Top-Stocks-2024 By William J.O Neil India.pdf
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Mar 06, 2025
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About This Presentation
Top stock research platform for investors and traders in Indian stock market. Get access to best stock analysis tools including stock screeners, stock watchlists, chart patterns, fundamental and technical analysis, and many more. Learn stock investing with stock market courses on CANSLIM investing s...
Slide Content
TOP STOCKS FY 2024
Charting the Course: The Unstoppable Bull Run
Charting the Course: The Unstoppable Bull Run
TOP STOCKS FY 2024
Charting the Course: The Unstoppable Bull Run
Charting the Course: The Unstoppable Bull Run
Disclosure
William O Neil India Investment Adviser division, is one of the divisions of William O Neil India Private Limited, which is a company
incorporated under the Companies Act 1956. William O Neil India Investment Adviser division is a registered investment advisor with the
Securities and Exchange Board of India and through its online product, MarketSmith India intends to provide quality equity research material
and information to its customers. The investments discussed or recommended through MarketSmith India may not be suitable for all investors
and hence, you must rely on your own examination and judgment of the stock and company before making investment decisions. Data
provided through MarketSmith India is for information purposes only and should not be construed as an offer or solicitation of an offer to buy
or sell any securities. Information and discussions made available through MarketSmith India contain forward looking statements that involve
risks, uncertainties and assumptions that could cause actual results to differ materially from those contemplated by the relevant forward-looking
statement. William O’Neil India Investment Adviser division or its employees / directors or any of its affiliates are not responsible for any losses
that may arise to any person who has made investments based on the contents of this document. Past performance never guarantees future
results. Investment in equities are subject to market risks and despite the best efforts to provide market leading research, William O’Neil India
would like to exhort its users to acknowledge and fully understand the risks involved which might include but not limited to loss of both principal
and income. Data and content provided through MarketSmith India is to be consumed only by the intended recipient and must not be
redistributed any further. Performance results do not represent actual trading and may not reflect the impact that material, economic, and
market factors might have had on the investment-making process if actually managing client money. There is substantial speculative risk in
most stocks. Performance computations reflect a time-weighted rate of return and includes a brokerage of 0.5%. All holdings are rebalanced to
equal rupee amounts daily. Dividends are not considered in computations. Percent gains and losses are calculated for all issues that remain on
the “Current Holdings” at the end of the day. For stocks that were added to “Current Holdings”, the basis used to calculate the percent change
is the price noted when the issue appeared as a “Current Holdings” in MarketSmith India. For stocks that were removed, the selling price used
to calculate the percent is the price noted when the issue appeared as “Removed” in the MarketSmith India.
William O Neil India Investment Adviser division, is one of the divisions of William O Neil India Private Limited, which is a company
incorporated under the Companies Act 1956. William O Neil India Investment Adviser division is a registered investment advisor with the
Securities and Exchange Board of India and through its online product, MarketSmith India intends to provide quality equity research material
and information to its customers. The investments discussed or recommended through MarketSmith India may not be suitable for all investors
and hence, you must rely on your own examination and judgment of the stock and company before making investment decisions. Data
provided through MarketSmith India is for information purposes only and should not be construed as an offer or solicitation of an offer to buy
or sell any securities. Information and discussions made available through MarketSmith India contain forward looking statements that involve
risks, uncertainties and assumptions that could cause actual results to differ materially from those contemplated by the relevant forward-looking
statement. William O’Neil India Investment Adviser division or its employees / directors or any of its affiliates are not responsible for any losses
that may arise to any person who has made investments based on the contents of this document. Past performance never guarantees future
results. Investment in equities are subject to market risks and despite the best efforts to provide market leading research, William O’Neil India
would like to exhort its users to acknowledge and fully understand the risks involved which might include but not limited to loss of both principal
and income. Data and content provided through MarketSmith India is to be consumed only by the intended recipient and must not be
redistributed any further. Performance results do not represent actual trading and may not reflect the impact that material, economic, and
market factors might have had on the investment-making process if actually managing client money. There is substantial speculative risk in
most stocks. Performance computations reflect a time-weighted rate of return and includes a brokerage of 0.5%. All holdings are rebalanced to
equal rupee amounts daily. Dividends are not considered in computations. Percent gains and losses are calculated for all issues that remain on
the “Current Holdings” at the end of the day. For stocks that were added to “Current Holdings”, the basis used to calculate the percent change
is the price noted when the issue appeared as a “Current Holdings” in MarketSmith India. For stocks that were removed, the selling price used
to calculate the percent is the price noted when the issue appeared as “Removed” in the MarketSmith India.
TOP STOCKS FY 2024
Table of Contents
Introduction
FY24 in Review
Featured Stocks
Index
-
-
-
-
6
8
10
16
Table of Contents
Introduction
FY24 in Review
Featured Stocks
Index
-
-
-
-
6
8
10
16
I hope this letter finds you and your near and dear ones healthy and happy.
During the final quarter of FY23, the market faced challenges, with tensions rising due to rate hikes, bank failures in the U.S., geopolitical
instability, the potential for a hard landing, and a looming recession. The clouds of negativity had shrouded the market. Market
participants were working to shield themselves. At that time, the upper rim of the sun appeared, and there was the rise of a new rally at
the beginning of FY24.
On March 31, 2023, we got a follow-through day. This marked a shift in market status to a Confirmed Uptrend. For those unfamiliar, a
follow-through day signifies a substantial leap (typically at least 1.5%) in a major index like Nifty or Sensex, accompanied by higher
trading volume than the previous day, occurring on Day 4 or later of a rally attempt. Drawing from over a century of stock market data,
this technical signal suggests that a potential rally is primed to begin. While not all follow-through days result in successful rallies, historical
trends show that no bull market rally has ever started without a follow-through day. The key with follow-through days is to be selective with
your buying and start with smaller position sizes. Your stock-picking abilities are very important when new rallies begin, both to find the
strongest leaders and to stay out of the laggards that a new rally won’t lift.
After the follow-through day, the market did not look back. Nifty advanced more than 15% in the first four months of FY24. A sign of true
strength in a rally is broad-based participation, not just a few names at the top skewing the overall numbers. We saw that with a strong
move in mid- and smallcap stocks as well. Both indices advanced more than 40% in the first five months of FY24. The market went
through correction and consolidation during August–October. However, the uptrend resumed again and we ended the year with indices
near all-time highs. For FY24, Nifty advanced 29%, while Midcap and Smallcap closed 60% and 70% higher, respectively. Following the
O’Neil methodology, our model portfolio outperformed. It galloped more than 100%.
The key lesson from FY24 is that filtering out the noise allows for a more objective assessment of the market, leading to better decision-
making compared to being inundated with a constant stream of bad news. A fact-based system is very important as it takes emotions out
of the equation and lets the charts tell the story.
As we step into FY25, the equity markets are anticipating a soft landing in the U.S. Any setbacks in growth, persistent inflation, or
uncertainty about rate cuts could spell trouble for the market. Domestically, all eyes are on the current go vernment's continuity. In the short
term, the progress of the monsoon and companies' earnings reports will be crucial indicators to watch.
-6-
TOP STOCKS FY 2024
During the final quarter of FY23, the market faced challenges, with tensions rising due to rate hikes, bank failures in the U.S., geopolitical
instability, the potential for a hard landing, and a looming recession. The clouds of negativity had shrouded the market. Market
participants were working to shield themselves. At that time, the upper rim of the sun appeared, and there was the rise of a new rally at
the beginning of FY24.
On March 31, 2023, we got a follow-through day. This marked a shift in market status to a Confirmed Uptrend. For those unfamiliar, a
follow-through day signifies a substantial leap (typically at least 1.5%) in a major index like Nifty or Sensex, accompanied by higher
trading volume than the previous day, occurring on Day 4 or later of a rally attempt. Drawing from over a century of stock market data,
this technical signal suggests that a potential rally is primed to begin. While not all follow-through days result in successful rallies, historical
trends show that no bull market rally has ever started without a follow-through day. The key with follow-through days is to be selective with
your buying and start with smaller position sizes. Your stock-picking abilities are very important when new rallies begin, both to find the
strongest leaders and to stay out of the laggards that a new rally won’t lift.
After the follow-through day, the market did not look back. Nifty advanced more than 15% in the first four months of FY24. A sign of true
strength in a rally is broad-based participation, not just a few names at the top skewing the overall numbers. We saw that with a strong
move in mid- and smallcap stocks as well. Both indices advanced more than 40% in the first five months of FY24. The market went
through correction and consolidation during August–October. However, the uptrend resumed again and we ended the year with indices
near all-time highs. For FY24, Nifty advanced 29%, while Midcap and Smallcap closed 60% and 70% higher, respectively. Following the
O’Neil methodology, our model portfolio outperformed. It galloped more than 100%.
The key lesson from FY24 is that filtering out the noise allows for a more objective assessment of the market, leading to better decision-
making compared to being inundated with a constant stream of bad news. A fact-based system is very important as it takes emotions out
of the equation and lets the charts tell the story.
As we step into FY25, the equity markets are anticipating a soft landing in the U.S. Any setbacks in growth, persistent inflation, or
uncertainty about rate cuts could spell trouble for the market. Domestically, all eyes are on the current go vernment's continuity. In the short
term, the progress of the monsoon and companies' earnings reports will be crucial indicators to watch.
-6-
TOP STOCKS FY 2024
TOP STOCKS FY 2024
Anupam Singhi
CEO, William O’Neil India
-7-
Delving into specific sectors, the banking industry stands out with robust fundamentals, boasting capital adequacy ratios at their highest in
a decade and gross non-performing assets at their lowest in the same timeframe. Bank credit is already on a trajectory of double-digit
growth. Meanwhile, the IT sector anticipates significant growth fueled by digital transformations and advancements in Artificial Intelligence,
particularly in areas like Generative AI. The government policies favoring increased capital expenditure and local manufacturing continue
to impact sectors such as infrastructure, cement, capital goods, defense, electronics, renewables, and textiles. Additionally, the power
sector is experiencing a surge in new development driven by the global shift towards renewable energy sources.
Let’s begin FY25 with an eye toward sectors and stocks showing traits of a leader, and invest in perfect sync with the market. At O’Neil, we
follow the price and volume action of the major averages and the leading stocks. If conditions change in a meaningful way, it will show up
in one of those, likely both. We will continue to follow the O’Neil methodology and have an eye out for names that meet our profile,
appear poised to move higher, and are potential top stocks of FY25.
As I end this letter, I wish the new financial year brings good health, wealth, and prosperity to all.
© 2024 williamoneilindia [email protected]
Anupam Singhi
CEO, William O’Neil India
-7-
Delving into specific sectors, the banking industry stands out with robust fundamentals, boasting capital adequacy ratios at their highest in
a decade and gross non-performing assets at their lowest in the same timeframe. Bank credit is already on a trajectory of double-digit
growth. Meanwhile, the IT sector anticipates significant growth fueled by digital transformations and advancements in Artificial Intelligence,
particularly in areas like Generative AI. The government policies favoring increased capital expenditure and local manufacturing continue
to impact sectors such as infrastructure, cement, capital goods, defense, electronics, renewables, and textiles. Additionally, the power
sector is experiencing a surge in new development driven by the global shift towards renewable energy sources.
Let’s begin FY25 with an eye toward sectors and stocks showing traits of a leader, and invest in perfect sync with the market. At O’Neil, we
follow the price and volume action of the major averages and the leading stocks. If conditions change in a meaningful way, it will show up
in one of those, likely both. We will continue to follow the O’Neil methodology and have an eye out for names that meet our profile,
appear poised to move higher, and are potential top stocks of FY25.
As I end this letter, I wish the new financial year brings good health, wealth, and prosperity to all.
© 2024 williamoneilindia [email protected]
-8-
© 2024 williamoneilindia [email protected]
FY 2024 Year-In-Review
April
0%
25%
10%
15%
20%
May June July August Septem
ber
U.S. CPI inflation rate
declined to 5% from 6%
in March
FOMC fed fund rate
increased 25bps to
5.25%
RBI MPC decides to
keep rates unchanged
Government of India
reduces GST rate on
electronic items to
18%
BRICS decide to ditch
the dollar
European gas prices
surge 18% as Australia
strike talks continue
India's rice export ban
to impact millions in
Asia, Africa, and the
Middle East
India becomes the
fourth country to land
successfully on the
Moon
FOMC keeps rates
unchanged
India to be added to
JPMorgan's emerging-
markets bond index
Telangana grabs
India’s first gorilla
glass factory
Asia Cup Final 2023,
India beats Sri Lanka
by 10 wickets
Government launches
three transformative
initiatives for farmers
Tata Group closes in
on deal to become the
first Indian iPhone
maker
IDFC First Bank to
merge with IDFC Ltd
in 155:100 share
exchange ratio
HDFC Bank breaks
into the $100B
market-cap club as the
world’s seventh largest
lender
Apple (AAPL) stock hits
$3T value
Tata Consultancy Services
(TCS), a leading global IT
services company,
expanded its partnership
with Google Cloud and
unveiled a new offering
called TCS Generative AI.
RBI announces
withdrawal of INR 2K
bank notes from
circulation
Debt ceiling negotiations
First Republic Bank
collapses
RBI MPC maintained
rates at 6.5%
India GDP growth likely
to moderate to 6.3% in
FY24: World Bank
India ranks fifth in
countries with the most
AI investment
India ranks fourth in
global military
expenditure: SIPRI
report
© 2024 williamoneilindia [email protected]
FY 2024 Year-In-Review
April
0%
25%
10%
15%
20%
May June July August Septem
ber
U.S. CPI inflation rate
declined to 5% from 6%
in March
FOMC fed fund rate
increased 25bps to
5.25%
RBI MPC decides to
keep rates unchanged
Government of India
reduces GST rate on
electronic items to
18%
BRICS decide to ditch
the dollar
European gas prices
surge 18% as Australia
strike talks continue
India's rice export ban
to impact millions in
Asia, Africa, and the
Middle East
India becomes the
fourth country to land
successfully on the
Moon
FOMC keeps rates
unchanged
India to be added to
JPMorgan's emerging-
markets bond index
Telangana grabs
India’s first gorilla
glass factory
Asia Cup Final 2023,
India beats Sri Lanka
by 10 wickets
Government launches
three transformative
initiatives for farmers
Tata Group closes in
on deal to become the
first Indian iPhone
maker
IDFC First Bank to
merge with IDFC Ltd
in 155:100 share
exchange ratio
HDFC Bank breaks
into the $100B
market-cap club as the
world’s seventh largest
lender
Apple (AAPL) stock hits
$3T value
Tata Consultancy Services
(TCS), a leading global IT
services company,
expanded its partnership
with Google Cloud and
unveiled a new offering
called TCS Generative AI.
RBI announces
withdrawal of INR 2K
bank notes from
circulation
Debt ceiling negotiations
First Republic Bank
collapses
RBI MPC maintained
rates at 6.5%
India GDP growth likely
to moderate to 6.3% in
FY24: World Bank
India ranks fifth in
countries with the most
AI investment
India ranks fourth in
global military
expenditure: SIPRI
report
-9-
© 2024 williamoneilindia [email protected]
FY 2024 Year-In-Review
October Novem
ber
December
January February March
0%
25%
10%
15%
20%
Hamas attacks Israel
Cricket World Cup
rises hotel prices and
airfare
Gold reaches a new
high
Trump wins Republican
nomination
Indian stocks hit $4T
GDP surpassing the
U.K.
FED pivot to a rate cut
Removal of Sam
Altman from OpenAI
Sam Altman back at
OpenAI
PM Modi unveils Ram
Mandir stamps: A
historic moment in
Indian culture
Turkey earthquake
India GDP data:
Economic growth
accelerates to above
8%
India okays $15B of
milestone chip plant
investments
Bitcoin surges to $60K
BlackRock launched its
first-ever spot bitcoin
ETF
Fed hints three rate
cuts in 2024
Nifty & BankNifty
reach all-time high
RBI MPC keeps rates
unchanged again
SEBI proposes same-
day settlement (T-0)
Red Sea Crisis
Lionel Messi wins the
eighth Ballon d’Or
2023
FM Nirmala
Sitharaman launches
12 GST seva kendras
in Vapi, Gujarat
Australia won the ICC
Cricket World Cup
2023
T+0 settlement
mechanism
© 2024 williamoneilindia [email protected]
FY 2024 Year-In-Review
October Novem
ber
December
January February March
0%
25%
10%
15%
20%
Hamas attacks Israel
Cricket World Cup
rises hotel prices and
airfare
Gold reaches a new
high
Trump wins Republican
nomination
Indian stocks hit $4T
GDP surpassing the
U.K.
FED pivot to a rate cut
Removal of Sam
Altman from OpenAI
Sam Altman back at
OpenAI
PM Modi unveils Ram
Mandir stamps: A
historic moment in
Indian culture
Turkey earthquake
India GDP data:
Economic growth
accelerates to above
8%
India okays $15B of
milestone chip plant
investments
Bitcoin surges to $60K
BlackRock launched its
first-ever spot bitcoin
ETF
Fed hints three rate
cuts in 2024
Nifty & BankNifty
reach all-time high
RBI MPC keeps rates
unchanged again
SEBI proposes same-
day settlement (T-0)
Red Sea Crisis
Lionel Messi wins the
eighth Ballon d’Or
2023
FM Nirmala
Sitharaman launches
12 GST seva kendras
in Vapi, Gujarat
Australia won the ICC
Cricket World Cup
2023
T+0 settlement
mechanism
The top stocks list for FY24 is dominated by the Capital Equipment sector. In addition, Financials, Energy, Consumer Cyclical, and
Technology also made a mark in FY24. In Q1 FY24, Nifty advanced more than 15% in the first four months. There was a strong move in
Midcap and Smallcap stocks as well. Both indices advanced more than 40% in the first five months of FY24. The market experienced
correction and consolidation during August–October. However, the uptrend resumed again, and the indices ended the year near their all-
time highs. In FY24, Nifty advanced 29%, while Midcap and Smallcap closed 60% and 70% higher, respectively.
This book highlights the top stocks that have met the screening criteria listed below. It begins with charts annotated by MarketSmith India’s
Product Coaches, illustrating the type of technical and fundamental analysis essential for post-analysis. Charts for the selected stocks are
accompanied by an article outlining the fundamental and growth story of each stock.
Screening Criteria:
• Stock price as of March 31, 2023 ≥ Rs 20.
• Market Cap as of March 31, 2023 ≥ Rs 1,000 crore.
• Average Daily Rupee Volume on March 31, 2023 ≥ Rs 1,00,00,000.
• Top 30 gainers in FY24 fulfilling all the above criteria.
Featured Stocks
-11-
© 2024 williamoneilindia [email protected]
Technology also made a mark in FY24. In Q1 FY24, Nifty advanced more than 15% in the first four months. There was a strong move in
Midcap and Smallcap stocks as well. Both indices advanced more than 40% in the first five months of FY24. The market experienced
correction and consolidation during August–October. However, the uptrend resumed again, and the indices ended the year near their all-
time highs. In FY24, Nifty advanced 29%, while Midcap and Smallcap closed 60% and 70% higher, respectively.
This book highlights the top stocks that have met the screening criteria listed below. It begins with charts annotated by MarketSmith India’s
Product Coaches, illustrating the type of technical and fundamental analysis essential for post-analysis. Charts for the selected stocks are
accompanied by an article outlining the fundamental and growth story of each stock.
Screening Criteria:
• Stock price as of March 31, 2023 ≥ Rs 20.
• Market Cap as of March 31, 2023 ≥ Rs 1,000 crore.
• Average Daily Rupee Volume on March 31, 2023 ≥ Rs 1,00,00,000.
• Top 30 gainers in FY24 fulfilling all the above criteria.
Featured Stocks
-11-
© 2024 williamoneilindia [email protected]
INDEX
Stock
Waaree Renewable Technologies
Force Motors
Bse
Inox Wind
KPI Green Energy
Electrosteel Castings
Indian Railway Finance Corporation
Hbl Power Systems
Anand Rathi Wealth
Schneider Electric Infr.
Housing And Urban Development Corporation
Mngl.Ref.& Petrochem.
Kalyan Jewellers India
Sanghvi Movers
Jupiter Wagons
REC
Ircon International Limited
Tarc
Texmaco Rail & Engr.
Satluj Jal Vidyut Nigam
Chennai Petroleum
Energy
Consumer Cyclical
Financial
Energy
Energy
Consumer Cyclical
Financial
Capital Equipment
Financial
Capital Equipment
Financial
Energy
Retail
Capital Equipment
Consumer Cyclical
Financial
Capital Equipment
Financial
Capital Equipment
Energy
Energy
Energy-Alternative/Other
Auto Manufacturers
Financial Svcs-Specialty
Energy-Alternative/Other
Energy-Alternative/Other
Bldg-Constr Prds/Misc
Finance-Investment Mgmt
Electrical-Power/Equipmt
Finance-Investment Mgmt
Electrical-Power/Equipmt
Finance-Consumer Loans
Oil&Gas-Refining/Mktg
Retail/Whlsle-Jewelry
Comml Svcs-Leasing
Auto/Truck-Original Eqp
Financial Svcs-Specialty
Bldg-Heavy Construction
Finance-Property REIT
Machinery-Constr/Mining
Energy-Alternative/Other
Oil&Gas-Refining/Mktg
785%
487%
460%
459%
435%
432%
412%
366%
356%
355%
318%
307%
305%
291%
287%
285%
278%
273%
271%
267%
267%
FY23 gain % Sector Name Industry Group
-16-
© 2024 williamoneilindia [email protected]
Stock
Waaree Renewable Technologies
Force Motors
Bse
Inox Wind
KPI Green Energy
Electrosteel Castings
Indian Railway Finance Corporation
Hbl Power Systems
Anand Rathi Wealth
Schneider Electric Infr.
Housing And Urban Development Corporation
Mngl.Ref.& Petrochem.
Kalyan Jewellers India
Sanghvi Movers
Jupiter Wagons
REC
Ircon International Limited
Tarc
Texmaco Rail & Engr.
