greenback wrote:Gainer, which brokers are recommending?
RPPA, since you seem to understand the bond business, how does companies like Esl and CFVF make money by trading when interest rates are flat or increasing?
Interest rates not flat its trading (Bonds are trading)
ESL have good Interest Income
now they doing Stock trading also.
I think they will expand business using these days big profits.
EX if they can make 1BN profit for 6 quarters.
next year the can invest that into Normal Money Market(giving loans to public)
these days Finance company taking 18-24% (Gamwala Samithi wala Loans walata)
that mean atleast they can make 20%
Next year Additional Profit = 1BN * 0.2
= 200MN
Additional Profit 200MN
That mean Per share Additional Profit = 200/30
Aprox Additional Profit around Rs. 8.0(After Tax 5.5)
if its mix with normal profit we can expect 10-14 per year.
if they give more Dividends (CFVF) they cannot get this chance.
I dont thing these people are doing stupid things. (bcz last time they gave 1.61 Dividends)
that means 20% for 2013
then I expect 5.50 for 2014, annualized earnings around Rs 28.00.
think and invest. (some expert here they are saying different stuff. if you invest you no need to worry. bcz when you invest you will compare background and Targets)
if you doing trading you are following only trend.