Over the past three months, mid-cap stocks have fallen more sharply than their large-cap counterparts.
Over the past three months, mid-cap stocks have fallen more sharply than their large-cap counterparts. The Nifty Midcap 100 index has lost 4.3 per cent, while the benchmark Nifty 50 has shed just over 1.3 per cent. A significant number of mid-sized stocks have fallen 10-75 per cent. This makes select mid-sized companies with high earnings visibility attractive. ETIG lists five such companies which have lost more than 10 per cent on the bourses in the past three months but show the promise of sustainable earnings.
Castrol India The automotive and industrial lubricant company has been able to increase product prices by 3-4 per cent to reduce the impact of rising crude prices. Its volume growth has been better than the industry growth. According to the management, company’s share in the CV segment is rising. In addition, dividend yield of 3 per cent may attract investors.
Engineers India (EIL) Higher order book and debt-free balance sheet are the major positive factors for the EIL, a project management consultancy. The company’s revenue growth has been over 50 per cent given better execution. At present, the company’s order book is worth Rs 8,300 crore. This gives over three years’ revenue visibility.
JSW Energy Power utility company JSW Energy will be the biggest beneficiary of the recent rise in merchant tariffs — up by 50 per cent in the last one week to over Rs 6 per unit. The company has 25 per cent capacity for merchant sale. Elevated short-term rates and rising uptrend in merchant tariffs will make several state power distribution companies to sign longterm power purchase agreements (LTPPA). JSW has shown its intent to increase the share of LTPPA as it gives higher earnings visibility and better return ratios.
Indraprastha Gas (IGL) Focus on reducing pollution by the Delhi government authorities continues to work in the favour of IGL, which supplies compressed and piped natural gas (CNG and PNG) to the city and areas close by. Its volume growth improved to 13-15 per cent in the past six quarters from 1-4 per cent between FY14 and FY16. With increasing adoption of vehicles which are CNG powered, the outlook for volume growth is positive. Besides, the government’s mandate to issue three lakh new connection of PNG augurs well. In addition, the company is targeting new territories such as Gurugram, Rewari, and Karnal, which has a potential to increase volume.
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Prestige Estates Projects The company enjoys a strong brand in southern India, especially in Bengaluru, a hub for information technology (IT) companies. Its plan to increase rental assets from 9.2 million square feet to 26.6 million square feet in the next six years bodes well given the improving outlook of the IT sector. The move would reduce dependence on the income from residential segment, which has been volatile.
How fast can you double your money? 6 cardinal rules of good investment
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Knowing financial rules can do wonders for you, be it in investing or in your day-to-day activities. There are thumb rules that can solve financial queries in no time.
Knowing financial rules can do wonders for you, be it in investing or in your day-to-day activities. There are thumb rules that can solve financial queries in no time.
The rule can tell you how fast you can double your money. Divide 72 by the interest rate at which you are compounding your money, and you will arrive at the number of years it will take to double in value. For instance, you money will double in 3 years if you are compounding at 24 per cent (ie 72/24 = 3 years).
The rule can tell you how fast you can double your money. Divide 72 by the interest rate at which you are compounding your money, and you will arrive at the number of years it will take to double in ..
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One can use this method to estimate how much time it will take to triple the wealth. Here you have to divide 114 by interest rate to get in how many years your money gets tripled.
One can use this method to estimate how much time it will take to triple the wealth. Here you have to divide 114 by interest rate to get in how many years your money gets tripled.
Like the above two rules, the rule of 144 tell investors in how much time their money or investment will quadruple. For instance, if the interest rate is 12 per cent, Rs 10,000 becomes Rs 40,000 in 12 years. Rule of 72, 114 and 144 gives you the nearest figure and can little bit vary as compared with formula.
Like the above two rules, the rule of 144 tell investors in how much time their money or investment will quadruple. For instance, if the interest rate is 12 per cent, Rs 10,000 becomes Rs 40,000 in 1..
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This method is used for asset allocation in the financial world. One just has to subtract age from 100 to identify how much of your portfolio should be allocated to equities. For instance, if your age is 20, then the logic says you can invest 80 per cent of the amount in equities and rest in debt.
This method is used for asset allocation in the financial world. One just has to subtract age from 100 to identify how much of your portfolio should be allocated to equities. For instance, if your ag..
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The amount which looks attractive at present may not look attractive over a period of time due to rising inflation. With rising inflation, the purchasing power of individuals for the same product would reduce with every passing year. If you want to know the future value of 10 lakhs after 10 years at 10 per cent annual rate of inflation, the below formula can help.
Future Value (FV) = PV (1+r/100)n
where;
FV= Future value of your goal
PV= Present value or current cost of your goal
r= annual rate of inflation
n= time left to reach your goals (in years)
The amount which looks attractive at present may not look attractive over a period of time due to rising inflation. With rising inflation, the purchasing power of individuals for the same product wou..
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This is a handy rule of budgeting. According to experts, 50-30-20 rule can help you to save well and manage your day to day expenses. The rule says about 50 per cent of the money you earned after tax should go towards living expenses including electricity bill, water bill, groceries, telephone bill, and any other sort of liabilities you have. Another 20 per cent set aside for short term goals and emergency fund and you should be able to save at least 30 per cent of your take home for your long term goals.
This is a handy rule of budgeting. According to experts, 50-30-20 rule can help you to save well and manage your day to day expenses. The rule says about 50 per cent of the money you earned after tax..
