No brakes on Clutch Auto

STREET SIGNS

Another day, another high. Buyers got back in a hurry to technology counters, encouraged by reports of a $100 million contract won by TCS.

The buying spree, which soon spread to other counters too was enough to give a 75 point push to the Sensex, helping it post a new life-time high. Even the normally circumspect analysts are now predicting the index to move closer to the 8000 mark, sooner than later. We will see.

Getting Heavy
Heavy industry seems to be a hot favourite these days and has been for some time now. The latest stock to witness one of those 'flare-ups' was ABG Heavy Industries. The stock has zoomed nearly 37 per cent in two sessions to its current level of Rs 141. The rise in stock price over the past year is an astounding 470 per cent.

Though there are said to be many funds eyeing this particular stock, desi fund Kodak is said to have made its entry in the stock at Rs 119 levels, bagging more than a lakh of shares.

The recent interest in the stock was seemingly triggered by reports that the company has been short-listed for Mumbai Port Trust's (MBPT) Rs 1190 crore offshore container terminal project. The spike in stock price says something about the company's chances of actually bagging that order, we assume.

On the Clutch
Another stock which seems to be well on the way of emulating ABG Heavy Industries seems to be Clutch Auto. This one has risen from a humble Rs 22 seven months back to its current level of Rs 113.

Apparently some foreign funds have been taking an active interest in the stock. The latest to enter the counter is foreign-based fund Greenhorn, which purchased half a lakh of shares.

Recently, the company had secured a $60 million order from US-based truck and trailor parts distributor named Fleet Pride. Greenhorn is betting on the fact that the order is expected to result in an annual offtake of $60 million for the company in the next five years.

In other news..
Following reports of the Lord of the Ring acquiring stake in Aptech, the counter has been a beehive of activity. While most buying has taken place at Rs 89-91 levels, those who made a quick buck were seen exiting the stock at Rs 95. Copped-It-All fund was back in business, buying 1.8 lakh shares of Encore Software at Rs 63 levels.

Foreign interest was also seen in Geodesic Information Systems counter, where Robinhood Fund and German fund bought a combined total of 10 lakh shares at Rs 180 levels.

Parekh Aluminex counter also managed to elicit a modicum of interest from foreign buyers with little known Jeremy Fund buying a chunk at Rs 180 level.