Hattip TRB
Author: Raoji
Linkfest:July 08,2013
Some stuff that I am reading today morning:
Be prepared for yet another gloomy earnings season (Mint)
10th century Jain idols stolen from Mangalore temple (MumbaiMirror)
RCom to hive off realty assets into separate listed company (FE)
Rising rural wage may boost UPA’s chances (ET)
The Food Security Bill is stealing from our children (CapitalMind)
Snapshot of 24 PSU Banks-Dividend dynamics,stressed financials,woeful valuations (JSAlphaa)
Stocks look OK, get out of gold and bonds (TRB)
Byron Wien’s 20 rules of investing and life (BigPicture)
High Frequency trading may be about to slow down (TimHarford)
Shashi Tharoor & NDTV-Imaginary Twitter Wars (MediaCrooks)
NaMo:What is Hindutva?
While researching for my Investor Wisdom newsletter,I came across an interesting fact.
If the shareholding pattern of a company has many banks or brokerages, it implies that something rotten is happening.Banks/Brokerages become large shareholders when the company is unable to meet its debt obligations and a part of the debt is converted into equity.
Exhibit one of this phenomenon is GTL.Consider its shareholding pattern as on 31 March, 2013
Bank | # of Shares | % |
BANK OF INDIA | 5760424 | 3.67 |
ANDHRA BANK | 4787185 | 3.05 |
PUNJAB NATIONAL BANK | 4045570 | 2.58 |
IDBI BANK LIMITED | 3317412 | 2.11 |
CANARA BANK | 3296275 | 2.1 |
UNION BANK OF INDIA | 2769496 | 1.76 |
DENA BANK | 2741555 | 1.75 |
VIJAYA BANK | 2654910 | 1.69 |
INDIAN OVERSEAS BANK | 2433199 | 1.55 |
UCO BANK | 1854519 | 1.18 |
BANK OF BARODA | 1684550 | 1.07 |
SMALL INDUSTRIES DEVELOPMENT BANK OF INDIA | 1649828 | 1.05 |
INDIAN BANK | 1639016 | 1.04 |
Banks altogether hold around 24.6% of the company !
Prashant made a great observation-There is not a single private bank to keep the PSU banks company !
5 Stocks whose buyback is currently on
This post is in continuation of my 5 Stocks Series (see here)
5 Stocks whose buyback is currently on is listed below:
- FDC
- MAHSEAMLES
- PANAMAPET
- SELAN
- INFINITE