Satluj Jal Vidyut Nigam
Chennai Petroleum
Energy
Consumer Cyclical
Financial
Energy
Energy
Consumer Cyclical
Financial
Capital Equipment
Financial
Capital Equipment
Financial
Energy
Retail
Capital Equipment
Consumer Cyclical
Financial
Capital Equipment
Financial
Capital Equipment
Energy
Energy
Energy-Alternative/Other
Auto Manufacturers
Financial Svcs-Specialty
Energy-Alternative/Other
Energy-Alternative/Other
Bldg-Constr Prds/Misc
Finance-Investment Mgmt
Electrical-Power/Equipmt
Finance-Investment Mgmt
Electrical-Power/Equipmt
Finance-Consumer Loans
Oil&Gas-Refining/Mktg
Retail/Whlsle-Jewelry
Comml Svcs-Leasing
Auto/Truck-Original Eqp
Financial Svcs-Specialty
Bldg-Heavy Construction
Finance-Property REIT
Machinery-Constr/Mining
Energy-Alternative/Other
Oil&Gas-Refining/Mktg
785%
487%
460%
459%
435%
432%
412%
366%
356%
355%
318%
307%
305%
291%
287%
285%
278%
273%
271%
267%
267%
FY23 gain % Sector Name Industry Group
-16-
© 2024 williamoneilindia [email protected]
INDEX
Stock
266%
263%
257%
254%
252%
251%
250%
247%
246%
Health Care
Capital Equipment
Technology
Technology
Financial
Retail
Capital Equipment
Technology
Capital Equipment
FY23 gain % Sector Name Industry Group
Medical-Generic Drugs
Transportation-Equip Mfg
Comp Sftwr-Spec Enterprs
Elec-Misc Products
Finance-Investment Mgmt
Retail-Internet
Electrical-Power/Equipmt
Telecom Svcs-Integrated
Machinery-Constr/Mining
-17-
Wockhardt
Cochin Shipyard
Newgen Software Techs
Bharat Heavy Electricals Ltd
Tata Investment
Zomato
Voltamp Transformers
Railtel Corporation Of India
Action Construction Equ.
© 2024 williamoneilindia [email protected]
Stock
266%
263%
257%
254%
252%
251%
250%
247%
246%
Health Care
Capital Equipment
Technology
Technology
Financial
Retail
Capital Equipment
Technology
Capital Equipment
FY23 gain % Sector Name Industry Group
Medical-Generic Drugs
Transportation-Equip Mfg
Comp Sftwr-Spec Enterprs
Elec-Misc Products
Finance-Investment Mgmt
Retail-Internet
Electrical-Power/Equipmt
Telecom Svcs-Integrated
Machinery-Constr/Mining
-17-
Wockhardt
Cochin Shipyard
Newgen Software Techs
Bharat Heavy Electricals Ltd
Tata Investment
Zomato
Voltamp Transformers
Railtel Corporation Of India
Action Construction Equ.
© 2024 williamoneilindia [email protected]
Waaree Renewable Technologies
-18-
Energy
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-18-
Energy
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Waaree Renewables Technology
Company Overview
Waaree Renewables Technology Limited (WRTL) is a subsidiary of the Waaree Group and is at the forefront of the
Solar EPC business. With a strong track record, Waaree Group has successfully installed over 10,000 solar projects,
boasting a total operating capacity exceeding 600 MW. Additionally, the company is active as a solar developer,
engaging in the financing, construction, ownership, and operation of solar projects. WRTL has 897+ MW project sites
in the planning and execution phase and 1.5+ GW (more than 50 projects) ground mounted sites in India and
abroad.
FY24 Growth Drivers
The stock experienced a significant rally starting in Q3 FY24. The company successfully executed orders totaling 264 MW in the first half of FY24, leading to a 29% y/y
revenue growth to 279 crore. In Q3 FY24, revenue notably increased to Rs 324 crore. The company also maintained an unexecuted order book of 897 MW by the end
of Q3 FY24 and boasts a robust client base that includes top companies such as Reliance, Adani, L&T, NTPC, and Jindal Steel & Power.
India is poised to lead global energy demand due to its expansive size and promising growth prospects. Over the next five years, solar and wind capacity is expected to
double to 218 GW, while energy storage capacity will rise significantly to 7–11 GW. These advancements are driven by government efforts to enhance grid stability and
accommodate the growing renewable energy sector.
To accelerate growth in the EPC segment WRTL is prioritizing evaluating opportunities in both international and domestic markets. Also, it is actively engaged in bidding
processes and provides a holistic renewable energy ecosystem (from modules to storage solutions) to effectively attract and win clients. In the Operation and
Maintenance segment, it has a 490+ MW portfolio. It has achieved 99%+ of plant availability time. WRTL is leveraging tech-based data analytics, technical audits,
consulting, and R&D to improve overall plant efficiency.
WRTL is venturing into the green hydrogen sector, working towards setting up a 1 MW Green Hydrogen Plant on a Build-Operate-Build (BOB) basis, with a fully
integrated ecosystem. The company is in alignment with the National Green Hydrogen Mission's aim to scale up Electrolyzer technologies, including GH2 component
manufacturing in India. WRTL's strategic focus includes collaborating across the hydrogen value chain, potentially establishing an Electrolyzer gigafactory, and
exploring opportunities to develop a Hydrogen valley in India.
Analyzing through O’Neil Lens
The stock advanced 787% in FY24. It formed a stage-four cup-with-handle base across August-November. After the breakout, it failed to move higher and tested its
50-DMA. Once it rebounded from there it advanced ~6x in just four months. Most of the time, it was locked in a 5% circuit. It has superior ratings: EPS Rank 71, RS
Rating of 99, and Acc/Dist Rating of A+. Currently, the stock is trading at a new high. It is part of the exchange’s surveillance list (the ASM LT: Stage 4).
-19-
Energy
Waaree Renewables Technology
Company Overview
Waaree Renewables Technology Limited (WRTL) is a subsidiary of the Waaree Group and is at the forefront of the
Solar EPC business. With a strong track record, Waaree Group has successfully installed over 10,000 solar projects,
boasting a total operating capacity exceeding 600 MW. Additionally, the company is active as a solar developer,
engaging in the financing, construction, ownership, and operation of solar projects. WRTL has 897+ MW project sites
in the planning and execution phase and 1.5+ GW (more than 50 projects) ground mounted sites in India and
abroad.
FY24 Growth Drivers
The stock experienced a significant rally starting in Q3 FY24. The company successfully executed orders totaling 264 MW in the first half of FY24, leading to a 29% y/y
revenue growth to 279 crore. In Q3 FY24, revenue notably increased to Rs 324 crore. The company also maintained an unexecuted order book of 897 MW by the end
of Q3 FY24 and boasts a robust client base that includes top companies such as Reliance, Adani, L&T, NTPC, and Jindal Steel & Power.
India is poised to lead global energy demand due to its expansive size and promising growth prospects. Over the next five years, solar and wind capacity is expected to
double to 218 GW, while energy storage capacity will rise significantly to 7–11 GW. These advancements are driven by government efforts to enhance grid stability and
accommodate the growing renewable energy sector.
To accelerate growth in the EPC segment WRTL is prioritizing evaluating opportunities in both international and domestic markets. Also, it is actively engaged in bidding
processes and provides a holistic renewable energy ecosystem (from modules to storage solutions) to effectively attract and win clients. In the Operation and
Maintenance segment, it has a 490+ MW portfolio. It has achieved 99%+ of plant availability time. WRTL is leveraging tech-based data analytics, technical audits,
consulting, and R&D to improve overall plant efficiency.
WRTL is venturing into the green hydrogen sector, working towards setting up a 1 MW Green Hydrogen Plant on a Build-Operate-Build (BOB) basis, with a fully
integrated ecosystem. The company is in alignment with the National Green Hydrogen Mission's aim to scale up Electrolyzer technologies, including GH2 component
manufacturing in India. WRTL's strategic focus includes collaborating across the hydrogen value chain, potentially establishing an Electrolyzer gigafactory, and
exploring opportunities to develop a Hydrogen valley in India.
Analyzing through O’Neil Lens
The stock advanced 787% in FY24. It formed a stage-four cup-with-handle base across August-November. After the breakout, it failed to move higher and tested its
50-DMA. Once it rebounded from there it advanced ~6x in just four months. Most of the time, it was locked in a 5% circuit. It has superior ratings: EPS Rank 71, RS
Rating of 99, and Acc/Dist Rating of A+. Currently, the stock is trading at a new high. It is part of the exchange’s surveillance list (the ASM LT: Stage 4).
-19-
Energy
Force Motors
-20-
Consumer Cyclical
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-20-
Consumer Cyclical
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
FORCE MOTORS
Company Overview
Force Motors stands as a fully integrated force in the automotive industry, boasting extensive expertise in the design,
development, and manufacture of automotive components, aggregates, and vehicles. Notably, the company has
forged a strategic alliance with the renowned global entity, Rolls Royce Power System, enabling the creation and
assembly of engines tailored for power generation and rail underfloor applications. Additionally, Force Motors plays a
pivotal role as a key engine assembler for prestigious automobile brands such as Mercedes, BMW, and Rolls-Royce,
underscoring its significant presence and importance within the automotive sector. Leveraging its broad capabilities
and strategic partnerships, the company solidifies its position as a prominent player in the automotive realm, both
domestically and internationally.
FY24 Growth Drivers
Force Motors’ revenue witnessed a remarkable 55% y/y surge in FY23 to INR 324,042 lakh. This substantial revenue growth was coupled with a significant turnaround
in profitability. PAT was INR 13,374 lakh, a notable improvement from the loss of INR 9,099 lakh in the preceding year. The staggering 246% y/y increase in PAT
indicates the effectiveness of the company’s strategic initiatives and operational efficiencies, with a projected growth trajectory of 11–12% in the upcoming years.
Moreover, net income increased 22% y/y, indicating its resurgence from the impact of the COVID-19 pandemic and the subsequent reopening of industries.
Demonstrating its commitment to innovation and expansion, Force Motors made substantial investments in three new ground-up platforms. The T1N platform, now
named Urbania, has commenced serial production with the aim of creating a new segment for premium mobility, catering to areas such as Premium Tour and Travel
and Premium Hospitality within the domestic market. Another noteworthy platform, the Monobus or T3 Platform, serves as a significant product differentiator developed
under the guidance of the chairman, positioning Force Motors as a market leader. Additionally, the Trax Platform, a modular utility vehicle-based platform, reflects the
company’s focus on providing application-friendly solutions, particularly addressing transportation needs in tier 2 and tier 3 cities.
Furthermore, Force Motors’ joint venture with Rolls Royce has emerged as a crucial revenue contributor, generating a turnover of INR 240 crore, with expectations of
INR 500 crore in the near future. Aligning with its ambitious expansion plans, the company has escalated its capex and pledged to adopt a more aggressive approach
by investing INR 1,000 crore over the next three years. Additionally, shareholders were rewarded with a 100% dividend of INR 10 per share, reflecting the company’s
robust financial health and commitment to enhancing shareholder value.
Analyzing through O’Neil Lens
The stock advanced 594% in FY23. It had formed a cup-without -handle base during the start of the year. After the breakout in the first week of June 2023, it had
advanced 165% from the pivot in just five months. The accumulation was very strong during the uptrend as it formed the base and broke out in late February. It then
advanced 71% from the pivot in two months. It continues to enjoy superior ratings: EPS Rank 74, RS Rating of 96, and A/D Rating of A+. Currently, the stock is trading
above its 50-DMA and is in a strong uptrend as it witnesses a prominent investor demand. However, the volume continues to remain moderate as new investors try to
get in and value investors are unlocking potentials of the company as the stock trending higher. Recently, it broke out of a double-bottom base. It sees upside potential
as the overall market seems to be in a bullish phase as the automobile sector is outperforming other sectors.
-21-
Consumer Cyclical
FORCE MOTORS
Company Overview
Force Motors stands as a fully integrated force in the automotive industry, boasting extensive expertise in the design,
development, and manufacture of automotive components, aggregates, and vehicles. Notably, the company has
forged a strategic alliance with the renowned global entity, Rolls Royce Power System, enabling the creation and
assembly of engines tailored for power generation and rail underfloor applications. Additionally, Force Motors plays a
pivotal role as a key engine assembler for prestigious automobile brands such as Mercedes, BMW, and Rolls-Royce,
underscoring its significant presence and importance within the automotive sector. Leveraging its broad capabilities
and strategic partnerships, the company solidifies its position as a prominent player in the automotive realm, both
domestically and internationally.
FY24 Growth Drivers
Force Motors’ revenue witnessed a remarkable 55% y/y surge in FY23 to INR 324,042 lakh. This substantial revenue growth was coupled with a significant turnaround
in profitability. PAT was INR 13,374 lakh, a notable improvement from the loss of INR 9,099 lakh in the preceding year. The staggering 246% y/y increase in PAT
indicates the effectiveness of the company’s strategic initiatives and operational efficiencies, with a projected growth trajectory of 11–12% in the upcoming years.
Moreover, net income increased 22% y/y, indicating its resurgence from the impact of the COVID-19 pandemic and the subsequent reopening of industries.
Demonstrating its commitment to innovation and expansion, Force Motors made substantial investments in three new ground-up platforms. The T1N platform, now
named Urbania, has commenced serial production with the aim of creating a new segment for premium mobility, catering to areas such as Premium Tour and Travel
and Premium Hospitality within the domestic market. Another noteworthy platform, the Monobus or T3 Platform, serves as a significant product differentiator developed
under the guidance of the chairman, positioning Force Motors as a market leader. Additionally, the Trax Platform, a modular utility vehicle-based platform, reflects the
company’s focus on providing application-friendly solutions, particularly addressing transportation needs in tier 2 and tier 3 cities.
Furthermore, Force Motors’ joint venture with Rolls Royce has emerged as a crucial revenue contributor, generating a turnover of INR 240 crore, with expectations of
INR 500 crore in the near future. Aligning with its ambitious expansion plans, the company has escalated its capex and pledged to adopt a more aggressive approach
by investing INR 1,000 crore over the next three years. Additionally, shareholders were rewarded with a 100% dividend of INR 10 per share, reflecting the company’s
robust financial health and commitment to enhancing shareholder value.
Analyzing through O’Neil Lens
The stock advanced 594% in FY23. It had formed a cup-without -handle base during the start of the year. After the breakout in the first week of June 2023, it had
advanced 165% from the pivot in just five months. The accumulation was very strong during the uptrend as it formed the base and broke out in late February. It then
advanced 71% from the pivot in two months. It continues to enjoy superior ratings: EPS Rank 74, RS Rating of 96, and A/D Rating of A+. Currently, the stock is trading
above its 50-DMA and is in a strong uptrend as it witnesses a prominent investor demand. However, the volume continues to remain moderate as new investors try to
get in and value investors are unlocking potentials of the company as the stock trending higher. Recently, it broke out of a double-bottom base. It sees upside potential
as the overall market seems to be in a bullish phase as the automobile sector is outperforming other sectors.
-21-
Consumer Cyclical
© 2024 williamoneilindia [email protected]
BSE
Company Overview
Formerly known as the Bombay Stock Exchange, the BSE holds the distinction of being the world’s fastest stock
exchange, boasting an unparalleled speed of six microseconds. With a storied legacy spanning 143 years, the BSE
has played a pivotal role in fostering growth of the Indian corporate sector by providing a robust and efficient
platform for capital raising. It facilitates trading for a diverse range of financial instruments including equity,
currencies, debt instruments, derivatives, and mutual funds. Particularly noteworthy is the BSE SME, India’s largest SME
platform, which hosts 250+ listed companies and has been experiencing steady growth. The BSE continues to be a
driving force in propelling India’s financial ecosystem forward.
FY24 Growth Drivers
In Q3 FY24, the BSE achieved its highest-ever quarterly revenue of INR 431.5 crore, up 76% y/y. Net profit also doubled to INR 108.2 crore, highlighting the
exchange’s robust growth trajectory. Particularly noteworthy were its equity, equity derivatives, and mutual fund distribution segments, which emerged as key drivers of
this growth, with transaction charges increasing 163% y/y. A standout highlight was the performance of the equity derivatives segment, complemented by an increase
in processing capacity for orders, which soared to INR 800 crore. Additionally, the mutual fund distribution segment exhibited strong performance, with revenue
growing 55% y/y to INR 32.84 crore and transactions witnessing a notable uptick of 60% y/y.
The BSE maintains a strong financial position, evidenced by a net cash surplus of approximately INR 2,000 crore, indicative of its sound fiscal management and
stability. The investment income stood out as a top performer, recording INR 54.57 crore in consolidated business and INR 41.2 crore in stand-alone treasury income
for the current quarter. This underscores the effectiveness of revenue optimization strategies and the exchange’s commitment to enhance profitability. Additionally, the
BSE’s trading volumes reflect significant allocation, with 82% of volumes allocated to Sensex options and the remainder to Bankex options, further highlighting its
prominence in the derivatives market.
Furthermore, the BSE demonstrates its commitment to financial resilience through substantial reserves in the settlement guarantee fund (SGF), totaling INR 916 crore.
Contributions to the SGF are segmented, with INR 381 crore allocated for equity, INR 100 crore for equity derivatives, and a substantial INR 400 crore for currency
derivatives. The SGF’s doubling trend over an unspecified period reflects both incremental growth and segment-specific nuances, indicating the exchange’s proactive
approach toward risk management and safeguarding market integrity. The BSE’s strong financial performance, coupled with prudent risk management measures,
positions it as a leading player in the Indian capital market, poised for sustained growth and continued value creation for stakeholders.
Analyzing through O’Neil Lens
The stock advanced 558% and has been a consistent gainer in FY24. Its momentum has continued to advance as the year kicked off with robust growth. The
accumulation was very strong during the uptrend as it formed two cup-without-handle bases and gave a breakout in March. It has been advancing from its pivot since
then. It continues to enjoy superior ratings: EPS Rank 96, RS Rating of 97, and A/D Rating of A+.
-23-
Financial
BSE
Company Overview
Formerly known as the Bombay Stock Exchange, the BSE holds the distinction of being the world’s fastest stock
exchange, boasting an unparalleled speed of six microseconds. With a storied legacy spanning 143 years, the BSE
has played a pivotal role in fostering growth of the Indian corporate sector by providing a robust and efficient
platform for capital raising. It facilitates trading for a diverse range of financial instruments including equity,
currencies, debt instruments, derivatives, and mutual funds. Particularly noteworthy is the BSE SME, India’s largest SME
platform, which hosts 250+ listed companies and has been experiencing steady growth. The BSE continues to be a
driving force in propelling India’s financial ecosystem forward.
FY24 Growth Drivers
In Q3 FY24, the BSE achieved its highest-ever quarterly revenue of INR 431.5 crore, up 76% y/y. Net profit also doubled to INR 108.2 crore, highlighting the
exchange’s robust growth trajectory. Particularly noteworthy were its equity, equity derivatives, and mutual fund distribution segments, which emerged as key drivers of
this growth, with transaction charges increasing 163% y/y. A standout highlight was the performance of the equity derivatives segment, complemented by an increase
in processing capacity for orders, which soared to INR 800 crore. Additionally, the mutual fund distribution segment exhibited strong performance, with revenue
growing 55% y/y to INR 32.84 crore and transactions witnessing a notable uptick of 60% y/y.
The BSE maintains a strong financial position, evidenced by a net cash surplus of approximately INR 2,000 crore, indicative of its sound fiscal management and
stability. The investment income stood out as a top performer, recording INR 54.57 crore in consolidated business and INR 41.2 crore in stand-alone treasury income
for the current quarter. This underscores the effectiveness of revenue optimization strategies and the exchange’s commitment to enhance profitability. Additionally, the
BSE’s trading volumes reflect significant allocation, with 82% of volumes allocated to Sensex options and the remainder to Bankex options, further highlighting its
prominence in the derivatives market.
Furthermore, the BSE demonstrates its commitment to financial resilience through substantial reserves in the settlement guarantee fund (SGF), totaling INR 916 crore.
Contributions to the SGF are segmented, with INR 381 crore allocated for equity, INR 100 crore for equity derivatives, and a substantial INR 400 crore for currency
derivatives. The SGF’s doubling trend over an unspecified period reflects both incremental growth and segment-specific nuances, indicating the exchange’s proactive
approach toward risk management and safeguarding market integrity. The BSE’s strong financial performance, coupled with prudent risk management measures,
positions it as a leading player in the Indian capital market, poised for sustained growth and continued value creation for stakeholders.
Analyzing through O’Neil Lens
The stock advanced 558% and has been a consistent gainer in FY24. Its momentum has continued to advance as the year kicked off with robust growth. The
accumulation was very strong during the uptrend as it formed two cup-without-handle bases and gave a breakout in March. It has been advancing from its pivot since
then. It continues to enjoy superior ratings: EPS Rank 96, RS Rating of 97, and A/D Rating of A+.
-23-
Financial
© 2024 williamoneilindia [email protected]
Inox Wind
Company Overview
Inox Wind Limited operates as an integrated wind energy solutions provider based in India. The company’s primary
focus lies in manufacturing and marketing wind turbine generators (WTGs), along with providing a comprehensive
range of services such as erection, procurement, commissioning, operations and maintenance, as well as common
infrastructure facilities for WTGs and wind farm development. Offering a diverse product lineup including models like
Inox DF 93.3, Inox DF 100, and Inox DF 113, Inox Wind serves a wide range of clients including independent power
producers, utilities, public sector undertakings, corporate entities, and retail investors. With a combined
manufacturing capacity of approximately 1,600 MW, the company operates manufacturing facilities in Gujarat,
Himachal Pradesh, and Madhya Pradesh. The production of blades and tubular towers takes place at the facility near
Ahmedabad, Gujarat, while hubs and nacelles are manufactured at the Una facility, in Himachal Pradesh.
FY24 Growth Drivers
Inox Wind demonstrated remarkable financial performance in Q3 FY24. Revenue increased 113% to INR 506.9 crore compared with INR 237.7 crore in Q3 FY23. This
robust growth trajectory was further highlighted by a notable turnaround in EBITDA. EBITDA was INR 99.5 crore in Q3 FY24, compared with an EBITDA loss of INR 172.5
crore in the corresponding period last year. PAT was INR 1.8 crore, compared to loss after tax of INR 287.9 crore in Q3 FY23. These positive outcomes can be attributed to
favorable macroeconomic conditions supporting the company’s expansion plans, particularly with anticipated GDP growth and substantial demand for power projected
over the upcoming years.
Inox Wind’s operational achievements further solidify its position in the renewable energy sector, as evidenced by the successful supply of more than 100 MW in Q3,
including the commencement of supply for the new 3.3 MW turbine. Noteworthy accomplishments include securing a substantial 279 MW order from a major commercial
and industrial player and a 50 MW order from Navratna Central Public Sector Undertaking NLC India. Furthermore, the recent landmark win of a 1,500 MW order from
CESC represents the single largest wind order ever awarded to any OEM in the country. This significantly boosted Inox Wind’s order intake to approximately 1,850 MW in
recent months and elevated its total order book to around 2.6 GW.
