2010-06-22

Ramesh Damani, Member BSE      22 Jun- 16:00hrs

afzala : sir which is better gic housing finance or gruh finance or sunadram finance

Ramesh Damani : the two conservative stocks are sundaram and gruh...gic is cheap and has a good yield

vishaljain002 : Dear Sir, I am holding 5000 shares of Biopac India at the rate of 36/- per share. The scrip has crashed all the way down to 14 levels. Please advice regarding the target and timeframe. Thanks.

Ramesh Damani : there seems to be a turnaround in biopac...i would hold on

robbyhun : Hello sir,Missed the Bus on vipind?any other new trading idea?can sagar cement be brought at current price?can we except at least 20% return from it?TQ

Ramesh Damani : ideas keep coming..but they are different from each other

candrin : Dear Ramesh Ji, Goldiam & Wimplast Results are good, good dividand. but they are at same levels for long? Your advise to ADD more/HOLD/SELL?

Ramesh Damani : what was the dividend declared..not seen it yet..also stocks move up when they have too..our job is too buy

nehamathur : Banco Products: Last time you said dividend is 100% in Banco. I searched but they have not declared. Does this mean this year no dividend?

Ramesh Damani : i remember seeing it as being Rs 2...(on face value Rs 2) am sure they will pay a dividend

echankya : Sir, Congrats! RJ recently entered into VIP…a few times above our purchase price! Do you see any other scrip shaping like VIP?

Ramesh Damani : his sense of timing is immaculate

makhijasuresh : sir igarashi motor is it going to multibagger or still dark horse

Ramesh Damani : dark horse

madhu_nairin : Sir, Do you think Precision wire can grow 25% cumulatively over 3 years and market can give it a PE of 15 Times?

Ramesh Damani : what pe market gives is upto the market...Precision wires is on a strong wicket and should be able to grow nicely over the next 2 years..stock seems cheap

vishnukant_1 : Sir, which companies in generic space should we look out for? Should we not look out for Biocon? Is it still looking good and technically strong, though trading much above 300 levels?? Will it not be really rewarding as the whole sector is doing well, even though if by some unusual cause it does correct and goes below 290 levels again. Do guide us

Ramesh Damani : in the domestic/generic space look at Natco pharma..biocon among the majors..i have recommended both stocks before and my office trades in them

pkhimanani : Sir I am old follower of your chat. Today i have joined chat from mobile. Do u see any good company in this area mean mobile application development.

Ramesh Damani : PPl recommend onmobile though i do not follow it

miteshshah1 : sir any view on material science companies - carborundum (cmp 208) and grindwell (cmp 199) ? one good analyst who recommended ttk prestige at 157 is now recommending these two stocks for next 1 year. indian auto companies planning capex of more than 1 lakh crore in next 3-4 years and these 2 companies are biggest beneficieries. your view please.

Ramesh Damani : ther are cheap and should do well..i own carborandum

Raistlin : Sir your view on Mount Everest Mineral Water, Bullish? Still a good Buy for a 3-5 yr horizon. Also ur view on United Bank of India for a 3-5 yr horizon has done quite well since launch?

Ramesh Damani : mt everest makes sense for a patient investor

naivishh : Sir, r u still holding a view that any point of time in 2011, an exit button can be pressed due to DTC ? And DIIs will not be able to handle this exit by HNIs and FIIs?

Ramesh Damani : not really..the India story is looking strong and we have to go through pain in order to make gains

revash : Dear Damani Sir, Your views on TV18, TVS Suz, JMFinanacial pls.

Ramesh Damani : my sense is that you buy the brand name media stocks..they will survive and prosper as ad spends go up..i would avoid the General Ent channels and look for brands in the news business

nehamathur : Godrej Properties: What kind of net profit margins we can expect in next 4-5 years? Do you think net profit margins of 30% possible?

Ramesh Damani : yes if vikhroli squaer foot is heavy in the mix.certainly

monikdharamshi : Dear Ramesh, Your view on haldyn glass... and precision wires with a year perspective.. tks and good health..

