DD Sharma, Anand Rathi Securities is of the view that Mercator Lines is the best buy - Read More

DD Sharma, Anand Rathi Securities is of the view that Mercator Lines is the best buy.

Sharma told CNBC-TV18, "Mercator is one of the best play in the shipping sector, particularly the tanker rates for shipping is going very well. In April for example you have seen the VLCC rates were 22,100-22,200 around that level and now they are close to 63,000. So you see the rates whether it is VLCC, Suezmax or Aframax, everywhere the tanker rates has improved significantly from the April-May-June and now in July you see far higher than the April-May rates plus compared to a year ago also they are much better."

He further added, "So the current quarter and the coming quarter for the shipping sector could be quite well and Mercator is well placed, I expect the best out of it. The June quarter results which we see for Mercator which was down, this was mainly due to the dry docking of some ships of the Mercator which impacted the revenue also and cost on account of the dry docking charges. So Mercator is well placed and it is reasonably priced as around four times of the '07 earnings. It offers around 4% of the yield also, so I think it is the best buy."

Diclosure: I owned the above stock.

BUY Recommendations from Deepak Mohani, Ashwani Gujral, E Mathew and Rajat Bose

Deepak Mohoni
Buy Tech Mahindra below Rs 552 with a stop loss of Rs 544; This is a day-trading recommendation

Sell Jet Airways above Rs 554 with a stop loss of Rs 565; This is a day-trading recommendation

 

Ashwani Gujral
Buy Banco Products with stop loss of Rs 190 for a target of Rs 280

Buy KS Oils with stop loss of Rs 220 for a target of Rs 320

 

E Mathew
Buy ACC with a stop loss of Rs 922 for a short-term target of 1001

Buy Jaiprakash Associates with a stop loss of Rs 430 for a short-term target of Rs 522

 

Rajat K Bose
Buy ACC with a stop loss below Rs 929.80 for a target of Rs 967

Buy Gujarat Ambuja Cement with a stop loss below Rs 112 for a target of Rs 121
 

Cheaper rights issue boosts Sunshield Chemicals

Sunshield Chemicals surged 2.56%, to Rs 40 after its board decided to reduce the price of its forthcoming rights issue.

A very thin volume of 200 shares got traded on the BSE.

The counter has remained range-bound from early August till date. The stock moved in the range of Rs 37- Rs 40, and closed at Rs 39 on 5 September 2006.

At the current market price of Rs 40, Sunshield Chemicals trades at 8 times its Q1 June 2006 annualized EPS of Rs 5.

Sunshield Chemicals has decided to reduce the price of its forthcoming rights issue to Rs 30 per share, from the earlier Rs 40 per share.

The company has decided to allot 36,76,530 equity shares of Rs 10 each, through a rights issue in 1:1 ratio.

Sunshield Chemicals manufactures ethylene oxide condensates.

 

Sunshield Chemicals had registered a net profit growth of 1050% to Rs 46 lakh (Rs 0.04 crore) for Q1 June 2006. Net sales rose 55.3% to Rs 9.91 crore (Rs 6.38 crore).

 

Source: Capitalmarket

AVT Natural Products - Board Meeting on Sep 06, 2006 for Bonus Issue

AVT Natural Products Ltd has informed BSE that a meeting of the Board of Directors of the Company will be held on September 06, 2006 to fix Record Date for the Bonus Issue of shares to the shareholders.

Swasti Vinayaka Finvest Corporation Ltd fixes record date for Bonus Issue

Swasti Vinayaka Finvest Corporation Ltd has informed BSE that September 26, 2006 has been fixed as Record Date for the purpose of Bonus issue.

GEE Ltd. revises Book Closure for Rights Issue Purpose

Latest Announcement:

GEE Ltd has informed BSE that the Register of Members & Share Transfer Books of the Company will remain closed on September 19, 2006 (revised) for the purpose of Rights Issue of Equity Shares and Annual General Meeting of the Company to be held on September 18, 2006.

Previous Announcement:

GEE Ltd has informed BSE that the Register of Members & Share Transfer Books of the Company will remain closed from September 21, 2006 to September 23, 2006 (both days inclusive) for the purpose of Annual General Meeting of the Company to be held on September 23, 2006.

NESCO fixes Record Date for Bonus Issue

NESCO Ltd has informed BSE that September 05, 2006 has been fixed as Record Date for the purpose of Issue of Bonus share.

Jeet Machine Board approves Bonus Issue

Jeet Machine Tools Ltd has informed BSE that the Board of Directors of the Company at its meeting held on September 02, 2006, inter alia, has considered, approved and recommended the following subject to the approval of the shareholders of the Company:

1. Increase in the Authorized Share Capital of the Company from Rs 25,00,000/- to Rs 2,00,00,000/- and consequent alterations in the Memorandum and Articles of Association of the Company.

2. Issue of Bonus Shares in the ratio of 1:7 i.e. issue of 7 New Equity Shares as against every 1 existing Equity Shares.