Looking ahead, Inox Wind remains steadfast in its commitment to achieve net-debt zero status by the first half of the next financial year, signaling robust financial discipline
and strategic foresight. With India’s ambitious plans to add more than 100 GW of wind power capacity in the next 8–10 years and the current order book standing at 2,575
MW, the company is well-positioned for sustained revenue growth and market leadership. The signing of an exclusive licensing agreement for 4 MW series turbines and the
successful raising of approximately INR 800 crore from global institutional investors further enhance Inox Wind’s financial resilience and underscore its dedication to
advance sustainable energy solutions for India’s future.
Analyzing through O’Neil Lens
The stock advanced 585% in FY24. It broke out of a cup-without-handle base in late May 2023. After the breakout in the first week of June 2023, it had advanced 91%
from the pivot in just two months. The accumulation was very strong during the uptrend as it formed a consolidation base and gave a breakout in early November 2023. It
then advanced 190% from the pivot in four months. It continues to enjoy superior ratings: EPS Rank 55, RS Rating of 95, and A/D Rating of A-. Currently, the stock is trading
above its 50-DMA and more than 10% off highs. However, the volume continues to remain stagnant as the stock advances to new levels and hits a new all-time high.
-25-
Energy
Inox Wind
Company Overview
Inox Wind Limited operates as an integrated wind energy solutions provider based in India. The company’s primary
focus lies in manufacturing and marketing wind turbine generators (WTGs), along with providing a comprehensive
range of services such as erection, procurement, commissioning, operations and maintenance, as well as common
infrastructure facilities for WTGs and wind farm development. Offering a diverse product lineup including models like
Inox DF 93.3, Inox DF 100, and Inox DF 113, Inox Wind serves a wide range of clients including independent power
producers, utilities, public sector undertakings, corporate entities, and retail investors. With a combined
manufacturing capacity of approximately 1,600 MW, the company operates manufacturing facilities in Gujarat,
Himachal Pradesh, and Madhya Pradesh. The production of blades and tubular towers takes place at the facility near
Ahmedabad, Gujarat, while hubs and nacelles are manufactured at the Una facility, in Himachal Pradesh.
FY24 Growth Drivers
Inox Wind demonstrated remarkable financial performance in Q3 FY24. Revenue increased 113% to INR 506.9 crore compared with INR 237.7 crore in Q3 FY23. This
robust growth trajectory was further highlighted by a notable turnaround in EBITDA. EBITDA was INR 99.5 crore in Q3 FY24, compared with an EBITDA loss of INR 172.5
crore in the corresponding period last year. PAT was INR 1.8 crore, compared to loss after tax of INR 287.9 crore in Q3 FY23. These positive outcomes can be attributed to
favorable macroeconomic conditions supporting the company’s expansion plans, particularly with anticipated GDP growth and substantial demand for power projected
over the upcoming years.
Inox Wind’s operational achievements further solidify its position in the renewable energy sector, as evidenced by the successful supply of more than 100 MW in Q3,
including the commencement of supply for the new 3.3 MW turbine. Noteworthy accomplishments include securing a substantial 279 MW order from a major commercial
and industrial player and a 50 MW order from Navratna Central Public Sector Undertaking NLC India. Furthermore, the recent landmark win of a 1,500 MW order from
CESC represents the single largest wind order ever awarded to any OEM in the country. This significantly boosted Inox Wind’s order intake to approximately 1,850 MW in
recent months and elevated its total order book to around 2.6 GW.
Looking ahead, Inox Wind remains steadfast in its commitment to achieve net-debt zero status by the first half of the next financial year, signaling robust financial discipline
and strategic foresight. With India’s ambitious plans to add more than 100 GW of wind power capacity in the next 8–10 years and the current order book standing at 2,575
MW, the company is well-positioned for sustained revenue growth and market leadership. The signing of an exclusive licensing agreement for 4 MW series turbines and the
successful raising of approximately INR 800 crore from global institutional investors further enhance Inox Wind’s financial resilience and underscore its dedication to
advance sustainable energy solutions for India’s future.
Analyzing through O’Neil Lens
The stock advanced 585% in FY24. It broke out of a cup-without-handle base in late May 2023. After the breakout in the first week of June 2023, it had advanced 91%
from the pivot in just two months. The accumulation was very strong during the uptrend as it formed a consolidation base and gave a breakout in early November 2023. It
then advanced 190% from the pivot in four months. It continues to enjoy superior ratings: EPS Rank 55, RS Rating of 95, and A/D Rating of A-. Currently, the stock is trading
above its 50-DMA and more than 10% off highs. However, the volume continues to remain stagnant as the stock advances to new levels and hits a new all-time high.
-25-
Energy
KPI Green Energy
-26-
Energy
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-26-
Energy
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
KPI Green Energy
Company Overview
KPI Green Energy Limited is a key player in India's solar power sector, offering comprehensive solutions across
multiple business verticals. The company specializes in developing, building, owning, operating, and maintaining
solar power plants under the brand Solarism. It operates as both an Independent Power Producer (IPP) and Captive
Power Producer (CPP), focusing on grid-connected solar projects and selling generated power units. It also provides
operation and maintenance services (OMS) and sells land parcels to third parties for solar plant development,
diversifying revenue and expanding market presence. Committed to sustainability, KPI Green Energy plays a crucial
role in India's shift towards cleaner energy sources.
FY24 Growth Drivers
In Q3 FY24, KPI Green delivered outstanding results, with revenue surging 59% y/y to Rs 734 crore. The company also achieved 52% y/y rise in PAT, amounting to Rs
118 crore. These impressive figures highlight KPI Green's strong market position and its ability to seize growth opportunities in its sector. Additionally, the consolidated
CPP Sales for 9M FY24 exhibited substantial growth of 53%, totaling Rs 609 crore Furthermore, the Independent Power Producer (IPP) revenue saw a significant 95%
increase to Rs 123 crore, demonstrating the company's diversified revenue streams and strategic expansion endeavors. The company's standout achievement of the
quarter was successfully raising Rs 300 crore through a Qualified Institutional Placement (QIP), issuing shares to Qualified Institutional Buyers (QIBs), which marks a
significant milestone in its journey.
Utilizing technological advancements, the company integrates Bifacial glass-to-glass solar panels (Mono PERC halfcut solar panels) to boost efficiency and optimize
space utilization. Implementing a single Axis sun-tracker through a mechatronics system increases generation by approximately 20%. Additionally, they have invested in
in-house development of Robotics for waterless Robotic cleaning via research and development efforts. KPI Green is leveraging a centralized monitoring system (CMS),
which enhances monitoring, analysis, and overall performance to ensure efficiency across operations.
The company has ventured into a hybrid model of solar and wind energy. It has significantly contributed to grid stability. The innovative approach combines the
strengths of both solar and wind energy, resulting in a more reliable, efficient, and sustainable method of renewable energy generation. Additionally, the hybrid model
optimizes commercial aspects such as transmission charges and grid capacity utilization, further enhancing its overall effectiveness and value.
Analyzing through O’Neil Lens
The stock advanced 435% in FY24. It formed a cup base for the first two months of FY24. After the breakout in the first week of May, it advanced 90% in just two
months. The accumulation was very strong during the uptrend. It formed another consolidation base and gave a breakout in the first week of December and advanced
210% in just four months. It continues to enjoy superior ratings: EPS Rank 98, RS Rating of 97, and Acc/Dist Rating of A-. Currently, the stock is trading above its 50-
DMA, near all-time highs.
-27-
Energy
KPI Green Energy
Company Overview
KPI Green Energy Limited is a key player in India's solar power sector, offering comprehensive solutions across
multiple business verticals. The company specializes in developing, building, owning, operating, and maintaining
solar power plants under the brand Solarism. It operates as both an Independent Power Producer (IPP) and Captive
Power Producer (CPP), focusing on grid-connected solar projects and selling generated power units. It also provides
operation and maintenance services (OMS) and sells land parcels to third parties for solar plant development,
diversifying revenue and expanding market presence. Committed to sustainability, KPI Green Energy plays a crucial
role in India's shift towards cleaner energy sources.
FY24 Growth Drivers
In Q3 FY24, KPI Green delivered outstanding results, with revenue surging 59% y/y to Rs 734 crore. The company also achieved 52% y/y rise in PAT, amounting to Rs
118 crore. These impressive figures highlight KPI Green's strong market position and its ability to seize growth opportunities in its sector. Additionally, the consolidated
CPP Sales for 9M FY24 exhibited substantial growth of 53%, totaling Rs 609 crore Furthermore, the Independent Power Producer (IPP) revenue saw a significant 95%
increase to Rs 123 crore, demonstrating the company's diversified revenue streams and strategic expansion endeavors. The company's standout achievement of the
quarter was successfully raising Rs 300 crore through a Qualified Institutional Placement (QIP), issuing shares to Qualified Institutional Buyers (QIBs), which marks a
significant milestone in its journey.
Utilizing technological advancements, the company integrates Bifacial glass-to-glass solar panels (Mono PERC halfcut solar panels) to boost efficiency and optimize
space utilization. Implementing a single Axis sun-tracker through a mechatronics system increases generation by approximately 20%. Additionally, they have invested in
in-house development of Robotics for waterless Robotic cleaning via research and development efforts. KPI Green is leveraging a centralized monitoring system (CMS),
which enhances monitoring, analysis, and overall performance to ensure efficiency across operations.
The company has ventured into a hybrid model of solar and wind energy. It has significantly contributed to grid stability. The innovative approach combines the
strengths of both solar and wind energy, resulting in a more reliable, efficient, and sustainable method of renewable energy generation. Additionally, the hybrid model
optimizes commercial aspects such as transmission charges and grid capacity utilization, further enhancing its overall effectiveness and value.
Analyzing through O’Neil Lens
The stock advanced 435% in FY24. It formed a cup base for the first two months of FY24. After the breakout in the first week of May, it advanced 90% in just two
months. The accumulation was very strong during the uptrend. It formed another consolidation base and gave a breakout in the first week of December and advanced
210% in just four months. It continues to enjoy superior ratings: EPS Rank 98, RS Rating of 97, and Acc/Dist Rating of A-. Currently, the stock is trading above its 50-
DMA, near all-time highs.
-27-
Energy
Electrosteel (Nse) Castings
-28-
Consumer Cyclical
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-28-
Consumer Cyclical
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Electrosteel Casting Limited
Company Overview
Electrosteel Casting Limited (ECL) boasts over six decades of expertise in the water infrastructure sector. As the primary
manufacturer of Ductile Iron (DI) pipes in the Indian subcontinent, they have a production capacity of 7,00,000 TPA
distributed across five distinct facilities. Currently, ECL is India's leading producer of DI pipes and ranks as the third
largest producer of Ductile Iron Spun pipes globally. ECL’s pipes and fittings are exported to over 110 countries
spanning five continents. The company caters to a large customer base spread around the Indian subcontinent,
Europe, North and South America, Southeast Asia, the Middle East, and Africa.
FY24 Growth Drivers
ECL achieved its highest-ever quarterly EBITDA of Rs 429 crore and PAT of Rs 263 crore. This remarkable performance was on the back of an income of Rs 1,892
crore, primarily driven by robust demand in the domestic markets. This heightened demand can be attributed to initiatives such as the government's Jal Jeevan Mission,
AMRUT, and irrigation scheme. On the margin front, ECL registered its highest ever EBITDA margin of 22.7%. The company has a healthy order book of 6,00,000
tons, which provides us with visibility for 9–10 months.
The interim budget for 2024–25, envisioning a developed India by 2047 (Viksit Bharat), is set to significantly boost infrastructure spending. This will greatly benefit the
company, especially in critical areas like maintaining continuous, safe drinking water, sewage management, irrigation, and more. Consequently, the demand for
ductile iron pipes is expected to increase substantially. Additionally, around 5 crore households are still awaiting connection to drinking water taps under the Jal Jeevan
Scheme, indicating significant upcoming work that will drive demand for ECL's products. Moreover, there are ongoing global infrastructure projects related to water
pipelines, further contributing to the demand for the company’s offerings.
The company has invested Rs 340 crore so far in its expansion plan, which has a total budget of Rs 650 crore. The ongoing CAPEX is proceeding according to
schedule. The new capacity is expected to start operations by the second half of FY25, increasing the company's overall capacity to 9 lakh tons per annum.
Analyzing through O’Neil Lens
The stock advanced 257% in FY24. It broke out of a cup base in May. After the breakout, it started its upward journey and advanced 4x by February. The
accumulation was very strong during the uptrend. It traded above its 50-DMA throughout the year. It continues to enjoy superior ratings: EPS Rank 75, RS Rating of 96,
and an Acc/Dist Rating of A. Currently, the stock is forming a cup base. It is just 6% below its pivot.
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Consumer Cyclical
Electrosteel Casting Limited
Company Overview
Electrosteel Casting Limited (ECL) boasts over six decades of expertise in the water infrastructure sector. As the primary
manufacturer of Ductile Iron (DI) pipes in the Indian subcontinent, they have a production capacity of 7,00,000 TPA
distributed across five distinct facilities. Currently, ECL is India's leading producer of DI pipes and ranks as the third
largest producer of Ductile Iron Spun pipes globally. ECL’s pipes and fittings are exported to over 110 countries
spanning five continents. The company caters to a large customer base spread around the Indian subcontinent,
Europe, North and South America, Southeast Asia, the Middle East, and Africa.
FY24 Growth Drivers
ECL achieved its highest-ever quarterly EBITDA of Rs 429 crore and PAT of Rs 263 crore. This remarkable performance was on the back of an income of Rs 1,892
crore, primarily driven by robust demand in the domestic markets. This heightened demand can be attributed to initiatives such as the government's Jal Jeevan Mission,
AMRUT, and irrigation scheme. On the margin front, ECL registered its highest ever EBITDA margin of 22.7%. The company has a healthy order book of 6,00,000
tons, which provides us with visibility for 9–10 months.
The interim budget for 2024–25, envisioning a developed India by 2047 (Viksit Bharat), is set to significantly boost infrastructure spending. This will greatly benefit the
company, especially in critical areas like maintaining continuous, safe drinking water, sewage management, irrigation, and more. Consequently, the demand for
ductile iron pipes is expected to increase substantially. Additionally, around 5 crore households are still awaiting connection to drinking water taps under the Jal Jeevan
Scheme, indicating significant upcoming work that will drive demand for ECL's products. Moreover, there are ongoing global infrastructure projects related to water
pipelines, further contributing to the demand for the company’s offerings.
The company has invested Rs 340 crore so far in its expansion plan, which has a total budget of Rs 650 crore. The ongoing CAPEX is proceeding according to
schedule. The new capacity is expected to start operations by the second half of FY25, increasing the company's overall capacity to 9 lakh tons per annum.
Analyzing through O’Neil Lens
The stock advanced 257% in FY24. It broke out of a cup base in May. After the breakout, it started its upward journey and advanced 4x by February. The
accumulation was very strong during the uptrend. It traded above its 50-DMA throughout the year. It continues to enjoy superior ratings: EPS Rank 75, RS Rating of 96,
and an Acc/Dist Rating of A. Currently, the stock is forming a cup base. It is just 6% below its pivot.
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Consumer Cyclical
Indian Railway Finance Corporation
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Financial
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
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Financial
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
IRFC
Company Overview
Indian Railway Finance Corporation (IRFC) holds a pivotal position in bolstering the Indian Railways’ Infrastructure
Development plan. Serving as the primary financial arm of the Indian Railways, IRFC addresses its entire additional
budgetary needs for capex funding, encompassing rolling stock and diverse railway infrastructure projects. Employing
a leasing model, IRFC facilitates the funding of Indian Railways’ rolling stock and project assets, while also providing
financial support to the Ministry of Railways and other affiliated entities to propel their growth initiatives.
just INR 32,378 crore compared with Rs 66,500 crore a year ago, the company’s net worth soared to approximately INR 45,470 crore. Its fiscal year income witnessed
a remarkable 17.7% y/y increase to INR 23,891 crore from INR 20,298 crore. However, profit in FY22–FY23 grew modestly about 4% to INR 6,337 crore, primarily
due to a one-time adjustment of the weighted average cost of capital and lower-than-anticipated disbursements. To address its funding requirements, IRFC continues to
implement a diversified borrowing strategy encompassing tax-free bonds, external commercial borrowings, domestic market funds, taxable bonds, and loans from
banks and financial institutions.
Railway capital investment, or capex, has been steadily increasing, as evidenced by the Union Budget for FY23–FY24, which allocated a record-high INR 2.4 lakh crore
to the railways, a significant rise from INR 1.59 lakh crore in the preceding year. This surge in investment aligns with the Indian Railways’ goal of achieving net-zero
carbon emissions by 2030, with major investment areas including the construction of new railway lines, track doubling and tripling, electrification, station
redevelopment, freight corridors, introduction of next-generation trains, and establishment of Gati-Shakti terminals. In a bid to enhance operational efficiency and
respond effectively to the evolving demands of the railway industry, IRFC has initiated strategic collaborations through MoUs with organizations such as Rail India
Technical and Economic Service and India Infrastructure Finance Company Limited.
Furthermore, IRFC’s dividend policy underscores the company’s commitment to maximize shareholder value. In addition to the interim dividend of INR 0.80 per equity
share, the board recommended a final payment of INR 0.70 per equity share for FY22–FY23. With a total dividend of INR 1.50 per share on a face value of INR 10
each, IRFC has announced its FY22–FY23 payout, demonstrating its dedication to ewarding its shareholders amid its continued growth trajectory and strategic
endeavors in the railway finance sector.
Analyzing through O’Neil Lens
The stock advanced 423% in FY24. It formed a consolidation base for the first four months of FY24. After the breakout in the last week of July 2023, it had advanced
170% from the pivot in just two months. The accumulation was very strong during the uptrend as it formed a cup-without-handle base and gave a breakout in early
December 2023. It then advanced 110% from the pivot in a month. It continues to enjoy superior ratings: EPS Rank 54, RS Rating of 96, and A/D Rating of B+.
Currently, the stock is trading below its 50-DMA and more than 55% off highs. It has been in the early formation of a double-bottom base for the past three months as
it tips off the new high.
FY24 Growth Drivers
In Q3 FY24, AUM increased 8.63% to INR 4.67 lakh crore from INR 4.29 lakh crore a year ago. Of the total AUM,
approximately 98.73% is directed toward the Indian Railways, with the remaining 1.27% allocated for loans to entities
such as Rail Vikas Nigam and Ircon. Despite the actual disbursement for FY23 falling short of the planned target at
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Financial
IRFC
Company Overview
Indian Railway Finance Corporation (IRFC) holds a pivotal position in bolstering the Indian Railways’ Infrastructure
Development plan. Serving as the primary financial arm of the Indian Railways, IRFC addresses its entire additional
budgetary needs for capex funding, encompassing rolling stock and diverse railway infrastructure projects. Employing
a leasing model, IRFC facilitates the funding of Indian Railways’ rolling stock and project assets, while also providing
financial support to the Ministry of Railways and other affiliated entities to propel their growth initiatives.
just INR 32,378 crore compared with Rs 66,500 crore a year ago, the company’s net worth soared to approximately INR 45,470 crore. Its fiscal year income witnessed
a remarkable 17.7% y/y increase to INR 23,891 crore from INR 20,298 crore. However, profit in FY22–FY23 grew modestly about 4% to INR 6,337 crore, primarily
due to a one-time adjustment of the weighted average cost of capital and lower-than-anticipated disbursements. To address its funding requirements, IRFC continues to
implement a diversified borrowing strategy encompassing tax-free bonds, external commercial borrowings, domestic market funds, taxable bonds, and loans from
banks and financial institutions.
Railway capital investment, or capex, has been steadily increasing, as evidenced by the Union Budget for FY23–FY24, which allocated a record-high INR 2.4 lakh crore
to the railways, a significant rise from INR 1.59 lakh crore in the preceding year. This surge in investment aligns with the Indian Railways’ goal of achieving net-zero
carbon emissions by 2030, with major investment areas including the construction of new railway lines, track doubling and tripling, electrification, station
redevelopment, freight corridors, introduction of next-generation trains, and establishment of Gati-Shakti terminals. In a bid to enhance operational efficiency and
respond effectively to the evolving demands of the railway industry, IRFC has initiated strategic collaborations through MoUs with organizations such as Rail India
Technical and Economic Service and India Infrastructure Finance Company Limited.
Furthermore, IRFC’s dividend policy underscores the company’s commitment to maximize shareholder value. In addition to the interim dividend of INR 0.80 per equity
share, the board recommended a final payment of INR 0.70 per equity share for FY22–FY23. With a total dividend of INR 1.50 per share on a face value of INR 10
each, IRFC has announced its FY22–FY23 payout, demonstrating its dedication to ewarding its shareholders amid its continued growth trajectory and strategic
endeavors in the railway finance sector.
Analyzing through O’Neil Lens
The stock advanced 423% in FY24. It formed a consolidation base for the first four months of FY24. After the breakout in the last week of July 2023, it had advanced
170% from the pivot in just two months. The accumulation was very strong during the uptrend as it formed a cup-without-handle base and gave a breakout in early
December 2023. It then advanced 110% from the pivot in a month. It continues to enjoy superior ratings: EPS Rank 54, RS Rating of 96, and A/D Rating of B+.
Currently, the stock is trading below its 50-DMA and more than 55% off highs. It has been in the early formation of a double-bottom base for the past three months as
it tips off the new high.
FY24 Growth Drivers
In Q3 FY24, AUM increased 8.63% to INR 4.67 lakh crore from INR 4.29 lakh crore a year ago. Of the total AUM,
approximately 98.73% is directed toward the Indian Railways, with the remaining 1.27% allocated for loans to entities
such as Rail Vikas Nigam and Ircon. Despite the actual disbursement for FY23 falling short of the planned target at
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Financial
Hbl Power Systems
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Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
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Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
HBL
Company Overview
Anand Rathi Wealth stands as a prominent company in India’s wealth management landscape, specializing in
catering to high net worth individuals and ultra-high net worth individuals. The company primarily focuses on
delivering tailored wealth solutions to its clientele through its flagship Private Wealth segment. This division adopts an
objective-oriented approach to guide investments across various financial instruments, ensuring alignment with
clients’ financial goals. Along with its core offerings, Anand Rathi Wealth has diversified into fintech with its Digital
Wealth platform, broadening its reach and enhancing accessibility to its services. Additionally, the company’s Omni
Financial Advisors vertical represents a strategic expansion, offering a specialized technological platform tailored for
mutual fund distributors. This initiative further amplifies its presence and effectiveness within the wealth management
domain.
FY24 Growth Drivers
In Q3 FY24, HBL Power Systems showcased robust financial performance. Revenue for the nine-month period skyrocketed 67% y/y to INR 1,62,326 lakh from INR
96,606 lakh. This substantial growth was further bolstered by a remarkable surge in profit, which surged 217% to INR 19,711 lakh from INR 6,214 lakh in Q3 FY23.
