2010-05-11

Chat Transcript       

sushrutkk : Hello, How the shares of RNRL behave in near future after the SC verdict?

Ramesh Damani : my sense is that they will be under pressure...market will tend to be critical of its prospects

cherukucrmohan : good day mr.damani .iam aretd official from apsu bank. iam fascinated to you by the way you reply. may i pl. request you to throw some lite on the prospects for long term on BILI; LINC;EVEREST IND MOUNTEVE;STERLITE AND YOUR REPLY IS MY PATH FINDER.WISHING YOU ALL THE BEST

Ramesh Damani : thanks for joining in..Linc is a brand in the making and has good potential, Everest is a well run co that should grow over the next few years...mount everest in a bit speculative but has interesting assets..

jaiz30 : Hello sir , will Real estate stocks generate good returns in ling run say 5-8 years ???

Ramesh Damani : i think if you pick stocks carefully real estate stocks will do well...

srikumar1976 : Hi, What is your view on UFLEX for Long Term ?

Ramesh Damani : with a consumer boom co the script makes sense. dividend is good also

sanjeev051 : Sir, your take on Bharti airtel and Anant Raj Industries at current level?

Ramesh Damani : bharti is under pressure still and the cost of 3g is not helping..dont know much about anant raj

r-ranjan : sir do not you see value in spice mobile,CEAT and KSB pumps...I am betting big on these 3.. how do you think about them?

Ramesh Damani : i like ksb a lot do as we go nunclear power there order size wil also increase..stock is fairly cheap

nickk1942 : Sir, Do you think the market will test 12000 again with presnt world situation?

Ramesh Damani : anything can happend in markets

rikenmehta_2 : sir wat is ur view on Nifty? Will it consolidate or breakeven on either side? your take on global markets?

Ramesh Damani : it remains in a range..we tested the lower end around 5000 nifty and now we may try the upper end of the band

rajeevsoft.in : Hello Sir. Please give me your view on Reliance Communication... considering six months.

Ramesh Damani : telecom is in a spot of trouble so I would be underweight telecom in general

sagararora1234 : after 15 year experience in stock mkt and after reading regular your chat since last 3 years I have shifted 99% 0f my holding to 5 companies GODREJ IND(50%),GODREJ PROP(20%),(TCI,UBL,GRUH-10%each)for 10 yrs.I am 45 yrs old.I am feeling vvery comfortable by taking this step.your opinion plz

Ramesh Damani : these are all stocks that i own..so lets keep our fingers crossed..we have good co`s and they must deliver

deepakrohilla : Sir spotted some website saying that you have taken a position in Menon Bearings.. Is it true sir..

Ramesh Damani : i have no position in it

garimasainani : tci for 1-2 years...can it double...

Ramesh Damani : cant say that but over time it should do well

amardeepkumar : Sir any new investment idea?

Ramesh Damani : actually have two that i wil share the first being a PUDUMJEE PULP and PAPER ( Rs 23)..the stock should benifit from improving paper market and real estate division should bring cash flow..at the current market cap it makes sense ( My office own and trades in the stock).. the second idea is GIC Housing Finance (Rs 94) cum rs 4.5 dividend.as we learnt from GRUH..housing has good solid growth

Ramesh Damani : I have a vested interest in both the above mentioned stocks

yjuvij : Rameshji, Is Aegis Logistics can be bought at this level for a longer prospective? If so how many years?

Ramesh Damani : yes..it makes sense to me...cant say time frame

sudhakajaria : Sir, usually you do not recommend a portfolio. But today kindly guide us if you have full confidence on your yellow commodity and see it move linearly upward NOW. Can we put all our eggs in this one basket of yellow commodity?? OH, SIR, DO GUIDE US ON THIS TODAY. How do you see GOLD, NOW???

Ramesh Damani : same question..same answer..bullish but as a insurance...as the world prints paper, paper, paper...gold will become more precious

kumarrajesh21 : Sir pls give your opinion on your favourite stocks Banco, Mount everest Vip, Everest inds Whether one shud add further or exit or hold

Ramesh Damani : i still owm all of them

id4rd : post demerger TCI will not have any impact on nos. as anyway its real estate assets not contributing significantly...so there wont be correction in TCI post demerger?what will be approx. listing price of TCI PROPERTIES?

Ramesh Damani : i have no idea..but will be watching it closely

Ramesh Damani : prefer tci at current time

pkjjalora08 : Sir, Wht will be the market in the upcoming days?

Ramesh Damani : probably range bound..we tested the lower end of the range

amardeepkumar : Sir its look like global market is in correction mode. Will it good to book some profit & hold the cash for some time or just keep invested & correction will not be too deep & long. Please reply.

Ramesh Damani : timing the market is fraught with danger..as i have learnt....u buy a good business and stay put..unless the market is at extremes

sree420 : sir how do u view the comments of china entering the bear mkt or crash

Ramesh Damani : it worries me...but i cannot guage the impact of it

ajuu007 : sir your view on sharp india

Ramesh Damani : given the boom in consumer durables i am trying to get a hang on it..but cannot get a fix on the company

samaiya_neelima : YOUR VIEWS ON NESTLE.

Ramesh Damani : it is a compounder

echankya : Sir, in Alcoholic breweries, what reforms are needed to improve profitability?

Ramesh Damani : better distribution and lower taxes

trader009 : Sir whats your view after biocon results

Ramesh Damani : bullish

satvignesh : Dear Sir, I Purchased Reliance Power in IPO Price still iam holding tell me about your view weather sell or hold similar like rnrl Purchase price Rs 117

Ramesh Damani : i think they will have a few tough years ahead of them

bapskumar : can VISAKA become another hyd.indust. SIR

Ramesh Damani : i like both these stocks..building materials will tend to do well over the next few years

echankya : Sir, Heidelberg cement: do you think at 52/- one can have long term position?

