Hot Pick : Geodesic Ltd. Bse Code : 503699

Geodesic Ltd (formerly Geodesic Information Systems Ltd) was incorporated in 1999 by Pankaj Kumar, Kiran Kulkarni, Prashant Mulekar and Mahesh Murthy. A publicly traded company, Geodesic is listed on the Bombay Stock Exchange (BSE), the National Stock Exchange (NSE) and its Foreign Currency Convertible Bonds (FCCB) is on the Singapore Stock Exchange. With twelve offices spread across the globe, four marketing partners and 525 employees, Geodesic earned revenues of US$ 133 million and a net profit of US$ 52 million during FY 2009. Geodesic's first half of 2010 revenues stood at US$ 60 million with a net profit of US$ 24 million.

Geodesic's real time content, communication and collaboration platform, in conjunction with a powerful Customer Alignment and Relationship management (CRM), works seamlessly across the web, desktops and mobile devices. The flexible and scalable platform addresses both the retail and the enterprise segment, and has been well received by the banking and financial services industry, portals and publishers, enterprises including SMEs, mobile device manufacturers, telecom operators and retail mobile users.

In its constant quest to evolve and expand its suite of products and solutions across segments and new geographies, Geodesic acquired

•Picopeta Simputers Pvt Ltd, a Bangalore-based company, engaged in building hand held devices and solutions for the developing world.


•Engage Solutions, a Hong Kong-based software solutions company for its comprehensive Customer Alignment and Relationship Management solution.


•Swedish firm, Clangula IT to address the lucrative North European markets and work closely with handset manufacturers.


•E Dot Solutions, a web 2.0 company engaged in large portal deployments.


•Chandamama India Ltd - the number 1 Indian children's print magazine for the purpose of acquiring content - digitizing and mobilizing it to address the growing retail mobile users.


•Interactive Networks Inc., a Latin America-based software provider of advanced instant messaging and value added solutions. This acquisition expanded Geodesic's product profile and reach beyond India, Europe, Asia and the US into South America and Africa.


A proud recipient of several international awards including Deloitte Touche Tohomatsu Fast 50 and Fast 500 Asia Pacific for five consecutive years, Red Herring 'Top World 100' small cap technology companies in 2005, Geodesic has been featured in Forbes 200 'Best under a Billion-Asia Pacific' for 2008 and 2009.

Geodesic's Mundu IM and Mundu Radio have been adjudged as the one of the top 10 and top 12 mobile products by C|net and PC Magazine respectively, not to mention Mundu IM winning the best mobile internet service at GSM Asia for the year 2009.

Geodesic recently made a buy back offer at a maximum price of Rs.150 per share. It's 52 Week high is 147 plus, and currently trading at a mouth-watering price of just 83, this stock is going to be a Fund Manager's delight in the coming year! The fundamentals of the company are excellent with Half year eps for current financial year at 17.85 already in the bag. The expected eps for full year is likely to be in the Rs.35-40 range, this stock is currently available at a PE of less than 3! PE ratios of peer companies range from 12-25. This tells you how much scope for appreciation is there in this stock. The stock should ideally trade in the Rs. 450-500 range based on current fundamentals. This stock is definitely a potential multi-bagger for 2011. Happy investing & Happy New Year!
Cheers!

Company website: www.geodesic.com

Mindblowing Results Posted by Southern Ispat & Energy Ltd. BSE Code: 531645

The Board of Southern Ispat & Energy Ltd. have just declared the Audited Results for 15 months ended June 30, 2010. Income from Operations and others has gone up from 392.61 million to 3288.71 million. That's an almost 900% jump! Cash EPS (earnings per share) has gone up from 1.39 to 8.55! WOW! If the company maintains this scorching pace of growth in the December quarter also, then this stock should quote at a price of 66 in the next six months. And right now, the stock is available at dirt cheap levels, due to the overall market correction. VERY STRONG BUY.


