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Satluj Jal Vidyut Nigam (SJVN) Limited is coming out with an IPO of 415,000,000 equity shares of face value Rs. 10 each.

The company is a hydroelectric power generation company, a 75:25 unlisted joint venture between the Government of India (GOI) and the Government of Himachal Pradesh (GOHP). Currently, the company is engaged in designing, planning, developing, examining, organizing, executing, operating, as well as maintaining hydroelectric power projects.

Details of the Issue:
Issue Open: Apr 29, 2010 - May 03, 2010.
Issue Price : Rs.23-Rs.26.(Retail Investors to get 5% discount)
Market lot: 250 shares.

So what's in store for retail investors in this IPO?

The expected EPS for current year is around Rs.2.5 and the Book value is at Rs.16.The stock is cheaper compared to its peers, but the issue price could have been priced lower. But still this is a good issue to apply for long term. Fundamentally good stock to buy & hold for long term and not for listing gains.

ARSS Infrastructure recently came out with an IPO at a price of Rs.350. The issue was well subscribed and listed spectacularly at Rs.650. Currently the price is around Rs.1300, up more than 300% , so what's the buzz?

To start with, the IPO pricing was done wisely and it left a lot on the table for the investors. The company recently declared the current year's earnings and is well within market expectations. They have done about Rs.60 earnings per share and current price it is well priced at 20 times.

So moving forward, the company is expected to do about an EPS of Rs.110 for FY11 and considering at the industry average P/E of 15 times, the stock is more or less priced in.
Hence one can book profits in ARSS Infra considering its sharp run-up from 700 to current levels of 1300 and wait for substantial correction before re-entering this stock.

It is earnings season again and various institutions and brokerages have come out with their Earnings forecast for Sensex 30 companies for FY11. Most of them have come out with their estimates in the range or Rs.1100-Rs.1250 for FY11 and Sensex target of about 21000, which is about 20% up from current levels of 18k.

Number crunching:
CLSA – FY 11 EPS Rs 1,046.
Morgan Stanley – FY 11 EPS Rs 1,232.
Deutsche Bank – FY 11 EPS Rs 1,10.
UBS – FY 11 EPS Rs 1,146.
Edelweiss – FY 11 EPS Rs 1,080.
Merrill – FY 11 EPS Rs 1,100.

What does these numbers indicate for an investor?

Looking at the above numbers , the consensus EPS is around Rs.1100 and the Sensex at the higher P/E band of 20, would be at 21k, which is not totally unjustified considering higher growth and EPS for the year FY12.Hence any sharp decline would be a buying opportunity, particularly below 15 times forward earnings i.e., below 15k.

But this correction isn't coming yet and keeps elusive.Instead of timing the market, one could always look for investments in Mutual Funds through SIP route, so that one need worry about ups and downs of the markets and still be able to gain in the markets.

National Mineral Development Corporation - NMDC is Coming out with its FPO on March 10. The issue is open from March 10 - March 12. The Promoter, Government of India, is to announce the price band on March 9, one day before the issue opens.

Let us do some number crunching on its past performance, so as to arrive the expected price band. For FY09, the total income of the company was at Rs. 8,575 crores with PAT at Rs. 4,372 crores, resulting in an EPS of Rs.10 with a Book value of Rs. 29. For FY10, the EPS estimates are at Rs.10 and book value of Rs. 39.

The other large cap stocks in this sector are Sesa Goa and GMDC which quote at 19 P/E and 18 P/E, respectively. Sesa Goa at Current price quotes at Price to Book Value of 7 and GMDC at P/BV of about 4.

Hence going by these numbers, NMDC between 250-270 would be a reasonably price to apply.

NSE has launched a desktop application 7FM Financial Money Manager which helps investors to track their portfolio investments powered by NSE Data right from their desktop. This application is developed through Fidoh and contains lots of features.

The following components are required to run the application.
1.Windows Installer 3.1
2.dotNET Framework 3.5 SP1
3.SQL Server Compact 3.5

The features are user friendly and give complete details about anyone's portfolio.
The application can be downloaded from Fidoh.

United Bank of India, a PSU Bank is coming out with an IPO of 50 million shares of Rs.10 each at a price band of Rs.60- Rs.66. The bank has a well established network of about 1500 branches with 16,000 employees.
The bank is mainly into retail , corporate / wholesale, priority sector, treasury operations and other services such as agency functions for insurance and mutual fund distribution.

Details of the issue:

Issue Size: 50,000,000 Equity Shares of Rs. 10.
Face Value: Rs. 10 Per Equity Share.
Price Band: Rs. 60 - Rs. 66.
Issue Open: Feb 23, 2010 - Feb 25, 2010
Minimum Bid Quantity: 100 Shares.
Listing At: BSE, NSE.

The bank has made a very good improvement during the last five years of its operation. It is clearly one of the fastest growing banks in the industry.
The book value per share stands at Rs 94.75 and even at the higher end of the price band, the price to book value (P/BV) ratio stands at 0.7. Comparing with the other smaller PSU Banks such as Corporation Bank, Andhra Bank and Bank of Maharashtra, which are trading at a P/BV of 1.2, the IPO is clearly at a discount.

Also, the management has announced a discount of 5% for retail investors and hence long-term investors can subscribe to the issue.

L&T Finance Limited has come out with Public Issue of Secured Redeemable Non- Convertible Debentures (NCDs) of face value of Rs.1,000 each aggregating to Rs.250 Crs with an option to retain over-subscription upto an additional Rs.250 Crs, aggregating to a total of Rs.500 Crs. The offer period is between 09th February 2010 to 22nd February 2010. The Debenture has been given
Credit Rating - AA+ by CARE and ICRA.

Details of the Isuue:

Face Value per NCD Rs. 1,000.
Minimum Application Size 10 NCDs for Retail category.
101 NCDs for QIB and NII categories.

There are 2 options:
I - Interest payment Semi-annual with a coupon rate of 8.40 % p.a.
II - Interest payment Annual with a coupon rate of 8.50% p.a.
Redemption Date / Maturity Period 36 months from the date of allotment.
The NCDs are to be listed in NSE and BSE.

Considering current bank Fixed Deposit rates of around 7%, this debenture is a better option to park some funds in it.