Why I want you to buy Larsen & Toubro- Target 2078

Larsen & Toubro is the India Top Engineering goods company having over more than 25 years of existence.

Sector:                        Construction & Engineering
Face Value:                 Rs 2 Per share
52 Week High/ Low:   2212/1410
Dividend %age:           625
One Year Return:        15.1%

 Having a huge order book at 115400 Crores which is 2.5 time its FY10 total revenues, it is sitting at a pretty comfortable state with a expected EPS growth @ 19% for FY12. The govt is also realising the importance of spending in Infrastructure which is expected to reach to 9% of the total GDP of India which would help this company to grow at a much fast pace as compared to its peers L&T has also signed nuclear agreements with nuclear equippments manufacturers to cater to its demand.
Its Dharma Port , 50:50 JV with Tata Steel has already started its operations & is expected to contribute to its revenues.

A key concern for the company could be high interest rates shrinking the growth prospects of the company

Larsen & Toubro has a market cap of 99899 Crore & is  tarding at the PE ratio of 18-19 times forward earnings at 1640.

It is one of the best stocks in Engineering sector. It is also one of the major holdings in Mutual Fund Portfolio by assest managers of Mutual funds.
It is going to prove a major assest to the 1.3 trillon economy of India

I expect a target of 2078 with a time horizon of 1 year

If you like reading this article, kindly read

1. Best Mutual Funds in India
2. Rupee Cost Averaging takes you to become a Crorepati
3. Systematic Withdrawl Plan in Mutual Funds
4. Why do you need a financial Plan

Regards
http://www.wealthbazaar.in/

What are Gold ETFs

What is a Gold ETF?

This term appears nascent to a lot of retail investors. But has performed really well in a lot of portfolios over the years. Just to give to better perpective Gold has given a CAGR return of 17% in the last 10 years aotperforming 

• Fixed Deposits
• Debt Funds
• Balanced Mutual Funds
• Volatile stocks

and is considered as a safe heaven as a investment option. It is often termed as a hedge against inflation.

How to buy a Gold ETF

Just like you buy a share from the Stock MARKET, you can buy gold from the stock exchange. ETF means Exchange Traded Funds. Gold is considered to be part of a every Portfolio that may be 15-20% depending upon the risk apetite of a investor.

GOLD ETFs in India

(1) Gold BeES ETF(Benchmark)
(2) UTI Gold ETF
(3) Kotak Gold ETF
(4) Reliance Gold ETF
(5) Quantum Gold ETF
(6) SBI Gold ETF

(7) Religare Gold ETF

(8) HDFC Gold ETF
(9) ICICI Prudential Gold ETF

Free Tips for Investments

Dear Friends,

A few tips you can opt to buy for 1-2 months

1. Buy Lupin at CMP around 420. A best pick in the pharma space with continuos increase in the EPS of the company if compared on a year on year basis
2. Buy Cairn India at CMP around 317. A value buy. Increase in the oil prices would help this stock to gain momentum & in a year , I can reach to around 470-500

Investment is one thing in which you can earn more than what you are earning in your job but only if you keep it for long term, as compunding helps it along
If you want these tips on your mobile, kindly let me know at mayankportfoliomanager@yahoo.com

Regards
Mayank Gupta
Wealthbazaar.in

Rules of Value Investing

Dear Readers,


This is my second post on my Blog. Hope you liked the first one.
Wat are the rules of Value Investing & what is the meaning of Value Investing
Value Investing is a concept introduced by Benjamin Graham of buying stocks in which one find value in buying. In other words, the stock is cheap as compared to its intrinsic value.


Value Investing Strategy cant reap you benefit in short term, but is quite useful if you want to invest for longer term of more than 3 years
Rules of Value Investing are

• Low Price to earning Ratio vis-a-vis is sector
• Price Earnings Growth Ratio (PEG Ratio) should be less than 1
• Debt-Equity ratio must be less than or equal to 1
• Earnings Per share should be in rising trend along with the sales
• A important barometer for any company Return on Equity should be high
• Price-Book Ratio must be less than 1
• Less Leverage company

As on 19 Feb, 2011, the stocks which fell under that category or near to that category are

• Mahindra Satyam, a value buy at these levels for value invstors
• Bharti Airtel, a telecom major
• Shree Renuka Sugars, a sweet sugar stock

Kindly get back to me for any queries

Regards

Mayank Gupta

CRISIL Experience

+919967052367

Wealthbazaar.in

Why I ask people to stay Long Term Invested in Stock Markets

Dear Investors,

Through this blog, I want to make you people aware about the benefits of staying only long term in Ivestments. The stats given below tell the story

How it works, 

Even if one target a return of 25% returns annually  

A calculation for you.

If you put 10 Lakhs of money & get so & so on returns , your money would be

10 Lakhs Inv------------15% annually----------10 Yrs-------------40 Lakhs-------4 Times

10 Lakhs Inv------------26% annually----------10 Yrs-------------1 Crore--------10 Times

10 Lakhs Inv------------35% annually----------10 Yrs-------------2 Crores-------20 Times

I target to get 25% returns to my clients

 If you dont believe this, click on the link below & put dates of 1 Jan, 2001 to 1 Jan, 2011 in Returns calculator, you will get the answer.

http://www.moneycontrol.com/mutual-funds/nav/reliance-growth-fund-retail-plan/MRC008

(Kindly go down on the page after clicking it, go to Returns Calculator, & put dates as 01 jan, 2001 to 01, Jan 2011 (a complete decade)

& secondly check a 15 year return, Every fund on its inception date is of Rs 10 & this fund incepted in Sept, 1995, & on 31 Dec, 2010 it was quoting at 520 means 5200% returns in 15 yrs.

(the return in this link is after considering 2 recessions in last 10 years, 2008- 70% fall in Sensex from 21000 to 7500 & second recssion in 2001 of 50% fall)

Kindly call me if you want to manage your Portfolio or want to know some stocks to buy during this recent correction. Also It is very important for you to know my Profile before you make a decision of getting associated with me.

 

Regards

Mayank Gupta

+919967052367

MBA Finance

Bombay Stock Exchange Certified