See the results here for yourself : http://www.bseindia.com/xml-data/corpfiling/AttachHis/Southern_Ispat_and_Energy_Ltd_291110_Rst.pdf

Potential GOLDMINE : Southern Ispat & Energy Ltd. Bse Code: 531645

Southern Ispat & Energy Ltd. has declared its results for the quarter ended September 2010. Total income came in at Rs 113.24 crore as compared to Rs 32.3 crore, a 251% jump YoY. It reported an 879% jump in net profit of Rs 7.34 crore versus Rs 75 lakh, YoY. In an interview with CNBC-TV18, Vivek Agarwal, CMD, Southern Ispat & Energy gave his perspective on the quarter gone by and the road ahead. I will encourage you to go here to see/read the full interview with the CMD, and understand its impact :

http://indiaearnings.moneycontrol.com/sub_india/compnews.php?autono=495548

Founded in 1995 as SOUTHERN ISPAT LIMITED by Agarwal Group. The name of the Company was changed to SOUTHERN ISPAT & ENERGY LIMITED with effect from 18th September 2008. SIEL is engaged in the manufacture of Steel Billets based out of Kerala. From its humble beginning 15 years ago as a steel billets manufacturing company, SIEL is diversifying itself in to a chain of businesses in steel sector and is all set to became the only integrated Company manufacturing from iron ore to machine flanges under one roof. They are looking at an acquisition in Gujarat, a steel plant which is into alloy steel flanges. So that will be another move. To cater to all this they are looking for a mine in Chattarpur district which they will be signing in the next week. So the acquisition of the plant in Gujarat and the iron ore both they will be signing in the next week.


This share has seen highs of 48.60 as recently as Jan, 2010. And currently trading at just 11.50 at a very low single digit PE ratio. It's trading at a massive discount to even its current Book Value. From all parameters, this stock is a SCREAMING BUY right now! I will not be surprised if this stock goes on to be the Multi Multi-Bagger of the year 2011. A potential GOLDMINE for sure!

Company website : http://southernispatltd.com/index.html

Cheers!

Potential GOLDMINE : K Sera Sera Productions UPDATE

K Sera Sera Productions has just released its results, and they are very good. The company has posted an EPS of 2.03 for Sept qtr. Half Year EPS already at 3.24. With annualized EPS of 6.5, this share is trading at a ridiculously cheap PE ratio of just 2. No other media company is available at such a cheap PE ratio. Average PE ratios of most media companies range from 15-30. Even if we give a conservative PE ratio of 10 to it, then the stock price should be at 65 (6.5x10=65).

Apart from the stupendous results, the company has also announced the following along with its results:

1.K Sera Sera Miniplex Pvt Ltd (a wholly owned subsidiary of K Sera Sera) has successfully tied its presence for miniplex theatres in 60 districts with 128 screens across India.

2.K Sera Sera Technologies Pvt Ltd (a wholly owned subsidiary) after successfully developing its mastering software is now conducting trial runs and would be commercially launching the technology under the brand name 'skycinex' in near future. Further, the company intends to convert about 3000 existing cinemas in India into 'skycinex' technology within a span of 3 years.

3.K Sera Sera Productions FZE, Dubai (a wholly owned subsidiary) announced the successful establishment of its wholly owned Australian company under the name of K Sera Sera Holdings Pty Ltd. (ACN No. 146 219 865). The main objects of this new subsidiary inter-alia are mining, oil and gas, natural resources and acquisition on a global platform.

4.K Sera Sera Box Office Pvt Ltd. (wholly owned subsidiary) is releasing its forthcoming film titled, '332 Mumbai To India' on 19th November, 2010.

5.K Sera Sera Productions FZE, Dubai (wholly owned subsidiary) have planned the launch of its B2C online shopping portal, 'kbazzar.com' in early November, 2010. This shopping portal will host approximately 10 million products ranging from books to cars.

6.Since the company is now a diversified entity with presence in various sectors, it is prudent to change the name in line with the new image. Appropriate steps are being taken for the same.

In light of the above stated corporate developments in K Sera Sera, the stock is a potential GOLDMINE. I would ACCUMULATE.

Website : www.kserasera.com

Cheers!

