Reliance Communications charged up, reaches lifetime high of Rs 370

Fresh buying on continued strong subscription growth pushed cellular services provider Reliance Communications up nearly 6.5%, to Rs 370.

The stock struck Rs 370, an all-time high. As many as 20 lakh shares changed hands in the counter on BSE.
Reliance Communications (RCL) stock has witnessed a sustained rise since late July 2006, in a firm market. From Rs 238.30 on 21 July, the scrip has risen 52% to current Rs 362.30.

From 15 September, trading in the scrip started in the futures & options segment of NSE. The scrip is also a constituent of the 30-share BSE Sensex.

Merrill Lynch has a buy recommendation on the stock with a 12-month price target of Rs 385.

Promoter Anil Dhirubhai Group (ADAG) has substantially raised stake in the company following reorganisation, which merged Reliance Infocomm with the company and also made the remaining companies fully-owned subsidiaries of RCL. The ADAG group holds over 66% stake in the company. In June 2006, the ADAG group owned 42% stake in the company.

Reliance Communications (RCL) on Thursday slashed long distance calling rates to Re 1 per minute. The new plan `Reliance STD Call` is applicable on Rs 675 denomination calling card. The new scheme can be availed by the company's 26 million post-paid and pre-paid customers of mobile and fixed wireless subscribers.

RCL has about 70% shares among CDMA operators; CDMA operators have an overall share of 30% of the total Indian wireless market.

RCL has applied to the government for GSM spectrum in 21 of the 23 telecom circles of the country under the unified access service licence (UASL). Reliance Communications had earlier applied for GSM radio frequency in the 1800 MHz band in New Delhi, Mumbai, Uttar Pradesh (east & west), Chennai and J&K. In a fresh application to the Wireless and Planning Co-ordination Wing of the DoT, the company sought GSM spectrum in all the remaining circles. RCL expects to receive requisite GSM spectrum by early '07.

RCL has also sought permission from the Department of Telecom for conducting trials for 3G services. Reliance Communications has applied for 3G spectrum in seven circles.

Recently, RCL launched mobile blogging (moblogging) -- an extension of web blogging -- and intends to bring its 8 million R-World users to use the service. The company has tied-up with value-added services provider IMI Mobile toward this end. Moblogging is an extension of web blogging, and the only difference being the ability to update user's site over a mobile phone.

Reliance Communication had registered a net profit growth of 27%, to Rs 512.70 crore (Rs 403 crore) for Q1 June 2006. Net sales rose 9%, to Rs 3,250.10 crore (Rs 2,970 crore).

CRISIL surged 10% to Rs 1,948.50

CRISIL surged 10% to Rs 1,948.50, after the company registered a net profit growth of 61.9% in Q3 September 2006. As many as 4,885 shares were traded on the BSE. There were pending buy orders for 1,737 shares at the maximum price.

At the current market price of Rs 1,948.50, CRISIL trades at 22.48 times its Q3 September 2006 annualized EPS of Rs 86.64.

CRISIL has reported a consolidated net profit growth of 61.9% to Rs 22.85 crore in Q3 September 2006, compared to Rs 14.11 crore in Q3 September 2005. Income from operations during the same period has risen 57% to Rs 80.92 crore, from Rs 51.52 crore.

In September, the West Bengal government engaged Crisil to prepare a document on the emerging requirement for infrastructure in the state.

In the same month, CRISIL launched Agricultural Risk Monitor, a measure for agricultural lending risks. This banking service includes statistical analysis of district-level agricultural production, price behaviour and quantification of the risk, using standard financial concepts.

CRISIL's revenue from all three segments -- rating services, advisory services and research & information services -- witnessed strong growth. The consolidated revenue of rating services business rose to Rs 20.54 crore from Rs 16.29 crore. Revenue from advisory services segment rose to Rs 21.57 crore from Rs 13.60 crore, whereas, revenue from research & information services rose to Rs 25.26 crore from Rs 7.08 crore.

CRISIL is India's leading ratings, financial news, risk and policy advisory company. It is a 56.5% subsidiary of Standard & Poor's (S&P). CRISIL holds 12% in NCDEX, a national-level, technology-driven de-mutualised online commodity exchange.

Suzlon Energy elated on Brazilian order

Suzlon Energy elated on Brazilian order. Suzlon Energy climbed 5.43% to Rs 1,365.25, on receiving orders for 225 Mw wind turbines from a Brazilian firm. As many as 1.66 lakh shares were traded on the BSE.

