India Equity Analysis, Reports, Recommendations, Stock Tips and more!
Search Now
Recommendations
Sunday, September 09, 2007
Markets to sink ?
Friday’s news of a buckling US job market sent stock investors running for the exits, and next week promises to be no less stressful as investors grapple with the increasing possibility of an economic recession. The weekend will also give investors time to reflect on news US employers cut payrolls by 4,000 jobs last month.
However, it is unlikely that there will be much clarity ahead of the anxiously-awaited Federal Reserve interest rate decision the following week, as investors debate whether and by how much the Fed will cut key interest rates. “The pendulum is going to swing between the euphoria — we’re going to get a rate cut, things are not that bad — to the world is going to end, we’re going into a recession,” said John Praveen, chief investment strategist at Prudential International Investments Advisers LLC in Newark, New Jersey.
The Dow Jones industrial average fell 249.97 points, or 1.87 percent, to end at 13,113.38. The Standard & Poor’s 500 Index was down 25.00 points, or 1.69 percent, at 1,453.55. The Nasdaq Composite Index was down 48.62 points, or 1.86 percent, at 2,565.70.
The Dow was down 1.8 percent for the week, while the S&P 500 was down 1.4% and the Nasdaq was down 1.2%. For the S&P, it was the worst week since the beginning of August, while the Dow had its worst week since the week ending July 29. Fresh economic data will be studied warily for more signs the housing slump and subprime mess is spreading into other sectors of the economy.
“People will be nervous about all economic releases, because Friday’s jobs number showed that perhaps things are getting worse quicker than the market had previously believed,” said Eric Kuby, chief investment officer, North Star Investment Management Corp. in Chicago.
The sixth anniversary of the Sept. 11 attacks may also trigger some market unease, especially after al Qaeda leader Osama bin Laden said in a video seen by Reuters on Friday that the United States was vulnerable despite its military and economic power.
Trading volume, which has suffered from summer vacation-induced thinness in recent weeks, will likely jump as market participants return to their desks. Defensive stocks are expected to benefit as investors rejig their portfolios on the mounting evidence of a slowdown, analysts said.
“As people return they are going to be shifting to recession-resistant names such as health care, defence contractors and consumer staples,” said Thomas Nyheim, vice president at Christiana Bank & Trust in Greenville, Delaware. Among the economic data likely to garner market attention are initial jobless claims, consumer confidence, retail sales and industrial production.
As Federal Reserve Chairman Ben Bernanke said in a speech last week in Jackson Hole, Wyoming: “We will pay particularly close attention to the timeliest indicators.” Weekly jobless claims data, due on Thursday, could be more significant than usual as investors look for clues on whether the weak employment trend is here to stay.
And if Friday’s industrial production numbers come in lower and add to recession fears, Wall Street could see another negative turn, said Christiana’s Nyheim.
Dhanus Technologies (IPO): Avoid
Investors can stay away from the Initial public offer of Dhanus Technologies (Dhanus), given the high competition in its business segments and relatively high execution risks.
At the upper end of the price band (Rs 295), the offer values the company at about 17 times its trailing 12 month earnings, without factoring in the equity dilution due to the offer.
This appears stiff in comparison to stocks of smaller telecom and software services as well as large hardware companies.
At the higher end of the price band, the company will raise Rs 113 crore from the offer to finance fresh equipment for its fleet tracking business and augment infrastructure facilities in its IT and BPO divisions.
Business outlook
Calling cards division: The key revenue driver (55 per cent of revenues), this business involves reselling talk-time of international telecom operators under the company’s own brand name to Indians residing or travelling abroad. Internationally, the MVNO (mobile virtual network operator) business is dominated by companies that enjoy strong brand equity in another line of business. which they leverage in this business (egs: Virgin Mobile and Disney Mobile). Dhanus does not have comparable brand value that could be successfully leveraged.
The competition in this space is already stiff, with Bharti Airtel, Reliance Communications and VSNL aggressively promoting their international calling cards overseas, imposing margin pressures that the company may not be able to withstand in the long run.
Moreover, Dhanus’ service cannot be used with mobile telephones, giving it little uniqueness or competitive advantage. The major players in this business, which have substantial network management experience and tie-ups with international telecom operators, may be much better placed to tap this market.
