1. Be Greedy when others are fearful - said Warren Buffet and surely this is not something easy - we are all driven by what the " Mob " says and I am no exception. I was watching NDTV Profit live and the so called experts are fearful to give calls.. So much for experts.
2. I am investing some cash and this is my disclosure. I am buying Sonata Software. Today I can buy this entire company for 350 crores (if I buy all the outstanding shares available in the market) . About 40 % of that i.e approximately 140 crores is cash on its books. So effectively I am buying the company for 210 crores. The company is zero debt. The 9 monthly net profit of the company is a cool 45 crores. Asuming that the company maintains the same rate and with no further improvement , the company will clock 60 crores for FY 2011. In short for an investment of 210 crores , I am getting 60 crores return after taxes ( a cool 30 % return on investment)
3. I read through the minutes of the analysts meeting of the company post Q3 results. the company is pretty optimistic of projects. They have managed app 8 new clients in the quarter.
4. At 34 Rs, a dividend of 1.50 per share is also good. So if u have cash that can be invested, pick this stock. When the market starts its upward mone, this stock will definitely get rerated.
2. I am investing some cash and this is my disclosure. I am buying Sonata Software. Today I can buy this entire company for 350 crores (if I buy all the outstanding shares available in the market) . About 40 % of that i.e approximately 140 crores is cash on its books. So effectively I am buying the company for 210 crores. The company is zero debt. The 9 monthly net profit of the company is a cool 45 crores. Asuming that the company maintains the same rate and with no further improvement , the company will clock 60 crores for FY 2011. In short for an investment of 210 crores , I am getting 60 crores return after taxes ( a cool 30 % return on investment)
3. I read through the minutes of the analysts meeting of the company post Q3 results. the company is pretty optimistic of projects. They have managed app 8 new clients in the quarter.
4. At 34 Rs, a dividend of 1.50 per share is also good. So if u have cash that can be invested, pick this stock. When the market starts its upward mone, this stock will definitely get rerated.
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