Friends,
The consumer strength of the 300 million inhabitants of State Capitals and other hubs of activity (like of education,manufacturing,processing etc) around the country have attracted retailers. There are 700 malls in the offing and many of these will be in smaller towns. Retailing sector has potential to grow fast enough. As the incomes of people grow, the traditional shop system will not be able to cater to consumer needs. It can only be done in an organised manner. Also the price competitiveness can be ensured with large procurement, storage, distribution and retailing networks. Reliance Industries Ltd has presence in retail space and deep pocket. Retailing companies command higher PE discounting and hence there is some hidden value in Reliance scrip which is yet to go ex-bonus. You may buy it for medium/term.
Hari Om,
Krsna Khandelwal
BIRDINFO Stock Rx - A prescription for stock market
We look at five economic and financial aspects of the company each quarter for the stock price valuation. For this reason, this technique is called the Pancha Tattva Stock Teknik. This is same as with nature's five elements namely Earth, Water, Fire, Air and Sky. Each valuation should be assessed in terms of a delta change from neutral value of 1000 points. Higher the value, the better is the stock and the market price may be due for appreciation above neutral value.
The Market Matrix, Sector Matrix, World Matrix and other sections of this site provide extensive news coverage and analysis of local, sector related and world events and their effect on the Indian Stock Market. You can have our contact details on this link also - [About Me]
The Market Matrix, Sector Matrix, World Matrix and other sections of this site provide extensive news coverage and analysis of local, sector related and world events and their effect on the Indian Stock Market. You can have our contact details on this link also - [About Me]
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