There could also be legal hurdles for this leg of Dhanus’ business, as the offer document mentions that it does not possess a ‘no objection certificate’ (NOC) from the Department of Telecommunications for selling international cards in India.
Fleet Tracking: A substantial portion of the issue proceeds has been earmarked for expanding the company’s products which help track vehicle (fleet) movements. A report published last year by Frost and Sullivan has estimated the market size for fleet tracking to be $75 million by 2011; it was only $6.5 million as of 2005. This indicates that the market in India is small compared to the US where vehicle tracking is widely adopted by companies.
In the Indian context, the government is emerging as a key user of such services and is touting GPS systems for trains, local buses and even post-office vans. Players such as CMC, which have an existing relationship with government clientele, or HCL Infosystems, appear well-placed to cater to this market. Ramping up this service would involve tie-ups with VSAT (very small aperture terminal) players for provision of satellite bandwidth. The bandwidth is stiffly priced and given the expenditure it would entail, Dhanus may be forced to work with thin margins.
BPO and IT services: The company provides BPO services such as telemarketing and customer services to overseas clients. It also provides software services in the telecom segment.
Given the company’s limited experience in running a telecom network and providing software services, this division’s prospects are uncertain. Scaling up of the business may not happen at the requisite pace. Exposure to the North American market would expose the company to rupee appreciation risks. Other factors such as attrition and wage inflation also pose key execution risks.
Considering the above factors, it appears that the execution and competitive risks associated with the business are relatively high; risk-averse investors can avoid the offer.
Offer details: The offer is open from September 10-12.
Kaveri Seeds (IPO): Invest at Cut-off
Investors with a high-risk appetite can subscribe to the Initial Public Offering from Kaveri Seed Company, a producer of hybrid seeds. Long presence in the Indian market, a healthy product pipeline focussed on cash crops such as corn and sunflower and attractive growth prospects for the hybrid seeds business make this offer a reasonable investment.
However, the relatively stiff pricing and the possibility of cyclical and seasonal blips in earnings, suggest that the investment be considered only by those with a high risk appetite.
The offer is being made in the price band of Rs 150-170. At Rs 170, the offer price would discount the company’s foward earnings (estimated FY-08) by about 16 times, on the post-offer equity base. Though the company may be able to deliver to the growth expectations reflected in these valuations, the pricing appears expensive in relation to listed players in the agri-inputs space. This may cap short term gains in the stock, especially under current market conditions.
Seeds market
The Indian market for hybrid seeds has seen annual growth rate of 12-15 per cent. Certain segments have grown at a faster clip, as good yield performance from certain hybrids and the rising prices for commercial crops have contributed to rapid adoption of hybrid seeds.
The acreage under Bt Cotton, a bollworm-resistant genetically modified seed has, for instance, risen from 6 to 39 per cent of the total planted area over the past three years.
Adoption of hybrids has also been high in the case of corn at about 40 per cent of planted area. While hybrid seeds have made significant inroads into the southern states, there exists potential for penetration of the northern markets. The attractive growth potential has, in fact, prompted multinationals such as Monsanto and Syngenta to enter the domestic seeds business.
The seeds business however, carries fairly high entry barriers and therefore supports relatively few established players. Apart from R&D capabilities, production of hybrid seeds calls for access to proprietary germplasm (the genetic feedstock for creating hybrid seeds) with the required traits (qualities such as higher yields, pest resistance and drought tolerance ).
Development of each hybrid strain also requires a fairly long gestation period, usually 4 to 6 years. Hybrid strains with desirable traits command a significant pricing premium in the market.
Product pipeline
Kaveri Seeds, has a healthy product pipeline, with 40 certified hybrids in its portfolio and a few more paddy and horticultural strains under development. Kaveri’s portfolio is now tilted towards corn and sunflower hybrids, some of which command prices that are on par with the brands sold by multinational competitors.
Demand prospects for both these crops appear bright given the growing domestic deficit in sunflower oil, rising demand for corn from the biofuel and food industries and the firm price outlook for both agro products.
