[SnS_12]

Looks like Karma is now coming to bite Reliance.

They tried lobbying TRAI against the premium plans offered by Airtel and Vodafone but, TDSAT blocked their attempt and even ruled that TRAI only took up the matter after Reliance logged a complaint against it.

R Com has 25k crore of AGR dues to be paid and would be interesting to see how much the top court would ask JIO to pay for using 800 MHZ of spectrum since 2016.

Ambani was selling stake in JIO to clear the parent company debt and if they are asked to pay a couple of thousand crores in AGR dues then they would have a new task (Debt) at hand.

[JMaruru]

Originally Posted by airbus

Any view on Yes Bank?

It shall slowly grind up. Now that the tainted promoter has been booted out and PSBs and some private banks made to have stake in the bank, It will be revived. The stock will move based on part recovery of the stressed loans.

[Ananthang]

Hi All,

Need suggestions from the Equity experts here.

I have been investing in Equities over 5 years now but mostly investing based on recommendation from others. Off late became serious due and educated my self by reading few of investment related books.

Based on my knowledge, I researched and found few stocks. I did not invest yet but testing my strategy. Some of the stocks(Mostly small caps and midcap) I found in the last 2 months have really appreciated a lot and thinking if I should start investing. I have chosen companies with Low Debt, RoE and RoCE> 25, PEG Ratio around 1 and Quarterly Profit and Sales Growth around 20%, PE less than 20 etc. Here are the stocks that came and need your suggestions and mainly where it can go wrong-

PSP Project
Avantel
Suyog Telematics
HCL technologies
Diamines and Chemicals
Kriti Nutrients
Bhagil Industries

Frankly except HCL, I have not heard of any other companies.

Your views and suggestions are much appreciated. Some of these stocks have appreciated 75% to 100% in last 2 months.

[SmartCat]

Originally Posted by Ananthang

I have chosen companies with Low Debt, RoE and RoCE> 25, PEG Ratio around 1 and Quarterly Profit and Sales Growth around 20%, PE less than 20 etc.

Two things:

1) PE < 20 is fine for largecaps like HCL Tech. However for midcaps (less than 10,000 cr marketcap), choose stocks with PE ratio < 15 and for small caps (less than Rs. 1,000 cr marketcap), pick stocks with PE ratio < 10

2) Add a filter of dividend payout ratio. Pick stocks that have consistently paid out more than 15% of their profits as dividend, every year. This will eliminate companies that jack up their profits using accounting skulduggery.

Some of these stocks have appreciated 75% to 100% in last 2 months.

OK, now that is a pretty good reason for NOT picking these stocks then

[Ananthang]

Originally Posted by SmartCat

OK, now that is a pretty good reason for NOT picking these stocks then

Thanks Smartcat. Will update my filter logic accordingly for PE and Dividend payout. If I keep fine tuning my filter criteria I am not getting even 1 or 2 stocks, wondering how i can identify value/Growth stocks. Blue chips are good but I think the returns may not be more than 15%.

[SmartCat]

Originally Posted by Ananthang

If I keep fine tuning my filter criteria I am not getting even 1 or 2 stocks, wondering how i can identify value/Growth stocks.

My screener.in settings are available here - there are 3 sets of stocks under Growth, Value and Dividend Yield investment strategies. Each category of stocks have sub-categories (Largecap, midcap & smallcap).
https://www.team-bhp.com/forum/shift...ml#post4789176 (Do you play the stock market)

If there are not many stocks in my shortlist, that means the markets are overvalued and overheated. You should wait for stock prices to fall, and not chase higher prices.

Originally Posted by Ananthang

BTW do you give any importance to Strengths/Weakness/Threat and Opprotunity mentioned in Moneycontrol. Because the stocks I mentioned below are loaded in Strength, 1 or 2 points on Weakness with No threats.

Websites like -

www.moneycontrol.com
www.trendlyne.com
www.marketsmojo.com
www.valueresearchonline.com
www.moneyworks4me.com
www.marketsmithindia.com

use algorithms that supposedly identify stocks for investment using fundamental and technical analysis. But my stock picking methodology is old school:
https://www.team-bhp.com/forum/india...ve-sector.html (Guide: Investing in shares of the automotive sector)

[Ananthang]

Originally Posted by SmartCat

My screener.in settings are available here:
https://www.team-bhp.com/forum/shift...ml#post4789176 (Do you play the stock market)

There are 3 sets of stocks under Growth, Value and Dividend Yield. Each category of stocks have sub-categories (Largecap, midcap & smallcap).

