Market Risky yet full of opportunity

Entire Europe is low, crises in Market, future looks shady and there is news all over to stay away from making any investments.
But if we look at the chart, the market is at the lower levels since Sept 3, 2009.

It is the right time to make intelligent investment. One has to take these risks to gain high. This is for ever, that whenever the market is low there is a feeling of panic all around. News do not favor the market, because all the news do is to follow the market. Remember what the legend, Warren Buffet, had said for making purchase. Always buy when everyone else is selling. Either we can sit and wait for the good news to prevail and see more names that have utilizes the situation to earn good fortune, or we can create our good fortune.

Analyze your RISK Percent
No one can deny that it is risky market, hence DO NOT GAMBLE.
- Analyze your financial status
- Pick your stocks wisely, supported by clear facts.
- Invest with strict Stop Loss
- Don’t jump to any conclusion, based upon statements from a brokerage firm.
- Be sure to invest the percent of money that you can risk, and this should not affect your life, if anything goes wrong.
- Large CAPs look promising and are at good buying price.

So fasten your seat belts, and enjoy the time :)

Expecting good returns from Retail Sector

Indian government has allowed overseas companies to own upto 51% of retail that are selling more than one brand. Now the Indian supermarket sector is opened for the global player to invest. Indian retailers are looking forward for joint ventures and big investments from the big global players.

Current size of Indian retail is around $400 billion, which is expected to grow upto $900 billion by 2014.

Only 6% of the retail sector is under organized category.

Retail sector provides about 8% of total employment.

India is ranked as 4th best investment destination for retail by AT Kearney.

Major Indian Players in retail sector:

- Reliance Retail – Led by Mukesh Ambani

- More – Led by Aditya Birla Group

- Shoppers Stop – by Rahejas

- Big Bazzar – Future Group led by Kishore Biyani

- Mana Gromor Centers - Murugappa Group

- Best Practice cash-and-carry - Bharti Walmart

- Croma - Tata Group

Need to put a watchlist on retail stocks, until the Q1 result of FY12-13

- Pantaloon Retail (India) Ltd. - 200.60 (Nov 24, 2011)

- Trent Ltd. - 976.45 (Nov 24, 2011)

- Koutons Retail India Ltd. - 21.70 (Nov 24, 2011)

- Provogue (India) Ltd - 26.80 (Nov 24, 2011)

- Shoppers Stop Ltd. - 372.25 (Nov 24, 2011)

- Brandhouse Retails Ltd. - 14.15 (Nov 24, 2011)

- Kewal Kiran Clothing Ltd. - 736.75 (Nov 24, 2011)

- Cantabil Retail India Ltd. - 18.85 (Nov 24, 2011)

- REI Six Ten Retail Ltd. - 18.35 (Nov 24, 2011)

- Arunjyoti Enterprises Ltd. - 74.0 (Nov 24, 2011)

Which way does market go with Cyrus P. Mistry ??

Successor to Mr. Ratan Tata, the Chairperson of Tata Group, has been announced on November 23, 2011 – Cyrus P. Mistry. He is graduated from the Imperial College, London with a BE in civil engineering and holds a master of science in management from the London Business School.

Low Profile Person

Cyrus operates with low profile. Until the time when his name announced as successor to Mr. Ratan Tata, there was no Wikipedia page for him. But as soon as the news for his appointment came out, a page was created, and in just 2 hours there were more than 35 additions from users.

Cyrus Kingdom

Cyrus Mistry will be the 6th chairman of the Tata Group, founded by Jamsedji Nusserwanji Tata in 1868. The group now comprises more than 100 companies in businesses such as steel, automobiles, telecommunications, beverages and information technology. The group operating in more than 80 countries and had a total revenue of $83.3 billion in 2010-11. Some 58 percent of revenues came from business outside India. Prominent companies in the group include British luxury car marques Jaguar and Land Rover, European steel giant Corus and Tata Consultancy Services, which is India's leading software exporter.

It also owns the Indian Hotels Company, which operates the Taj chain, including the Taj Mahal Palace and Tower in Mumbai.

Stock Buying Strategy

Cyrus Mistry is known for his strong operational and financial experience. His expertise includes formation of business plans, risk evaluation, business investment strategy and property and infrastructure development. Hence we can accept to see the fluctuation trends in Tata Group Stocks. The best strategy in this scenario is to buy on low and sell on high. Holding could be less profitable.

The Cyrus Choice..

Ratan Tata is known to love cars, and hence Tata Motors shares have been among the best choices for the share market investors. Similarly it is assumed that if a person is interested in something, the area is likely to get his more attention. Note that the below assumptions are personal thoughts only

1. Mistry is also said to love cars, especially SUVs. Hence, we may see TATA Motors to add more value.
   
   TATA Motors: Closed @ 168.5 (Nov 23, 2011)
   
   
2. Mistry is also on the board of TATA Elxsi, hence he is been a part of all the decisions in the organization. This is again one of the areas under watch during the coming years.
   
   TATA Elxsi: @ 187.1 (Nov 23, 2011)
   
   
3. According to the people who know Mistry, they said he is a foodie and his favourite holiday destination is Europe. Stocks to be watched under this category
   Indian Hotels Company: @ 57.8 (Nov 23, 2011)
   Taj Groups: @ 76.8 (Nov 23, 2011)
   Tata Chemicals: @ 329.0 (Nov 23, 2011)
   Tata Coffee: @ 774.05 (Nov 23, 2011)
4. According to H P Ranina, who spoke to The Wall Street Journal, Mistry’s key target will be to turn around the group’s international steel business and consolidate all the other businesses.
   TATA Steel: @ 352.5 (Nov 23, 2011)
5. Above all, he holds a degree in Civil Engineering, and he does belong to the family of construction tycoon Mr. Pallonji Mistry.
   Thus Stocks to be watched
   Tata Construction and Projects Ltd.: NA
   Tata Hydro-Electric Power Supply Company Ltd.: NA

Others than the above mentioned points, Mr. Cyrus is an avid golfer and a trustee of the Breach Candy Hospital Trust as well.

“A young leader means long-term stability for the Tata group” A M Naik, CMD, L&T. So we have to wait and watch how does Cyrus take from here. During Ratan Tata's tenure, the group's revenues have grown nearly 12-fold from $5.8 billion in FY92 to $83.3 billion in FY11. Now its Cyurs Mistry on the driving seat.

Our first landmark is December-2011, when Mr. Cyprus official take over the Tata Groups.

(Pic Source : Hindustan Times)