Supplementing its portfolio, Kaveri Seeds also has sub-licensing arrangements with Mahyco Monsanto Biotech and JK Agrigenetics for insect-resistant cottonseeds; commercial launch of its Bt cotton strain, Encounter, is slated for later this year.
The company has an established dealer network in Karnataka, Tamil Nadu, Maharashtra and Andhra Pradesh, but is attempting to expand into the northern and western markets which are under-penetrated.
The company’s net sales have witnessed a significant increase from Rs 39 crore to Rs 66 crore over the past four years; profits rose from less than Rs 1 crore to Rs 10.5 crore over the same period.
A ramp up in operating profit margins (due to product launches and backward integration into foundation seeds) and the merger of a group company have both contributed to a sharp improvement in financials.
Recent numbers may be more indicative of sustainable earnings prospects for the company. The company’s per share earnings for FY-07 stood at Rs 10.85 on the pre-offer equity base and at Rs 7.7 adjusted for the offer.
Offer details: The offer, which seeks to raise Rs 60-68 crore at the two ends of the price band, will mainly fund acquisition of farmland for seed research and production, setting up of marketing offices and expansion of seed proce ssing facilities. It closes on September 11.
Power Grid Corporation — IPO: Invest at Cut-off
Investors can subscribe to Power Grid Corporation of India Ltd.’s (PGCIL) IPO at the cut-off price. The company is a near monopoly in the inter-regional and inter-state power transmission business where earnings visibility is high and operational risks are low. PGCIL is investing in trebling inter-regional transmission capacity over the next five years and is responsible for the planning and development of the nation-wide power transmission network.
Serious competition from the private sector appears unlikely for now and PGCIL’s growth can be constrained only by its own capacity to invest. With large generation projects set to come up in different corners of the country, PGCIL will have enough projects on hand to drive revenue and earnings in the medium term.
That said, investors need to be aware of the large regulatory risk that PGCIL is subject to. Its revenues are subject to the Central Electricity Regulatory Commission’s (CERC) tariff orders which spell out the return on equity eligibility apart from listing out the expenses that it can pass on to customers.
The offer price band of Rs 44-52 per share is at a price earnings multiple of 15-18 based on fully diluted 2006-07 earnings. There is no comparative play in the market now but on qualitative factors alone, the price appears to be reasonable.
Transmission leadership
PGCIL transmits about 45 per cent of all power generated in the country. It runs the backbone transmission network for inter-regional and inter-state transfer of power from surplus to deficit regions. It also evacuates power from the generation stations and on to consumption centres for inter-state power projects. PGCIL is also responsible for the overall national grid management through the five regional load despatch centres it operates. It is in the process of setting up a National Load Despatch Centre that will coordinate the country-wide movement of power.
Inter-regional transmission capacity is projected to almost treble from 14,100 MW now to 37,150 MW in the next five years and PGCIL will be responsible for most, if not all, of the increase. It has budgeted for a capital expenditure of Rs 55,000 crore for this purpose. PGCIL is also likely to bag the rights to install transmission systems for the two ultra mega power projects of 4,000 MW each that are now in the process of implementation. It already has 45 transmission projects in various stages of implementation.
The CERC’s tariff order, which governs the revenues and earnings, also sets out incentives for keeping the transmission system “available” beyond a certain limit. Presently, PGCIL is eligible for incentives in its tariff if its alternating current system is available 98 per cent of the time and the high voltage direct current system 95 per cent of the time. Given its efficient operations, the company has earned such incentives for the last five years consistently.
Telecom and consultancy
PGCIL owns and operates a fibre optic cable network that connects about 60 cities using its overhead transmission infrastructure. The company sells bandwidth to those such as Bharti Airtel, BSNL, VSNL and Reliance Communications. The business is still small accounting for just about 2 per cent of the total income and was not profitable till 2006-07. The first quarter of this fiscal, however, saw the division post a small profit.
PGCIL also offers transmission consultancy and the income from this business was Rs 226 crore last fiscal, accounting for about 6 per cent of total income.
What we like
PGCIL is an effective monopoly in the inter-regional transmission space; though private players could enter the business, they are unlikely to dent the company’s prospects significantly. PGCIL’s valuable in-house design an d engineering expertise is a major competitive asset.
