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NTPC - National Thermal Power Corporation

NTPC -National Thermal Power Corporation. NTPC likely to commission 250 MW project at Bhilai and complete the COD of unit I of 250 MW before FY09. One unit of 500 MW at Kahalgaon also likely to be commissioned in the fourth quarter. NTPC may commission 750 MW of fresh capacity in the current quarter. This includes 250 MW under JV with SAIL and one unit of 500 MW at Kahalgaon Stage II. The company is also working on commercialization of the first unit of Bhilai Expansion project of 250 MW by the end of this quarter. Strong likelihood of significant slippage in meeting targeted capacity given delay in upcoming projects. Equipment orders for XIth plan projects worth 1760 MW are yet to be placed. Impact of CERC norms likely to be neutral to positive. CERC has raised regulated return on Equity from 14% to 15.5% for the FY09-14 period. We believe new tariff regulations to be neutral to positive for NTPC. Loss of revenues on account of lower tax reimbursement and tightening of operating nor...

Voltamp Transformers

Voltamp Transformers Voltamp's revenues reflect signs of moderation in growth and lower realistions as a result of decline in copper prices. EBITDA margins came at an all-time high of 30% up 740 bps possibly as a result of efficient sourcing of raw material and lower base of revenues. High other income of Rs 75 mn and lower tax rate boosts profit growth. Raise earnings estimates by 20% for FY09. Accumulate in view of impending slowdown in revenue growth in view of lackluster industrial growth, with a target price to Rs 450.Stock trading at 3.3x FY09 earnings.