Wow exactly what I needed. Special Thanks for sharing with us.

BTW do you give any importance to Strengths/Weakness/Threat and Opprotunity mentioned in Moneycontrol. Because the stocks I mentioned below are loaded in Strength, 1 or 2 points on Weakness with No threats.

[Dry Ice]

Originally Posted by Ananthang

Based on my knowledge, I researched and found few stocks. I did not invest yet but testing my strategy. Some of the stocks(Mostly small caps and midcap) I found in the last 2 months have really appreciated a lot and thinking if I should start investing.

The last 2 months have been extraordinary. Markets were confused as well. If you see the NSE index, that itself is showing a ~30%+ return over past few months. So I would suggest don't base your assumptions on this one event. Back test your strategy with some older data range as well.

Due to the ongoing pandemic, a lot of pharma stocks have run up in the past few months. So be careful with pharma stocks.

[Simhi]

Originally Posted by SmartCat

Step 6: Do a quant analysis. A computer program can how cheap or expensive a stock is, analyze its financials and earnings potential.

Thanks for this wonderful thread. I used the criteria mentioned in page 1 of the thread to evaluate stocks in my portfolio.

I have query regarding stocks of Insurance companies, Banks and NBFC. How do we evaluate them?

In most of the cases, I noticed that
1. Debt to Equity > 1
2. Interest as % of Profit > 30%
3. Altman Z-Score, Piotroski F-Score, Modified C-Score are shown as NA in www.valueresearchonline.com

[SmartCat]

Originally Posted by Simhi

I have query regarding stocks of Insurance companies, Banks and NBFC. How do we evaluate them? In most of the cases, I noticed that
1. Debt to Equity > 1
2. Interest as % of Profit > 30%

Insurance companies usually have zero debt - so evaluating them is not a problem.

For finance companies and banks, money is the "raw material". They borrow money in the form of fixed deposits and bonds, and lend it out at a higher rate. These fixed deposits/bonds are debt in the books of such companies - hence debt to equity ratio is always greater than 3 or 4. No point in looking at interest costs as a percentage of profits either.

For finance companies, avoid companies that have declared a loss in the past 10 years. Go for companies that have managed to payout 15% of their profits as dividends consistently in the past 10 years. As usual, look for low PE ratio/high dividend yield stocks. By using these filters, you will automatically avoid disasters like PSU banks or Yes Bank/DHFL type finance stocks.

[SnS_12]

A lengthy hearing in SC on the AGR case.

Some interesting observations:

1) Bench assembles.

Senior Advocate Harish Salve says he is appearing for @reliancejio.

"Oh, today you're appearing for Jio" remarks Justice Mishra.

I want to clarify that Jio is not involved in any IBC Proceedings.

Says he has filed an affidavit which is running into 900 pages.

"I have just received it, considering the August 15 weekend, not blaming anyone"

2) Solicitor General Tushar Mehta apprising the Court on

"Whether spectrum per se can be the subject matter of IBC or not?"

Mehta: The view of @DoT_India is that spectrum cannot be sold under resolution of IBC Code.

3) Mehta now refers to section 13 of IBC

Justice Mishra: You are essentially arguing that the spectrum is not owned by them?

SG: I have always taken this stand. People of the country are its true owners and the govt. holds it in trust. Mehta citing an unreported judgment.

4) SG for @DoT_India : Spectrum sharing different from trading, user must pay AGR dues.

5) SG: The resolution professional cannot short-circuit claims in cases where the subject matter falls outside the purview of IBC.

SG: I am trying to say that, suppose spectrum also becomes part of the IBC proceedings, the necessary corollary would be that the NCLT will direct the GOI to put forth a fresh Resolution, not the NCLAT.

Justice Mishra: You see, Section 18 is the main plank.

6) SG: We (DoT) issued a notice on March 14, 2019 to @RCommCare as to why we should not revoke your spectrum as they are not making the payments for it?

Mishra, J.: What were the dues and what was the judgment of this court, before & after. Yearly. Tell this to us by tomorrow.

Justice Mishra to @DoT_India: Give us a bifurcation of arrears of dues, year-wise.

SG says will do.

7) Justice Mishra to SG: Now what is your proposition?

SG: Our proposition has always been that spectrum can never be a subject matter of IBC Proceedings.

Justice Mishra: What is the resolution plan? where is that? We wanted to know that. Can someone tell us orally?

