Build your professional network on facebook via our app Go to app
 
<< Prev  9 of 16 in Topic  Next >>
Topic : Investment options for Middle Class
  Rate : 
 
Industry : Equity Research/Analytics
Functional Area : India
Activity: Question posted: 11 24 2009 10:45:57 +0000, 4 answers, 612 views, last activity 07 06 2010 20:18:08 +0000
 
 Refer 204
Share
 
 
 
 

You all know these days sugar is in news lately with its ever increasing prices, and with less supply there is a greater demand for sugar these days, which is an essential commodity in everbody's house, and this is showing its value on the market also, where recently Renuka sugars and Balrampur is making news. So being a newbie here, I would like to ask,  Is it the right time to buy sugar sector stocks? Please share your views.

 
 Top Answer :
Rating : +2 

i don't think it is the right time to buy sugar stocks . the reason is that the kind of news we are seeing about the strike of farmers of westurn up the price of sugar cane is about to rise. govt is very strict on the price rise on sugar. sales of sugar factories has grow but the profit has not incresed by huge margin as the cane prices has incresed and the expenditure has also increased . we can see eps of stocks going down as most of the sugar companies have come up with qip issues in the last quarter.. so i am expecting a 25 to 30 decline in the sugar prices........ if anybody has any suggections then send me too.... 



  Answered by     oliviaanderson , Cashier, Ispat Inds  | 05 25 2010 09:06:38 +0000
[ Delete ]
[ Edit ]
Not Rated

This is a wonderful opinion. The things mentioned are unanimous and
needs to be appreciated by everyone.
--------

Best Stocks and Shares ISA

  Answered by     RAMANATHA PRABHU N, Chartered Accountant  | 11 24 2009 12:45:08 +0000
[ Delete ]
[ Edit ]
Rating : +1 

In the recent past the support price for the sugar cane has been increased by Rs.25/quintol, in response to that sugar cane industries  raised their voice, they are finding difficult to maintain their profitability, they too demand hike in price for sugar. This is coupled with the demand in sugar in international market may lead to better result to sugar cane industries in near future. Better time to purchase a specific catagory stock will be when such catagory industries are facing difficult time, furter we expect favorable time to those industries in the nearest future.  Assuming all other factors remainig sane, I too of opinion that the sugar Industry stocks may start gaining value appriciation.

  Answer modified by     Jyoti Rath, Sr. Associate, Barclays  | 11 24 2009 10:51:01 +0000
[ Delete ]
[ Edit ]
Rating : +1 

I think yes, it is the right time to go for these stocks, there is a great mismatch in the supply demand in terms of sugar supply. And the price of sugar in some states has gone upto 35, and there is also news that there is no new supply of sugar in coming days, so the prices will go even further and yes we can go for sugar sector stocks for the moment which will give sweeter returns.

 
Leading Search firm for Semiconductor and Telecom Companies
Leading Search firm for Semiconductor and Telecom Companies
Viewers also viewed
A set of people believe that dreams change and hence buying a dream home just increases the...
 
890 referals 11 arguments, 202 views
A Well- known brand Happydent by Perfetti Van Melle has released new “sugar free chewing gum” in...
 
12 referals 4 comments, 124 views
Yes, on 13ths October ,2011 Hyundai has launched new brand "Eon" in India. Now, Hyundai is also...
 
23 referals 2 comments, 55 views
more...  
Unanswered Questions (26)
I mean that it sector totally depends on outsourcing.But it might happen that in future other...
 
0 referals 0 answers, 0 views
reference handle only
 
0 referals 0 answers, 0 views
Sorry for disturbing you. I request to go through below write-up/profile as a short...
 
1 referals 0 answers, 0 views
More From Author
I agree to this question that intra day must be stopped....if it resembles betting. Even IPL is also a betting process that is glorified...but no action is taken by the govt. Thus ...its clear that whatever the govt. does for profit is good and...
India has topped a list of the most "over-regulated countries in the world" in a survey on Asian business and politics by Hong Kong-based Political and Economic Risk Consultancy Ltd (PERC). The survey used responses from American executives about...
I agree that we live in a inflated market which exist only in our perception banks are responsible for it....
more...