Father - Son - Donkey - Stock Market (Story)

Hello Friends,

A Man and his son were once going with their Donkey to market. As they were walking along by its side a countryman passed them and said: "You fools, what is a Donkey for but to ride upon?"So the Man put the Boy on the Donkey and they went on their way.

But soon they passed a group of men, one of whom said: "See that lazy youngster, he lets his father walk while he rides."So the Man ordered his Boy to get off, and got on himself.

But they hadn't gone far when they passed two women, one of whom said to the other: "Shame on that lazy lout to let his poor little son trudge along."Well, the Man didn't know what to do, but at last he took his Boy up before him on the Donkey.

By this time they had come to the town, and the passers-by began to jeer and point at them. The Man stopped and asked what they were scoffing at. The men said:
"Aren't you ashamed of yourself for overloading that poor donkey of yours and your hulking son?"

The Man and Boy got off and tried to think what to do. We all know what was the End.

Good Story when we listen to too many views put forth on daily basis.

This is just to emphasise that to go forward a Stock Trader/ Equity Advisor also has to have his home work done before opening his ears, and finally deciding with his mind.

Regards,

Engineer India Ltd - A good long term story

This call was also given earlier when the stock was trading @ 410/- and still we feel it to be a good long term story.


Engineers India Ltd
cmp:618
Traded in:Nse-bse

ENGINEERS INDIA (EIL) provides engineering and related technical services to petroleum refineries and other industrial projects.Apart from engineering consultancy, EIL also undertakes lump-sum turnkey projects (LSTK).

It mainly focuses on refineries and other petrochemical industries, which contribute almost 90% to its revenues. Despite its expertise in turnkey projects, its LSTK division has not grown at a rapid pace and most of the growth comes from the consultancy division. However, LSTK contributes nearly 50% to EIL''s current order book. The division is expected to start contributing to EIL''s growth once revenue from this segment starts reflecting in the company''s financials.

EIL''s engineering consultancy business is yet to catch the attention of most investors, as most of its peers are in the unlisted domain. This is because of limited investment in fixed assets, reducing the need for companies to go public.The public sector company is looking at the exports market, especially in the Middle East, more aggressively now, which also provides better margins.EIL is a major beneficiary of the existing shortage in refining capacity as investment in petroleum refining is likely to remain high for the next few years, domestically as well as globally. This is likely to translate into huge business opportunity for the company.

A must buy at dips for long term investors. Make it a part of your core portfolio.