Ramesh Damani : both seem cheap though I am a bit more bullish on Precision at this time

echankya : Sir, what impact recent draft tax code would have on the market in the short and long run?

Ramesh Damani : market will adjust..my belief is that we will get a deduction for LTCG..which in effect will make the rate around 12% to 15%

robbyhun : sir sagar cement or HEIDELBERG CEMENT? which is better buy?

Ramesh Damani : both are cheap but heidelberg is quite liquid

mmdaga : Are you still invested in PNB Gilts or exited? What is the view here?

Ramesh Damani : reducing my holdings..given up on the stock

mjrocks : sir,should we book profits in vip?

Ramesh Damani : you know better than that..i do not give individual portfolio advice

sunnysanand : Dear Ramesh, Once your recommended, Kale Consultants is turning around and has shown excellent results. The stock has also been technically very strong. Should one take a call on it at the current levels. Also ur views on Microtech. Has an eps of 60 and quoting at 190. The balance sheet also seems to be pretty good.

Ramesh Damani : Kale has been doing well...generally midcap tech is reporting good visibility others like geometric, sonata, KPIT are seeing signs of healthy growth

echankya : Sir, could you add some names to the list of accomplished individual Indian investors: Radha Krishnji Damani, C. Sampat, RJ, Mr. Mankekar? I would just like to follow them….

Ramesh Damani : they are all accomplished investors but keep a very private and low profile

abinidhi : Is TCI still remains a good value buy?

Ramesh Damani : yes

shishirkapadia : Sir, Any new CAPEX announcement in Hitachi? Did you attended its AGM or you are attending? Thanks

Ramesh Damani : not that i know of..but sales are booming

kanupriyaa : DEAR SIR,ONLY ANSWER THIS ONE QUESTION TODAY. LONG SINCE WAITING PATIENTLY, MORE THAN A YEAR, TO SEE THE YELLOW COMMODITY MOVE IN A LINEAR DIRECTION. DO SHARE WITH US, HAS THE TIME COME TO ADD VIGOROUSLY OR will it now consolidate at $ 1226-1260 levels? Or will it now easily cross the all time high 50 PLUS LEVELS.? What does your technical indicators suggest at current levels.Sir,do guide us well on your favorite commodity. Thanks.

Ramesh Damani : same question..same answer...bullish on gold as an insurance..when it has a linear move..cant really tell at this point

rajivmansotra : dear DAMANI sir big congrats on VIP industries.....thanx from all investors for recomending such a gem.SIR can u tell why CEAT tyres is available on such low PE as compared to other peers?/thanx

Ramesh Damani : thanks...market goes through its phases..maybe tires are out of favour

vishnukant_1 : SIR IF YOU COULD NAME JUST ONE SMALL CAP THAT IS BUZZING, SO THAT WE SMALL INVESTORS COULD PROFITISE A BIT. Ramesh Damani : small cap seems to be buzzing again

Ramesh Damani : so many..Hitachi, Aegis, Vip, Everest....ITHL..thay have all head a great move and have been recommended from time to time

gopal4444 : r u still holding hocl

Ramesh Damani : yes

sanecounsel : sir any new recommendations this week ?

Ramesh Damani : nothing new..precision wires still looks attractive

roohizaidi04 : WHAT IS YOUR VIEW ON KANSAI NEROLAC CUM BONUS? IF YOU HAD TO CHOOSE JUST 2 STOCKS TO BE IN YOUR PORTFOLIO, WHAT WOULD THEY BE (EXCLUDE RELIANCE, LT, AND INFOSYS). THANKS

Ramesh Damani : you need to look at the future and see a margin of safety one of them would be Godrej Ind..since you get exposure to property, FMCG and many other business...

naivishh : Sir, why not u suggest good media stock (electronic) here? can we go for NDTV, TV 18 and UTV considering BRAND name? OR any modification suggested?

