EXIDE behaved exactly as I said (TARGET MET)

My target for EXIDE was 173 and I had said that it will meet its target in mid Oct. And Exide had touched 179 on Oct 11 and Oct 12, exactly in mid Oct.

 

I had not revised my target, which means that whoever had purchased EXIDE on my call, should have booked profits at 173 or nearby.

 

If you had not done so, it is your mistake. What else are target prices mentioned for? EXIDE can dip further to 152/146, where it has support. But fundamentally, the script is good to bounce back to its 52-week high and even go further. Fresh buys should be made only near 146.

On Fri, Sep 24, 2010 at 11:43 AM, powerfulpicks@gmail.com wrote:

powerfulpicks call update: On July 16th, I had given a call on Exide at 134.5 for a 1 year target of 173. The script touched 163 today, up 21% in 2 months after my call. It is quite near my 1 year target and hence you can start booking profits in small tranches of 10% of your holdings at each time. It will meet its target by mid Oct 2010. Enjoy making money with powerfulpicks.

 

Many of you know about famed CNBC analyst Aswani Gujral. Incidentally, on Sep 22nd, Ashwani Sahaab asked investors to short Exide Industries with a target of 145. How wrong could he be?

 

This is another proof that most of these analysts, whom the TV channels pay lakhs of Rupees to express their views on National TV, either know little about market dynamics or they mislead small investors on purpose.

 

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From: powerfulpicks@yahoogroups.co.in Sent: Friday, July 16, 2010 8:31 AM To: powerfulpicks@yahoogroups.co.in
Subject: [powerfulpicks] Marry the battery queen

 

I have been recommending Exide to my close friends for some time now. Even now, this stock is cheap compared to the near future prospects.

Exide Industries Ltd has stepped up capital expenditure for capacity addition to the tune of Rs 600 crores because the demand is so strong that they cannot meet it with their existing production capacity. Acquisition of Leadage Alloys India Ltd will also add more book value to the script.

Exide rides indirectly on the growing automobile sales, which is likely to continue for the next 1 year. Exide has a 62% share in the cars and truck battery segment. Exide's core return on capital employed (ROCE) is at 85%. And the NEXT BIG OPPORTUNITY FOR EXIDE WILL BE ELECTRIC VEHICLES AND HYBRID VEHICLES (RUNS BOTH ON PETROL/BATTERY), WHERE  THE MARGIN WILL BE MUCH HIGHER.

Buy at CMP of 134.5 and hold with a 1 year investment horizon for a target of 173 (+29%).