INDIA'S NO.1 INVESTMENT MAGAZINE SINCE 1966 DEMOCRATIZING WEALTH CREATION = Cover Story eeu / — Special Reports Penny Stocks Can Make You —— sz = Analysis in Pharma Advanced rch CompanyRecommendations Hindustan Oil Exploration OIL YOUR PORTFOLIO he oil & gas industry is ‘among the eight core industries in India and developments and policies relating to the sector bears quite an influence on the other sections ‘ofthe economy. The government is, adopting several policies to meet the rising demand for oil and gas in the economy. Recently, the government allowed 100 per cent Foreign Direct Investment (FDI) in the oil & gas sector, which is attracting investments in the sector. This leads us to select Hindustan il Exploration Company Ltd. (HOECL) sour “Low Priced Scrip* pick for this issue. HOECL is an oil & gas company engaged in the exploration and production of hydrocarbons, crude oil and natural gas. Itis the first private company in India to have entered oil & gas exploration. the ‘company has a participating interest in nine oil & gas fields in India. The ‘company provides geological and geophysical services relating to the exploration of oil and natural gas and ther oil field services. Itenjaysa diverse > 3 > > > LOW CPRICED SCRIP | 1 YEAR INVESTMENT HORIZON EE? toa fe. (ote nes an | OD AN «$5008 8855 pmanmd TS KIS AAI Wen = a8 110002500 inesaret BO) DAI geographical footprint with a well- established presence in 4 out of the 7 producing basins in India. Its oil & gas assets consist of operated and non- operated acreages in Assam-Arakan, Cauwery, Cambay basins, Rajasthan and Pranhita-Godavari basins in India. The company has fully owned subsidiary named HOEC Bardahl India Ltd, which is engaged in marketing of fuel or engine additives. Ona consolidated basis, the total income from operations declined by 12.51 per cent t0 862.39 crore in Q2FY20 from 371.31 crore in the same period of FY19. Equity “The EBITDA declined by 27.49 per cent toU40.4 crore in Q2FY20 from 855.73 ) (@FRs.10 each) (not annualized) (| - Basie (in Rs.) 2645 38.61 60.72 25.87 3706) = 89.21 [rasa oa mas| mar| ora] asar]| roe] samt Note: The above is an extract of the detailed format of Quarterly/Half Yearty financial results filed with Stock Exchanges under Regulation 33 of the SEB! (Listing Obligations and Disclosure Requirements) Regulation, 2015. The Full format of the Quarterty/Half Yearly financial results are available in the websites of the Stock Exchange (BSE: www bseindia.com) & (NSE: www.nseindia.com) and Company's website (www.tvseurogrip.com) Place: Madurai BY THE ORDER OF BOARD Date: 13.11.2019 ‘www tvseurogrip.com MANAGING DIRECTORTechnicals NIFTY Index Chart Analysis = Nifty trading in 200 point range with low volatility he Nifty has been trading ina 200-point range in the past 4 sessions, It was at least 6 times in the last 14 days, that the index attempted to overcome the 12,000 mark ona losing basis; it managed to do so on 7th November but with a bearish formation onthe charts. The Nifiy did sustain above the 11,800 mark during the period but posted bearish or indecisive formations. The volumes have been below average and the market breadth was negative on ‘most of the days. Even ona positive day Tike Tuesday (19th November) when the Niliy posted 55.6 point gain, the breadth was negative. Domestic Equity Roadmap for the next 15 trading sessions Ideas Wily Levels ‘ation tobe nated Probable Targets Trdg tov 12034 oa neck class fester te ecm em 1.802034 Jeyetae ater pane Whe a nas 12250 (ose eon 11730 cn te weky art cult Suppo heeds em 1860-11750 Se ra een 110 Structurally, ifthe Nifty loses below the 11,800 mark, it will have a downside implication of about more than 200 points. It also indicates that the up move seems to be over. On the weekly chart, the Nifiy formed a back to back small body long-legged candle for the past two ‘weeks. These formations suggest indecisiveness. These formations area results of several such candles on the week, Even though a selective few mid and small caps are performing well, the representative indices are lagging. The Nifty Midcap-100 index is oscillating around its 200-DMA. The Nifty small cap- 100 index isstill per cent down from its 200-DMA. The Midcap-100 looks better th structure-wise, The major indicator, RSI, has broken down from an upward channel and is forming a base