Ramesh Damani : they have very little earnings so it is premature to recommend them..a hint is enough for serious investors

vishnukant_1 : Sir, as nobody rings a bell for us when to book profits, and as we do have the privilege of your kindness in sharing your views every Tuesday, so please help us regarding a trading call at least… Biocon is from generic space and has given good results. But it is a trading call. Please do share with us today, what do your technical indicators indicate for this week. Is it showing a strong linear move upwards or will it be volatile. If you do see clearly, kindly share today. We are always, ALWAYS, very thankful for your guidance.

Ramesh Damani : technically biocom should head higher from Tuesday`s closing prices

reachpartha : I am investing 5 gms of Gold since last 6 months. Should I continue till marriage of my daughter?

Ramesh Damani : i dont know about that long but at this time why not

dhaval_parikh33 : sir what to assume when a stock trades above the open offer price? Does it mean that the company will actually raise the open offer price? if you can share your views..

Ramesh Damani : yes market beleives that a higher price is coming or that they do not wish to see it delisted

echankya : Sir, in terms of corporate governance, can we rate Shapporji Pallonji group same as Tata and Godrej?

Ramesh Damani : tata ..godrej are the gold standard

makhijasuresh : sir any logic for holding hocl i m also holding from last four years plzz advice sir thanks

Ramesh Damani : you can always sell..psu shares take a toll before moving as you must have realised from past picks.

sudz_123 : 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 IF one wants to look at the street whether they are quoting at Nariman Point or somewhere else and the market capitalisation of the underlying stocks, 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 : i like godrej prop and century

echankya : Sir, do you think implementation of VAT would impact excise duty structure and distribution problems of liquor industry in any way?

Ramesh Damani : no..on liquor duty is a state sucject and excluded form VAT i believe

sunilvabe : What about aviation sector stock like SpiceJet?

Ramesh Damani : i am bullish on the sector..globally...

sree420 : sir hats off to longterm investing and big bull is behind you .vip soaring rakesh may be richer but u r great sir

Ramesh Damani : thanks..nothing can stop an idea whose time has come

dhruva_rana : Sir: Market Cap: 325.82Cr March 2010 sales:1409Cr March 2010 ROCE:23.02% Debt:90Cr Reserves:295Cr Divident yield: 3.4% company is top 10 in marketshare in India for their products. Looking at these numbers doesn the company warrant investment from a fundamental prespective?

Ramesh Damani : cant say without knowing more details

makhijasuresh : sir from this point do u think that godrej ind will multinagger like mcdowell in comming future plzz comment sir

Ramesh Damani : unlikley but it can compund like Honeywell or e-serve did ...over time

echankya : Sir, Sagar Cement: good promoter, technically very competent and cheap based on capacity. I have a feeling that this is early Shree Cement (year 1995-2000); only concern, earning cycle in cement is down, that may temporarily bring down share prices. Do you think it’s better to buy at 150/- or wait?

Ramesh Damani : it is an attractive buy..if you can ride out the cycle

echankya : Sir, paint sector: could you suggest similar sectors as paint sector since this sector has delivered huge returns to investors over the past decade. I think low penetration of paints and non recessionary decorative segment are the reasons. So would like to make position in similar sector as this sector.

Ramesh Damani : i have expsoure to akzo india formerly (ICI)

mohit_bansal1 : Sir, on 8th April on CNBC, you said,â€Â This debate has somewhat been trivialised over the years that you buy large-cap, you buy small-caps, the idea is you buy value. If you found a large-cap, a BHEL trading at value, you go out and buy it or if you find a small-cap trading at value you buy it.â€Â Sir, what we would like to ask you today is as money very soon is going to go into the IPO’s that are in line, do guide your VERY SMALL INVESTORS WELL. Should we buy Century at current levels? Or any small cap buzzing at current levels, which you will recommend. ? Kindly GUIDE US. THANKS.

Ramesh Damani : as i keep saying..i recommend stocks ar diverse as VIP to BPCL..just read the past transcripts

wavestudent : Sir, do you believe over time Linc could be another VIP?

Ramesh Damani : once they can cross Rs 300 cr turnover..there margins will improve..over time they will do well