Great buying opportunity.

Vishal exports has been consolidating for long and yesterday was 5 % up for a while so downside is minimum and tendency is to move up.
Buy at 2.3-2.35 and sell around 2.7(target 15-20 days) or if investor hold till 4 with a time horizon of 4-5 months.

Chart itself tells the story

Indo Borax & Chemicals Limited

CMP: Rs.173.30 , target1: 182, target2: 191

Trigger:

There are news around the streets that Reliance, Ranbaxy , Nicholas Piramal are in the race to take stake in this company.

Fundamentals:company is on fast track in terms of expanding its production capicity and taking a huge step to transform from a chemical manufacturing company to a Research based Biotechnology company. Due to monopoly of few of their products like Glaze Bore(used in ceramic and tiles industries) and Indo Borax(mainly used in agriculture Biotechlogy), they have kept the operating margin very high.

Development plans:With the increasing demand of boric acid due to the ban of import of boric acid in India, they have successfully increased the production of boric acid from 300 tons/ month in Oct 06 to 700tons/month in June 07. Now they are targeting to increase it up to 1500 tons/month by the end of FY07.

Risks: movement of the price of share has been very fast from 35 levls to the current level.

Suggest to keep the stock for short term and move out of this script once individual targets are achieved.

Dhamaka stock for short as well as long term

CMP: 17.60, target1: 18.90, target2: 20.25

Trigger: Company has informed BSE on 22nd june that it has found oil and gas in the Laxmijan Field, which was awarded to it by ONGC in April 2004.
Book closure for 10% dividend - Period 26-JUN-07 to 30-JUN-07
Stock in strong accumulation mode - can breach 20+ levels before the closure date!!

Fundamentals:The company operates 16 factories, 19 tea estates and gardens spread over 12,000 hectares. Assam Oil & Natural Gas, group company of ACL, is engaged in discovery of oil fields and has been awarded important hydrocarbonareas located in Northeast India by the Ministry of Petroleum & Natural Gas.

Developments: Recently the company inked a MOU with Gujarat State Petroleum Corp to develop Hydrocarbon Park SEZ .The project is likely to cost about Rs 20 billion. ACL has entered into a JV with Austin-based DMS Exploration to bring in technology that will help in identification of petroleum locations thus increasing the chances of hitting oil and reduction in risks associated with drilling.

Plans: it has plans to invest around Rs 4500 million in the next 3-4 years for the development of oil blocks. ACL recently announced decision to raise further capital by way of Issue of FCCB / GDRs / ADRs Shares, for an agg. sum upto US$ 75 Million.

Risks:company is having huge Debt but that is why it is planning for raise capital.
last qtr result showed loss but that was due to drop in net sales all over the tea industry.

So overall good bet:)
happy trading!!

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