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Wednesday, June 24, 2009

Stocks You Must Own : Forbes

Allcargo Global Logistics :
Allcargo Global has been doing all the right things in the cargo segment and they are building up very highly on container traffic and they are focusing themselves to become one of the largest container traffic players in the country and therefore we looked at it.

ICRA and Pidilite Industries:
It comes in the consumer side so just like we buy anything fast-moving consumer goods (FMCG) and you never went out and bought a Pidilite’s Fevicol, you bought it only because you needed it. There are more people needing it because more people go to private schools nowadays, they consumer more of art material and Pidilite is big an art and as they put up all their products in big stores, people tend to buy them more and they have shown a very steady growth over the last five years. We expect that their brands are very good and therefore they will see more growth.

Mahindra & Mahindra:
They are certainly cyclical but we are looking at them as infrastructure play. As India expands out into hinterland, the most desired kind of vehicles come from M&M and we have seen that in the hardy, multi-utility vehicles that they make. The kind of vehicles that they make now is inspirational for people in the hinterland and therefore we have chosen them and put them in the infrastructure rather than in the automobile space.

source: MC

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