. Shasun Chemicals ... More

ON THE FAST TRACK
Textile machinery stocks in limelight
A piggy back ride: The pick up in the textile industry has fuelled interest in textile machinery stocks. Take for instance Lakshmi Machine Works, a Coimbatore-based company that manufactures textile machinery. The stock was languishing in ... More

Markets ramp up
CONTINUING the uptrend, a majority of the global markets finished May with sizable gains for the third month in a row. Led by US markets, equities across Europe and most Asian markets posted sharp spikes in values, pushing the respective ... More

RECOMMENDATION

i-flex solutions: Pare exposures
AT THE current market price, i-flex solutions (i-flex) appears to be fully valued on future growth expectations. The upside from these levels may be limited. However, since there is low tolerance among investors ... More

The right medicines
Dr. Reddy's Labs: Buy
Cipla: Hold
Glaxo SmithKline Pharma: Buy
Aventis Pharma: Buy
Ranbaxy: Hold More

Dalmia Cement: Buy
FRESH investments can be considered in the Dalmia Cement stock by investors with a preference for high risk. If the firm trend in cement prices continues, it may end the April-June quarter with an impressive ... More

Tube Investments of India: Buy
INVESTORS can consider fresh exposures in Tube Investments of India. At Rs 125, the company trades at six times its latest per share-earnings. The earnings announcement for the year-ended March 2003 indicates ... More

Godrej Consumer: Book profits
INVESTORS can use the small spike in stock price over the past week to book profits in the stock and capitalise on the substantial gains generated over the past year. After doubling in value in the first six ... More

EIH: Hold
SHAREHOLDERS of EIH can stay invested in the stock despite the rather indifferent performance in the last two years. The stiff competition and falling average room rates (ARR) have weighed heavily on the stock's ... More

Divi's Labs: Lock-in to profits
SHAREHOLDERS in Divi's Laboratories can consider booking profits. The stock traded at about Rs 390, which translates into a price-earnings multiple of 9.1 times its fiscal year 2003 earnings. Divi's is in the business of manufacturing bulk ... More

IPOS

Power Finance to review IPO plans — Return of capital issue fallout
POWER Finance Corporation (PFC) will be reviewing its plans to float an initial public offering for 10 per cent of its equity. "We will have to review the IPO plans given the Finance Ministry's recent objections to return of capital by public ... More

Maruti Udyog: For a drive
Recommendation: Invest at floor price of Rs 115 per share More

Stock Quotes
SE Diary

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