Skip to main content

Posts

Showing posts from May, 2007

Update on India Stock Recommendations

Recently one of my stock recommendation Teledata has been on a roller-coaster ride. In recent times, it has been locked in either upper or lower circuit limit of 5% (in India, many smaller stocks have circuit limits of 5 to 20% to avoid extreme fluctuations). When I recommended it first time on one of my post, it has gone from 47 to 96 and back to 63. As per previous news, it should be demerging in 3 different companies by end of May. My recommendation is to HOLD and BUY more if it goes below 50. From financial point of view, it has excellent balance sheet and is winning orders from many state governments. It has good product in education and shipping management software. Unfortunately there is not much information available on management. So at this time I am giving them benefit of doubt and would hold onto these shares for potential windfall. I recommended Zee news at 40 and finally it has started moving. Last week it was trading at 46. Finally market has started realizing the pote

May commentary

Last week I completd second year of my part-time MBA at UC Berkeley - I was so looking forward to summer break after hectic spring quarter. I took Financial Information Analysis, Brand Management and Risk Management courses. All were pretty good courses. Did a marketing plan on Ebay and got a chance to take a closer look at how Eddie Lambert made billions with his smart move on Kmart. Learned couple of excel tools like Crystal Ball and Solver in Risk management course. Overall it was a good learning quarter. It was an interesting week for markets which are becoming little bit frothy even for an aggresive investor like me. It is definately climbing peaks every week but I almost feel that end of rally is coming anytime. Here are my predictions for rest of year: Now that SSE index has crossed 4000 (my earlier prediction was that it will reach 3500 by year-end), it reminds me of Nasdaq of 1999-2000 when it was crossing thousdand milestones in months. SSE index is almost reaching similar st