Tuesday, November 24, 2009

Poddar Pigments..@36 and SNL Bearing......11.00

I have two stocks to write upon today.
Seems that worst is over for Textile sector and seems good times coming ahead.
Poddar Pigment is in Dyes and Pigments which are used in Textile,Eng,moulding machine, etc.
They claim to the first in India for creating Masterbatches for dope dyeing for Poly propylene,Nylon & polyyester multifilament yarn/fibres.
Well, I am no textile guy and hence do not understand anything here what can be the growth trigger for this.
But the bottomline is showing some great signs . Management is buying back from the market at this price and hence I can say that future looks bright for Poddar Pigments otherwise there is no need to buy at current rate if they are not going to do good in future.
Since last 2 qr they have an eps of 2 and hence Poddar Pigments can end the year at around 7-8 eps which makes it a value buy at 5 p/e...

Another is SNL Bearing...CMP 11.00

It is still in very nascent stage but what I like is , it is owned by NRB Bearing.SNL Bearing was previously Shriram Needles Bearing Ltd and NRB Bearing (MNC) took over in 2000.With such a great management SNL Bearing is bound to do good in future.....
At Rs 11.00 , SNL is looking damn cheap....one can take a small exposer atleast to give a salute for a co owned by NRB Bearing ltd......I think Rs 11 is not a big price to buy a co which have a MNC management..

Here are some excerpts which I have taken from their website:

Shriram Needle Bearing Industries Limited ( SNL), promoted by the leading Indian business house, Shriram Group, was established in 1983 in Ranchi, India. SNL was promoted as a joint venture between Shriram Group and INA Germany and is India’s major needle bearing manufacturer. SNL is equipped with state of the art technology, along with expertise in product design and process technology gained from the world leader INA Germany in a technical collaboration from 1983 till 1997.
SNL Bearings Ltd. ( formerly Shriram Needle Bearing Industries Limited) was acquired by NRB on 1st June, 2000. SNL has successfully developed and introduced cage guided drawn cup needle bearings, connecting rod needle cages for piston pin and crank pin along with other types and ranges of needle bearings.
SNL enjoys a large market share of Original Equipment Manufacturers ( OEMs), producing motorcycles, scooters, cars and trucks in India, and has made successful in-roads into the motorcycles, chainsaws, handtools and other industrial markets worldwide with established customers in USA, Italy, UK, Portugal, France, Indonesia, Malaysia, Taiwan, Singapore, Thailand, Vietnam, Phillipines, Kenya and U.A.E.

SNL is respected in the domestic and international markets for its product quality and design values.
SNL Ranchi is a certified ISO 9002 Company going across international frontiers, satisfying demanding customers in its journey into the 21st Century.
SNL ProfilePlant Locations : Ranchi
Employees : 200
Product range : Over 200 sizes in needle roller bearings
Products : Needle Rollers, Needle Cages, Needle Bushes, Thrust Cages,
Applications : Gear Boxes & Propellor Shafts
Connecting Rod
Steering Systems
Chasis & Suspension, etc.
Industrial Machinery
SNL Customer Base
Existing Customers4 Wheelers, Denso India Tractors, Maruti, Mahindra & Mahindra, Mico, Sona Steering Ltd., Telco, TAFE.
2 Wheelers
Bajaj Auto Ltd., Kinetic Honda, Kinetic Engineering, LML.


Lumax Ind,Frontier Spring , GSPL, Thermax, Sesa Goa,Catvision Product ,Sabero Organic, Sahyadri Ind,Max India( am seeing brokerage calls for this counter)etc has started making new highs.....

Watchout for Ennore Coke and PAE Ltd(going in Solar sector).....


  1. i did a quick check about the two stocks and both look great.will get back with you with more information.

  2. Hi Rajeev,
    Again you have given many gems but I specifically liked PAE ltd with excellent future prospects.
    Ok I have one more query. I remember you saying L&T as stock of decade.I have both L&T and BHEL.
    I have L&T at 1700. But also have BHEL at 1500.I know L&T has better EPS than BHEL and Less P/E than BHEL. But its FV-2 while BHEL is FV-10.
    I want to sell one and consolidate other. SO which one is better amongst them?
    With Regards,

  3. Thanks Rajeev,
    I will surely go for L&T then. posting you this link from economic times about Venus Remedies. I have some stake in it. Is there any worry / caution as per this news.

    With Regards,

  4. That is a negative for Venus.Would like to know how much amt they have to pay.....
    But they will find a way out I think...

  5. Thanks Rajeev. Hope they find a way earlier.
    With Regards,

  6. Dear Rajeev,
    The markets have fallen 800 points in two days and stocks have fallen 20% to 30%. Please recomend few stocks which can be bought now. Thanks.

  7. anjum,
    Stocks looking good to me are Frontier Spring,Geometric Ltd,Kirloskar Ferro,Sujana Towers,Goldstone Infra,Ennore Coke,PAE, Simmonds Marshall,National Fertilizer,Catvision Product,Zodiac JRD, KPIT Cummins,Kale Consultancy,Taneja Aero, RS Software etc....

  8. Dear Rajeev,
    Thanks for your recomendations. Hope to buy few stocks on Monday.

  9. Hi Rajeev,

    Dont you think gulf problem is just a rumuor. basically gulf countries are very strong in financials.As you see commodities are going higher day by day they are unstoppable so indian govt have appointed watchdog to stop punter activity in commodities. Now this is giving punters a chance to enter equity market rather than commodities.Is that is a reason or this is sign of financial war between gulf , emerging markets & europiean markets.

  10. How much will the markets go down today?? dammit dubai.. I wonder who shorted the markets then made that announcement?Its all game of Big Players in the system.

  11. it is just the way to create importance of real estate otherwise it depends upon country's policy to deal with real estate.

  12. Dear Rajeev,

    I do not envisage any trouble for Pipeline cos like PSL from this dubai debacle. However i read in Business Line today that these companies might also get affected as they have their factories in that region.

    Would love to have your views on this.

    I was also thrilled to see your suggested stocks. I hold some of those like sujana and goldstone. Will look to buy some of the other mentioned stocks too.

  13. Hi Mitz,

    i am again saying, dont worry on PSL front... this company will shine in time to time

    Just hold it

  14. TT,
    THe gulf problem is not a rumour.It is there.But what I think is it will be solved in time.
    Saudi Arabia and other gulf countries will help Dubai.

  15. Mitz,
    Accoding to me PSL should be in no trouble.Maybe a small scar here or there but no big deal.Actually I am not seeing any big blow for any indian co.L&T has some money invested there but that is also not a big problem with a co like L&T and with a person like Anil Naik at the helm of affairs.....He is the only person who has singlehandedly put Larsen where it is now.I don't say there was no one who was with him but he is a visionary and knows exactly what he wants to do.
    He has come a long way from just being inducted as a simple Engineer to the CMD of L&T.....maybe some 40-50 yrs back....great person...hats Off to him...