The stock had spurted during late June 2006 - early July 2006 – to Rs 1,137.20 on 5 July from a low of Rs 814.65 on 26 June. However, the rally soon fizzled out and the scrip slipped to Rs 921.85 by 19 July, from Rs 1,137.20 on 5 July. It recovered once again, to Rs 1,240.10 by 11 August. Here, the scrip slipped to Rs 1,128.50 by 12 September 2006, only to rise to Rs 1,294.95 by 12 October 2006.

At the current market price of Rs 1,365.25, Suzlon Energy trades at 47.73 times its FY 2006 EPS of Rs 28.60.

Suzlon Energy's Denmark unit has finalized an agreement with SIIF Energies do Brasil (SIIF) to supply 225 Mw wind turbines. The product will be delivered in the first quarter of 2007, with the installation and commissioning to be completed in 18 months.

The current consolidated order-book position of the company stands at Rs 5,777 crores, which includes Rs 4,977 crore worth of international orders and Rs 800 crore contracts from the domestic market.

Recently, Suzlon Energy finalized an agreement with John Deere Wind Energy to supply 247 Mw wind turbines, the delivery of which will take place throughout 2007.

In September, Suzlon Energy set up a 600 kw capacity windmill for Vimal group in Gujarat, and signed a 105 Mw deal with Edison Mission Group for providing wind turbines, the delivery of which is expected to begin by mid-2007.

In August, Suzlon Energy's Danish subsidiary also had orders for supplying 29 wind turbines to Italian and Portuguese firms. The company said it will supply 10 units of the 2.1-Megawatt turbine to Italy's Maestrale Green Energy, and 19 units with the same capacity to Portugal's Tecnologias Energeticas, SA.

Earlier in August, Suzlon Energy announced its plan of investing Rs 1,400 crore in 2006-07, across three plants in India. The company plans to raise its wind turbine manufacturing capacity to 4,200 Megawatt from the current 3,300 Megawatt, this fiscal.

Suzlon will invest Rs 750 crore in a new integrated turbine manufacturing facility near Mangalore, which will increase the company's turbine capacity by 1,500 Megawatt. The plant, which is coming up in the special economic zone, will be an export-oriented unit and will aid the company's proposed forays into US, China, Australia and Europe.

The plant is expected to become operational in June 2007.

Suzlon Energy had, in May, fully integrated its WTG manufacturer unit after an acquisition of Hansen Transmission, the world's second largest windmill gearbox manufacturer, for $ 538 million.

Meanwhile, the recently established facilities in the world's fastest growing markets, US and China, will help it to increase market share.

Recently, Suzlon Energy (Tianjin), the step-down subsidiary of the company, and P R China signed a contract with Datang International for 32 units of 1.25 Mw wind turbine generators, which will be installed at the Zhuozi Wind Farm.

In June, Suzlon Energy shareholders cleared a special resolution enabling it to raise up to Rs 5,000 crore through a combination of equity and debt.

Suzlon Energy manufactures wind-turbine generators (WTG).

Suzlon Energy registered a net profit growth of 222% to Rs 193.60 crore (Rs 60.14 crore) for Q1 June 2005. Income from operations rose 203.5%, to Rs 933.77 crore (Rs 307.59 crore).

Src: CM

Quarterly Results to be declared on 13th October 2006

Quarterly Results to be declared on 13th October 2006

• CONTAINER COR
• GMM PFAUDLER
• GRUH FINANCE
• J&K BANK
• MACMILAN IND
• RAMA NEWSP&P
• SHYAM STAR G
• SIRO PLAST
• U T I BANK

16% Quick Profit expected in Short term investment

16% Quick Profit expected in Short term investment

AMARRAJA BATTERIES
Present Price - Rs.395; Projected Price - Rs.460

Amar Raja Batteries is a dominant leader in Industrial Batteries and is emerging as a fast growing brand in the Automotive Batteries segment. The company has cornered more than 25% share in the domestic automotive battery market. It has forged relationships with all major auto OEMs operating in India and that too just in a span of six years of operations. The company is a preferred supplier to all major cellular service provider's switch and exchange manufacturers and is likely to be a major beneficiary of the increased spending on network expansion. We expect the company to report EPS of Rs.34 plus for FY07 and Rs.50 plus for FY08. The company has an Equity Capital of Rs.11.4 cr. On the technical front, the stock has broken out of a bullish pattern and is headed for higher levels.