EPS rose to INR 7.17 from INR 2.25 a year ago. The company’s strong financial performance reflects its resilience and effective strategic initiatives in navigating market
dynamics and seizing growth opportunities within the industrial battery sector.
One of HBL Power Systems’ key strengths lies in its ability to develop technology for most of its products in-house, granting the company autonomy to export and
market its technology. Leveraging its existing physical and intellectual infrastructure, it is well-positioned to sustain steady growth and capitalize on emerging market
trends. Despite planned capex of INR 90 crore and a significant investment of INR 150 crore in Tonbo, the company expects to maintain a healthy total debt to net
worth ratio of around 0.2 by the end of FY24. This strategic approach, combined with borrowing for working capital to fuel growth, indicates its commitment to
maintain a balanced financial structure while driving expansion.
Internationally recognized as the second-largest producer of industrial nickel cadmium batteries, HBL Power Systems has forged prestigious partnerships with industry
giants such as Siemens. Additionally, HBL Power Systems has secured four engineering, procurement, and construction (EPC) contracts worth INR 686 crore, further
diversifying its revenue streams. With subcontracting arrangements in place for the EPC component and a substantial portion of tender to contract amount spent
averaging at 70%, the company continues to showcase its ability to secure and execute large-scale projects, solidifying its position as a formidable player in the global
industrial battery and power systems market.
Analyzing through O’Neil Lens
The stock advanced 524% in FY23. It formed a cup-with-handle base in the first two months of FY24. After the breakout in the first week of June 2023, it had
advanced 142% from the pivot in just four months. The accumulation was very strong during the uptrend as it formed a consolidation base and gave a breakout in
early October 2023. It then advanced 100% from the pivot in four months. It continues to enjoy superior ratings: EPS Rank 98, RS Rating of 94, and A/D Rating of B+.
Currently, the stock is trading near its 50-DMA. However, the volume remains consistent as the stock is trending higher.
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Capital Equipment
HBL
Company Overview
Anand Rathi Wealth stands as a prominent company in India’s wealth management landscape, specializing in
catering to high net worth individuals and ultra-high net worth individuals. The company primarily focuses on
delivering tailored wealth solutions to its clientele through its flagship Private Wealth segment. This division adopts an
objective-oriented approach to guide investments across various financial instruments, ensuring alignment with
clients’ financial goals. Along with its core offerings, Anand Rathi Wealth has diversified into fintech with its Digital
Wealth platform, broadening its reach and enhancing accessibility to its services. Additionally, the company’s Omni
Financial Advisors vertical represents a strategic expansion, offering a specialized technological platform tailored for
mutual fund distributors. This initiative further amplifies its presence and effectiveness within the wealth management
domain.
FY24 Growth Drivers
In Q3 FY24, HBL Power Systems showcased robust financial performance. Revenue for the nine-month period skyrocketed 67% y/y to INR 1,62,326 lakh from INR
96,606 lakh. This substantial growth was further bolstered by a remarkable surge in profit, which surged 217% to INR 19,711 lakh from INR 6,214 lakh in Q3 FY23.
EPS rose to INR 7.17 from INR 2.25 a year ago. The company’s strong financial performance reflects its resilience and effective strategic initiatives in navigating market
dynamics and seizing growth opportunities within the industrial battery sector.
One of HBL Power Systems’ key strengths lies in its ability to develop technology for most of its products in-house, granting the company autonomy to export and
market its technology. Leveraging its existing physical and intellectual infrastructure, it is well-positioned to sustain steady growth and capitalize on emerging market
trends. Despite planned capex of INR 90 crore and a significant investment of INR 150 crore in Tonbo, the company expects to maintain a healthy total debt to net
worth ratio of around 0.2 by the end of FY24. This strategic approach, combined with borrowing for working capital to fuel growth, indicates its commitment to
maintain a balanced financial structure while driving expansion.
Internationally recognized as the second-largest producer of industrial nickel cadmium batteries, HBL Power Systems has forged prestigious partnerships with industry
giants such as Siemens. Additionally, HBL Power Systems has secured four engineering, procurement, and construction (EPC) contracts worth INR 686 crore, further
diversifying its revenue streams. With subcontracting arrangements in place for the EPC component and a substantial portion of tender to contract amount spent
averaging at 70%, the company continues to showcase its ability to secure and execute large-scale projects, solidifying its position as a formidable player in the global
industrial battery and power systems market.
Analyzing through O’Neil Lens
The stock advanced 524% in FY23. It formed a cup-with-handle base in the first two months of FY24. After the breakout in the first week of June 2023, it had
advanced 142% from the pivot in just four months. The accumulation was very strong during the uptrend as it formed a consolidation base and gave a breakout in
early October 2023. It then advanced 100% from the pivot in four months. It continues to enjoy superior ratings: EPS Rank 98, RS Rating of 94, and A/D Rating of B+.
Currently, the stock is trading near its 50-DMA. However, the volume remains consistent as the stock is trending higher.
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Capital Equipment
Anand Rathi Wealth
-34-
Financial
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-34-
Financial
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
ANAND RATHI WEALTH
Company Overview
Anand Rathi Wealth stands as a prominent company in India’s wealth management landscape, specializing in
catering to high net worth individuals and ultra-high net worth individuals. The company primarily focuses on
delivering tailored wealth solutions to its clientele through its flagship Private Wealth segment. This division adopts an
objective-oriented approach to guide investments across various financial instruments, ensuring alignment with
clients’ financial goals. Along with its core offerings, Anand Rathi Wealth has diversified into fintech with its Digital
Wealth platform, broadening its reach and enhancing accessibility to its services. Additionally, the company’s Omni
Financial Advisors vertical represents a strategic expansion, offering a specialized technological platform tailored for
mutual fund distributors. This initiative further amplifies its presence and effectiveness within the wealth management
domain.
FY24 Growth Drivers
In Q1 FY24, Anand Rathi Wealth witnessed substantial growth across key financial metrics, signaling its robust performance and entrenched market position. Total
revenue surged impressively by 34% y/y to INR 178 crore, paralleled by a commendable 34% y/y rise in PAT to approximately INR 53 crore. Particularly noteworthy was
the remarkable 32% y/y increase in AUM to INR 43,413 crore. The pivotal driver behind this growth was its flagship Private Wealth business, which witnessed a
significant 31% y/y uptick in AUM to INR 42,246 crore. Moreover, the addition of 37 new relationship managers over the past year emphasizes the company’s
commitment to broaden its client base and enhance service delivery.
With India’s economy experiencing dynamic growth and an expanding affluent population, Anand Rathi Wealth is strategically positioned to capitalize on the escalating
demand for expertly managed financial assets. The country’s current wealth asset penetration is at 16%, significantly lower than the global average of 63%. This
indicates substantial untapped potential within the wealth management sector. In light of this, the company remains optimistic about future growth prospects and
intends to bolster its workforce by recruiting approximately 500 relationship managers over the next two to three years. Moreover, the reduction in client attrition rate to
0.83% from 1.15% over the preceding year indicates its success in enhancing client satisfaction and retention.
Looking forward, Anand Rathi Wealth remains on track to meet its FY25 guidance, having achieved 26% of its revenue target (INR 661 crore) and 26% of its PAT target
(INR 205 crore). With a robust annualized ROE of 43.2% and EPS of INR 12.8, the company continues to demonstrate solid financial performance and effective
strategy execution amid evolving economic conditions.
Analyzing through O’Neil Lens
The stock advanced 325% in FY23. It had consolidated for the first three months of FY24. After the breakout in the first week of July 2023, it had advanced 200% from
the pivot in just four months. It continues to enjoy superior ratings: EPS Rank 92, RS Rating of 96, and A/D Rating of C+. Currently, the stock is trading at its 50-DMA
and hitting new highs as the rally and positive momentum in the market continue. However, the volume remains moderate as the stock is trending higher. Currently, it
is hovering around its 50-DMA, making it a significant concern after a 300%+ rally to take a prominent pullback to rebalance the market structure.
-35-
Financial
ANAND RATHI WEALTH
Company Overview
Anand Rathi Wealth stands as a prominent company in India’s wealth management landscape, specializing in
catering to high net worth individuals and ultra-high net worth individuals. The company primarily focuses on
delivering tailored wealth solutions to its clientele through its flagship Private Wealth segment. This division adopts an
objective-oriented approach to guide investments across various financial instruments, ensuring alignment with
clients’ financial goals. Along with its core offerings, Anand Rathi Wealth has diversified into fintech with its Digital
Wealth platform, broadening its reach and enhancing accessibility to its services. Additionally, the company’s Omni
Financial Advisors vertical represents a strategic expansion, offering a specialized technological platform tailored for
mutual fund distributors. This initiative further amplifies its presence and effectiveness within the wealth management
domain.
FY24 Growth Drivers
In Q1 FY24, Anand Rathi Wealth witnessed substantial growth across key financial metrics, signaling its robust performance and entrenched market position. Total
revenue surged impressively by 34% y/y to INR 178 crore, paralleled by a commendable 34% y/y rise in PAT to approximately INR 53 crore. Particularly noteworthy was
the remarkable 32% y/y increase in AUM to INR 43,413 crore. The pivotal driver behind this growth was its flagship Private Wealth business, which witnessed a
significant 31% y/y uptick in AUM to INR 42,246 crore. Moreover, the addition of 37 new relationship managers over the past year emphasizes the company’s
commitment to broaden its client base and enhance service delivery.
With India’s economy experiencing dynamic growth and an expanding affluent population, Anand Rathi Wealth is strategically positioned to capitalize on the escalating
demand for expertly managed financial assets. The country’s current wealth asset penetration is at 16%, significantly lower than the global average of 63%. This
indicates substantial untapped potential within the wealth management sector. In light of this, the company remains optimistic about future growth prospects and
intends to bolster its workforce by recruiting approximately 500 relationship managers over the next two to three years. Moreover, the reduction in client attrition rate to
0.83% from 1.15% over the preceding year indicates its success in enhancing client satisfaction and retention.
Looking forward, Anand Rathi Wealth remains on track to meet its FY25 guidance, having achieved 26% of its revenue target (INR 661 crore) and 26% of its PAT target
(INR 205 crore). With a robust annualized ROE of 43.2% and EPS of INR 12.8, the company continues to demonstrate solid financial performance and effective
strategy execution amid evolving economic conditions.
Analyzing through O’Neil Lens
The stock advanced 325% in FY23. It had consolidated for the first three months of FY24. After the breakout in the first week of July 2023, it had advanced 200% from
the pivot in just four months. It continues to enjoy superior ratings: EPS Rank 92, RS Rating of 96, and A/D Rating of C+. Currently, the stock is trading at its 50-DMA
and hitting new highs as the rally and positive momentum in the market continue. However, the volume remains moderate as the stock is trending higher. Currently, it
is hovering around its 50-DMA, making it a significant concern after a 300%+ rally to take a prominent pullback to rebalance the market structure.
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Financial
Schneider Electric Infr.
-36-
Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-36-
Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Schneider Electric Infra.
Company Overview
Schneider Electric Infrastructure Limited was incorporated in 2011. The company is primarily involved in the business
of manufacturing, designing, building, and servicing technologically advanced products and systems for the electricity
network. The product portfolio of the company mainly includes transformers, power transformers, switchgears, and
electricity distribution management systems, among others, along with a software suite for self healing smart grid, e-
House, and smart city applications.
FY24 Growth Drivers
The sectors that drive major revenue for the company include Power and Grid, Metals and Mining, Mobility, Cloud and Services, and Industry and building. The
company has been receiving breakthrough orders across its Ecostruxure platform, whether for newer initiatives like Ecostruxure Transformer Expert. Initiatives like this
substantiate the fact that the company also remains focused on its service business and provides native connectivity to bridge capital expenditure and operational
expenditure to unlock service growth and recurring business in the long run.
Over the medium to long haul, the company remains well positioned across its core segments and has adequate digitalization opportunities, helping it achieve better
market penetration and repeat order wins. The company has demonstrated consistent growth in performance throughout FY22, FY23, and 9M FY24, both in terms of
overall order wins and their execution. The company expects that its order book and its execution will remain robust in the coming future. In the coming future, the
management will continue to remain optimistic in the short to medium-term, supported by government investment, reforms, and policies.
In 9M FY24, order book size increased 38.8% y/y to Rs. 1,358.6 crore, backed by good momentum in orders driven by P&G, mobility, and other electro-sensitive
segments. Over the same period, sales increased 26.9% y/y to Rs. 1,734.9 crore. Gross margins increased 480bps y/y in 9M FY24, on account of reduced raw
materials cost. EBITDA margin also expanded more or less in line with gross margins of 470bps y/y, during the same period to 13.2%. On the bottom line, PAT
margins expanded 400bps y/y to 9.7%.
Analyzing through O’Neil Lens
The stock rallied 355.5% during FY24. Before the start of FY24, the stock formed a stage two cup-with-handle base. From that base, it broke out in May and more than
doubled from its ideal buy point, forming a stage three consolidation base before resuming its next rally. Currently, it has an RS Rating of 95 and an A/D rating of A+,
which is very good. The stock is trading comfortably above its key moving averages. However, the stock is trading 100% from the pivot. Hence, entry at this point is not
advised.
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Capital Equipment
Schneider Electric Infra.
Company Overview
Schneider Electric Infrastructure Limited was incorporated in 2011. The company is primarily involved in the business
of manufacturing, designing, building, and servicing technologically advanced products and systems for the electricity
network. The product portfolio of the company mainly includes transformers, power transformers, switchgears, and
electricity distribution management systems, among others, along with a software suite for self healing smart grid, e-
House, and smart city applications.
FY24 Growth Drivers
The sectors that drive major revenue for the company include Power and Grid, Metals and Mining, Mobility, Cloud and Services, and Industry and building. The
company has been receiving breakthrough orders across its Ecostruxure platform, whether for newer initiatives like Ecostruxure Transformer Expert. Initiatives like this
substantiate the fact that the company also remains focused on its service business and provides native connectivity to bridge capital expenditure and operational
expenditure to unlock service growth and recurring business in the long run.
Over the medium to long haul, the company remains well positioned across its core segments and has adequate digitalization opportunities, helping it achieve better
market penetration and repeat order wins. The company has demonstrated consistent growth in performance throughout FY22, FY23, and 9M FY24, both in terms of
overall order wins and their execution. The company expects that its order book and its execution will remain robust in the coming future. In the coming future, the
management will continue to remain optimistic in the short to medium-term, supported by government investment, reforms, and policies.
In 9M FY24, order book size increased 38.8% y/y to Rs. 1,358.6 crore, backed by good momentum in orders driven by P&G, mobility, and other electro-sensitive
segments. Over the same period, sales increased 26.9% y/y to Rs. 1,734.9 crore. Gross margins increased 480bps y/y in 9M FY24, on account of reduced raw
materials cost. EBITDA margin also expanded more or less in line with gross margins of 470bps y/y, during the same period to 13.2%. On the bottom line, PAT
margins expanded 400bps y/y to 9.7%.
Analyzing through O’Neil Lens
The stock rallied 355.5% during FY24. Before the start of FY24, the stock formed a stage two cup-with-handle base. From that base, it broke out in May and more than
doubled from its ideal buy point, forming a stage three consolidation base before resuming its next rally. Currently, it has an RS Rating of 95 and an A/D rating of A+,
which is very good. The stock is trading comfortably above its key moving averages. However, the stock is trading 100% from the pivot. Hence, entry at this point is not
advised.
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Capital Equipment
Housing And Urban Development Corporation
-38-
Financial
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-38-
Financial
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
HUDCO
Company Overview
The Housing and Urban Development Corporation (HUDCO) is a distinguished public sector enterprise specializing in
techno-financing. It plays a pivotal role in facilitating housing and urban development initiatives in India by providing
financial assistance and guidance. The organization nurtures robust partnerships with multiple state governments and
actively participates in initiatives such as Smart City, Swachh Bharat, and Jal Jeevan Mission. With its extensive
presence across the nation, the company stands out as a prominent consultancy in the field.
FY24 Growth Drivers
The company demonstrated outstanding financial performance in Q3 FY24. Net profit increased 33% y/y to INR 1,416 crore. This robust growth was underpinned by a
17% y/y rise in income to INR 2,012 crore. PAT soared 104% y/y to INR 519.2 crore, showcasing HUDCO’s resilient market positioning and adept financial
management amid challenging economic conditions, including inflationary pressures and interest rate hikes by the Reserve Bank of India.
AUM stood at INR 84,424 crore (+6.5% y/y; +3.5% q/q). Net interest income grew 6.5% to INR 667.40 crore from INR 627.90 crore a year ago.
Strategic collaborations with state governments, notably in projects like Gujarat International Finance Tec-City, have been pivotal for HUDCO’s success. Moreover, the
recent Union Budget’s focus on infrastructure development, with a substantial 33% increase in capital investment earmarked for infrastructure (amounting to INR 10
lakh crore), signifies enhanced government confidence in the sector. This favorable environment positions HUDCO well for expansion, particularly in the housing and
urban infrastructure sectors, which is further emphasized by the recent MOU signed with Gujarat for INR 14,500 crore to boost urban housing.
Analyzing through O’Neil Lens
The stock advanced 346% in FY23. It had formed a consolidation base in the first two months of FY24. After the breakout in the first week of May 2023, it had
advanced 61% from the pivot in just four months. The accumulation was very strong during the uptrend as it formed a cup-without-handle base and broke out of the
base in early December 2023. It then advanced 125% from the pivot in two months. It continues to enjoy superior ratings: EPS Rank 85, RS Rating of 95, and A/D
Rating of B. Currently, the stock is trading above its 50-DMA and more than 90% off highs. The volume continues to increase as it is trending higher. It has been
consolidating for the past two months as it tips of the new high with an early sign of a double-bottom in the formation as the overall momentum catches up in the
Indian markets after a shock in the small- and mid-cap markets.
-39-
Financial
HUDCO
Company Overview
The Housing and Urban Development Corporation (HUDCO) is a distinguished public sector enterprise specializing in
techno-financing. It plays a pivotal role in facilitating housing and urban development initiatives in India by providing
financial assistance and guidance. The organization nurtures robust partnerships with multiple state governments and
actively participates in initiatives such as Smart City, Swachh Bharat, and Jal Jeevan Mission. With its extensive
presence across the nation, the company stands out as a prominent consultancy in the field.
FY24 Growth Drivers
The company demonstrated outstanding financial performance in Q3 FY24. Net profit increased 33% y/y to INR 1,416 crore. This robust growth was underpinned by a
17% y/y rise in income to INR 2,012 crore. PAT soared 104% y/y to INR 519.2 crore, showcasing HUDCO’s resilient market positioning and adept financial
management amid challenging economic conditions, including inflationary pressures and interest rate hikes by the Reserve Bank of India.
AUM stood at INR 84,424 crore (+6.5% y/y; +3.5% q/q). Net interest income grew 6.5% to INR 667.40 crore from INR 627.90 crore a year ago.
Strategic collaborations with state governments, notably in projects like Gujarat International Finance Tec-City, have been pivotal for HUDCO’s success. Moreover, the
recent Union Budget’s focus on infrastructure development, with a substantial 33% increase in capital investment earmarked for infrastructure (amounting to INR 10
lakh crore), signifies enhanced government confidence in the sector. This favorable environment positions HUDCO well for expansion, particularly in the housing and
urban infrastructure sectors, which is further emphasized by the recent MOU signed with Gujarat for INR 14,500 crore to boost urban housing.
Analyzing through O’Neil Lens
The stock advanced 346% in FY23. It had formed a consolidation base in the first two months of FY24. After the breakout in the first week of May 2023, it had
advanced 61% from the pivot in just four months. The accumulation was very strong during the uptrend as it formed a cup-without-handle base and broke out of the
base in early December 2023. It then advanced 125% from the pivot in two months. It continues to enjoy superior ratings: EPS Rank 85, RS Rating of 95, and A/D
Rating of B. Currently, the stock is trading above its 50-DMA and more than 90% off highs. The volume continues to increase as it is trending higher. It has been
consolidating for the past two months as it tips of the new high with an early sign of a double-bottom in the formation as the overall momentum catches up in the
Indian markets after a shock in the small- and mid-cap markets.
-39-
Financial
Mngl.Ref.& Petrochem.
-40-
Energy
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-40-
Energy
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Mngl.Ref.& Petrochem.
Company Overview
The company was formed as a joint venture between the AV Birla Group and HPCL. It is currently a subsidiary of the
Oil and Natural Gas Corporation. The company is primarily involved in refining crude oil, the petrochemical
business, trading aviation fuels, and the distribution of petroleum products through retail outlets and transport
terminals. Business segments for the company are mainly focused on three verticals, which include retail, consumer
sales, and petrochemical sales.
FY24 Growth Drivers
The company has a 15 mmtpa refinery with a Nelson Complexity Index of 11.3 that boasts a polypropylene plant of 440 ktpa and a 1.2 mmtpa PX/benzene capacity
at ONGC Mangalore Petrochemicals Ltd. The PX facility has recently been revamped to produce reformate based on demand-supply dynamics. Meanwhile, the
company is in the process of identifying a few small petrochemical projects that would require a total investment of Rs. 600–800 crore. Progress on these projects is
expected to occur within the next two to three years, providing import substitution opportunities.
In the long run, the company also plans to invest in a large petrochemical project in partnership with ONGC, with an expected investment of Rs. 4000 crore. The
company also aspires to capture the domestic retail market to the tune of 1 mmtpa. The company has already initiated advertising for 1,800 retail outlets, which are
expected to be completed soon. Additionally, the company expects to add 500 outlets over the next three years. In phase 1, the focus will be on South India, followed
by expansion into West and North India in Phase 2.
In Q3 FY24, revenue for the company declined 7.1% y/y to Rs. 24,680 crore. Refining throughput declined 1% y/y to 4.4 mmt. Reported GRM was below the estimates
for the quarter, which resulted in EBITDA coming in below estimates as well. EBITDA margin came in at 4.8% for Q3 FY24, which was sequentially on a declining
spree. However, during December, the company closed its highest ever monthly gross crude input of 1558 tmt/month.
Analyzing through O’Neil Lens
The stock rallied 307% in FY24. Before the start of FY24, the stock was already in rally mode and formed a stage two flat base between July and August, breaking out
of this base during August. On the right hand side of the base, the stock showed good signs of accumulation pre-breakout. After a strong breakout in August, the index
found major support at its 21- and 50-DMA. Currently, it has an RS Rating of 95 and an A/D rating of A, which is good. The stock is trading around its 21-DMA.
