Krishna Kant
Krishna Kant
Page 46 - Krishna Kant
Steel, oil turnaround to lift Essar group's fortunes
The two businesses account for 90% of its consolidated revenue and three quarters of debt and liabilities
 "Steel, oil turnaround to lift Essar group's fortunes")
Many large-caps are now the cheapest stocks
BSE small-cap index up 58.7% in past 12 months; mid-cap index rallies 52%, outshines bigger peers
 "Many large-caps are now the cheapest stocks")
Stocks are now more expensive than in early 2008
Top 1,000 non-financial firms are trading at 25x their trailing earnings, compared to 17.6x in 2008 and 29.5x in 2000
 "Stocks are now more expensive than in early 2008")
Foreign investors turn bullish on primary market
For instance, FIIs invested $1.2 billion in the primary market in the fourth quarter, almost five times their investment in the corresponding quarter of FY14
 "Foreign investors turn bullish on primary market")
Old boys beat new in raising money
Equity QIPs raised about Rs 29,000 crore in FY15, the most in the past 5 years
 "Old boys beat new in raising money")
The divide gets wider
Though benchmark indices saw fresh highs, many leading stocks hit new lows
 "The divide gets wider")
Despite asset sales, debt-hit firms in a bind
Market values of many remain lower than debt, making it difficult for firms to raise fresh equity
 "Despite asset sales, debt-hit firms in a bind")
Stronger rupee hurting India's exports
Merchandise exports ex-oil and gems & jewellery seen growing just 1.7% in FY15, down from 6.9% last fiscal
 "Stronger rupee hurting India's exports")
India Inc's global borrowings mount
At $161 bn, corporates' forex borrowings have grown at a CAGR of 15.6% since 2008, outpacing GDP and earnings growth in dollar terms
 "India Inc's global borrowings mount")
India Inc close to beating sovereign in debt
Up 24.8% CAGR over a decade; firms now more indebted than all states combined
 "India Inc close to beating sovereign in debt")
Dalal Street waits for new triggers
Valuations of financials already at a 10-year high
 "Dalal Street waits for new triggers")
 "40 Years Ago... And now: Dilip Shanghvi - Buying his way to the top of the heap")
The growing divide between markets and fundamentals
Bulk of the rise in stock prices is due to valuation expansion rather than earnings growth
 "The growing divide between markets and fundamentals")
Should India Inc rethink globalisation?
A worldwide recession and a poor show by marquee acquisitions raise questions about India Inc's globalisation drive
 "Should India Inc rethink globalisation?")
Best unlisted companies
In FY14, unlisted firms reported higher return on equity than listed ones, but earned lower net profits
Sajjan Jindal: Cautiously opportunistic
With four deals in as many years, the steel and power baron is using the financial heft of his companies to race ahead of others
 "Sajjan Jindal: Cautiously opportunistic")
LIC bets heavily on PSU stocks
Stake in private companies declines to 3.9% from 4.6% in Dec 2011 and rises in govt firms from 4.4% to 7%; says these are all entity-specific decisions, for the long term
 "LIC bets heavily on PSU stocks")
Indian stocks among the most expensive
HUL, UltraTech Cement, Asian Paints, L&T and HDFC Bank top global valuation charts
 "Indian stocks among the most expensive")
Early birds at variance with stock market highs
At 2.2%, firms' net profit growth in Oct-Dec slowest in eight quarters, sales expansion down 4.4%
 "Early birds at variance with stock market highs")
Indian cos repayments to rise on Swiss franc loans
Most of Indian companies, banks have taken adequate cover
 "Indian cos repayments to rise on Swiss franc loans")