Helping You Build Wealth With Honest Research
Since 1996. Read On...

MEMBER'S LOGIN

MEMBER'S LOGINX

     
Invalid Username / Password
   
     
   
     
 
Invalid Captcha
   
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Revealed
India's Third Giant Leap

This Could be One of the Biggest Opportunities for Investors




Important: We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
By submitting your email address, you also sign up for Profit Hunter, a daily newsletter from Equitymaster
covering exciting investing ideas and opportunities in India.

AD

Tech Mahindra derives Satyam benefits
Mon, 24 Jan 01:30 pm

Indian indices continued to trade firm led by sustained buying interest in heavyweights. Stocks from the banks and consumer durables space continue to lead the gains. However, oil & gas stocks are trading weak.

Currently, the BSE-Sensex is trading up by around 95 points, while the NSE-Nifty is up by about 31 points. There has been some buying interest amongst the mid and small cap stocks as well with the BSE Midcap and BSE Small cap indices registering gains of 0.65% and 0.63% respectively. The rupee is trading at 45.64 to the US dollar.

IT stocks are currently trading mixed with HCL Tech and Infosys trading firm, while Wipro and CMC Ltd are trading in the red. Tech Mahindra has announced its 3QFY11 results. The company has reported a 21% QoQ decline in sales and a 71% QoQ growth in its net profit. Revenues of 2QFY11 had included one-time revenue of Rs 2,990 m which was not present during the current quarter. Excluding this, revenues declined by 1.9% QoQ during the quarter. There was an overall decline in revenues across all of the company's segments. Operating margins improved by 2.3% QoQ on the back of lower operating expenses (as percentage of total sales). Bottom line grew by a whopping 70.6% QoQ mainly due to higher other income as well as gains from associate Mahindra Satyam as against the losses seen during the previous quarter (2QFY11). The company's utilization levels improved to 76% as against 75% in 2QFY11. The company's employee base stood at 34,208 as at the end of December 2010, which means an addition of about 201 employees during the quarter.

Power stocks are also trading mixed with Guj Ind Power, NTPC and CESC Ltd trading firm, while Reliance Power and Tata Power are trading weak. State-owned Coal India's subsidiary Bharat Coking Coal Ltd (BCCL) will open seven new underground mines in Jharkhand, a step aimed at nearly tripling its underground coal production capacity to 12 mtpa. The tenders for three to four mines have already been floated. Remaining tenders in the pipeline are likely to be floated in another two months. The mines, all situated in Dhandand, have a cumulative annual production capacity of almost 7 mtpa.

The CMD of the subsidiary also expressed hope that production from these mines will start after three to four years. With land acquisitions norms getting tougher, BCCL has shifted its strategy and is focusing more on underground mines.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

View all commentaries | Archives

Read the latest Market Commentary


Equitymaster requests your view! Post a comment on "Tech Mahindra derives Satyam benefits". Click here!

  
ABOUT EQUITYMASTER

Since 1996, Equitymaster has been the source for honest and credible opinions on investing in India. With solid research and in-depth analysis Equitymaster is dedicated towards making its readers- smarter, more confident and richer every day. Here's why hundreds of thousands of readers spread across more than 70 countries Trust Equitymaster.

PREMIUM PRODUCTS
QUICK LINKS
POPULAR TOPICS
TRENDING TOPICS
FREE NEWSLETTERS
EQUITYMASTER SUPPORTS
  • HelpYourNGO
  • You Tube
  • Linkedin
  • Twitter
  • Telegram
  • Google Play

Copyright © Equitymaster Research Private Limited (formerly Equitymaster Agora Research Private Limited).

Whitelist | Refer | Terms | Privacy | Contact | About | Sitemap

Phone +91-9136015013

Equitymaster Research Private Limited (formerly Equitymaster Agora Research Private Limited) (Research Analyst)
SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
Telephone: +91-22-61434055. Email: info@equitymaster.com. Website: www.equitymaster.com.
CIN:U74999MH2007PTC175407

Name of the Compliance & Grievance Officer: Ms Sonal Ramachandran
Telephone: +91-22-61434003 | Email: compliance@equitymaster.com

LEGAL DISCLAIMER:
Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.

All rights reserved. Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

Equitymaster Research Private Limited (formerly Equitymaster Agora Research Private Limited) (Research Analyst) bearing Registration No. INH000000537 (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA, Canada or the European Union countries, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.