Stock Shastra

Sterlite Industries ltd. – a stock that has been talked about a lot in the recent past given the announcement of its merger with Sesa Goa, making it a diversified commodity conglomerate. This Vedanta group restructuring will definitely simplify the complex group structure and thus improve access to the group’s cash by reducing cross holdings amongst the group.

However, many have also raised concerns over the fairness of the deal. Also, concerns over slowdown in demand from China, the world’s largest commodity consumer and corporate governance issues plaguing the company continue to remain a drag on the stock.

Considering all this should you invest in the stock?

The Rajiv Gandhi Equity Saving Scheme, announced during this year’s budget, is a tax exemption scheme aimed at new retail investors. Ever since then we have various groups lobbying and trying to grab a share of this pie. However, you may have hardly read any viewpoints from the new retail investor, the only target group of this scheme!

So here it is! Personal reaction of a newbie retail investor…His fears, his confusions and his optimism about this scheme…

Choosing the right sector to invest in, is almost as important as choosing the right company. Even the best of companies and their stocks suffer if the entire sector gets plagued by some problem; telecom being a case in point. Investors prefer some sectors during uncertain times like we face today while some others are preferred during the good times.
With this in mind, we are now extending our concept of MRP to sectoral indices to give you an idea whether a particular sector is overvalued, fairly valued or undervalued. The first sector we are covering in this series is BSE FMCG Index. In uncertain times like now, defensive plays like FMCG stocks are a must for a portfolio. Infact, over the last 4 years, the FMCG index has outperformed Sensex and given better returns.
But what should you do considering FMCG@MRP? And does the FMCG sector offer you any buying opportunities right now?

Making a decision to invest in any company, is usually preceded with a lot of research. It involves answering many questions about the company – How has the company done in the past, what is its future outlook, is this the right time to buy the stock, etc. This can turn out to be a tedious task requiring a lot of time.

But, what if you can get the answer to all these questions in just a glance? MoneyWorks4me has launched its unique tool, ‘the MoneyWorks4me Decision Maker’ to help you do exactly this i.e. get the Right company, the Right price and the right time to invest in, instantly!

So, let’s find out how does the Decision Maker work and how it can help you invest in the right Companies?

While investing in a company, one of the most important parameters an investor needs to analyse is the promoters’ activities and their shareholding pattern. Usually an increasing promoter shareholding leads to a run-up in prices while the reverse leads to a fall.

Many investors track promoter holding religiously so much so that they blindly copy what the promoters are doing. But this may not be the best way to go about it.

So, let’s see why it’s important to study promoters’ shareholding and actions in detail before you follow suit.