The company has been proactive in its business especially in forging tie-ups with private players. The joint venture with the Tatas for the Tata transmission infrastructure and the ones forged with the Torrent and Jaiprakash groups for evacuating power from specific generation projects are examples. PGCIL is also forming an equal joint venture with Infrastructure Leasing and Financial Services for development of transmission and sub-transmission projects at the State level and outside the country.
PGCIL’s hig h operating efficiency as proven by its system availability of over 99 per cent for the last five years allows it to earn valuable additional incentive income.
Though its leverage is on the high side at 1.81:1, the company’s financials appear sound. Interest costs are passed through to customers and, therefore, higher debt does not impact the bottomline.
The company’s plans to diversify its revenue stream by focussing on consultancy, telecom and power distribution business under the Central government-sponsored schemes augur well. PGCIL is also in the fray for the privatisation o f the National Transmission Corporation of the Philippines.
What to watch out for
The biggest concern is regulatory overhang over the business. The current tariff order of CERC ends in 2009 and there is a strong possibility of the regulator marking down the 14 per cent return on equity in the new order due then. Thi s could have revenue implications for PGCIL.
PGCIL may soon have to shift to competitive bidding mode for new projects. The CERC has been empowered to direct competitive bidding whenever it feels the ground is prepared for competition; at the latest, competitive bidding should be a reality by 2011, going by the government’s time-frame. Competitors could enter the fray once the new system is in place and PGCIL will have to change its strategies accordingly. The company’s experience and size could be formidable assets here though.
The growth prospects could be tempered by the ability to garner funds for expansion. The 70:30 debt:equity norm laid down by the CERC for funding new projects means that the company will have to leverage itself significantly over the p resent 1.81:1. The company may have to guard against leveraging beyond prudent levels.
The government, as the majority shareholder, plays a significant role in the company’s fortunes. Post-IPO, it will hold 86 per cent of the equity.
Given the experience with other listed public sector companies where the government has dabbled in business, this is a matter of concern.
Offer details
PGCIL is offering 57.39 crore shares at a price of between Rs 44 and Rs 52. The offer, which seeks to raise between Rs 2525 – 2984 crore, opens on September 10 and closes on 13 and is lead managed by Kotak Mahindra Capital.
Average Directional Index indicator
There are many among the investing fraternity who abhor stocks that meander sideways and tend to gravitate towards stocks that are trending upwards or downwards. Traders of course prefer momentum as it helps them to churn their positions faster.
One easy way of picking stocks that are in a strong up or down trend and not in a consolidation phase, is with the use of the Average Directional Index (ADX) indicator. The ADX line is plotted along with two other lines, the +DI and the –DI. The +DI line is the positive directional index and is derived by dividing the range of highs over a period by the price range over the last trading day and the previous close, smoothed over a given number of periods. For calculating the –DI the range of lows is switched with the range of the highs. ADX is the modified moving average of the difference of +DI and the –DI divided by the sum of +DI and –DI multiplied by 100.
There is no need for you to do these calculations manually since most technical software provide the ADX indicator. The ADX is plotted on a scale of 0 to 100. But the indicator scarcely moves above 40. Since ADX is plotted after taking both the +DI and the –DI in to consideration, the slope of the ADX line does not indicate bullishness or bearishness. It just helps the analyst to judge if the stock is in a strong trend or moving sideways.
Once the ADX falls below 20, it suggests that the underlying security is getting in to a sideways move. Conversely, a move above 20 from below would signal that the stock is getting ready to launch in to a strong trend, either up or down. The ADX reversing from 40-level is an indication that the prevalent trend could be reversing.
The ADX is certainly not the easiest of oscillators to interpret or use. The best way to use the ADX is to scan the charts using this indicator and select those stocks that are moving out of the 20 level as that would signal that the stock is moving out of a consolidation phase and is readying to explode upward or downwards.
Via BL
Yes Bank: Book profits
At its current price of Rs 187, the Yes Bank stock has provided annual average returns of slightly more than 100 per cent since its IPO priced at Rs 45 in July 2005.
