Arkad July 8, 2009 at 1:15 pm GAP, In this liquidity inflow rushing into markets, can we see low levels of 7K-8k or lower sensex plung again;given the disspirited global concerns and indian is not decoupled as seen. Reply
4 thoughts on “God and our Sensex……This Correction is a Divine Heavenly Intervention”
In this liquidity inflow rushing into markets, can we see low levels of 7K-8k or lower sensex plung again;given the disspirited global concerns and indian is not decoupled as seen.
We’ve come from 8k in the last four months and touched 15k…..I really hope this divine correction takes us back to 8k,so we can now with better conviction pick up Punj Loyd below 100 or IFCI below 20 !
But a sub 10000 Sensex is difficult to perceive
Arguing that India remains sufficiently coupled,we have the Dow at just over 8000 and Barrons Onlines give the P/E at 12.24…and USA is sick…India yet managed a 6.7% GDP for FY 09…Current Sensex at 13800 + is a 16 Multiples on FY 09 Earnings…At 10 it slides below 9000 and at 14 it will be @ 12000
Now the Dow is expected to break below 7000…that would take the Sensex to 12000….this is the pre election level and will consolidate here….It would need a major panic Trigger to take it towards 10000 !….I don’t see any Big Trigger in the Short Term…either favourable or unfavourable
Only an Earnings Upgrade of atleast 15% will take the Sensex back into the 14000 to 16000 Range on a 14 to 16 Multiple….Let’s see how Corporate Performance unfolds in FY 10…Q 1 is just over and Sensex Companies result declarations should begin this Friday with Infosys….we’re expecting improvement only in the second half of this Fiscal Year.
I would like to Invest in BalajiTelefilms….Its balance sheet shows that it has zero debt…..Book value is around 55…Share is currently trading at 45..The only worry is that revenues have fallen by 50% on comparing March 08 and March 09 quarters…
Kindly share your view..I would like to know about the management also……
Promise will have a Look at Balaji Tele soon…….The ‘K’ fixation seems to have become a ‘K’iller one