However, it is trading 157% from the pivot. Hence, entry at this point is not advised.
-41-
Energy
Mngl.Ref.& Petrochem.
Company Overview
The company was formed as a joint venture between the AV Birla Group and HPCL. It is currently a subsidiary of the
Oil and Natural Gas Corporation. The company is primarily involved in refining crude oil, the petrochemical
business, trading aviation fuels, and the distribution of petroleum products through retail outlets and transport
terminals. Business segments for the company are mainly focused on three verticals, which include retail, consumer
sales, and petrochemical sales.
FY24 Growth Drivers
The company has a 15 mmtpa refinery with a Nelson Complexity Index of 11.3 that boasts a polypropylene plant of 440 ktpa and a 1.2 mmtpa PX/benzene capacity
at ONGC Mangalore Petrochemicals Ltd. The PX facility has recently been revamped to produce reformate based on demand-supply dynamics. Meanwhile, the
company is in the process of identifying a few small petrochemical projects that would require a total investment of Rs. 600–800 crore. Progress on these projects is
expected to occur within the next two to three years, providing import substitution opportunities.
In the long run, the company also plans to invest in a large petrochemical project in partnership with ONGC, with an expected investment of Rs. 4000 crore. The
company also aspires to capture the domestic retail market to the tune of 1 mmtpa. The company has already initiated advertising for 1,800 retail outlets, which are
expected to be completed soon. Additionally, the company expects to add 500 outlets over the next three years. In phase 1, the focus will be on South India, followed
by expansion into West and North India in Phase 2.
In Q3 FY24, revenue for the company declined 7.1% y/y to Rs. 24,680 crore. Refining throughput declined 1% y/y to 4.4 mmt. Reported GRM was below the estimates
for the quarter, which resulted in EBITDA coming in below estimates as well. EBITDA margin came in at 4.8% for Q3 FY24, which was sequentially on a declining
spree. However, during December, the company closed its highest ever monthly gross crude input of 1558 tmt/month.
Analyzing through O’Neil Lens
The stock rallied 307% in FY24. Before the start of FY24, the stock was already in rally mode and formed a stage two flat base between July and August, breaking out
of this base during August. On the right hand side of the base, the stock showed good signs of accumulation pre-breakout. After a strong breakout in August, the index
found major support at its 21- and 50-DMA. Currently, it has an RS Rating of 95 and an A/D rating of A, which is good. The stock is trading around its 21-DMA.
However, it is trading 157% from the pivot. Hence, entry at this point is not advised.
-41-
Energy
Kalyan Jewellers India
-42-
Retail
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-42-
Retail
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Kalyan Jewellers
Company Overview
Kalyan Jewellers designs, manufactures, and sells a range of gold-studded and other jewelry products across various
price points. It is one of the largest jewelry retailers in India based on revenue. The company offers a wide range of
products targeted at a diverse set of customers, which include wedding jewelry, aspirational, staple regional, and
women’s work wear.
FY24 Growth Drivers
The Indian jewelry industry is highly fragmented and has often suffered from issues of undercaratage, gold purity, and lack of transparency. The company has built a
strong brand through multiple pioneering initiatives. These initiatives are centered on issues such as being the first to sell BIS hallmarked jewelry, transparency in the
gold exchange, offering product certification, and introducing Karatmeters to verify purity. Additionally, the company has established strong factors related to its
policies. India’s jewelry market is still dominated largely by the unorganized sector. The organized sector market share in 2020 was 32% and is expected to increase to
40% by 2025.
Long-term growth goals for the company remain intact, such as target same-store sales growth of mid- to high single digits. Expansion in India and the Middle East is
also on track for the company. This is to increase the share of revenue from non-south markets and incrementally open new showrooms in non-south markets using the
capital light franchise store strategy. The same asset-light strategy is expected to be used in international expansion as well. The company’s focus is to increase its share
in the higher-margin studded jewelry segment and expand its range of subbrands to introduce new branded jewelry.
In Q3 FY24, revenue has been 40% y/y, largely driven by healthy SSSG and robust network expansion by the company. The share of new customers remains healthy at
38%. EBITDA margin on a sequential basis has remained flat at 7%. PAT increased 26% y/y to Rs. 168.3 crore. Non-south revenue growth in India increased 77%,
which is much higher than South revenue growth of 13%. High-margin studded revenue also increased 43% during the last quarter.
Analyzing through O’Neil Lens
The stock rallied 305% in FY24. Before the start of FY24, the stock formed a stage consolidation base. It broke out strongly in May and rallied from there, and found
major support at its 50-DMA. Currently, it has an RS Rating of 93 and an A/D Rating of A, which is good. The stock is trading well above its key moving averages and
also 20% above the pivot at this moment. Hence, new entry into the stock is not advised at this moment.
-43-
Retail
Kalyan Jewellers
Company Overview
Kalyan Jewellers designs, manufactures, and sells a range of gold-studded and other jewelry products across various
price points. It is one of the largest jewelry retailers in India based on revenue. The company offers a wide range of
products targeted at a diverse set of customers, which include wedding jewelry, aspirational, staple regional, and
women’s work wear.
FY24 Growth Drivers
The Indian jewelry industry is highly fragmented and has often suffered from issues of undercaratage, gold purity, and lack of transparency. The company has built a
strong brand through multiple pioneering initiatives. These initiatives are centered on issues such as being the first to sell BIS hallmarked jewelry, transparency in the
gold exchange, offering product certification, and introducing Karatmeters to verify purity. Additionally, the company has established strong factors related to its
policies. India’s jewelry market is still dominated largely by the unorganized sector. The organized sector market share in 2020 was 32% and is expected to increase to
40% by 2025.
Long-term growth goals for the company remain intact, such as target same-store sales growth of mid- to high single digits. Expansion in India and the Middle East is
also on track for the company. This is to increase the share of revenue from non-south markets and incrementally open new showrooms in non-south markets using the
capital light franchise store strategy. The same asset-light strategy is expected to be used in international expansion as well. The company’s focus is to increase its share
in the higher-margin studded jewelry segment and expand its range of subbrands to introduce new branded jewelry.
In Q3 FY24, revenue has been 40% y/y, largely driven by healthy SSSG and robust network expansion by the company. The share of new customers remains healthy at
38%. EBITDA margin on a sequential basis has remained flat at 7%. PAT increased 26% y/y to Rs. 168.3 crore. Non-south revenue growth in India increased 77%,
which is much higher than South revenue growth of 13%. High-margin studded revenue also increased 43% during the last quarter.
Analyzing through O’Neil Lens
The stock rallied 305% in FY24. Before the start of FY24, the stock formed a stage consolidation base. It broke out strongly in May and rallied from there, and found
major support at its 50-DMA. Currently, it has an RS Rating of 93 and an A/D Rating of A, which is good. The stock is trading well above its key moving averages and
also 20% above the pivot at this moment. Hence, new entry into the stock is not advised at this moment.
-43-
Retail
Sanghvi Movers
-44-
Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-44-
Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Sanghvi Movers
Company Overview
Sanghvi Movers is the largest crane rental company in the country and in Asia, and the sixth largest globally.
Currently, it has a fleet of 400 medium- to large-sized heavy-duty telescopic and crawler cranes ranging from 40–
1,000 MT. The company, along with its fleet of cranes, has more than 95 high-bed trailers and 64 multi-axle lines,
which are used to move its crane and crane parts from one location to another.
FY24 Growth Drivers
It primarily caters to the construction of various industrial plants for the power, steel, cement, fertilizers, petrochemicals, refineries, and windmill sectors. The windmill
sector contributes nearly 40% of the company’s revenues. The SECI’s move to eliminate bidding in the wind sector has led to a significant surge in windmill investment
and erection across India. With the government’s aggressive 8 GW annual wind installation target, there is a strong and growing demand for cranes, which is
benefitting the company.
The company is also diversifying into the EPC business for wind farm installation. EPC is a low-capital-intensive, high-ROE business that has the potential to improve
the company’s overall ROE. In FY19, capacity utilization had reached a trough of 59% but had gradually increased to 84% in Q1 FY24. The company is presently
approaching its peak capacity utilization. Meanwhile, in 9M FY24, the company achieved an average capacity utilization rate of 82% and an average blended yield of
1.92% per month.
Till the end of December, the company’s order book has reached Rs. 604 crore. Of this, Rs. 453 crore has been accrued through revenues, while Rs. 151 crore is yet to
be executed. In 9M FY24, revenue increased 38.6% y/y to Rs. 455.8 crore. EBITDA margin expanded 100bps to 59%. PAT margins also expanded 100bps to 23%. The
debt-to-Equity ratio improved by 70bps during the same period to 0.19x.
Analyzing through O’Neil Lens
The stock rallied 292% during FY24. Before the start of FY24, the stock formed a stage two double bottom base. From there, it broke out in April and doubled from its
ideal buy point to form a stage three (a) consolidation base. Later, it moved sideways to make a stage three (b) consolidation base and had a successful breakout from
there. Currently, it has a good RS Rating of 94 and an A/D Rating of A+. The stock is trading well above its key moving averages, but is trading 49% above its pivot at
this moment. Hence, a fresh entry into the stock is currently not advised.
-45-
Capital Equipment
Sanghvi Movers
Company Overview
Sanghvi Movers is the largest crane rental company in the country and in Asia, and the sixth largest globally.
Currently, it has a fleet of 400 medium- to large-sized heavy-duty telescopic and crawler cranes ranging from 40–
1,000 MT. The company, along with its fleet of cranes, has more than 95 high-bed trailers and 64 multi-axle lines,
which are used to move its crane and crane parts from one location to another.
FY24 Growth Drivers
It primarily caters to the construction of various industrial plants for the power, steel, cement, fertilizers, petrochemicals, refineries, and windmill sectors. The windmill
sector contributes nearly 40% of the company’s revenues. The SECI’s move to eliminate bidding in the wind sector has led to a significant surge in windmill investment
and erection across India. With the government’s aggressive 8 GW annual wind installation target, there is a strong and growing demand for cranes, which is
benefitting the company.
The company is also diversifying into the EPC business for wind farm installation. EPC is a low-capital-intensive, high-ROE business that has the potential to improve
the company’s overall ROE. In FY19, capacity utilization had reached a trough of 59% but had gradually increased to 84% in Q1 FY24. The company is presently
approaching its peak capacity utilization. Meanwhile, in 9M FY24, the company achieved an average capacity utilization rate of 82% and an average blended yield of
1.92% per month.
Till the end of December, the company’s order book has reached Rs. 604 crore. Of this, Rs. 453 crore has been accrued through revenues, while Rs. 151 crore is yet to
be executed. In 9M FY24, revenue increased 38.6% y/y to Rs. 455.8 crore. EBITDA margin expanded 100bps to 59%. PAT margins also expanded 100bps to 23%. The
debt-to-Equity ratio improved by 70bps during the same period to 0.19x.
Analyzing through O’Neil Lens
The stock rallied 292% during FY24. Before the start of FY24, the stock formed a stage two double bottom base. From there, it broke out in April and doubled from its
ideal buy point to form a stage three (a) consolidation base. Later, it moved sideways to make a stage three (b) consolidation base and had a successful breakout from
there. Currently, it has a good RS Rating of 94 and an A/D Rating of A+. The stock is trading well above its key moving averages, but is trading 49% above its pivot at
this moment. Hence, a fresh entry into the stock is currently not advised.
-45-
Capital Equipment
Jupiter Wagons
-46-
Consumer Cyclical
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-46-
Consumer Cyclical
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Jupiter Wagons
Company Overview
Jupiter Wagons is primarily involved in the business of manufacturing metal fabrication, which includes load bodies
for commercial vehicles, rail freight wagons, and components. It is the third largest wagon manufacturing company in
India. It is a major beneficiary of the Indian Railway’s plans to spend $750 B and add nearly 50% to the existing
freight capacity over the next few years.
FY24 Growth Drivers
Indian railways operate a vast network spanning 68,043 kilometers of track and 102,831 kilometers of running track as of FY22, making it the fourth largest railway
system in the world. Railways plan to increase their share of logistics from 27% in FY22 to 45% by FY30, as per the National Rail Plan. Demands for goods movement
are expected to grow by more than 7%, and transportation output is expected to grow from 3 T NTKM to 15.6 T NTKM by 2050.
The order backlog for the company currently stands at Rs. 7,007 crore, with contracts secured from both Indian Railways and private companies during Q3 FY24. The
order of 4,000 BOXNS wagons from Indian Railways was the highest, followed by a defence ministry order worth Rs. 470 crore for Boggie Open Military wagons. In its
interim budget, the government has allocated Rs. 11.11 T for capex outlay and plans to establish three significant corridors aimed at addressing congestion issues to
facilitate faster freight movement and also reduce turnaround time. Improvements in sequential performance for the company, along with the consistent focus of the
government, validate the strong performance of the company and improved economies of scale going forward. The company expects an incremental capex of Rs. 700
crore by the end of the next financial year, largely toward a new foundry in Jabalpur and the expansion of the existing foundry in Kolkata, as well as an increase in
wheel set manufacturing capacity. In Q3 FY24, revenue increased 39% y/y and 1.9% q/q to Rs. 895.8 crore. Gross margins expanded 21bps y/y to 23.1%. EBITDA
margin expanded strongly by 145bps y/y to 13.9%. PAT increased 82.7% y/y to Rs. 81.5 crore. The company has always demonstrated a superb margin and return
ratio compared to its peer group.
Analyzing through O’Neil Lens
The stock rallied 287% in FY24. During the start of FY24, the stock formed a stage five cup-with-handle base, which is a late stage base. However, the stock broke out
of this base in May and rallied strongly to form another base. Since then, it has been having a sideways movement and is forming another base, which is a double-
bottom base. The stage count is at 6, which is a late stage base and prone to failure. Currently, it has an RS Rating of 91 and an A/D Rating of B, which is good. The
stock is trading below its pivot.
-47-
Consumer Cyclical
Jupiter Wagons
Company Overview
Jupiter Wagons is primarily involved in the business of manufacturing metal fabrication, which includes load bodies
for commercial vehicles, rail freight wagons, and components. It is the third largest wagon manufacturing company in
India. It is a major beneficiary of the Indian Railway’s plans to spend $750 B and add nearly 50% to the existing
freight capacity over the next few years.
FY24 Growth Drivers
Indian railways operate a vast network spanning 68,043 kilometers of track and 102,831 kilometers of running track as of FY22, making it the fourth largest railway
system in the world. Railways plan to increase their share of logistics from 27% in FY22 to 45% by FY30, as per the National Rail Plan. Demands for goods movement
are expected to grow by more than 7%, and transportation output is expected to grow from 3 T NTKM to 15.6 T NTKM by 2050.
The order backlog for the company currently stands at Rs. 7,007 crore, with contracts secured from both Indian Railways and private companies during Q3 FY24. The
order of 4,000 BOXNS wagons from Indian Railways was the highest, followed by a defence ministry order worth Rs. 470 crore for Boggie Open Military wagons. In its
interim budget, the government has allocated Rs. 11.11 T for capex outlay and plans to establish three significant corridors aimed at addressing congestion issues to
facilitate faster freight movement and also reduce turnaround time. Improvements in sequential performance for the company, along with the consistent focus of the
government, validate the strong performance of the company and improved economies of scale going forward. The company expects an incremental capex of Rs. 700
crore by the end of the next financial year, largely toward a new foundry in Jabalpur and the expansion of the existing foundry in Kolkata, as well as an increase in
wheel set manufacturing capacity. In Q3 FY24, revenue increased 39% y/y and 1.9% q/q to Rs. 895.8 crore. Gross margins expanded 21bps y/y to 23.1%. EBITDA
margin expanded strongly by 145bps y/y to 13.9%. PAT increased 82.7% y/y to Rs. 81.5 crore. The company has always demonstrated a superb margin and return
ratio compared to its peer group.
Analyzing through O’Neil Lens
The stock rallied 287% in FY24. During the start of FY24, the stock formed a stage five cup-with-handle base, which is a late stage base. However, the stock broke out
of this base in May and rallied strongly to form another base. Since then, it has been having a sideways movement and is forming another base, which is a double-
bottom base. The stage count is at 6, which is a late stage base and prone to failure. Currently, it has an RS Rating of 91 and an A/D Rating of B, which is good. The
stock is trading below its pivot.
-47-
Consumer Cyclical
© 2024 williamoneilindia [email protected]
TARC
Company Overview
REC is a strategic player in the Indian power, infrastructure, and logistics sectors. It is also a major player in the
renewable energy segment and the establishment of India’s green energy corridor. The company is registered with the
RBI as a non-banking financial company, public financial institution, and infrastructure financing company. REC was
accorded the “Maharatna” category in FY23 in recognition of its superior performance.
FY24 Growth Drivers
The company forayed into the infrastructure sector to capture the accelerated momentum the sector is going through. It is mandated to give at least 33% of its loans to
the infrastructure and logistics sectors.
In terms of sanctions and disbursements, the company reported the highest-ever quarterly sanction during Q3 FY24 at Rs 1,32,049 crore. Additionally, it achieved its
highest-ever quarterly disbursements during the same period, amounting to Rs. 46,358 crore.
The company continues to improve its asset quality. Its strong underwriting skills caused the NPA to decline. Gross NPA declined to 2.78% in Q3 FY24 from 4.03% in
Q2 FY23. Net NPAs declined to 0.82% in Q3 FY24 from 1.24% in Q2 FY23. No new NPAs were added during the last eight quarters. The provision coverage ratio
increased to 70.41% from 69.37% a quarter ago.
The company has a wide and diverse borrowing profile. It has access to multiple sources of funding, including a mix of international and domestic sources, to meet
business growth. It is one of the four companies allowed to raise low-cost Capital Gains TaxExemption Bonds.
The company is the government’s trusted arm. It benefits from government initiatives such as the Rooftop Solar Program, NEF, DDUGJY, Saubhyagya, RDSS, Consumer
Service Ratings (Discoms), and others.
Analyzing through O’Neil Lens
In FY24, the stock started on a positive note, as it broke out of a Stage-one (c) cup base in the last week of April. Since then, it has seen a sharp surge in its price and
has had good support at its 21-DMA. Until February 2024, it didn’t breach its 50-DMA, showcasing its strong positive momentum. Currently, it is trading on a stage-
two (b) consolidation base. The company’s ratings remain intact. It has EPS Rank 88, indicating a strong fundamental character of the company. It has a good RS
Rating of 91and an A/D Rating, which is slightly lower at D-. Institutional sponsorship increased 19% q/q in Q3 FY24.
-49-
Financial
TARC
Company Overview
REC is a strategic player in the Indian power, infrastructure, and logistics sectors. It is also a major player in the
renewable energy segment and the establishment of India’s green energy corridor. The company is registered with the
RBI as a non-banking financial company, public financial institution, and infrastructure financing company. REC was
accorded the “Maharatna” category in FY23 in recognition of its superior performance.
FY24 Growth Drivers
The company forayed into the infrastructure sector to capture the accelerated momentum the sector is going through. It is mandated to give at least 33% of its loans to
the infrastructure and logistics sectors.
In terms of sanctions and disbursements, the company reported the highest-ever quarterly sanction during Q3 FY24 at Rs 1,32,049 crore. Additionally, it achieved its
highest-ever quarterly disbursements during the same period, amounting to Rs. 46,358 crore.
The company continues to improve its asset quality. Its strong underwriting skills caused the NPA to decline. Gross NPA declined to 2.78% in Q3 FY24 from 4.03% in
Q2 FY23. Net NPAs declined to 0.82% in Q3 FY24 from 1.24% in Q2 FY23. No new NPAs were added during the last eight quarters. The provision coverage ratio
increased to 70.41% from 69.37% a quarter ago.
The company has a wide and diverse borrowing profile. It has access to multiple sources of funding, including a mix of international and domestic sources, to meet
business growth. It is one of the four companies allowed to raise low-cost Capital Gains TaxExemption Bonds.
The company is the government’s trusted arm. It benefits from government initiatives such as the Rooftop Solar Program, NEF, DDUGJY, Saubhyagya, RDSS, Consumer
Service Ratings (Discoms), and others.
Analyzing through O’Neil Lens
In FY24, the stock started on a positive note, as it broke out of a Stage-one (c) cup base in the last week of April. Since then, it has seen a sharp surge in its price and
has had good support at its 21-DMA. Until February 2024, it didn’t breach its 50-DMA, showcasing its strong positive momentum. Currently, it is trading on a stage-
two (b) consolidation base. The company’s ratings remain intact. It has EPS Rank 88, indicating a strong fundamental character of the company. It has a good RS
Rating of 91and an A/D Rating, which is slightly lower at D-. Institutional sponsorship increased 19% q/q in Q3 FY24.
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Financial
Ircon International Limited
-50-
Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-50-
Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
IRCON INTERNATIONAL LIMITED
Company Overview
Ircon International holds a significant position in the domestic and the global infrastructure sector. Its operations span
across various regions within India and extend to countries such as Bangladesh, Malaysia, Nepal, the U.K., and
Algeria. The company stands out for its involvement in coal connectivity projects undertaken in collaboration with
other central public sector entities, illustrating its collaborative approach toward fostering critical infrastructure
advancements. With 398 ongoing projects in India and 128 projects abroad spanning 25 countries, Ircon exemplifies
its commitment to advance infrastructure growth and development on a global scale.
FY24 Growth Drivers
Ircon International reported robust financial performance in Q3 FY24. Revenue was INR 3,012 crore, up 24.4% y/y. PAT surged 28.8% to INR 245 crore from INR 190
crore in Q3 FY23. Core EBITDA increased to INR 296 crore from INR 169 crore a year ago, with margin up 304bps y/y to 10.3%. EPS increased to INR 2.60 from INR
2 in Q3 FY23.
With its highest-ever Q3 turnover, Ircon set a new milestone, showcasing its strong operational performance and market presence. The company’s order book stood at
INR 29,436 crore as of December 31, 2023, with approximately 45% of orders received through nomination and the remaining 55% through competitive bidding. An
important aspect of its project portfolio is the balanced allocation between domestic (91%) and international (9%) orders, demonstrating the company’s sustained focus
on both the local and the global markets.
In FY24, Ircon continued its upward trajectory, with revenue for the nine-month period increasing 32.4% to INR 8,591 crore from INR 6,488 crore in the previous year.
PAT grew 9% to INR 577 crore from INR 529 crore a year ago. These results reflects the company’s adaptability and ability to capitalize on market opportunities, while
maintaining a solid financial position and delivering value to its stakeholders amid evolving market dynamics.
