Buy Larsen and Toubro, though priced high, they have little chance of depreciating even if the present bull run flounders. They have very strong order books for the next six years. And in between if they give out bonus shares or through demergers unlock value, then you will count be doubly blessed. This seems to be a very lucrative stock.
Buy up Reliance Industries. Mukesh Ambani has great plans for this diversified group. Reliance is known to reward shareholders.
Reliance Petroleum Limited is another stock available cheap now. It is worth investing. Though oil production in its refineries is due after sometime, once that happens, markets expect this stock to shoot up.
A good stock to invest in is Noida Toll Bridge. This is not a very well-known counter but it holds a lot of promise. Traffic is increasing and revenues are up from the real-estate owned by the company. Right now, it is not that highly favored by the markets; but sooner or later, it is bound to take off. It is available dirt cheap.
Infosys is passing through some bad times. But it remains by far the best IT company in India till date. There is no other IT company which has such strong fundamentals. Now is the time to buy Infosys shares. They are undervalued now. Once the rupee-dollar problem stabilizes, infosys will blaze up.
Disclaimer:
I have interests in some or all of these stocks. The share-value can plummet down anytime. Equities give no guarantee of appreciation to the investor.
Also it is often better to invest in large cap stocks than in small cap ones.
You can buy shares at ICICI, and get all your info at Moneycontrol
Image: Travel India Smart
I would bet in Punj Lloyd, BHEL in Engineering Sector, than L&T.
The recent trend in the market seems to be focussed on small cap and mid caps which are undervalued as they didn’t parcipated much in the rally earlier.
Also, the FII participation is yet to resume after the P-Note issue. The DII and HNI and retail investors prefer small/midcaps than Large caps.
I won’t prefer to go for IT sector now, though their P/E are much lower and they are undervalued. The rupee seems to appreciate further, sqeezing the margins of IT/BPO/ Outsourcing companies.
L&T and Reliance Industries and RPL however should get better returns on longer time, not suitable for short term trading.
Regards,
Ramesh Natarajan, Dubai
Global Indian
I would tend to agree with you. But I aim my blog and advice towards folks who might not have a knack for stocks and may even be scared of investing in them. So I see the above five stocks as more of safe bets than many another stock. Sometimes, also people do not have time to monitor their stocks. In that case, in the long term all the above stocks will hopefully perform.
INFOSYS has weathered many rough times and am sure will ultimately come out of these present blues. INFOSYS remains the best in its sector.
The Mid-cap and small cap segments are attractive but carry greater risk, so except Noida Toll Bridge, I have left them out here.
I will post on midcaps soon.
Thank you for writing.
Hi,
INFOSYS,TCS and Wipro, the Top IT companies are quickly responding to the currency appreciation issues. Also, they are expanding their verticals and customer base, agressively acquiring companies world-wide.
In short term, large IT companies might not do well, but should come out better in medium/long term.
This is not a bet for short term investors.
Looking forward to read your further postings.
Regards,
Ramesh
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I agree with you and other readers too will not disagree with you.
Your advice is good and timely,
By the way, you might want to check out my daily twice-posted
http://www.dailylight.wordpress.com
Thank you.
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