Ramesh Damani : yes it is cheap

istiyakms : You suggested to buy Sagar Cement in your previous chat... volume traded is almost 100-200 from last few trades... while price inccrese/decrease by Rs. 5.. still you have buy call on this stock???... please share your views..

Ramesh Damani : when it is ready volumes magically appear..it is a well run co...and i am bulish on it..many b group shares are illliquid so you have to be convinced to buy it

radha.srf : SIR IF YOU COULD NAME JUST ONE SMALL TECH CAP THAT IS BUZZING, SO THAT WE SMALL INVESTORS COULD PROFITISE A BIT. Ramesh Damani : small cap tech seems to be buzzing again

Ramesh Damani : i have nothing new to recommend..in this space but of you go through the list of small caps you know which ones i am talking about

rupin : Dear sir,as predicted by some analysts if SENSEX is able to reach near 20000/21000 which sector/stocks will take charge of it?

Ramesh Damani : generally domestic consumption is an overriding theme

kinmay : Sir, what is your Visaka Industries which has posted excellent results. It is India’s 2nd largest producer of Asbestos Sheet. This Company has posted EPS of Rs.36 and declared dividend of Rs.5 per share for the full year but still command very low PE. Do you expect PE expansion for this Company? This sector is not at all dependent on world market, don’t you think it deserve better discounting? Kindly advice.

Ramesh Damani : the sector and visaka is cheap...people are scared of asbestoes litigation..however that is a threat primarily in the US an not in India..i would recommend an esposure to this sector

sagararora1234 : ok.what do you think about the time period.In my city all invest in property only, for the next generations and they never sell.like this can I made this investment(godrej ind,godrej prop,tci,ubl,gruh)for life time investment instead of 10 yrs. thx in advance

Ramesh Damani : these business are strong and should survive..but occasionally market may give it a crazy valuation.in which case you should book some profits

vivekam.kul : rameshji, gic paying great dividend ? will it be compounder like gruh? also r u planning to hold it for long term?

Ramesh Damani : it does..i cannot decide that at this time..(my holding period)

radha.srf : Sir, you do say that there is a disconnect between the prices of real estate that we are seeing between the market price of those flats and the valuation of the companies. If you believe that India story is going to be this great growth story, we are going to have 500 million middl So value can be seen in the property stocks. SIR, WHAT WE WANT TO ASK IS…..IS real estate stock……. Century Textile the best one of the lot to buy as you do see value out there. Is it safe to buy at today’s levels? Kindly guide us. Thanks.

Ramesh Damani : century is good for long term investors..so is godrej property..pudumjee pulp has started a property business in pune which should do well..so there is opportunity inthe sector

pb1979 : Hi Sir, In Videocon ind, in FY09, its net debt position was close to 11000 cr rs. At 13% interest rate (assumed), its interest cost comes to around 1400cr for FY 2010. Net profit for FY 2009 was around 400cr. Since most of its new businesses like telecom, DTH, mobiles etc are at the initial phases, we dont expect significant additition to net profit (if any)from these businesses. So, there is quite a good chance that the company may post loss in the next few years. ur views?

Ramesh Damani : oil should compensate for the losses..they have a rich vien of oil

itssantanu000 : Sir, Is Wim Plast and Haldyn Glass a long term hold at current levels?

Ramesh Damani : i booked profits in Haldyn..but wim plast looks attractive though I am not buying it at current levels

sagararora1234 : Ramesh Damani: i think if you pick stocks carefully real estate stocks will do well... is investment in Godrej property or any other stock also in real estate you like

Ramesh Damani : you know my ideas

vdatar : Sir, PNB Gilts :-Any fresh call on PNB Gilts after its Good Result & closure of offices in some cities & 10% Dividend declared for F.Y. 2009-10?

Ramesh Damani : mgmt is too sleepy.....they cant make a decision

echankya : Sir, for information: Mr. Mankekar took stake in Punjab Chemicals and crop protection. Do you have any idea about it?

Ramesh Damani : no

shishirkapadia : Hitachi: sir, you still recommend to hold Hitachi. thanks.

Ramesh Damani : yes

srikumar1976 : Hi, Can we enter in GRUH Finance at this level or please let me know at what level we can enter into this stock ?

Ramesh Damani : if you are a long term investor yes..otherwise take a look at gic housing finance.cheap and good yield

echankya : Sir, isn’t Heidelberg Cement at EV/EBITDA at 6 more expensive than other players? Also, new capacity additions would take some time. Would you be positive at current price?

Ramesh Damani : i am bullish on it

srikumar1976 : Hi, What is your view on "Indian Metals & Ferro Alloys", "Hyderabad Industries" for Long Term?

Ramesh Damani : Indian metals is being recommended by a smart fund manager,,hyderabad industries is cheap..and can be bought

nicky7 : Sir linc pen at current levels still a buy?????????????

Ramesh Damani : yes

bapskumar : sir,u make research for each stock before u pick?

Ramesh Damani : nothing published

makhijasuresh : sir goodevening sir what abou hocl is the govt is going to allow hocl to use itland bank dont u think its is a bit risky bet bcz they dont have good operting business. thanks and regards

Ramesh Damani : as gas starts flowing the economic will change...at the price the risk is limited..the time frame is not known

nicky7 : Sir what about Goldiam it has not crossed 50 in past 2 months. You still recomend a buy at cmp??????????????????????????????????

Ramesh Damani : yes....