Analyzing through O’Neil Lens
The stock advanced 468% in FY24. It had been consolidating since the start of the year. After the breakout in the last week of April 2023, it had advanced 34% from
the pivot in less than a month. The accumulation was very strong during the uptrend as it formed another consolidation base and gave a breakout in late July 2023. It
then advanced 200% from the pivot in three months. It continues to enjoy superior ratings: EPS Rank 86, RS Rating of 93, and A/D Rating of A-. Currently, the stock is
trading near its 50-DMA. The volume continues to increase as the stock is trending higher. It is in the early stages of forming a double-bottom base with increasing
volume.
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Capital Equipment
IRCON INTERNATIONAL LIMITED
Company Overview
Ircon International holds a significant position in the domestic and the global infrastructure sector. Its operations span
across various regions within India and extend to countries such as Bangladesh, Malaysia, Nepal, the U.K., and
Algeria. The company stands out for its involvement in coal connectivity projects undertaken in collaboration with
other central public sector entities, illustrating its collaborative approach toward fostering critical infrastructure
advancements. With 398 ongoing projects in India and 128 projects abroad spanning 25 countries, Ircon exemplifies
its commitment to advance infrastructure growth and development on a global scale.
FY24 Growth Drivers
Ircon International reported robust financial performance in Q3 FY24. Revenue was INR 3,012 crore, up 24.4% y/y. PAT surged 28.8% to INR 245 crore from INR 190
crore in Q3 FY23. Core EBITDA increased to INR 296 crore from INR 169 crore a year ago, with margin up 304bps y/y to 10.3%. EPS increased to INR 2.60 from INR
2 in Q3 FY23.
With its highest-ever Q3 turnover, Ircon set a new milestone, showcasing its strong operational performance and market presence. The company’s order book stood at
INR 29,436 crore as of December 31, 2023, with approximately 45% of orders received through nomination and the remaining 55% through competitive bidding. An
important aspect of its project portfolio is the balanced allocation between domestic (91%) and international (9%) orders, demonstrating the company’s sustained focus
on both the local and the global markets.
In FY24, Ircon continued its upward trajectory, with revenue for the nine-month period increasing 32.4% to INR 8,591 crore from INR 6,488 crore in the previous year.
PAT grew 9% to INR 577 crore from INR 529 crore a year ago. These results reflects the company’s adaptability and ability to capitalize on market opportunities, while
maintaining a solid financial position and delivering value to its stakeholders amid evolving market dynamics.
Analyzing through O’Neil Lens
The stock advanced 468% in FY24. It had been consolidating since the start of the year. After the breakout in the last week of April 2023, it had advanced 34% from
the pivot in less than a month. The accumulation was very strong during the uptrend as it formed another consolidation base and gave a breakout in late July 2023. It
then advanced 200% from the pivot in three months. It continues to enjoy superior ratings: EPS Rank 86, RS Rating of 93, and A/D Rating of A-. Currently, the stock is
trading near its 50-DMA. The volume continues to increase as the stock is trending higher. It is in the early stages of forming a double-bottom base with increasing
volume.
-51-
Capital Equipment
© 2024 williamoneilindia [email protected]
TARC
Company Overview
TARC Limited stands as a prominent player in the Indian real estate industry. The company takes great pride in its
ability to redefine luxury offerings. Each of its properties is meticulously crafted to seamlessly integrate with the
environment, enriching the overall living environment. The company's developments include a wide range of life
aspects with sophistication, from safe and secure communal areas for children to contemporary amenities and
connectivity for young professionals. Additionally, the company offers tranquil surroundings designed specifically for
seniors, ensuring a comprehensive living experience for all demographics.
FY24 Growth Drivers
The Union Budget 2024–25 has allocated significant funds (Rs 11.11T) toward India's infrastructure development and sustainable cities, along with a strong emphasis
on adequate connectivity. This improved infrastructure and connectivity will propel the growth of Tier-1 and Tier-2 cities, thereby indirectly driving real estate growth in
the coming years. Some of these highlights includef
l Increased focus on affordable housing, with a significant increase in fund allocation under the Pradhan Mantri Awas Yojana (PMAY), along with tax reforms
related to personal income tax that are expected to facilitate home ownershipw
l A boost in infrastructure development, which will likely stimulate housing demandw
l The simplification of the new tax regime will give Indian consumers increased purchasing power, and an enhanced focus on private investment will encourage
capital investment across various sectors, including infrastructure.
The luxury real estate sector in India is presently in an intriguing state of evolution. Various factors are driving its rapid expansion, leading to remarkable growth in the
market. In FY24, there was a consistent rise in the number of high-end homes sold, priced above Rs 1.5 crore. This surge can be attributed to the increasing demand
from wealthy clientele who desire properties showcasing lavishness through contemporary amenities and sophisticated designs. Major metropolitan areas like Delhi-
NCR, Mumbai, Hyderabad, Pune, and Kolkata have particularly seen substantial interest in luxury real estate.
Analyzing through O’Neil Lens
In FY24, the stock started on a positive note, as it reclaimed its key moving averages. It didn’t form any base in the first three quarters of the FY24. In Q4, it formed a
double-bottom base and is currently 11% to the pivot. EPS Rank is poor due to its weaker earnings in Q4. Apart from that, the previous quarter’s earnings were good.
Technical ratings, RS Rating () and A/D rating () are good. Institutional sponsorship continues to rise, increasing 31% in the recent quarter.
-53-
Financial
TARC
Company Overview
TARC Limited stands as a prominent player in the Indian real estate industry. The company takes great pride in its
ability to redefine luxury offerings. Each of its properties is meticulously crafted to seamlessly integrate with the
environment, enriching the overall living environment. The company's developments include a wide range of life
aspects with sophistication, from safe and secure communal areas for children to contemporary amenities and
connectivity for young professionals. Additionally, the company offers tranquil surroundings designed specifically for
seniors, ensuring a comprehensive living experience for all demographics.
FY24 Growth Drivers
The Union Budget 2024–25 has allocated significant funds (Rs 11.11T) toward India's infrastructure development and sustainable cities, along with a strong emphasis
on adequate connectivity. This improved infrastructure and connectivity will propel the growth of Tier-1 and Tier-2 cities, thereby indirectly driving real estate growth in
the coming years. Some of these highlights includef
l Increased focus on affordable housing, with a significant increase in fund allocation under the Pradhan Mantri Awas Yojana (PMAY), along with tax reforms
related to personal income tax that are expected to facilitate home ownershipw
l A boost in infrastructure development, which will likely stimulate housing demandw
l The simplification of the new tax regime will give Indian consumers increased purchasing power, and an enhanced focus on private investment will encourage
capital investment across various sectors, including infrastructure.
The luxury real estate sector in India is presently in an intriguing state of evolution. Various factors are driving its rapid expansion, leading to remarkable growth in the
market. In FY24, there was a consistent rise in the number of high-end homes sold, priced above Rs 1.5 crore. This surge can be attributed to the increasing demand
from wealthy clientele who desire properties showcasing lavishness through contemporary amenities and sophisticated designs. Major metropolitan areas like Delhi-
NCR, Mumbai, Hyderabad, Pune, and Kolkata have particularly seen substantial interest in luxury real estate.
Analyzing through O’Neil Lens
In FY24, the stock started on a positive note, as it reclaimed its key moving averages. It didn’t form any base in the first three quarters of the FY24. In Q4, it formed a
double-bottom base and is currently 11% to the pivot. EPS Rank is poor due to its weaker earnings in Q4. Apart from that, the previous quarter’s earnings were good.
Technical ratings, RS Rating () and A/D rating () are good. Institutional sponsorship continues to rise, increasing 31% in the recent quarter.
-53-
Financial
Texmaco Rail & Engr.
-54-
Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-54-
Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Texmaco Rail & Engr.
Company Overview
Texmaco Rail & Engineering Ltd. manufactures rolling stock, such as wagons, coaches, EMUs, loco shells and parts,
hydro-mechanical equipment, steel castings, rail engineering, procurement, and construction (EPC), bridges, and
other steel structures. It has six manufacturing units, extending over 6.78M square feet. It has operations in many
business segments, which include rolling stock, rail EPC, traction, and coaching, among others.
FY24 Growth Drivers
The railway has been a core focus of the government's capital expenditure push and has seen huge capital outlays in the last few budgets. The railways were allocated
Rs 1.4 lakh crore in the FY23 budget. This will benefit companies like Texmaco Rail. The company has a robust order book. It has orders for almost 20K wagons, and
the overall order value is Rs 9,000 crore. It has also started booking export orders, both in the rail EPC and railway wagon divisions.
The company has an infrastructure that can support the production of 10,000 wagons in a year. It is also investing in capex to increase overall capacity across all
business segments. Management has guided for 30–35% growth in the order book in FY24. Revenue is expected to grow around 35%. The material costs account for
around 80–84% of the total cost. The company is trying to rationalize its material costs by trying to manufacture in-house and exploring the opportunities for
components that can be outsourced to a vendor for better space utilization. Commodity prices have softened, which can help the company improve its margins.
The current order book for the company is very strong at Rs. 8,517 crore, which constitutes 82% from Indian Railways and 18% from private players. During Q3 FY24,
the company won its largest ever order of 20,000 freight cars from Indian Railways. In 9M FY24, revenue increased 68% y/y to Rs. 2,358 crore. EBITDA increased
129% y/y to Rs. 230 crore. EBITDA margin for 9M FY24 is at 9.8%, up from 7.7% for the same period last year. Revenue for the company is split mainly into three
segments, which include 45% from freight cars, 33% from rail infrastructure, and 21% from steel foundries.
Analyzing through O’Neil Lens
The stock rallied 271% during FY24. Before the start of FY24, the stock formed a stage 1 cup-with-handle base. From that base, it broke out in June and doubled from
its ideal buy point to form a stage two double-bottom base, before resuming its next set of rally. Currently, it has an RS Rating of 89 and an A/D Rating of B, which is
good. The stock is finding resistance at its 21-DMA. However, the stock is trading 15% above the pivot. Hence, entry at this point is not advised.
-55-
Capital Equipment
Texmaco Rail & Engr.
Company Overview
Texmaco Rail & Engineering Ltd. manufactures rolling stock, such as wagons, coaches, EMUs, loco shells and parts,
hydro-mechanical equipment, steel castings, rail engineering, procurement, and construction (EPC), bridges, and
other steel structures. It has six manufacturing units, extending over 6.78M square feet. It has operations in many
business segments, which include rolling stock, rail EPC, traction, and coaching, among others.
FY24 Growth Drivers
The railway has been a core focus of the government's capital expenditure push and has seen huge capital outlays in the last few budgets. The railways were allocated
Rs 1.4 lakh crore in the FY23 budget. This will benefit companies like Texmaco Rail. The company has a robust order book. It has orders for almost 20K wagons, and
the overall order value is Rs 9,000 crore. It has also started booking export orders, both in the rail EPC and railway wagon divisions.
The company has an infrastructure that can support the production of 10,000 wagons in a year. It is also investing in capex to increase overall capacity across all
business segments. Management has guided for 30–35% growth in the order book in FY24. Revenue is expected to grow around 35%. The material costs account for
around 80–84% of the total cost. The company is trying to rationalize its material costs by trying to manufacture in-house and exploring the opportunities for
components that can be outsourced to a vendor for better space utilization. Commodity prices have softened, which can help the company improve its margins.
The current order book for the company is very strong at Rs. 8,517 crore, which constitutes 82% from Indian Railways and 18% from private players. During Q3 FY24,
the company won its largest ever order of 20,000 freight cars from Indian Railways. In 9M FY24, revenue increased 68% y/y to Rs. 2,358 crore. EBITDA increased
129% y/y to Rs. 230 crore. EBITDA margin for 9M FY24 is at 9.8%, up from 7.7% for the same period last year. Revenue for the company is split mainly into three
segments, which include 45% from freight cars, 33% from rail infrastructure, and 21% from steel foundries.
Analyzing through O’Neil Lens
The stock rallied 271% during FY24. Before the start of FY24, the stock formed a stage 1 cup-with-handle base. From that base, it broke out in June and doubled from
its ideal buy point to form a stage two double-bottom base, before resuming its next set of rally. Currently, it has an RS Rating of 89 and an A/D Rating of B, which is
good. The stock is finding resistance at its 21-DMA. However, the stock is trading 15% above the pivot. Hence, entry at this point is not advised.
-55-
Capital Equipment
Satluj Jal Vidyut Nigam
-56-
Energy
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-56-
Energy
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Satluj Jal Vidyut Nigam
Company Overview
Satluj Jal Vidyut Nigam (SJVN) is primarily in the business of electricity generation. The company is also engaged in
providing consultancy services for hydropower projects. It has an installed capacity of 2,152 MW, with hydropower
accounting for 1,972 MW, wind power for 98 MW, and solar power for 82 MW, constituting 99% of trailing revenues.
SJVN also operates an 86 km cross-border transmission line with a capacity of 400 kV from Muzaffarpur to Sursand
in Bihar.
FY24 Growth Drivers
India’s per capita energy consumption is one-third of the global average, i.e. 1,297 kWh per annum. Between FY16–22, it has grown at a CAGR of 2.2%, which is
less than half of the GOI’s estimated 4.8% increase in peak power demand CAGR of 2022–30. As a result, the GOI has set a target of achieving 500GW of renewable
energy capacity, including hydropower by 2030 from the current levels of 172 GW, implying a strong CAGR of 16%. The GOI has also mandated state discoms to
increase the purchase of renewable power.
From the current installed capacity of 2.1 GW, predominantly hydropower, the company aims to achieve capacities of 12GW and 25GW by 2026 and 2030,
respectively, mainly by investing in renewables, including hydropower plants. The company’s plant load factor (PLF) has consistently been higher than that of its peers,
contributing to a higher average EBITDA margin and ROE. In FY23, PLF stood at 55% as against NHPCs at 49%.
In 9M FY24, revenue from operations declined 13.9% on account of decline in the hydropower production. Operating margins remained flat at 67.8%. PAT margin
declined to 40.6% and the debt-to-Equity ratio increased to 1.22x. Currently, installed capacity stands at 2,227 megawatts and plans to add 240 megawatt of
renewable energy projects in the upcoming quarter. The company’s vision is to install a 25,000 megawatt portfolio by 2030.
Analyzing through O’Neil Lens
The stock rallied 267% during FY24. Before the start of FY24, the stock formed a stage two cup-with-handle base. From there, it broke out in June and doubled from
its ideal buy point to form a stage three flat base. Later, it broke out in November to stage its next set of rally. Currently, it has an RS Rating of 94 and an A/D Rating of
A-, which is good. The stock is trading well above its key moving averages but is trading 60% above the pivot at this moment. Hence, a fresh entry into this stock is
currently not advised.
-57-
Energy
Satluj Jal Vidyut Nigam
Company Overview
Satluj Jal Vidyut Nigam (SJVN) is primarily in the business of electricity generation. The company is also engaged in
providing consultancy services for hydropower projects. It has an installed capacity of 2,152 MW, with hydropower
accounting for 1,972 MW, wind power for 98 MW, and solar power for 82 MW, constituting 99% of trailing revenues.
SJVN also operates an 86 km cross-border transmission line with a capacity of 400 kV from Muzaffarpur to Sursand
in Bihar.
FY24 Growth Drivers
India’s per capita energy consumption is one-third of the global average, i.e. 1,297 kWh per annum. Between FY16–22, it has grown at a CAGR of 2.2%, which is
less than half of the GOI’s estimated 4.8% increase in peak power demand CAGR of 2022–30. As a result, the GOI has set a target of achieving 500GW of renewable
energy capacity, including hydropower by 2030 from the current levels of 172 GW, implying a strong CAGR of 16%. The GOI has also mandated state discoms to
increase the purchase of renewable power.
From the current installed capacity of 2.1 GW, predominantly hydropower, the company aims to achieve capacities of 12GW and 25GW by 2026 and 2030,
respectively, mainly by investing in renewables, including hydropower plants. The company’s plant load factor (PLF) has consistently been higher than that of its peers,
contributing to a higher average EBITDA margin and ROE. In FY23, PLF stood at 55% as against NHPCs at 49%.
In 9M FY24, revenue from operations declined 13.9% on account of decline in the hydropower production. Operating margins remained flat at 67.8%. PAT margin
declined to 40.6% and the debt-to-Equity ratio increased to 1.22x. Currently, installed capacity stands at 2,227 megawatts and plans to add 240 megawatt of
renewable energy projects in the upcoming quarter. The company’s vision is to install a 25,000 megawatt portfolio by 2030.
Analyzing through O’Neil Lens
The stock rallied 267% during FY24. Before the start of FY24, the stock formed a stage two cup-with-handle base. From there, it broke out in June and doubled from
its ideal buy point to form a stage three flat base. Later, it broke out in November to stage its next set of rally. Currently, it has an RS Rating of 94 and an A/D Rating of
A-, which is good. The stock is trading well above its key moving averages but is trading 60% above the pivot at this moment. Hence, a fresh entry into this stock is
currently not advised.
-57-
Energy
Chennai Petroleum
-58-
Energy
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-58-
Energy
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Chennai Petroleum
Company Overview
Satluj Jal Vidyut Nigam (SJVN) is primarily in the business of electricity generation. The company is also engaged in
providing consultancy services for hydropower projects. It has an installed capacity of 2,152 MW, with hydropower
accounting for 1,972 MW, wind power for 98 MW, and solar power for 82 MW, constituting 99% of trailing revenues.
SJVN also operates an 86 km cross-border transmission line with a capacity of 400 kV from Muzaffarpur to Sursand
in Bihar.
FY24 Growth Drivers
India’s per capita energy consumption is one-third of the global average, i.e. 1,297 kWh per annum. Between FY16–22, it has grown at a CAGR of 2.2%, which is
less than half of the GOI’s estimated 4.8% increase in peak power demand CAGR of 2022–30. As a result, the GOI has set a target of achieving 500GW of renewable
energy capacity, including hydropower by 2030 from the current levels of 172 GW, implying a strong CAGR of 16%. The GOI has also mandated state discoms to
increase the purchase of renewable power.
From the current installed capacity of 2.1 GW, predominantly hydropower, the company aims to achieve capacities of 12GW and 25GW by 2026 and 2030,
respectively, mainly by investing in renewables, including hydropower plants. The company’s plant load factor (PLF) has consistently been higher than that of its peers,
contributing to a higher average EBITDA margin and ROE. In FY23, PLF stood at 55% as against NHPCs at 49%.
In 9M FY24, revenue from operations declined 13.9% on account of decline in the hydropower production. Operating margins remained flat at 67.8%. PAT margin
declined to 40.6% and the debt-to-Equity ratio increased to 1.22x. Currently, installed capacity stands at 2,227 megawatts and plans to add 240 megawatt of
renewable energy projects in the upcoming quarter. The company’s vision is to install a 25,000 megawatt portfolio by 2030.
Analyzing through O’Neil Lens
The stock rallied 267% during FY24. Before the start of FY24, the stock formed a stage two cup-with-handle base. From there, it broke out in June and doubled from
its ideal buy point to form a stage three flat base. Later, it broke out in November to stage its next set of rally. Currently, it has an RS Rating of 94 and an A/D Rating of
A-, which is good. The stock is trading well above its key moving averages but is trading 60% above the pivot at this moment. Hence, a fresh entry into this stock is
currently not advised.
-59-
Energy
Chennai Petroleum
Company Overview
Satluj Jal Vidyut Nigam (SJVN) is primarily in the business of electricity generation. The company is also engaged in
providing consultancy services for hydropower projects. It has an installed capacity of 2,152 MW, with hydropower
accounting for 1,972 MW, wind power for 98 MW, and solar power for 82 MW, constituting 99% of trailing revenues.
SJVN also operates an 86 km cross-border transmission line with a capacity of 400 kV from Muzaffarpur to Sursand
in Bihar.
FY24 Growth Drivers
India’s per capita energy consumption is one-third of the global average, i.e. 1,297 kWh per annum. Between FY16–22, it has grown at a CAGR of 2.2%, which is
less than half of the GOI’s estimated 4.8% increase in peak power demand CAGR of 2022–30. As a result, the GOI has set a target of achieving 500GW of renewable
energy capacity, including hydropower by 2030 from the current levels of 172 GW, implying a strong CAGR of 16%. The GOI has also mandated state discoms to
increase the purchase of renewable power.
From the current installed capacity of 2.1 GW, predominantly hydropower, the company aims to achieve capacities of 12GW and 25GW by 2026 and 2030,
respectively, mainly by investing in renewables, including hydropower plants. The company’s plant load factor (PLF) has consistently been higher than that of its peers,
contributing to a higher average EBITDA margin and ROE. In FY23, PLF stood at 55% as against NHPCs at 49%.
In 9M FY24, revenue from operations declined 13.9% on account of decline in the hydropower production. Operating margins remained flat at 67.8%. PAT margin
declined to 40.6% and the debt-to-Equity ratio increased to 1.22x. Currently, installed capacity stands at 2,227 megawatts and plans to add 240 megawatt of
renewable energy projects in the upcoming quarter. The company’s vision is to install a 25,000 megawatt portfolio by 2030.
Analyzing through O’Neil Lens
The stock rallied 267% during FY24. Before the start of FY24, the stock formed a stage two cup-with-handle base. From there, it broke out in June and doubled from
its ideal buy point to form a stage three flat base. Later, it broke out in November to stage its next set of rally. Currently, it has an RS Rating of 94 and an A/D Rating of
A-, which is good. The stock is trading well above its key moving averages but is trading 60% above the pivot at this moment. Hence, a fresh entry into this stock is
currently not advised.
-59-
Energy
© 2024 williamoneilindia [email protected]
Wockhardt
Company Overview
Wockhardt Limited is a renowned pharmaceutical and biotechnology company known for its diverse range of
pharmaceutical and bio-pharmaceutical products, including active pharmaceutical ingredients (APIs) and vaccines.
The company manufactures and markets various dosage forms, such as sterile injectables and lyophilized products,
catering to therapeutic areas like dermatology, cosmeceuticals, oncology, medical nutrition, osteoarthritis, pain
management, nephrology, cough therapy, and diabetology.
FY24 Growth Drivers
During 9M FY24, Wockhardt’s revenue grew 7% y/y to Rs 2,129 crore. However, its EBITDA surged 80% y/y to Rs 173 crore. Notably, the company reduced its
borrowing by nearly Rs 600 crore, maintaining a stable debt-to-equity ratio at 0.27. This indicates prudent financial management and a strengthened balance sheet.
Last month, it raised Rs 480 crore via a QIP of shares.
Wockhardt offers a wide array of products like Citawok, CONSEGNA, DECDAN, Emrok, Erliso, FOSCHEK-S, Gabawok NT, Glimaday, INOGLA, Livatira, and VAL 450,
meeting healthcare needs across India. The company has global manufacturing and research facilities in India, the United States, the United Kingdom, and Ireland,
demonstrating its dedication to providing high-quality healthcare solutions worldwide.