Senior Advocate Shyam Divan for @RCommCare: Voluminous document. I will go over the highlights.

Divan going over the Resolution Plan.

Reads out the document.

"The plan as I understand - after the Resolution Plan takes over, then the Creditors are issued certain bonds which have a zero coupon, that are redeemed after realisation-thats the Broad plan"

8) Justice Mishra: What is the amount?

Divan: INR 6500 Crore, 7490 crore - thats the range and the timeline is also indicated. Once Finally sanctioned by NCLT - then a consultant would examine the situation & put forth who can acquire it.

Justice Mishra: What is Asset worth of @RCommCare ?
35000 Crore is the worth and then another figure suggests 11000 Crore. What is the figure here?

Divan: As on 5304 crore as on date of liquidation, fair value approx. 10000 crore.

Justice Mishra: Some order of 2019 has this 35000 crore figure, where is this coming from? Where have these assets disappeared now?

Divan: The current figure based on evaluation done by Resolution Professional.

Justice Mishra: How does this depletion come about?
How is there so much of a difference?

Divan: A reconciliation of the figures - i will seek instructions on that.

Justice Mishra: Take care on that

9) Justice Mishra: We are not on priority. We are on Section 18 of the IBC.

Divan: The basis on which we have proceeded over here is that the current dues paid by DoT during moratorium, the spectrum cannot be terminated. Spectrum can be subject of Resolution plan.

SG: We differ on that.

Justice Mishra: That is not the issue. The issue is if it can be sold. The issue is if you can even touch it, Mr. Divan?

Divan: Yes, it can be subject of Plan.

Divan: We have put forth an affidavit spelling out details as per order of your lordships on August 14.

[On August 14, bench had directed the Centre, Reliance Jio and Reliance Communication's to produce necessary documents in order to bring to light who would be liable for dues]

10) Justice Mishra: Mr. Salve, are you ready today or will you apprise us tomorrow?

Salve: Will do so tomorrow My Lord.

Justice Mishra to SG: We also want a broad outline of your affidavit. We feel your affidavit is disorganised.

SG: Affidavit is from Page 1-57, rest are annexures

Justice Mishra: We want a year-wise tabulation also by tomorrow for dues. Have you given details regarding since when have they been using the spectrum?

SG: Yes, have done so.

Justice Mishra: We want date-wise, not a chart.

SG: There is a difference between sharing and trading.

Justice Mishra: We want to know one who is actually sharing and making use of the spectrum, why he should not be held responsible for sharing revenue? We want details from the Government about that.

11) SG: My lords, whatever method you suggest to allow the govt. to get its dues, DoT is fine with that. I would still request My Lords to go through this affidavit.

Bench: We will read it. We will read it overnight.

12) Justice Mishra indicates that the bench will take up the case at 2 PM tomorrow.

Salve: I have one request. I want to bring up certain issues that SG has brought to light.

"To contradict anything which the SG says, fills me with fear"

Salve for JIO & SBI: I'll reach out to the chairman of the SBI & seek out if he wants to pursue this, I realise I'm swimming against the tide but if your lordships will give me a day's time to do so, i'll be grateful.

Justice Mishra: We will not conclude tomorrow.

13) Salve says he will address the bench on the legal implications tomorrow - regarding the stand taken by SG on the spectrum-usage and payment of dues.

Bench adjourns the case for further consideration to tomorrow, 2 PM.


Looks like JIO is bidding for RCom assets through a front and hence the court is interested in finding out who is bidding for it and the current valuation.

[sandeepmdas]

Hi traders I'm in the market looking for a portfolio management software and currently evaluating MProfit desktop version. I like it as it has all the functionalities I would like to have.

However, two things I don't like are a. absolutely no charts, it has everything in cold numerals which is much like browsing through a populated DB table and b.it is still desktop. A cloud version is available but it's beta. Numerous functionalities are simply yet-to-be-built.

Would you have any recommendations? Thanks!

[hondafanboy]

Originally Posted by sandeepmdas;

Would you have any recommendations? Thanks!

I am not a trader but Perfios has some charts. You may want to give it a try.

[avingodb]

Diamine and Chemicals Ltd!

I added this one into my watchlist (did not buy) after seeing on screener value list and boy has it risen in the past 3 months! I added it on 176 on about 20th May and today it has crossed 500.
I regret this missed chance really.

[Vikalp]

Anyone using Chartink for day to day trading?