Dissecting Q2 - FY'14 of Tata Steel

Not bad. Cons. Net sales at 36,369.64 Cr(7.3% growth YoY) with an eps of 8.98 ( Last year Q2 was negative, lets not compare this), makes Tata Steel an attractive turnaround story. The PAT at 916.77 cr can be mostly attributed to its Indian operations, and streamlined consolidation of its European operations. It has turned profitable from last quarter, and the Q2 result shows that the revenue is steady. This is quite a sign, and the market has recognized it two months ago. It has already run from the lows of 260, and we are now standing 100 Rs. up. The steam is building up, and the cyclical-trend, favouring the metals sector, should help it sustain above 400 comfortably by year end.

Quoting around 370 as I write, and one can enter on dips.

Overestimated a bit on TechM Q2 PAT

My estimations on TechM Q2 were bit above the topline, but the results were on track. The market reaction was splendid with a whopping Rs.100 up in a day.

I am upbeat on TechM, as now is the time to run fast. Can book partial profit around 1900 or the end of this year, whichever comes first.

And we have Alembic Pharma confidently marching ahead!... Find some dips to enter.

And I am in a dilemma on Ahmednagar Forgings. Booked profit at 99 last week. The tide is yet to lift it. WIll re-enter on next dip.


Findings : NALCO (Q2 rose 37 times the last year), Shalimar paints (pretty cheap), Suven Life sciences ( pretty cheap among the peers). Can go long.
I am invested in Shalimar paints. Will find dips to enter both NALCO and Suven.