Skip to main content

Everonn Systems and Akruti City

Everonn Systems had came out with an IPO last year at Rs.140 and the stock listed at 400 and hit an high of 1200 within few months of listing. Recently the stock hit a yearly low of 79. The stock is up 100% in a just two days ! So what's the reason behind this big up move?

No great news to write home about. It just another case of operator driven hi-flier. Prior to this rally, the average volumes of the stock were 6 lakh shares, whereas in the couple of days the volumes are more than 1 cr shares. The delivery volumes were meagre 3 lakh shares, which confirms the high speculative activity going around.

Though the fundamentals of Everonn seems reasonable, reporting an annualised EPS of Rs.20, with a P/E ratio of 7 times, the stock has gone up sharply warrants a caution. Probably it is running along with Educomp, also up 40% in just a few days.

Another hi flier, Akruti City , up from Rs.810 to Rs. 1600, in just couple of weeks.The stock hit a year-low Rs.600 in Jan 2009. When all other realty stocks are hitting year lows, Akruti seems to be trading in a different universe. The stock has hit a year-high of 1600.
The momentum could take up a few hundred rupees more.

Fundamentals of Akruti are terrible. The company has reported a quarterly EPS of just Rs.3, on an annualized works out to Rs.12. The current P/E of that stock at CMP of Rs.1600 is staggering 130 times.

So what is SEBI doing? Yes ! you know .No prizes for guessing !

Buyer beware !


Popular posts from this blog

Your Bill Amounts Are Going To Increase From June 1, 2016

Service tax is a tax levied by the government on service providers on certain service transactions, but is actually borne by the customers. It is categorized under Indirect Tax and came into existence under the Finance Act, 1994. Union Finance Minister, Arun Jaitley, in his budget announcements proposed to impose a cess, called the Krishi Kalyan Cess, @ 0.5% on all taxable services. The present rate of service tax will be hiked to 15 per cent from June 1, 2016, from 14.5 per cent. Take a look at what gets expensive:

Phone Bills: Your phone bills are going to go up. So, pay a good 15 per cent now on service tax on phone bills.

Restaurant Bills :If you are dining in a restaurant that already has service tax applicable, you are going to pay more on your eating out. Though 0.5 per cent on a single bill may not mean much, frequent diners may end-up paying a lot during the year.

Travelling: You will have to pay more for air travel, as there is a service tax on tour operators and travel agents.

What is Gold ETF - Gold Bees, Reliance Gold,Kotak Gold

What is Gold Bees or Gold ETF?

Gold ETFs are open-ended mutual fund schemes that will invest the money collected from investors in standard gold bullion (0.995 purity). The investors' holding will be denoted in units, which will be listed on a stock exchange.They provide returns that would closely track the returns from physical gold in the spot market.

An investor can buy and redeem the units either directly from the mutual fund or from the stock exchange.Presently there are many Gold ETFs traded in NSE India. Some of the listed Gold ETFs are GoldBees,Reliance Gold,Kotak Gold,UTI Goldshare

Why choose Gold?
Gold holds its own in any investment evaluation on its strengths as a hedge against inflation, value in the event of political uncertainties and its traditionally negative co-relation with other asset classes such as stocks, fixed income securities and commodities.

The value of goods and services that gold can buy has remained stable unlike currencies that have seen significant…


NIFTY BEES - is the first ETF (Exchange Traded Fund) in India, which seeks to provide investment returns that closely correspond to the total returns of securities as represented by the S&P CNX Nifty Index. It gives you the most diversified exposure at lowest possible unit size. Approximately value of Nifty bees will be 1/10th value of the prevailing Nifty price.

ETFs are one of the latest financial innovations and any new concept takes time to be known widely. Globally it took more then five to seven years before it could be of any significant size. In India, it was introduced with Rs 21 crore in size , a fraction of the mutual fund industry, it has come far with more than Rs 700 crore in size with six ETFs.

The Nifty BeES also scores over other index funds due to its low tracking error and expense ratio, apart from easier tradeability as it is listed in the NSE. One can also consider doing an SIP in Nifty BeES.

Some of the reasons to invest in Nifty Bees : Investing in Exchange …