10000 to 4crs in 18 months 1000rs to 50crs 300% returns 75% promoter holdings A 50 bagger A sureshot 5 bagger Analysis Another fraud? Auto ancillaries Bank sector Blind sell Brand plays Broking Bse Nse Buy calls cements Ceramics/tiles Counters I don't like Debt free businesses Delisting candidates demerger bets Disclosure- I own them Domestic consumption plays E-Commerce pick Education Exit at rallies Famous analysts Famous stocks FMCG Footwear future multibaggers Gems andJewellery Hidden gems High conviction ideas High dividend plays High potential small caps High ROE stocks Holding companies Hotel sector How they looted you.. Indian stock market Infrastructure sector Interesting Microcaps IT KPO Landbank plays largecap ideas Less than 5 PE stocks Liquor Logistics Market lessons Market outlook for 2013 and 2014 Market underperformers Meeting with the CEO Metals Monopoly businesses My 5 baggers My Favourite counters My paid stock recommendations My stock picking techniques nse bse tips Oil exploration Operator calls Paints Penny stock outlook penny stock updates Pharma sector Poultry stocks PSU Publicity freaks Real estate Renewable energy plays Safe bets Sell recommendations Share market Live shipping stocks short term call SOTP plays stock tips stock under 10rs Stocks to watch out for Strong bonus candidates Takeover candidates TATA product tea Textiles The 13 bagger The 45 bagger Trading companies Transformers Turnaround bets Tyres Uncertain/Risky business models Unique businesses

Search This Blog(Over 800 companies covered in the blog).

Archives : Old artciles

Friday, July 1, 2011

Shakti Pumps (India) Ltd:-Buy/sell/,growth prospects and recommendation,news and results,target price and analysis,views and outlook,multibagger

Scripscan:Shakti Pumps (India) Ltd

Story:Shakti Pumps (India) Ltd. engages in the manufacture and sale of stainless steel water pumps and motors in India. It also offers SRN booster pumps, centrifugal pumps, and water well motors. The company provides a range of 750 products with various applications in irrigation, sewerage, industrial, residential, mining, power, and construction sectors. It also exports its products to approximately 60 countries. The company distributes its products through dealers and distributors, as well as through international branches and tie-ups.The quality control department keeps a constant watch on the entire manufacturing process starting from raw material procurement to every phase of assembly line, testing, packaging etc.Shakti Pumps has been able to successfully compete with world leader Grundfos in the major international markets.The pumps of the Company are almost 25-30% more energy efficient than other pumps in the market.With concern on global warming increasing by the day, companies such as Shakti Pumps stand to gain the most. As the pumps consume less power for similar output compared to other pumps in the market, it is probable that projects / agencies using energy efficient pumps including Shakti Pumps would be eligible for carbon credits.In today's power scenario,the country is facing a major power crunch.Day by day,the gap between demand and supply of electric energy is widening at the rate of 3%.Bridging this gap from supply side is very difficult and expensive proposition.The only viable way in handling these crises, in addition to capacity addition is the efficient use of available energy,which is possible by use of energy devices.Electric motors are industry's basic need.Electric motors consume around 70% of the total electricity used in the industrial sector.As motors are the largest users of electrical energy, even small efficiency improvements can produce very large savings across the country.As energy efficient motors produces the same shaft output power but draws less input power than a standard motor.Hence, EE motors consume less electricity than comparable standard motor.All these should help the company to catapult itself in the top major league.The company has been very consistent over the last several years and targets a topline figure of 200crs this fiscal.The company is the cheapest bet among its peers,the reason can be attributed to the low equity base and thus negligible volumes in the counter.Shakti recently gave bonus which speak volumes about the confidence and conviction of the management.At present price of 50rs its quoting at 4 odd PE its forward earnings which is cheap for a consistent quality player.Shakti pumps in last july 2010 hit a massive high of 170rs but due to the tremendous market volatility it collapsed to 45 odd levels before climbing back to present 50rs.So its already at a 65% discount to its 52 week high which presents good oppurtunity for investors to capitalize.Buy for 20% CAGR returns for the next 5 years.

No comments:

Important Disclaimer&Privacy policy

This blog does not share personal information with third parties nor do we store any information about your visit to this blog other than to analyze and optimize your content and reading experience through the use of cookies.You can turn off the use of cookies at anytime by changing your specific browser settings.This privacy policy is subject to change without notice and was last updated on 20.3.2013. If you have any questions, feel free to contact me directly here: Investment in equity shares has its own risks.Sincere efforts have been made to present the right investment perspective.The information contained herein is based on analysis and up on sources that I consider reliable. I,however,do not vouch for the accuracy or the completeness thereof.This material is for personal information and am not responsible for any loss incurred based upon it & take no responsibility whatsoever for any financial profits or loss which may arise from the recommendations above.The stock price projections shown are not necessarily indicative of future price performance.The information herein, together with all estimates and forecasts, can change without notice.

Subscription to Arunthestocksguru

Enter your email address:

Delivered by FeedBurner