Hot Pick : ALOK INDUSTRIES BSE CODE : 521070 NSE CODE : ALOKTEXT

Time to re-visit Alok Industries. Last year I had recommended the stock at the price of 13.60 with an initial target of 25, which was immediately met. Currently the stock is quoting very cheap at around 21.60 levels. Book Value itself is 34.48 (March,2010) Source : http://www.moneycontrol.com/financials/alokindustries/balance-sheet/AI54

Not only is this stock trading at very low PE levels, technically also it looks ripe for a breakout after a long consolidation. The management is looking to reduce its debt levels and has aggressive growth plans. Alok Industries is a fully integrated textile company and is amongst India’s largest textile manufacturers. It has state of the art manufacturing facilities and boasts of the highest quality standards.

This stock is a potential multi-bagger for seasoned investors.

Company website : http://www.alokind.com/

Potential GOLDMINE : Cronimet Alloys India Ltd Bse code: 532990

Cronimet Alloys India Ltd (previously GMR Ferro Alloys) is a ferro alloys company, engaged in the manufacture of high carbon ferro-chrome for use in the stainless steel industry. It was created by GMR Industries Ltd by spinning off its metallurgical division in April 2006. It has a high carbon ferro-chrome manufacturing facility in Srikakulam district of Andhra Pradesh., and has an installed capacity of producing 25,000 MT ferro chrome in two grades, high silicon and low silicon.

Cronimet Mercon Invest Ltd (a Dubai based MNC) has completed the acquisition of GMR Ferro Alloys and Industries Ltd, part of the GMR Group which is into diversified infrastructure sectors. Post this development, the company has been renamed as Cronimet Alloys India Ltd. Consequent to the acquisition, Cronimet has shifted the headquarters of GMR Ferro Alloys from Hyderabad to Tekkali in Srikakulam district. This is a tightly held company. Cronimet MNC's holding in the company has increased to 70.48%. There is very little free floating stock of this company in the market which is fast drying up. The company posted an EPS of 3.82 in the June quarter, which means that on an annualized basis, the stock is trading at a very cheap PE ratio of just over 5. With the kind of growth the company is poised to make in the next few years, this stock can be a potential GOLDMINE.

Technically, the Cronimet Alloys India Ltd stock is making new highs and as there is hardly any floating stock left in the market, those who enter the stock quickly can possibly make huge gains.

Cheers!

Hot Pick: K Sera Sera Nse: KSERAPRO Bse: 532081

K Sera Sera has posted excellent June quarter figures. Operating Profit Margin increased from 17.36 to 38.66 and Net Profit Margin increased from 28.58 to 35.87 qtr on qtr sequentially. Income from Operations went up from 465 million to 608 million and Net Profit jumped to 252 million as compared to 181 million in the same quarter last year (Consolidated figures). Standalone Income from Operations jumped from 27.6 million to 233.8 million. Here are some salient points of the last quarter results which would qualify this stock as a buy at current price:

1. K Sera Sera Pvt. Ltd has launched its Greenfield technology of converting a full length 2D feature film into 3D content within just 24 hours.

2. K Sera Sera Miniplex Pvt. Ltd has successfully locked 70 screens across various districts in India.

3. K Sera Sera Box Office Pvt. Ltd is all set to release two movies "332 Mumbai To India" in October and "Chatur Singh 2 Star" starring Sanjay Dutt & Ameesha Patel in November/December this year.

4. K Sera Sera's Television division has started the shows "The Roots" and "Stretch" on Sahara Network.

5. The registration on its portals, Kmediatalent & Klogtalent has reached above 8 lakhs.

6. Further, K Sera Sera Productions Ltd has invested 26.40 crores in Kamla Infrastructure Landmark (P) Ltd making it a holding company.

(Source : http://www.bseindia.com/xml-data/corpfiling/AttachHis/K_Sera_Sera_Productions_Ltd_130810_Rst.pdf)

The valuations of the company look very attractive as the consolidated EPS for June quarter alone stands at Rs 1.21. On an annualized basis, the stock is trading at a PE of just around 2.3 which is ridiculously cheap for a Media Stock. Technically, the stock has consolidated for nearly six months in the price range of 11.10-11.50 and looks ripe for a breakout.

Cheers!