Sunday, January 25, 2009

L&T increase stake from 4% to Satyam

I wrote about Satyam and that it is a great buy.
One of the reader name Vasanthy asked about what price it should be bought.
I gave her a detail answer and how I am coming to the conlcusion, why it is a great buy.But I am not seeing any feedback from her whether she read my comments or whether she bought or she just lost the chance.
My blog is like a friendly platform.One can write me and ask me if I do not reply and readers use to write me if they use to differ.Sometimes I do not use to get time and hence may not reply hence I request you all that do repeat your query and I will definately try to reply it.
But readers feedback is very important.If someone ask something and I reply to them and they don't revert back then I feel that the query was just a casual query and not a serious one.Someone just asked for the sake of asking.......
I wrote in that reply to Vasanthy that Mcap is so less that when we compare it with Infy, Wipro and TCS that Satyam makes a good buy.
I have also written many times that everyone should read my replies to anyone.One will always find something to read.....I hope everyone visiting my blog must be doing that.
Now that L&T has increased the stake from 4% to 12% and they bought arond 1.18 cr share at one go on 23 rd while averaging it at rs 35 but seems that they wants to come on to have a sit in the Satyam Board and what a chance God has given to Mr.Anilbhai Naik! and he seems to be the right guy to have Satyam.
When I wrote in comments it was 20 and now it is 38!Wow great run.
I categorically wrote here that Satyam can't be Zero as Mr.Shankar Sharma of First Global has predicted.Market never act on anyone whims.The day Bulls started dreaming that market is behaving as per we say ,we saw the Crash and now Bears are also thinking in same way.They feels that market is and now should react as we think and that means the end of Bear market.
I don't say that the bear market has ended and bull market has started as there will be consilidation inbetween that will take place.We can see some downside but seems that 7600 is the bottom and under no circumstances it should be broken.This may happen and may not happen.This is all my assumptions.
But as I have written here in past, I am still seeing a turnaround by the end of June qr .
I would like everyone to keep a tab on Crude prices.The day it goes over $60 then I think we should think that the demand has increased and that world economy is coming back to normal.
And hence this is also the best time to buy stocks like Selan Exploration, Alpha Geo, Aban LLyod,ShivVani Uni,Jindal Drilling , Dolphin Offshore,HOEC,etc.........
Oil is going to be the main wealth creator in future as the Oil wells are getting empty and world needs to find newer places where Oil can be obtained and hence the Seismic data co,Drilling co,Exploration co are bound to make good business and bound to earn great returns.....


  1. Nobody knows the real balance sheet of Satyam. The only thing we know is that it is in big trouble and may not be in a position to pay even employee salaries. For all practical purposes, it is a bankrupt company or will be forced into bankruptcy with shareholder law suits. How can you put a value on such a company? Stay away.


  2. dear rajubhai

    Ya rightly said there should always be two way communication and helps the blogsite to play a ctive role,on behalf of everybody who is reading your blog daily i would like to convey the deepest sorry and promise it shall not happen again.

    comming to the crude price by the year end the price should go to 75 and retrace back to 55,60 i guess.

    how about saag rr and asian oilfields to the above list.
    would that also add to your list

    your comment please.


  3. Rajeev, Any views on stocks such as Manugraph, Bartronics, GE Shipping and Lakshmi Machine works ? Have invested in Jayaswal Neco-Is Ashapura Minechem good to invest ?

  4. Hi Rajeev

    Kindly give us your views on:
    Titan Industries
    Praj Industries
    Geometric Soft
    Ion Exchange
    Zen Technology
    JB Chemicals
    Autoline Industries

    Would you consider these as multi-baggers? Please reply.

  5. Hi Krispnotes,
    Bartronics, GE Shipping and Manugraph looks good.
    Laxmi Mach is also good but with Textile sector underperforming I am not too bullish on it.
    Well,after all seems that we first need to see how the world economy is going to pans out.
    Don't buy anything in one go.Buy in SIP manner and get ready to wait for 1 to 3 yrs......

  6. Hi Wallop,
    All the stock that you have written are owned by our Lord Of The Ring alias Indian Warren Buffet alias Rakesh Jhunjhunwala.
    His stake is sufficient for someone to buy it at these level.
    What have one to see when a investor like RJ is having stake and if I remember JB Chem is where RJ has increased his stake in last Dec qr as well.
    Titan and Aptech is going to be the star performer in coming years......

  7. Thanks Rajeev

    I pulled this list from BSE site only. Right now RJ has more than 1 % stake in around 30 stocks out of which he increased his stake in all of these 8 stocks in Dec quarter.
    But I wondered when I analysed those 30 stocks and RJs stake trend in those for past few quarters. Many of them have nothing special (infact few of them have very low promoter holding and high individual stakes)about them except for the fact that RJ has stake in those. Anyways he can see far far better than I can !!

  8. Hi Rajeev,

    Why do you think Aptech will be a star performer in the future?

    Can you please share some information which makes you believe in this company?

    Thanks in advance.

  9. Dear real,
    Well, if you are reading the business paper then GOI is giving a great spending for computer learning in school.
    It is something around rs 50,000 cr.
    I have read that and hence Educom, Aptech,Compucom which has clinched a big orders fropm Rajastahan goverment (state maybe wrong)in competition with Educom is also looking great.
    Even Jetking is looking good and so is Sholka Info of Birla gr.
    Well,Aptech being now absolutely RJ's child as he is at the helm of the affiar and they have made inroads in China as well the future is looking extremly good for Aptech.It is obvious that RJ will leave no stone unturned to put Aptech at the top of the list as it is now his company.
    Watch our for Aptech.According to me it is next Educom in making in next bull run.

  10. Rajeev,

    Thanks for the info on Aptech. Didn't know that its owned by RJ. But if you look at current numbers of Aptech they are dismal. I hope they will improve in the coming time and hopefull the Rajasthan order is just a precursor to something big to come.

    Regards, Real

  11. Hi Rajeev,
    What is your view on Everonn Systems?