around the 60 levels for within the bollish zone. The MACD_ histogram isin the negative on the daily chart, although there has not been any negative momentum picking up. On the weekly charts itis still strong enough to protect the bullish ‘momentum. Ifthe volumes increase on positive days coinciding with the Nifty closing above 12034 levels, then it would be a big bullish sign for the market in the institutions have been net sellers in the month of November until now and Fils too have turned net sellers in each of the past four trading days, The index heavyweight Reliance Industries ane BPS stocks held the Nifty near its highs. With the help of these, for the second consecutive week, the Nifty has been able to hold the crucial support of 11,800, Interestingly, this is also the gap area of 30th October. Even though the ‘gapis filled, the Nifty has been sustaining itself above the mark on a closing basis. For the next few days also this area of support is critical for the market. daily chart for the past ten days. In any ‘case, ithe rally extends and the Nifty closes above its 8th November high of 12,034, there are chances of it reaching a new life-time high. So fa, the bulls are defending the critical support of 11,800 and the bears are active atthe higher levels or near to the resistance at the 12,034 mark on the Nifty. However, the broader market is not participating in this strength, Major sectors like IT are lagging forthe past few ‘weeks, And small and mid cap indices, hhave actually closed in the negative last current scenario. We suggest keeping 11800 as a stop loss for Jong positionsand adding fresh longs on the Nifty closing above 12034 on closing basis. We ean expect a decisive move in the coming week, In short, the market is trading in a 200 point range with low volatility. As long as this indecisive nature continues, the market may have some more lackluster sessions. On a breakout on either side, the possibility of a sharp move in the respective direction cannot be ruled out. Asthe Nifty is trading near its resistance area, be with the positive momentum. 16BATA INDIA LIMITED REGD. OFFICE: 278, CAMAC STREET, 'st FLOOR, KOLKATA 700016 | CIN: L18201W81891PL.C007261 Tetophone: (033) 23014400, Fax: (033) 22805748, E-mail comoraterelatons@ibata com, Website: www bata in aie RT Okey eke een ha ola RESULTS FOR THE QUARTER AND SIX MONTHS ENDED 30TH SEPTEMBER, 2019 (lo Rs. Mons except er share data) CONSOLIDATED cores | Sx sala monte) s monte | Pera | ment Yer xo} Particulars: —_ ‘| Ssoet | ended | Som ist a fBeptomer |, 20 lee Maren sane 20) rg | 244 2919 lseptemver Septemberepwember ‘aose ow | 219 Unavciea| Unaccies Ura.cted| Unaucstes| Unaudted| Unauted| Audited 1 | Tottincome rom operations 7.219861 | 882% 43 | 6730.71 [16041 0414 703.55] 204 2a] 7.21961] 8.827 55 | 6.73071 |16,047.16]14.710.74]29,311 03] No Prot Loss) for Be ped . "| 2 | (blo lax Encaptone ander | 97659) 1.55542] 05763] 259001] 2r96.48] 4.78265] 974.11] 1.55808] 49.82] 2532.19] 212747] 4,776.87 Exroorinary tems) ‘Wat Prof Lows ore pesod 3 | beter Tx (ater Excectora 974.99 | 1.59542 250001) 2136.44) 4.78265 9.82 2azrar| andr Exbaorbary tes) ‘et Prot (Lom forte period 4 | stort her Excapterm andor | 71374 1,007.0] seer] 1.72104] 1,382.14] 9,206.60) 71308 | 1.00073 1arzr2| 3.280. Exraorinary tems) Total Comprehensive income or «5 | tie pard [Comorsing Prot (Lo) {ore peta (aera) ac Oe Comerenenive icine ate tat sr24e| 1.70692] 1.39470] 3.20798) 890.99] 1 1.38828] 3.29122 6 | Easy Sr Copia waza] cxzen| cxzee| oxzen] oxase] oxzse] ouzee| cxzee| onze] cxzse] exzsa] oxrey 7 | Aeaceleaaes, Jaze jar7s29 Sora eee Sa james | sss] rae] ass] saa] tors] 2 az] wal a 0 | Secemungeateas 555] rae] 433] ra20] tors] ses] sas z| ssa) s0s8) 2500 sitet oune Nes 2}, Revere operators ore cua ended 3m Septet 201901 Ra. 721961 min have incentnby7S ovr comespoceg pera yer 149 msn asicratedty scone peat yaa wits ensing on 1: Aor 7219 ng he mand spective me on dae ts scseaten Azone. Comey ve eeration On Ite fasvecopnsedlenseaby eas. sen vo ctTbe'enarg aate ay meta le Hanaichadbee” apple ce (re leoucommeronmertdan bd dacouted surg ihe wssoencrevenia bortougrat 2a hg 2018 resus nas ra vet Ralston se 018. Company For and om the beat of the joard of Directors Gurugeam Ram Kumar Gupta Rejeev Gopalakrishnan 3.112019 DIRECTOR FINANCE MANAGING DIRECTOR STAY CAMERA