SMALL CAP COVERAGE UPDATE:
Around November 2009 the blog had a new post category of Small Cap Coverage where I try to cover Small cap stocks which look very interesting on fundamentals and have very high growth potential or a possibly large valuation gap according to my limited knowledge of business and fundamental analysis.
All the stocks covered may have potential to become multi-baggers in the long run my targets have been roughly in the range 50-100% over medium to long term. Although I don’t write a big lengthy report but a brief on my fundamental and technical view is posted. (Soon we would have a fundamental analyst team who would explain in more details).
The stock-picking has been excellent in this section providing superlative returns as well as giving readers enough time to research the stock and accumulate.
Following stocks were covered. Read the posting below it for the report on the stock and the current view has been posted.
1) Accentia Technologies
Report published on November 29 – 2009 : Market Price – 112-118.http://www.nooreshtech.co.in/2009/11/small-capsmidcaps-start-researching.html
Current Market Price: 280 .Highest price reached: 332
The stock has achieved all our targets but the potential in the stock still remains and can outperform over the next 1-2 years.
At the consolidated eps of 55 the stock still looks interesting. Dips to 250 could be a good entry point. Long term target could be 400-500. Will review whenever it dips.
2) Surya Pharma
Report published on December 14 – 2009 : Market Price – 135-140.
Current Market Price: 232 Highest Price reached: 195.8
In the last update at 185 had mentioned the stock to be a buy and hold at that price to and may give a smart move above 200. Stock has since hit a new life high of 234.
Continue to maintain the view that the stock could turnout to be a multi bagger. Can look to take fresh entry on dips to 200.
3) PTL Enterprises.
Report published on 7 January 2007 Market Price: 19-20
Current Market Price: 49 Highest Price reached: 55
The view on the stock now is to completely book profits as it has surpassed our target of 40. Giving a good 100% + return.
Call closed so no updates would be posted further.
4) KOVAI MEDICAL CENTER and HOSPITAL
Report published on January 2010 Market Price: 110-105
Current Market Price: 145 Highest Price reached: 175
Investors should book profits fully in the range of 145-170 and if needed to have an exposure in Medical Care then look to buy Fortis or Apollo Hospitals on declines. Yet again here we were looking at a valuation gap which gets narrowed at 170 or higher levels.
5) ION Exchange
Report published on 5 April 2010 Market Price: 140-145
Current Market Price: 235 Highest Price reached : 264
Finally the company has come out with some details on the business plan –
Book profits in the range of 250 and re-enter on dips to 220. Longer term its a multi-bagger and a must hold in the portfolio if taken at lower levels.
6) Camlin Limited and Navneet Publications
I remain extremely bullish on the above stocks. Camlin Limited partial booking can be done at 38-42 levels which is a decent 30-40% jump.
Navneet could give a strong upmove above 58 levels. Keep a watch.
7) Bombay Burmah Trading Corporation Limited
Report published on 22 July 2010 Market Price: 420
Current Market Price: 630 Highest Price reached : 685
The stock did the target price of 600 + in less than a month which was a pleasant surprise.
Investors can look to book fully at 600-700 levels and shift to Bengal and Assam Company Limited. Although the stock has lot of value and can move higher returns of 50% in quick time in a defensive stock is superb.
7) Andrew Yule Company
Report published on 5 August 2010 Market Price: 42
Current Market Price: 41.6 Highest Price reached : 39
The stock gave a quick move to 47 after the recommendation and partial booking was suggested.
Re-entry can be done at 39-41 levels. Longer term target would be 50/60.
Fresh buying could also be done with a medium term outlook. Stock could see encouraging announcements over the next 3-6 months.
7) Bengal and Assam Company Limited
Report published on 22 July 2010 Market Price: 260
Current Market Price: 290 Highest Price reached : 320
The stock is an excellent value pick even at current levels. Investors looking for a defensive stock should continue to accumulate. A strong buy with long term view.
In the next 1 year the stock can give a pleasant surprise as the stock catches fancy of investors. Do read the valuation and other details given in the post.