Wockhardt reached significant milestones in its pharmaceutical research and development endeavors. The company obtained Qualified Infectious Disease Product
(QIDP) status from the U.S. FDA for six programs, highlighting the recognition of unmet medical needs and streamlined regulatory pathways for faster trials and
approvals.
Notably, the company’s WCK 5222, designed for extensively drug-resistant (XDR) Gram-negative Acinetobacter and Pseudomonas infections, showed promising
clinical and microbiological results in 15 patients with challenging infections. Additionally, it forged a strategic supply and collaboration agreement with Serum Life
Sciences Limited at its U.K. facility. This agreement includes profit-sharing terms and entails a 15-year commitment with reserved capacity for producing 150M doses
annually. These advancements underscore the company’s dedication to innovation and collaboration in tackling critical healthcare issues and expanding its global
presence in pharmaceutical research and development.
Analyzing through O’Neil Lens
The stock advanced 266% in FY24. It formed a cup-with-handle base for the first five months of FY24. After the breakout in the first week of November, it advanced
146% from the pivot in just four months. It continues to enjoy superior technical ratings: RS Rating of 93 and an A/D Rating of A+. It has poor EPS 35. However, its
earnings have improved in the recent quarters, so EPS might improve in FY25. Institutional sponsorship increased 20% q/q in Q3 FY24. Currently, the stock is trading
above its 50-DMA.
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Healthcare
Wockhardt
Company Overview
Wockhardt Limited is a renowned pharmaceutical and biotechnology company known for its diverse range of
pharmaceutical and bio-pharmaceutical products, including active pharmaceutical ingredients (APIs) and vaccines.
The company manufactures and markets various dosage forms, such as sterile injectables and lyophilized products,
catering to therapeutic areas like dermatology, cosmeceuticals, oncology, medical nutrition, osteoarthritis, pain
management, nephrology, cough therapy, and diabetology.
FY24 Growth Drivers
During 9M FY24, Wockhardt’s revenue grew 7% y/y to Rs 2,129 crore. However, its EBITDA surged 80% y/y to Rs 173 crore. Notably, the company reduced its
borrowing by nearly Rs 600 crore, maintaining a stable debt-to-equity ratio at 0.27. This indicates prudent financial management and a strengthened balance sheet.
Last month, it raised Rs 480 crore via a QIP of shares.
Wockhardt offers a wide array of products like Citawok, CONSEGNA, DECDAN, Emrok, Erliso, FOSCHEK-S, Gabawok NT, Glimaday, INOGLA, Livatira, and VAL 450,
meeting healthcare needs across India. The company has global manufacturing and research facilities in India, the United States, the United Kingdom, and Ireland,
demonstrating its dedication to providing high-quality healthcare solutions worldwide.
Wockhardt reached significant milestones in its pharmaceutical research and development endeavors. The company obtained Qualified Infectious Disease Product
(QIDP) status from the U.S. FDA for six programs, highlighting the recognition of unmet medical needs and streamlined regulatory pathways for faster trials and
approvals.
Notably, the company’s WCK 5222, designed for extensively drug-resistant (XDR) Gram-negative Acinetobacter and Pseudomonas infections, showed promising
clinical and microbiological results in 15 patients with challenging infections. Additionally, it forged a strategic supply and collaboration agreement with Serum Life
Sciences Limited at its U.K. facility. This agreement includes profit-sharing terms and entails a 15-year commitment with reserved capacity for producing 150M doses
annually. These advancements underscore the company’s dedication to innovation and collaboration in tackling critical healthcare issues and expanding its global
presence in pharmaceutical research and development.
Analyzing through O’Neil Lens
The stock advanced 266% in FY24. It formed a cup-with-handle base for the first five months of FY24. After the breakout in the first week of November, it advanced
146% from the pivot in just four months. It continues to enjoy superior technical ratings: RS Rating of 93 and an A/D Rating of A+. It has poor EPS 35. However, its
earnings have improved in the recent quarters, so EPS might improve in FY25. Institutional sponsorship increased 20% q/q in Q3 FY24. Currently, the stock is trading
above its 50-DMA.
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Healthcare
Cochin Shipyard
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Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
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Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Cochin Shipyard
Company Overview
Cochin Shipyard is one of the country’s leading ship-building and ship-repair yards. The company has built and
delivered more than 180 vessels, including large, medium, and small vessels, offshore support vessels, and defense
vessels. The company has built and repaired some of its largest ships for its esteemed customers across the globe. It
has also exported more than 45 ships to various clients internationally.
FY24 Growth Drivers
The company has strong capabilities in ship-building and ship repair with advanced state-of-the-art infrastructure. It has strong prowess in executing diversified projects
in both of these segments. With the commissioning of a new dry lock facility and an international ship repair facility. The order backlog for the company stands at Rs.
22,300 crore, as of December, which is 7x of TTM revenues. With pick-up in execution, this gives strong revenue growth visibility. Large scale contracts for Indian Navy
corvettes, next generation missiles, post commissioning of work. Execution of commercial vessel contracts is expected to pick up between FY24–FY26E.
Order inflows are expected to remain healthy going forward, driven by contracts in the defense, commercial shipbuilding, and ship repair segments, including exports.
About Rs. 9,000 crore worth of shipbuilding contracts are in the pipeline, with tenders expected to be floated in the medium term. In the commercial segment, electric
vessel opportunities from Europe consisting of 2500 vessels are scheduled to be replaced with green vessels. In the ship repair segment, the company also sees
sizeable opportunity in both the defense and commercial industries.
In 9M FY24, revenue increased 62% y/y to Rs. 2,419.79 crore. EBITDA margin expanded 700bps to 34%. PAT increased 91% during the same period to Rs. 548.3
crore. Shipbuilding revenue increased 29% y/y in 9M FY24 to 1,714.3 crore. Ship repair revenue increased 67% y/y to Rs. 705.5 crore. During Q3 FY24, the company
delivered two Electric Hybrid 100 Pax Water Boats to Kochi Metro and two Hybrid Electric Catamaran passenger vessels to IWAI. In FY23, the company has an ROE of
8% and it improved by 300bps to 11% in 9M FY24.
Analyzing through O’Neil Lens
The stock rallied 271% during FY24. Before the start of FY24, the stock formed a stage two cup-with-handle base. From that base, it broke out in July and doubled
from its ideal buy point to form a stage three cup base, before resuming its next set of rallies. Currently, it has an RS Rating of 95 and an A/D Rating of A+, which is
good. The stock is trading well above its key moving averages. It is currently forming a stage four consolidation base, which is a late stage base and has high chances
of failure. Hence, a new entry is not advised.
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Capital Equipment
Cochin Shipyard
Company Overview
Cochin Shipyard is one of the country’s leading ship-building and ship-repair yards. The company has built and
delivered more than 180 vessels, including large, medium, and small vessels, offshore support vessels, and defense
vessels. The company has built and repaired some of its largest ships for its esteemed customers across the globe. It
has also exported more than 45 ships to various clients internationally.
FY24 Growth Drivers
The company has strong capabilities in ship-building and ship repair with advanced state-of-the-art infrastructure. It has strong prowess in executing diversified projects
in both of these segments. With the commissioning of a new dry lock facility and an international ship repair facility. The order backlog for the company stands at Rs.
22,300 crore, as of December, which is 7x of TTM revenues. With pick-up in execution, this gives strong revenue growth visibility. Large scale contracts for Indian Navy
corvettes, next generation missiles, post commissioning of work. Execution of commercial vessel contracts is expected to pick up between FY24–FY26E.
Order inflows are expected to remain healthy going forward, driven by contracts in the defense, commercial shipbuilding, and ship repair segments, including exports.
About Rs. 9,000 crore worth of shipbuilding contracts are in the pipeline, with tenders expected to be floated in the medium term. In the commercial segment, electric
vessel opportunities from Europe consisting of 2500 vessels are scheduled to be replaced with green vessels. In the ship repair segment, the company also sees
sizeable opportunity in both the defense and commercial industries.
In 9M FY24, revenue increased 62% y/y to Rs. 2,419.79 crore. EBITDA margin expanded 700bps to 34%. PAT increased 91% during the same period to Rs. 548.3
crore. Shipbuilding revenue increased 29% y/y in 9M FY24 to 1,714.3 crore. Ship repair revenue increased 67% y/y to Rs. 705.5 crore. During Q3 FY24, the company
delivered two Electric Hybrid 100 Pax Water Boats to Kochi Metro and two Hybrid Electric Catamaran passenger vessels to IWAI. In FY23, the company has an ROE of
8% and it improved by 300bps to 11% in 9M FY24.
Analyzing through O’Neil Lens
The stock rallied 271% during FY24. Before the start of FY24, the stock formed a stage two cup-with-handle base. From that base, it broke out in July and doubled
from its ideal buy point to form a stage three cup base, before resuming its next set of rallies. Currently, it has an RS Rating of 95 and an A/D Rating of A+, which is
good. The stock is trading well above its key moving averages. It is currently forming a stage four consolidation base, which is a late stage base and has high chances
of failure. Hence, a new entry is not advised.
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Capital Equipment
Newgen Software Techs
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Technology
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-64-
Technology
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Newgen Software Techs
Company Overview
Newgen Software Technologies Limited leads India's digital transformation with its innovative NewgenONE platform,
empowering organizations to automate processes, manage content, and enhance communications using advanced
AI, robust governance, and seamless integration. Key components of NewgenONE include contextual content services
(ECM), low-code process automation (BPM), omnichannel customer engagement (CCM), and Artificial Intelligence
Cloud. With low-code platforms, the company helps enterprises develop and deploy cloud-based business
applications effortlessly, serving diverse industries worldwide. Operating across India, Europe, the Middle East, Africa,
Asia Pacific, Australia, and the USA, Newgen Software Technologies drives global digital innovation, enabling
businesses to thrive in today's competitive landscape.
FY24 Growth Drivers
In a remarkable financial performance, the company achieved record revenue in Q3 FY24, hitting Rs 324 crore, marking a significant 27% y/y growth. Notably, the
India region saw robust revenue growth of 29% Y/Y during the quarter, driven by collaborations with an additional Indian public sector bank, resulting in a total order
value of Rs 18 crores for crucial trade finance supply chain solutions. Additionally, securing an order for a loan origination system platform from a leading financial
services player underscores the company's dedication to innovation and customer-centric solutions, further solidified by the India region's impressive 42% y/y revenue
growth.
The quarter's profit after tax stood at Rs 68 crore, a notable 45% y/y growth, reflecting operational efficiency and strategic initiatives. The company also invested
significantly in R&D, allocating 10% of revenue. It allotted 21% of revenue toward sales and marketing initiatives. The recent 1:1 bonus declaration showcases the
company's commitment to enhancing shareholder value.
In 9M FY24, the company reported Rs 869 crore in revenues, a robust 30% y/y growth, with PAT at Rs 146 crore, a remarkable 51% y/y growth. PAT margin was 17%.
The company's strategic partnership with Duck Creek Technologies highlights its focus on leveraging technology for customer-centric solutions. With net cash from
operating activities at Rs 193 crore, the company is poised for sustained growth and value creation in the evolving business landscape.
Analyzing through O’Neil Lens
The stock advanced 257% in FY24. It formed the base 9M FY24. After the breakout in the last week of April, it advanced 42% from the pivot in just one month. The
accumulation was very strong during the uptrend as it formed another consolidation base, gave a breakout in mid-July, and has advanced 25% from the pivot in one
month. That did not stop the eventual growth of the company, as it continued to look strong with the formation of a rounding cup and gave a breakout in early
October to advance 81% in just two months. It continues to enjoy superior ratings: EPS Rank 91, RS Rating of 90, and Acc/Dist Rating of B. Currently, the stock is
trading above its 50-DMA and forming a double bottom base.
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Technology
Newgen Software Techs
Company Overview
Newgen Software Technologies Limited leads India's digital transformation with its innovative NewgenONE platform,
empowering organizations to automate processes, manage content, and enhance communications using advanced
AI, robust governance, and seamless integration. Key components of NewgenONE include contextual content services
(ECM), low-code process automation (BPM), omnichannel customer engagement (CCM), and Artificial Intelligence
Cloud. With low-code platforms, the company helps enterprises develop and deploy cloud-based business
applications effortlessly, serving diverse industries worldwide. Operating across India, Europe, the Middle East, Africa,
Asia Pacific, Australia, and the USA, Newgen Software Technologies drives global digital innovation, enabling
businesses to thrive in today's competitive landscape.
FY24 Growth Drivers
In a remarkable financial performance, the company achieved record revenue in Q3 FY24, hitting Rs 324 crore, marking a significant 27% y/y growth. Notably, the
India region saw robust revenue growth of 29% Y/Y during the quarter, driven by collaborations with an additional Indian public sector bank, resulting in a total order
value of Rs 18 crores for crucial trade finance supply chain solutions. Additionally, securing an order for a loan origination system platform from a leading financial
services player underscores the company's dedication to innovation and customer-centric solutions, further solidified by the India region's impressive 42% y/y revenue
growth.
The quarter's profit after tax stood at Rs 68 crore, a notable 45% y/y growth, reflecting operational efficiency and strategic initiatives. The company also invested
significantly in R&D, allocating 10% of revenue. It allotted 21% of revenue toward sales and marketing initiatives. The recent 1:1 bonus declaration showcases the
company's commitment to enhancing shareholder value.
In 9M FY24, the company reported Rs 869 crore in revenues, a robust 30% y/y growth, with PAT at Rs 146 crore, a remarkable 51% y/y growth. PAT margin was 17%.
The company's strategic partnership with Duck Creek Technologies highlights its focus on leveraging technology for customer-centric solutions. With net cash from
operating activities at Rs 193 crore, the company is poised for sustained growth and value creation in the evolving business landscape.
Analyzing through O’Neil Lens
The stock advanced 257% in FY24. It formed the base 9M FY24. After the breakout in the last week of April, it advanced 42% from the pivot in just one month. The
accumulation was very strong during the uptrend as it formed another consolidation base, gave a breakout in mid-July, and has advanced 25% from the pivot in one
month. That did not stop the eventual growth of the company, as it continued to look strong with the formation of a rounding cup and gave a breakout in early
October to advance 81% in just two months. It continues to enjoy superior ratings: EPS Rank 91, RS Rating of 90, and Acc/Dist Rating of B. Currently, the stock is
trading above its 50-DMA and forming a double bottom base.
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Technology
Bharat Heavy Electricals Ltd
-66-
Technology
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-66-
Technology
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
BHEL
Company Overview
Bharat Heavy Electricals Ltd (BHEL) is a cornerstone of India’s industrial landscape, esteemed for its role as an
integrated power plant equipment manufacturer and one of the nation’s largest engineering and manufacturing
entities. With a diverse product portfolio serving sectors including power, transportation, energy, oil and gas, defense,
and various industrial markets, BHEL plays a vital role in India’s economic ecosystem. The company operates across
three distinct business segments – power, industry sector, and international operations – with the power segment
making a significant contribution to its overall revenue. BHEL’s product lineup encompasses a wide array of heavy
industrial equipment and components, spanning turbines, valves, pumps, boilers, and insulators, designed to meet
the diverse requirements of its clientele. Moreover, the company provides comprehensive after-sales services for
maintenance and repairs, coupled with expertise in synchronizing power plants. While a substantial portion of its
revenue is generated domestically, BHEL has expanded its global footprint, reflecting its dedication to serving diverse
markets and fostering technological innovation worldwide.
FY24 Growth Drivers
In Q3 FY24, net profit declined to a loss of INR 163 crore, reflecting challenges in its financial performance. However, amid this setback, revenue witnessed a
moderate 5% increase to INR 5,504 crore from INR 5,263 crore in the previous year. The standout aspect of BHEL’s performance, however, lies in its order inflow.
Order inflow surged significantly by 137% y/y, indicating robust demand and expansion in core sectors of the economy. With a strong order book for the upcoming
year amounting to an impressive INR 1,08,618 crore, the company demonstrates resilience and strategic positioning in key industry sectors.
Despite financial challenges, BHEL continues to make significant progress in strategic collaborations and project achievements. Notably, the commissioning of INS
Imphal, a Visakhapatnam-class destroyer equipped with BHEL’s Super Rapid Gun Mount, underscores the company’s contribution to India’s defense sector.
Furthermore, BHEL’s memorandum of cooperation (MoC) with Electricité de France S.A., France (EDF) signifies efforts to explore broader collaborations in nuclear
technology, particularly for the European pressurized reactors and the NUWARD small modular reactors. Additionally, BHEL has achieved significant capacity addition
in thermal power, with 2000 MW added in both the utility and captive segments as of Q3 FY24, reflecting its commitment to meeting the nation’s energy needs.
Analyzing through O’Neil Lens
The stock advanced 265% in FY24. It was forming a rounding cup. After the breakout in late June 2023, it had advanced 68% from the pivot in just two months. The
accumulation was very strong during the uptrend as it formed a consolidation base and gave a breakout in late November 2023. It then advanced 83% from the pivot
in three months. It continues to enjoy superior ratings: RS Rating of 93 and A/D Rating of B+.
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Technology
BHEL
Company Overview
Bharat Heavy Electricals Ltd (BHEL) is a cornerstone of India’s industrial landscape, esteemed for its role as an
integrated power plant equipment manufacturer and one of the nation’s largest engineering and manufacturing
entities. With a diverse product portfolio serving sectors including power, transportation, energy, oil and gas, defense,
and various industrial markets, BHEL plays a vital role in India’s economic ecosystem. The company operates across
three distinct business segments – power, industry sector, and international operations – with the power segment
making a significant contribution to its overall revenue. BHEL’s product lineup encompasses a wide array of heavy
industrial equipment and components, spanning turbines, valves, pumps, boilers, and insulators, designed to meet
the diverse requirements of its clientele. Moreover, the company provides comprehensive after-sales services for
maintenance and repairs, coupled with expertise in synchronizing power plants. While a substantial portion of its
revenue is generated domestically, BHEL has expanded its global footprint, reflecting its dedication to serving diverse
markets and fostering technological innovation worldwide.
FY24 Growth Drivers
In Q3 FY24, net profit declined to a loss of INR 163 crore, reflecting challenges in its financial performance. However, amid this setback, revenue witnessed a
moderate 5% increase to INR 5,504 crore from INR 5,263 crore in the previous year. The standout aspect of BHEL’s performance, however, lies in its order inflow.
Order inflow surged significantly by 137% y/y, indicating robust demand and expansion in core sectors of the economy. With a strong order book for the upcoming
year amounting to an impressive INR 1,08,618 crore, the company demonstrates resilience and strategic positioning in key industry sectors.
Despite financial challenges, BHEL continues to make significant progress in strategic collaborations and project achievements. Notably, the commissioning of INS
Imphal, a Visakhapatnam-class destroyer equipped with BHEL’s Super Rapid Gun Mount, underscores the company’s contribution to India’s defense sector.
Furthermore, BHEL’s memorandum of cooperation (MoC) with Electricité de France S.A., France (EDF) signifies efforts to explore broader collaborations in nuclear
technology, particularly for the European pressurized reactors and the NUWARD small modular reactors. Additionally, BHEL has achieved significant capacity addition
in thermal power, with 2000 MW added in both the utility and captive segments as of Q3 FY24, reflecting its commitment to meeting the nation’s energy needs.
Analyzing through O’Neil Lens
The stock advanced 265% in FY24. It was forming a rounding cup. After the breakout in late June 2023, it had advanced 68% from the pivot in just two months. The
accumulation was very strong during the uptrend as it formed a consolidation base and gave a breakout in late November 2023. It then advanced 83% from the pivot
in three months. It continues to enjoy superior ratings: RS Rating of 93 and A/D Rating of B+.
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Technology
Tata Investments
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Financial
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-68-
Financial
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Tata Investments
Company Overview
Tata Investment (TICL) is a non-banking financial services company, previously known as The Investment Corporation
of India. The company transitioned from facilitating the establishment of new ventures to operating as an investment
company with a diversified portfolio. It played a pivotal role in the Indian investment sector. The company promoted
long-term investments in the country and projects with new Indian entrepreneurs and foreign collaborators.
FY24 Growth Drivers
Despite global uncertainty, India remains a bright spot, with expectations that Indian equity indices would continue to scale new highs. The company’s portfolio includes
listed Tata and diversified non-Tata equities, unlisted equities, and fixed income securities. The company has realized gains at opportune times and reinvested them in
other asset classes. The income from dividends grew substantially in FY23, from Rs 127.64 crore to Rs 187.87 crore.
TICL co-promoted TATA Asset Management Private Company Ltd. with TATA Sons Pvt. Ltd. in 1994. TICL holds 32% of Tata Asset Management, and the remaining
68% is held by Tata Sons. Tata Asset Management (TAM) is one of the first fund management companies in the Indian private sector. The company’s principal activity is
to act as an investment manager for Tata Mutual Funds. It has a client base of over 1 million people. The total assets under management of TATA AMC approximated
Rs 89,500 crore as of March 31, 2022 in the domestic market.
The primary focus of the company lies in investing in long-term equity shares, debt instruments (both listed and unlisted), and equity-related securities across diverse
industries. The company generates its main sources of income from dividends, interest, and profits earned from the sale of investments. Over time, TICL has diligently
managed its portfolio, gradually building it up to a book value exceeding Rs. 3,000 crore, with an estimated market value of approximately Rs. 20,700 crore as of
March 31st, 2022. This portfolio spans across 87 companies operating in various sectors.
Analyzing through O’Neil Lens
During the start of FY24, the stock traded on the right side of the stage-four (a) cup-with-handle base. Post which, the stock formed another base, stage-four(b) flat
base. However, the actual return was generated from breakout from stage-four (b), five, and six. All three breakouts were hit power-to-pivot. The company’s ratings
remain intact: EPS Rank, 90; RS Rating, 94; A/D Rating, B-. In March 2024, the stock became a circuit stock, hitting either lower/upper circuits on most of the trading
sessions.
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Financial
Tata Investments
Company Overview
Tata Investment (TICL) is a non-banking financial services company, previously known as The Investment Corporation
of India. The company transitioned from facilitating the establishment of new ventures to operating as an investment
company with a diversified portfolio. It played a pivotal role in the Indian investment sector. The company promoted
long-term investments in the country and projects with new Indian entrepreneurs and foreign collaborators.
FY24 Growth Drivers
Despite global uncertainty, India remains a bright spot, with expectations that Indian equity indices would continue to scale new highs. The company’s portfolio includes
listed Tata and diversified non-Tata equities, unlisted equities, and fixed income securities. The company has realized gains at opportune times and reinvested them in
other asset classes. The income from dividends grew substantially in FY23, from Rs 127.64 crore to Rs 187.87 crore.
