Monsoon Magic

Forecast of a good monsoon spurred the sentiment today and the bourses remained firm on renewed hope. Market players seem to have subsidised fears over the ban on badla and are slowly reconciling themselves to the new system.

Himalayan effort

Himachal Futuristic Communications is slowly trying to regain its position on the bourses, but the scepticism with which the stock is now viewed will not make it an easy task.

Today the stock was frozen at the upper end of the circuit filter on rumours that the company had bagged a huge order, but it still remains unconfirmed.

Over the weekend as well dubious reports of the Jan Fund having picked up an additional stake in the company surfaced, only to be denied by the company today.

Its still a Catch-22 situation for big funds which cannot make up their mind if the stock is a 'screaming buy' or if it best left to itself.

Twin picks

Five lakh shares of Reliance Petroleum Ltd (RPL) was bought today by the King Kong Brokerage, while eight lakh shares of Reliance Industries Ltd (RIL) were purchased by Uncle Jam.

The inclusion of RPL in the Morgan Stanley Capital International index is understandably causing the renewed activity in the scrip, while the flagship remains on the radar of most funds due to its story getting more complex.

The Cleanson Brokerage in its latest report has pegged the fair value of RIL at Rs 481 citing compelling valuations and substantial upsides from its telecom investment.

Buy call

Aye-Sec Securities has upgraded HPCL to a 'buy' in its latest report and feels that there is a strong upside from deregulation and disinvestment.

It is also of the view that with the improving outlook for petroleum the sector, it has sufficient growth potential. The company's pipelines and lubricants business also offer an added upside to the stock price.

Finally, with the share trading at a steep discount to its international peers, especially those in the Asian region, the stock has been upgraded to a 'buy'.