READY LSVECGN PeasyAnalysis Sun Pharma Advanced Research Company (SPARC) BOOST YOUR PORTFOLIO WITH SPARC INTRODUCTION Sun Pharma Advanced Research y Limited (SPARC) is engaged ch and experimental development on natural sciences and engineering which isalso known as xy. Thus, the company operates in the Pharmaceuticals Research & Development segment. SPARC was formed in 2007 as a result ofa demerger from Sun Pha Limited which isa global leader in specialty generics. The company st to build an enduring innovation engine built on strong scientific execution, high value analytics and aggressive portfolio ‘management. INDUSTRY OVERVIEW Global spending on medicines is expected to grow at a compounded annual growth rate (CAGR) of 3-6 per cent in the coming five years which will reach over USSI5 trillion by 2023, Due to the economic slowdown, all developed markets show moderation in growth. Overall, the spending of pharma and biotech companies on R&D is expected tobe US $177 billion by the end of 2019 compared to about US $171 billion in 2018. For 2019, the global pharma industry's R&D pipeline is expected to be around 16,181 drugs with a growth of 6 per cent as compared to a growth of a .ceutical Industries ‘mere 2.7 per cent in the previous year. The USisa key market for Indian pharmaceutical companies, Pri challenge that most Indian companies facein the US market asthe launch pricesare kept in focusand newly introduced drugs in the specialty segment are ofien costlier. Thus, Indian pharmaceutical companies have increased investments in R&D in the recent years, Indian pharmaceutical companies are undergoing a gradual shift in their approach to shift irom a classical, generic drug manulacturer toa research driven innovative firm. Global pharmaceutical companies whence also shown interest in establishing, operations in India for R&D, ‘manufacturing and distribution through captive operations or collaborations. This has led to rise in collaborations of sn and global pharmaceutical companies. While many established pharmaceuti: companies which have been witnessin declining cash-flow healthy and steady lity growths are stil a challenge for them. But on the other hand, most ofthe research-based pharmaceutical companies have been reporting an uptick in revenue and profits. This is largely due to the revenue generated by research companies by licensing their innovative products and novel technologies to large companies for commercialization KEY PRODUCTS SPARC's key products include Xelpros, Elepsia XR, Baclofen GRS, Paclitaxel jection Concentrate lor Nanodispersion (Taclantis), Salmeterol Fluticasone Dry Powder Inhaler (DPI), SUN-K706, Brimonidine OD, Tizanidine ER, Minocycline Topical and SUN-597 Topical. Xelpros isa Benzalkonium Chloride (BAK)-free Lat drop product developed with its Swollen ‘Micelle Microemulsion (SMM) technology. Sun Pharmaceutical Industries Limited (SPIL) launched Xelpros in the US receivi payment on USEDA approval and commercialization of Xelpros. Elepsia Xitisa once-a-day tablet formulation of Levetiracetam which is an antiepileptic gent. Baclofen GRS is a once-a-day nulation of Baclofen,a centrally acting, antispasmodic drug, Taclantis isa ‘Cremophor and Albumin free formulation, The company completed pivotal study comparing Taclantis to Abraxane in metastatic breast cance patients, The result ofthe study suggested that it met all pre-defined endpoints following which SPARC filed NDA with USFDA for approval. It also initiated discussions with potential partners tor out-licensing of Taclantis ts DPI is a premetered 60 doses, breath activated device to administer the combination of Salmeterol and Fluticasone by inhalation, Other key products of SPARC include the ones for the treatment of ocular pain and inflammation, Parkinson’ disease, for autoimmune disorders, treatment of Resistant Chronic Myeloid Leukemi (CML) and other pain treatments. As SPARC received successful outcomes for its research and approvals, FY 19 was a instrumental year for the company FINANCIALS ‘On the standalone financial front, the net sales for the second quarter of FY20 w 217.19 crore, which isa decrease 0 per cent as compared to net sales of 361.35 crore for the second quarter of FY19. The company incurred an ‘operating loss of 260.91 crore for the yoprost eye amile fo DALAL STREET INVESTMENT JOURNAL | 20 osiuin