Financial Weekly

SMART
INVESTMENT
23rd Sep. 2018 to 29th Sep. 2018 35
Investment Ideas telegram.me/rupeegains7

NIFTY :- For next week NIFTY has strong support around 11075 levels. Break will take it to
10980-10925 levels. On the upper side NIFTY will face strong hurdle at 11215 levels, cross over
with volume and close above will create short covering at take NIFTY up to 11305-11345 levels…
BANK NIFTY :- For next week BANK NIFTY has strong support around 25410 levels.
Break will take it to 25150-25050 levels. On the upper side BANK NIFTY will face strong hurdle at
26040 levels, cross over with volume and close above will create short covering at take BANK
NIFTY up to 26230 levels…
INVESTMENT IDEAS…
AMARJOTHI SPINNING MILLS LTD
(521097) (101.55) (Face Value Rs.10)
Amarjothi Spinning Mills Limited manufactures and markets yarns for hosiery, woven, and home
textiles in India. The company also sells melange products through online. Its PAT zoomed 223%
to Rs.6.43crore on quarterly basis. At CMP stock is available at PE ratio of just 5.2. Everyone,
whose financial advisor is allowing to trade in this stock for short to medium term can watch with a
stop loss of Rs.90.
AMAL LTD
(506597) (160) (Face Value Rs.10)
This is subsidiary company of Atul Ltd a company of Lalbhai group. Atul Ltd's stock traded at
Rs.3165 level. Company is producing various chemicals. It has posted strong numbers for Q1FY19.
Its sales increased by 44% while PAT soared by 113%. Everyone, whose financial advisor is
allowing to trade in this stock for medium to long term can watch with a stop loss of Rs.140.
SHILP GRAVURES LTD
(513709) (122) (Face Value Rs.10)
Shilp Gravures Limited manufactures and sells engraved copper rollers in India.
During last 6 years its debt to equity ratio declined from 0.77 to 0.37. During Q1FY19, net profit
soared 35.31% to Rs.3.41crore from Rs.2.52crore in Q1FY18 on higher sales of Rs.19.6crore fetch-
ing an EPS of Rs.5.54. Everyone, whose financial advisor is allowing to trade in this stock for
medium to long term can watch with a stop loss of Rs.105.
LAHOTI OVERSEAS LTD
(531842) (20.65) (Face Value Rs.2)
Lahoti Overseas Limited, together with its subsidiaries, engages in the export trading of cotton
yarns and fabrics. During Q1FY19 its PAT zoomed 307% to Rs.5.21crore from Rs.1.28crore on
56.41% higher sales of Rs.154.93crore fetching an EPS of Rs.1.86. At CMP, LOL trades at PE
ratio of just 7.25x. Everyone, whose financial advisor is allowing to trade in this stock for medium to
long term can watch with a stop loss of Rs.17.
CREST VENTURES LTD
(511413 & NSEE) (168) (Face Value Rs.10)
Company operates through three segments: Real Estate, Financial Services, and Investment
and Credit. Well-known investor Vikram Kotak holds 3.81% stake in this company. For FY18 its
PAT zoomed 147% to Rs.94.01crore. For Q1FY19 it has reported PAT of Rs.9.36crore fetching an
Cont....
Financial Weekly

SMART
INVESTMENT
23rd Sep. 2018 to 29th Sep. 2018 36
EPS of Rs.3.35. Currently, the stock trades at a P/E of below 5x. Everyone, whose financial advi-
sor is allowing to trade in this stock for medium to long term can watch with a stop loss of Rs.150.
LAMBODHARA TEXTILES LTD
(590075 & NSE) (50.05) (Face Value Rs.5)
Coimbatore based Lambodhara Textiles Ltd was founded in 1994 with a capacity of 3,024
spindles. Over the years the company has grown in size and currently has a capacity of 37,856
spindles, with 33,224 spindles producing fancy yarns. The mill is fully modernized with state of art
technology and infrastructure. Company produce yarns in a count range from 10s to 60s. Company
specializes in manufacturing slub yarns, multi count and multi twist yarns, siro yarns and neppy
yarns. It produce yarns using Polyester, Polyester variants, Viscose, Modal, Excel and Flax as raw
materials.
It has an equity capital of just Rs.4.79crore supported by reserves of around Rs.45.34crore. The
promoters hold 70.11% of the equity capital, which leaves 29.89% stake with the investing public.
Its share book value works out to Rs.52.34 and the price to book value ratio stands at just 0.95x.
For Q1FY19, its PAT zoomed 49.48% to Rs.1.45crore from Rs.0.97crore in Q1FY18 on higher
income of Rs.40.93crore fetching an EPS of Rs.1.51.
Currently, the stock trades at a P/E of just 7.2x. It is regular dividend paying company and it has
paid 20% dividend for FY18. In February 2018, Company has allotted 5,00,000 Equity Shares to
Promoters at a face value of Rs.5/- each and premium of Rs.75. Its 52 week high rate is Rs.91.7
which was formed on 15th February 2018. Stock almost corrected 45% from 52 week high.
Everyone, whose financial advisor is allowing to trade in this stock for medium to long term can
watch with a stop loss of Rs.42.
GOLDIAM INTERNATIONAL LTD
(526729 & NSE) (70.2) (Face Value Rs.10)
Incorporated in 1986, Mumbai based Goldiam International Limited, together with its subsidiar-
ies, manufactures, markets, and distributes diamond studded gold, platinum, and silver jewelry in
India. The company operates in two segments, Jewellery Manufacturing and Investment Activity.
In investment segment company invest its surplus funds in MF, equities etc. Its products include
engagement rings, wedding bands, anniversary rings, bridal sets, earrings, pendants, and neck-
laces. The company also exports its products.
Company's equity is Rs.24.95crore while company has huge reserve of around Rs.331.26crore.
Promoters hold 57.72% while investing public hold 42.28% stake in the company. Its share book
value works out to Rs.147.45 and the price to book value ratio stands at just 0.48x.
Company has posted highly impressive numbers for Q1FY19. During Q1FY19 it has reported
33% higher sales of Rs.96.31crore while its PAT zoomed 211.42% to Rs.8.72crore as against
Rs.2.8crore fetching an EPS of Rs.3.5. It is regularly dividend paying company and it has paid 15%
dividend for FY18. At CMP, GIL trades at PE ratio of just 6.5x earnings. Recently company bagged
exports order worth Rs.140crore. Everyone, whose financial advisor is allowing to trade in this
stock for medium to long term can watch with a stop loss of Rs.62.