INSUBCONTINENT EXCLUSIVE:
India Inc as well as Dalal Street investors had a highly volatile period in last two quarters in terms of raw material cos ts, currency
fluctuations and selloff in the broader equity market
Yet, as many as 33 companies on National Stock Exchange (NSE) managed to register double-digit bottom line and top line growth and record
up to 80 per cent rise in share prices since the beginning of this financial year
The BSE Sensex advanced 7.5 per cent during this period.
Companies involved in the capital markets business, including Indiabulls Ventures
and Goldcrest Corporation, were among the top grossers during the first half of this financial year
Indiabulls Ventures reported a 155 per cent YoY rise in net sales and 117 per cent jump in profit during April-October 2018
The Annual Wealth Creation Study of Motilal Oswal Financial Services listed the company as fastest wealth creator, with a 2013-18 stock
price multiplier of 30 times (97% CAGR).
Goldcrest Corporation posted 60 per cent YoY rise in net profit on a 102 per cent YoY rise in sales
during the first half of FY19
The stock has rallied 16 per cent this financial year till November 19.
Among Nifty companies, RIL, TCS and Tech Mahindra posted over
double-digit growth in bottom line and top line during the first half even as their shares rose 28 per cent, 31 per cent and 14 per cent,
respectively, since the beginning of April.
RIL is the largest private player in refining, petrochemicals and EP in India
The company is expanding its presence in consumer retailing and telecom
Edelweiss Investment Research is positive on Reliance Industries with a target price of Rs 1,240
expected to drive future growth
Earnings are expected to double over the next 5 years and RoCE to surge after assuming 5 years of cumulative losses in the telecom business,
with a 'buy' recommendation on Tech Mahindra with a price target of Rs 885.
Cigniti Technologies, Intellect Design Arena, LT Infotech, NIIT
Technologies and Zensar Technologies were among other IT players, which also reported double-digit growth in profit and sales during the
first half of 2018-19 (H1FY19)
Shares of these companies rallied between 17 per cent and 65 per cent between April 2 and November 19.
Nirmal Bang Securities says midcaps
may witness faster growth pick-up on a low base in FY19, but investors should to focus on sustainability and not overpay for riskier
Transmission and Torrent Power also managed to get places on the list from the power generation and distribution segment
Household names, including Dabur and VIP Industries, posted up to 28 per cent and 49 per cent rise in net sales and net profit,
respectively, for the half year
Shares of these firms have rallied up to 50 per cent so far.
Aarti Drugs, Almondz Global Securities, Arman Financial Services, Astral Poly
Technik, Berger Paints, Britannia Industries, Goldiam International, JSW Steel, Pearl Global, Polyplex Corporation, Praj Industries, PVR,
Teamlease Services, Triveni Turbine and Wendt (India) were among the other players whose net profit and net sales grew over 10 per cent each
during the April-September period
on Aarti Drugs with a price target of Rs 870
We expect margins to improve post the launch of new products and additional capacities of Ketoconazole and Metformin APIs going on stream in
said.
Gautam Chhaochharia, UBS Securities India, says from a one-year framework, one-and-a-half-year framework or six-month framework, the
Given the election uncertainty, no one knows what will happen there
Markets are broadly hoping and pricing that Mr Modi will come back in one way or the other but it is always a difficult one to predict and
much higher than last three-year, five-year averages
