Unity Infra

Unity Infra has a saleable area of nearly three million square feet in these projects. Can any one guess what shall be the real value of three million square feet in prime city of India? Great value..... Great story.

Unity Infra

Q
With gridlock in both parliament and the government putting big reforms out of reach for now, finance ministry officials are focused on smaller measures, such as speeding up delayed infrastructure projects, to help boost the economy in the second half of the fiscal year, which began in April..
UQ
In a depressed sentiments infra sector is ray of hopes for the Govt. and the market. The reforms shall start from infra sector. Stay invested in the Unity Infra which is the best infra stocks in term of strong infra growth story as can be seen from its credentials for last three fiscal years.

Fundamental Great Stock....... Unity Infra

Today is the last day of F&O expiry. For last five days very good correction have happened and now it is right time to add certain value stocks which have potential to become block blaster stocks. Unity Infra is a story which is becoming more interesting and healthy. A company which is growing at 22% compounded for last three fiscal in the tightest monetary condition deserves strong accumulation at Rs.40 levels. This is a company in addition to growth also paying attractive dividend consistently. Future growth is assured for next two years as company is sitting on huge Rs.5000 crores orders. A further cut in the interest rates shall be added bonus. This is one particular stock one must added on delivery basis with out any stop loss as down side is very limited while on the up side it can go any height beyond our imagination.

Market View

Slowly retail investors shall come back to market with steady rise in the nifty. We have already seen FIIs back with bang. FIIs single handed taken nifty to 5400 levels from 4700 levels. So on every correction keep adding value stocks like Unity infra, KCP Ltd.

Unity Infra......... Intra day comment

FIIs begin to nibble at fallen infrastructure stocks and best infra stock is Unity infra which is not only making profit for last three fiscal years but also growing and paying attractive dividend. Buying Unity infra on decline shall amply reward you in time to come. No doubt technically stock have become weak but the silver lining lies as fundamentally stock becomes more attractive with every decline. Even technically stock is in over sold zones and so we may expect good bounce back very soon.

UNITY INFRA...... THREE YEARS WEEKLY CHART

Technically SMA 50 of Rs.42.15 is strong base where one can go long with strict stop loss of Rs.41.90 on closing basis for short term target of Rs.48.. 

Unity Infra

When we invest in a stock ? Only when we believe its strong fundamental growth story. Once you invest you may undergo a pain when stock price is hammered left and right. This is a time when investors get panic and book losses. So similar is a case happening in unity infra. Believe the story and stay invested because no operators however big can go against the direction of wind.
Inherent strength of stock shall force back the stock price to bounce back like a tennis ball hitting on the ground. Keep adding stock on decline at strong support between 43 and 44 levels on delivery basis for minimum six months, a decision which you will never regret.

Unity infra

Why Unity infra is a strong buy? Many valid reasons:
- Execution capability
- Strong track record.
-Robust order book position.
- Promising future.
- Attractive Valuation.
- Dividend paying company.

Nifty as on 17.8.2012

Nifty weekly close as on 17.8.2012: 5366.30 ... 0.06%

 

Moving averages (simple) of nifty:

5 D	8 D	13 D	20 D	39 D	50 D	200 D
5356	5347	5305	5244	5242	5212	5115

From charts it is seen that nifty is trending bullish which means buying on decline at support shall be rewarding strategy for the this trading week. However consolidation in nifty can not be ruled out.

KCP Ltd.......... Great Fundamental Stock

KCP has reported a sales turnover of Rs 182.37 crore and a net profit of Rs 23.59 crore for the quarter ended Jun ‘12. Buy KCP Ltd.

Unity Infra

Unity Infra looking bullish fundamentally.. Go long with stop loss of Rs.42.45. 

Intraday support & resistance:

S 2	S 1	Pivot	R 1	R 2
41.90	43.10	44.70	45.90	47.50

TVS MOTOR

TVS Motor looking bullish on chart. Go long with stop loss of Rs.38.

Intraday support & resistance:

S 2	S 1	Pivot	R 1	R 2
39.00	39.65	40.15	40.80	41.30

UNITY INFRA.........Analysis of Q1 2012 result

The result is flat on QYQ basis but still company have posted EPS of Rs.2.44 in Q1 under tight monetary condition is cheer-able which means that when interest trend starts softening the stock will rock. See the result of other infra company like GMR Infra, Lanco Infra where companies have posted huge losses on account of high interest but Unity infra not only avoided the losses but have maintained its profit level.

While analyzing the result it is seen that financial cost have gone up by Rs.7 crores from Rs.22.20 crores to Rs.29.44 which have dented its net profit adversely which means now management have to work on overtime basis to attack and bring down interest cost.  Though interest cost have gone up but still management have come out successfully in maintaining its profit level reflects management strength to overcome tight monetary condition prevailing in the economy.

 Today WPI inflation for the month of July2012 have comedown to 6.87% which means now ground is ready before RBI to lower down interest rates which means softening of interest rates shall rock unity infra stock. One per cent reduction in interest rates shall bring down rupees nine crores interest cost. Interest over sales in Q1 is 7.45% which can be brought down by covering its huge pending order into actual sales. For example if company can increase sales volume by 100 crores in Q2 which is quite possible then interest over sales cost come down by 1.70% from 7.45 per cent to 5.80%. The second strategy of the management should be to cut down loan by expediting the sale of partial stake in their two SPV where talks are in advanced stage.

UNITY INFRA....... BUY WITH TARGET PRICEOF RS.100

Unity infra result is on 13th August which is expected to be excellent. Correction time is buying time. Keep adding on decline.