TICL co-promoted TATA Asset Management Private Company Ltd. with TATA Sons Pvt. Ltd. in 1994. TICL holds 32% of Tata Asset Management, and the remaining
68% is held by Tata Sons. Tata Asset Management (TAM) is one of the first fund management companies in the Indian private sector. The company’s principal activity is
to act as an investment manager for Tata Mutual Funds. It has a client base of over 1 million people. The total assets under management of TATA AMC approximated
Rs 89,500 crore as of March 31, 2022 in the domestic market.
The primary focus of the company lies in investing in long-term equity shares, debt instruments (both listed and unlisted), and equity-related securities across diverse
industries. The company generates its main sources of income from dividends, interest, and profits earned from the sale of investments. Over time, TICL has diligently
managed its portfolio, gradually building it up to a book value exceeding Rs. 3,000 crore, with an estimated market value of approximately Rs. 20,700 crore as of
March 31st, 2022. This portfolio spans across 87 companies operating in various sectors.
Analyzing through O’Neil Lens
During the start of FY24, the stock traded on the right side of the stage-four (a) cup-with-handle base. Post which, the stock formed another base, stage-four(b) flat
base. However, the actual return was generated from breakout from stage-four (b), five, and six. All three breakouts were hit power-to-pivot. The company’s ratings
remain intact: EPS Rank, 90; RS Rating, 94; A/D Rating, B-. In March 2024, the stock became a circuit stock, hitting either lower/upper circuits on most of the trading
sessions.
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Financial
© 2024 williamoneilindia [email protected]
Zomato
Company Overview
Zomato provides a technology platform that connects customers, restaurant partners, and delivery partners, serving
their multiple needs. Customers use the platform to search for and discover restaurants, read and write customer-
generated reviews, order food delivery, book a table, and make payments while dining out at restaurants. On the
other hand, the company provides restaurant partners with industry-specific marketing tools that enable them to
engage and acquire customers to grow their business.
FY24 Growth Drivers
Zomato's Gold program has rapidly expanded to encompass 3.8M members in only three quarters since its inception, representing approximately 40% of the total
GOV in food delivery. Despite the lower margins for Gold members compared to regular members due to the additional benefits offered, the company anticipates a
decreasing disparity. Efforts are underway to narrow this gap further by optimizing pricing structures and reducing program costs, which should lead to improved
efficiencies over time.
Since the start of Q2 FY24, all customers, including Zomato Gold members, have incurred a nominal platform fee of Rs 2–5 per order. This adjustment is designed to
enhance the economic viability of the platform in the long term. Despite being a modest fee, it is expected to significantly contribute to improved margins, thereby
facilitating margin expansion for the company. Blinkit, under Zomato's ownership, has experienced a strong product-market fit and notable growth in all the cities
where it currently operates. Over the past five quarters following Zomato's acquisition of Blinkit, there has been a consistent upward trend in Blinkit's GOV as a
proportion of Zomato's GOV, particularly in the cities where both platforms have a presence.
In Q3 FY24, Zomato’s revenue increased 15% q/q and 69% y/y, which was a beat on estimates mainly driven by Blinkit, which increased 27% q/q, while food delivery
revenue increased 10% q/q driven by a higher take rate. Management has retained its long-term guidance of revenue growth at 40% y/y but increased it to 50% y/y
for the near term. The adjusted EBITDA margin also improved to 5.3%. The company expects to break even for Blinkit in Q1 FY25, despite maintaining a high number
of store additions.
Analyzing through O’Neil Lens
The stock rallied 251% during FY24. Before the start of FY24, the stock formed a stage one cup-with-handle base. From that base, it broke out in May and doubled
from its ideal buy point to form a stage two flat base. Later, it broke out in September to again form a stage three flat base in December. Currently, it has a good RS
Rating of 93 and an A/D Rating of A-. The stock is trading well above its key moving averages but is trading 50% above the pivot at this moment. Hence, a fresh entry
into this stock is currently not advised.
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Retail
Zomato
Company Overview
Zomato provides a technology platform that connects customers, restaurant partners, and delivery partners, serving
their multiple needs. Customers use the platform to search for and discover restaurants, read and write customer-
generated reviews, order food delivery, book a table, and make payments while dining out at restaurants. On the
other hand, the company provides restaurant partners with industry-specific marketing tools that enable them to
engage and acquire customers to grow their business.
FY24 Growth Drivers
Zomato's Gold program has rapidly expanded to encompass 3.8M members in only three quarters since its inception, representing approximately 40% of the total
GOV in food delivery. Despite the lower margins for Gold members compared to regular members due to the additional benefits offered, the company anticipates a
decreasing disparity. Efforts are underway to narrow this gap further by optimizing pricing structures and reducing program costs, which should lead to improved
efficiencies over time.
Since the start of Q2 FY24, all customers, including Zomato Gold members, have incurred a nominal platform fee of Rs 2–5 per order. This adjustment is designed to
enhance the economic viability of the platform in the long term. Despite being a modest fee, it is expected to significantly contribute to improved margins, thereby
facilitating margin expansion for the company. Blinkit, under Zomato's ownership, has experienced a strong product-market fit and notable growth in all the cities
where it currently operates. Over the past five quarters following Zomato's acquisition of Blinkit, there has been a consistent upward trend in Blinkit's GOV as a
proportion of Zomato's GOV, particularly in the cities where both platforms have a presence.
In Q3 FY24, Zomato’s revenue increased 15% q/q and 69% y/y, which was a beat on estimates mainly driven by Blinkit, which increased 27% q/q, while food delivery
revenue increased 10% q/q driven by a higher take rate. Management has retained its long-term guidance of revenue growth at 40% y/y but increased it to 50% y/y
for the near term. The adjusted EBITDA margin also improved to 5.3%. The company expects to break even for Blinkit in Q1 FY25, despite maintaining a high number
of store additions.
Analyzing through O’Neil Lens
The stock rallied 251% during FY24. Before the start of FY24, the stock formed a stage one cup-with-handle base. From that base, it broke out in May and doubled
from its ideal buy point to form a stage two flat base. Later, it broke out in September to again form a stage three flat base in December. Currently, it has a good RS
Rating of 93 and an A/D Rating of A-. The stock is trading well above its key moving averages but is trading 50% above the pivot at this moment. Hence, a fresh entry
into this stock is currently not advised.
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Retail
Voltamp Transformers
-72-
Technology
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-72-
Technology
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Voltamp Transformers
Company Overview
Zomato provides a technology platform that connects customers, restaurant partners, and delivery partners, serving
their multiple needs. Customers use the platform to search for and discover restaurants, read and write customer-
generated reviews, order food delivery, book a table, and make payments while dining out at restaurants. On the
other hand, the company provides restaurant partners with industry-specific marketing tools that enable them to
engage and acquire customers to grow their business.
FY24 Growth Drivers
Zomato's Gold program has rapidly expanded to encompass 3.8M members in only three quarters since its inception, representing approximately 40% of the total
GOV in food delivery. Despite the lower margins for Gold members compared to regular members due to the additional benefits offered, the company anticipates a
decreasing disparity. Efforts are underway to narrow this gap further by optimizing pricing structures and reducing program costs, which should lead to improved
efficiencies over time.
Since the start of Q2 FY24, all customers, including Zomato Gold members, have incurred a nominal platform fee of Rs 2–5 per order. This adjustment is designed to
enhance the economic viability of the platform in the long term. Despite being a modest fee, it is expected to significantly contribute to improved margins, thereby
facilitating margin expansion for the company. Blinkit, under Zomato's ownership, has experienced a strong product-market fit and notable growth in all the cities
where it currently operates. Over the past five quarters following Zomato's acquisition of Blinkit, there has been a consistent upward trend in Blinkit's GOV as a
proportion of Zomato's GOV, particularly in the cities where both platforms have a presence.
In Q3 FY24, Zomato’s revenue increased 15% q/q and 69% y/y, which was a beat on estimates mainly driven by Blinkit, which increased 27% q/q, while food delivery
revenue increased 10% q/q driven by a higher take rate. Management has retained its long-term guidance of revenue growth at 40% y/y but increased it to 50% y/y
for the near term. The adjusted EBITDA margin also improved to 5.3%. The company expects to break even for Blinkit in Q1 FY25, despite maintaining a high number
of store additions.
Analyzing through O’Neil Lens
The stock rallied 251% during FY24. Before the start of FY24, the stock formed a stage one cup-with-handle base. From that base, it broke out in May and doubled
from its ideal buy point to form a stage two flat base. Later, it broke out in September to again form a stage three flat base in December. Currently, it has a good RS
Rating of 93 and an A/D Rating of A-. The stock is trading well above its key moving averages but is trading 50% above the pivot at this moment. Hence, a fresh entry
into this stock is currently not advised.
-73-
Technology
Voltamp Transformers
Company Overview
Zomato provides a technology platform that connects customers, restaurant partners, and delivery partners, serving
their multiple needs. Customers use the platform to search for and discover restaurants, read and write customer-
generated reviews, order food delivery, book a table, and make payments while dining out at restaurants. On the
other hand, the company provides restaurant partners with industry-specific marketing tools that enable them to
engage and acquire customers to grow their business.
FY24 Growth Drivers
Zomato's Gold program has rapidly expanded to encompass 3.8M members in only three quarters since its inception, representing approximately 40% of the total
GOV in food delivery. Despite the lower margins for Gold members compared to regular members due to the additional benefits offered, the company anticipates a
decreasing disparity. Efforts are underway to narrow this gap further by optimizing pricing structures and reducing program costs, which should lead to improved
efficiencies over time.
Since the start of Q2 FY24, all customers, including Zomato Gold members, have incurred a nominal platform fee of Rs 2–5 per order. This adjustment is designed to
enhance the economic viability of the platform in the long term. Despite being a modest fee, it is expected to significantly contribute to improved margins, thereby
facilitating margin expansion for the company. Blinkit, under Zomato's ownership, has experienced a strong product-market fit and notable growth in all the cities
where it currently operates. Over the past five quarters following Zomato's acquisition of Blinkit, there has been a consistent upward trend in Blinkit's GOV as a
proportion of Zomato's GOV, particularly in the cities where both platforms have a presence.
In Q3 FY24, Zomato’s revenue increased 15% q/q and 69% y/y, which was a beat on estimates mainly driven by Blinkit, which increased 27% q/q, while food delivery
revenue increased 10% q/q driven by a higher take rate. Management has retained its long-term guidance of revenue growth at 40% y/y but increased it to 50% y/y
for the near term. The adjusted EBITDA margin also improved to 5.3%. The company expects to break even for Blinkit in Q1 FY25, despite maintaining a high number
of store additions.
Analyzing through O’Neil Lens
The stock rallied 251% during FY24. Before the start of FY24, the stock formed a stage one cup-with-handle base. From that base, it broke out in May and doubled
from its ideal buy point to form a stage two flat base. Later, it broke out in September to again form a stage three flat base in December. Currently, it has a good RS
Rating of 93 and an A/D Rating of A-. The stock is trading well above its key moving averages but is trading 50% above the pivot at this moment. Hence, a fresh entry
into this stock is currently not advised.
-73-
Technology
Railtel Corporation Of India
-74-
Technology
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-74-
Technology
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
RailTel Corporation of India
Company Overview
RailTel is a central public sector enterprise and a "Mini Ratna (Category-I)" firm. The company has a strategic
relationship with the Indian Railways as it undertakes various projects for the railways. Its projects include providing
mission-critical connectivity services like IP-based video surveillance systems, 'e-Office' services, short-haul connectivity
between stations, and long-haul connectivity to support various organizations of the Indian Railways. It also provides
services like content on demand and Wi-Fi across major railway stations in India.
FY24 Growth Drivers
Some of the company's key projects are the station Wi-Fi project, hospital management information system, BharatNet, national knowledge network, video surveillance
system, and railway signaling. The company has played a vital role in the digital transformation of Indian Railways. It has successfully implemented the NIC e-office, a
digital workplace solution across 236 units of Indian Railways. Its HD video recording service, Tele Presence as a Service (TPAS), has significantly reduced administrative
costs and man-hours for Indian Railways.
The company is actively considering establishing another state-of-the-art data center in Noida in public-private partnership (PPP) mode. Additionally, it is deploying
edge data centers at multiple locations within railway premises/land, with a specific emphasis on the needs of tier 2 and tier 3 cities. These initiatives are being pursued
in collaboration with industry partners under a robust PPP model. The order book of the company remains very robust at Rs. 4,800 crore and new orders of Rs. 2,000
crore came in during the year. The company is expecting order inflow to be in the range of Rs. 4,000–5,000 crore for FY25.
In the recent quarter, revenue grew 10% q/q and 46% y/y. EBITDA increased 12% q/q and 47% y/y. EBITDA margin improved 250bps y/y during Q3 FY24 to 18.5%.
PAT growth stood at 94% y/y to Rs. 62 crore. Rural urban mix during 9M FY24 stood at 60:40 with a focus on rural areas. The company’s capex stood at Rs.180 crore
for FY24 and is expected to stay in the same range for the next year.
Analyzing through O’Neil Lens
The stock rallied 247% during FY24. Before the start of FY24, the stock formed a stage one cup-with-handle base. From there, it broke out in June and doubled from
its ideal buy point to form a stage two consolidation base. Later, it broke out in November to stage its next set of rally. Currently, it has a good RS Rating of 92 and an
A/D Rating of B+. The stock is trading marginally below its 50-DMA but is trading 55% above the pivot at this moment. Hence, a fresh entry into this stock is currently
not advised.
-75-
Technology
RailTel Corporation of India
Company Overview
RailTel is a central public sector enterprise and a "Mini Ratna (Category-I)" firm. The company has a strategic
relationship with the Indian Railways as it undertakes various projects for the railways. Its projects include providing
mission-critical connectivity services like IP-based video surveillance systems, 'e-Office' services, short-haul connectivity
between stations, and long-haul connectivity to support various organizations of the Indian Railways. It also provides
services like content on demand and Wi-Fi across major railway stations in India.
FY24 Growth Drivers
Some of the company's key projects are the station Wi-Fi project, hospital management information system, BharatNet, national knowledge network, video surveillance
system, and railway signaling. The company has played a vital role in the digital transformation of Indian Railways. It has successfully implemented the NIC e-office, a
digital workplace solution across 236 units of Indian Railways. Its HD video recording service, Tele Presence as a Service (TPAS), has significantly reduced administrative
costs and man-hours for Indian Railways.
The company is actively considering establishing another state-of-the-art data center in Noida in public-private partnership (PPP) mode. Additionally, it is deploying
edge data centers at multiple locations within railway premises/land, with a specific emphasis on the needs of tier 2 and tier 3 cities. These initiatives are being pursued
in collaboration with industry partners under a robust PPP model. The order book of the company remains very robust at Rs. 4,800 crore and new orders of Rs. 2,000
crore came in during the year. The company is expecting order inflow to be in the range of Rs. 4,000–5,000 crore for FY25.
In the recent quarter, revenue grew 10% q/q and 46% y/y. EBITDA increased 12% q/q and 47% y/y. EBITDA margin improved 250bps y/y during Q3 FY24 to 18.5%.
PAT growth stood at 94% y/y to Rs. 62 crore. Rural urban mix during 9M FY24 stood at 60:40 with a focus on rural areas. The company’s capex stood at Rs.180 crore
for FY24 and is expected to stay in the same range for the next year.
Analyzing through O’Neil Lens
The stock rallied 247% during FY24. Before the start of FY24, the stock formed a stage one cup-with-handle base. From there, it broke out in June and doubled from
its ideal buy point to form a stage two consolidation base. Later, it broke out in November to stage its next set of rally. Currently, it has a good RS Rating of 92 and an
A/D Rating of B+. The stock is trading marginally below its 50-DMA but is trading 55% above the pivot at this moment. Hence, a fresh entry into this stock is currently
not advised.
-75-
Technology
Action Construction Equ.
-76-
Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
-76-
Capital Equipment
© 2024 williamoneilindia [email protected]
200-DMA 50-DMA 100-DMA 21-DMA
© 2024 williamoneilindia [email protected]
Action Construction Equipments
Company Overview
ACE is a leading manufacturer of material handling and construction equipment in India with a major stake in the
mobile and tower crane segments. The company has a strong presence in vital infrastructure construction, heavy
engineering, and industrial projects around the country.
FY24 Growth Drivers
The government has allocated $1.4T under the National Infrastructure Pipeline for FY19–25 to boost infrastructural development in India. Metro projects are to be
implemented in most major cities. There has been a strong emphasis on constructing city roads, bridges, and flyovers to handle the rise in traffic. Around $200B worth
of roads are expected to be built in the next two years. Due to a recovery in economic activity and a favorable monsoon season, the company expects strong demand
in FY23.
The company has an in-house R&D unit that is constantly working to improve products. Following an in-depth review, the team focuses on producing new items for
fresh markets. It customizes its solutions to meet the individual needs of its customers. The company has a large number of highly qualified individuals. It offers the
fastest service and product support through a countrywide network. The long-term targets are Rs. 4,400 crore by FY26 and Rs. 5,500 crore by FY27. A positive outlook
on the demand scenario is expected to continue in the coming quarters on account of strong growth momentum in the Indian economy.
In 9M FY24, revenue increased 34.7% y/y to Rs. 2,134.1 crore. EBITDA increased 77.7% y/y during the same period to Rs. 329.8 crore. EBITDA margin expanded
373bps y/y in 9M FY24 to 15.5%. PAT increased 82.7% in 9M FY24 to Rs. 229.8 crore. In 9M FY24, 70% of revenue came in from cranes, 14% from construction
equipment, 10% from agriculture equipment, and 6% from material handling.
Analyzing through O’Neil Lens
The stock rallied 246% during FY24. Before the advent of FY24, the stock was already in rally mode and went on to make a stage two (a) cup base in August. It broke
out from there in October to make a stage two (b) flat base. Later, it broke out from there in January. Currently, it has a good RS Rating of 95 and an A/D Rating of A-.
The stock is trading well above its key moving averages but is trading 76% above the pivot at the moment. Hence, a fresh entry inro this stock is currently not advised.
-77-
Capital Equipment
Action Construction Equipments
Company Overview
ACE is a leading manufacturer of material handling and construction equipment in India with a major stake in the
mobile and tower crane segments. The company has a strong presence in vital infrastructure construction, heavy
engineering, and industrial projects around the country.
FY24 Growth Drivers
The government has allocated $1.4T under the National Infrastructure Pipeline for FY19–25 to boost infrastructural development in India. Metro projects are to be
implemented in most major cities. There has been a strong emphasis on constructing city roads, bridges, and flyovers to handle the rise in traffic. Around $200B worth
of roads are expected to be built in the next two years. Due to a recovery in economic activity and a favorable monsoon season, the company expects strong demand
in FY23.
The company has an in-house R&D unit that is constantly working to improve products. Following an in-depth review, the team focuses on producing new items for
fresh markets. It customizes its solutions to meet the individual needs of its customers. The company has a large number of highly qualified individuals. It offers the
fastest service and product support through a countrywide network. The long-term targets are Rs. 4,400 crore by FY26 and Rs. 5,500 crore by FY27. A positive outlook
on the demand scenario is expected to continue in the coming quarters on account of strong growth momentum in the Indian economy.
In 9M FY24, revenue increased 34.7% y/y to Rs. 2,134.1 crore. EBITDA increased 77.7% y/y during the same period to Rs. 329.8 crore. EBITDA margin expanded
373bps y/y in 9M FY24 to 15.5%. PAT increased 82.7% in 9M FY24 to Rs. 229.8 crore. In 9M FY24, 70% of revenue came in from cranes, 14% from construction
equipment, 10% from agriculture equipment, and 6% from material handling.
Analyzing through O’Neil Lens
The stock rallied 246% during FY24. Before the advent of FY24, the stock was already in rally mode and went on to make a stage two (a) cup base in August. It broke
out from there in October to make a stage two (b) flat base. Later, it broke out from there in January. Currently, it has a good RS Rating of 95 and an A/D Rating of A-.
The stock is trading well above its key moving averages but is trading 76% above the pivot at the moment. Hence, a fresh entry inro this stock is currently not advised.
-77-
Capital Equipment
-78-
© 2024 williamoneilindia [email protected]
© 2024 williamoneilindia [email protected]
-79-
© 2024 williamoneilindia [email protected]
© 2024 williamoneilindia [email protected]
-80-
-81-
www.quantsmith.in
Step into the realm of
Smart Investments
QuantSmith, an investing service from William O'Neil India, is designed to help Investors
to invest in Indian Stock Market by providing the right set of investment advises based on
our proprietary algorithm.
QuantSmith opens the door for everyone to trade and invest better than
professional money managers.
It creates dynamics for finding the right pattern to give you the right set of
advisory.Our algorithms and robots have crunched data of over 100 years of
various market cycles in all the markets across the globe, and are now equipped to
help you find the most accurate ideas in the stock market.
All you need to do is give an investing mandate to QuantSmith and it will do the
rest to help you make more money in the stock market. It truly is the future!
} Provides algorithmic dynamics to find the right market patterm
} It uses both Fundamental and Technical information to give you an intelligent
investment advics
} It uses years of stock market expertise and technology to understand the market
and advise
www.quantsmith.in
Step into the realm of
Smart Investments
QuantSmith, an investing service from William O'Neil India, is designed to help Investors
to invest in Indian Stock Market by providing the right set of investment advises based on
our proprietary algorithm.
QuantSmith opens the door for everyone to trade and invest better than
professional money managers.
It creates dynamics for finding the right pattern to give you the right set of
advisory.Our algorithms and robots have crunched data of over 100 years of
various market cycles in all the markets across the globe, and are now equipped to
help you find the most accurate ideas in the stock market.
All you need to do is give an investing mandate to QuantSmith and it will do the
rest to help you make more money in the stock market. It truly is the future!
} Provides algorithmic dynamics to find the right market patterm
} It uses both Fundamental and Technical information to give you an intelligent
investment advics
} It uses years of stock market expertise and technology to understand the market
and advise
William O’Neil India
Akshay Tech Park, Unit No.302, 3rd Floor, Plot
72 & 73 EPIP area, Hoodi Village, K R Puram
Hobli, Whitefield, Bangalore - 560066
Phone: 080674 53820/3809
www.williamoneilindia.com
Akshay Tech Park, Unit No.302, 3rd Floor, Plot
72 & 73 EPIP area, Hoodi Village, K R Puram
Hobli, Whitefield, Bangalore - 560066
Phone: 080674 53820/3809
www.williamoneilindia.com
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