Stocks to Buy now : Super Six

The Best Time to Buy Stocks is when everyone sells. But often the reverse happens: People 'LIKE' to buy stocks when everyone buys.

No doubt, the recent fall in stock market after diwali on 17th October 2009 has taken everyone by surprise. Almost all stock brokers, all investors were LONG on Stock market but market went crashing. That is precisely what we call us "Expected Never Happens". After its fall from 17500 on BSE to 15400 on 3rd November (1900 pts fall), everyone panics. Indeed it is the right time to pick some stocks at attractive price. If you watch stock markets closely, you would find the best returns ( say 30% Return on Investment ) are usually obtained on investments made in times of crisis of confidence. Investors can consider such times as a suitable opportunity.

When market panics, just like chicken, people run Helter-Shelter. Hence, they need to be reminded on the stocks they already know. They need reassurance. Hence, to start with, we have suggested just six stocks which can deliver good returns (20% to 30%) going forward. Do Make Money out of them.

Reliance Industries:
This stock came under severe selling pressure afters it passive Quarter 2 results and on the news that its book of expenses would be audited. Investors and Media expect to catch some big fish here. But the history of Reliance is known to India. They have been 'handling' accounts issues since the days of its founder Mr.Dhirubhai Ambani. After all the audit, this stock can give a real run. Apart form that, RIL has announced Bonus. Hence if you buy this stock, it could be worth the risk. Price as on 3rd November 2009 is Rs.1818. Price Target could be Rs.2500.

Cairn India:
Another Oil company, which came under selling pressure due to the news of Audit Panel. But this MNC Oil Explonation company is expected to do very well going forward. Remember, Oil is also called as Liquid Gold.
This company is set to emerge as one of India's leading Petro Producter and possibly the largest onshore producer by Fin Year 2012. Going forward, the profits are likely to show astonishing returns on YOY basis.

TATA Steel

It is one of the top 10 steel producers in the world. Its steel plants are present in various countries thro diversified investments ni Cores, Millennium Steel and Natsteel Holdings. It has a well established marketing in over 50 countries. The demand for steel is likely to be strong globally and domestically. In the recent fall, the stock price has come down by more than 20%.

ICICI Bank

Atlast this aggressive bank has implemented a decisive strategy of cost reduction and margin improvement. At the same time, it plans to open huge number of branches andmaintain large captial adequacy. This is positioning th ebank for imminent upturn in GDP growth, even though the near term performance is likely to remain under pressure on account of RBI's recent monetary policy. At its current price, (which is at 20% discount), you can expect a price target of Rs.1047.

PUNJ LLOYD Ltd

This steel manufacturer cum Infrastructure devoloper was recently hit after below average Quarter 2 results. This company has business in Dubai and in Malaysia : Two key Infrastructuer hungry countries. This stock has come down from it price of Rs.300 Rs.199. That is a 30% discount. But the opportunity for long term investors are still intact. You can invest in this stock with a price target of Rs.270.

TAJ GVK Hotels & Resorts Ltd:

Hotel stocks do well, if there is lots of tourists inflow. With the world recession, nearly over Foreigners inflow is likely to be at its peak during christmas. All hotel stocks are expected to do well this year.
This hotel has dominant position in Hyderabad and it is on track on its expansion plans. It is likely to benefit out of the industry revival. You can Buy this stock at its current price of Rs.116 for a price target of Rs.180.

We request investors not to miss this opportunity. But it is always advisable to buy in portions. Say you can buy 30% of your investible amount now and add the balance later, if the prices come down. Best Wishes from EASY Invesments.

Disclaimer: The author holds all these stocks in his portfolio.