Investors may book profits on their holdings of the stock at current levels. Further exposures to this stock may be moderated and can be balanced with other core banking stocks such as HDFC Bank or Axis Bank
The stock is currently trading around 35 times its estimated FY 08 earnings and almost 55 times its FY 07 earnings. These valuation multiples place the Yes Bank stock above that of established companies such as HDFC Bank or Axis Bank and do not seem sustainable.
Wholesale bank
Yes Bank follows a business model which is structurally different from that of HDFC Bank or Axis Bank. It is pre-dominantly a wholesale bank on both sides of its balance sheet. Corporate advances constitute almost the entire loans portfolio while wholesale borrowings — meaning higher value deposits (of Rs 15 lakh and more) as well as borrowings from wholesale market participants such as mutual funds — account for 95 per cent of its liabilities base. This balance sheet structure elevates the overall level of risk in the core banking business (in terms of interest rate, maturity mismatch and credit risks) and may not be conducive to medium term earnings stability. The earnings stream would be more vulnerable to adverse market events such as an economic slowdown, interest rate shocks or a vitiated credit risk environment.
The bank’s performance so far has not manifested any of these negative externalities. Most key banking parameters — advances, deposits, income (both interest and non-interest) and earnings — have all exhibited more than 100 per cent growth in recent quarters.
There is also no non-performing asset on the balance sheet as on date. It is clear that the bank has coasted along with the overall strength in the economy and has been able to build fairly impressive business numbers in just about two years of operation.
However, the key risks to the sustainability of this performance arise from the structural make-up of the bank’s business and the resultant balance sheet in an adverse macro-environment. Investors can consider taking fresh exposures in this stock on evidence of a move towards a more balanced business model.
Gateway Distriparks: Buy
Investment with a two- three-year perspective can be considered in the stock of Gateway Distriparks (GDL), a leading provider of logistic solutions. At the current market price of Rs 134, the stock trades at about 15 times its likely FY-09 per share earnings. GDL’s pan-India presence backed by an expansion in capacities; foray into container rail operations and presence in cold chain logistics suggest good prospects over the long term.
Strategic initiatives
A ramp up in container handling facilities and robust growth in foreign trade are likely to lead to strong volume growth in port traffic. Anticipating this, GDL has acquired the Punjab Conware facility in January 2007, consolidating its presence with a second freight station in the Jawaharlal Nehru Port Trust (JNPT) in Mumbai, which accounts for more than half of the container traffic in India.
Over the past year, there have been concerns on increasing competition and pricing pressure for freight operators in JNPT because of excess capacity. However, GDL’s presence in other locations such as Chennai and Kochi is a long term positive. While the increase in port traffic at Chennai augurs well for GDL’s freight station (CFS) at this port, Kochi could make a significant contribution if the proposal to set up an International Container Transhipment Terminal takes off.
GDL’s long-term growth prospects may also gain strength from its initiatives to tap the container rail segment. The company has, through its subsidiary, Gateway Rail Freight Pvt. Ltd., signed a concession agreement with the Indian Railways to operate container trains on the network. This apart, it has also formed a joint venture with Container Corporation (51:49) to construct and operate the rail-linked inland container depot (ICD) at Garhi, Gurgaon. This could help GDL consolidate the double-stack container business on the route between National Capital Region (NCR) and western ports (such as JNPT, Mundra and Pipavav).
The improving hinterland connectivity for GDL holds promise but Concor, an established player, will pose formidable competition. While the initial revenues for GDL may originate mainly from low-margin domestic traffic, the commissioning of two more rail-linked ICDs could help the company capture high-margin EXIM traffic. Effective contributions from the rail container operations are likely to flow in only from late FY-09 or FY-10.
Cold chain business
Given the boom in food and grocery retail, GDL’s cold chain initiative through its 51 per cent subsidiary, Snowman Foods, appears promising. While large retailers are likely to handle their own logistics, smaller players in the food retail segment could rely on established cold-chain service providers such as GDL. Revenues from this subsidiary have been growing and the management expects a turnaround in this business this fiscal.
For the quarter ended June 2007, GDL’s consolidated revenues recorded a 40 per cent growth, helped by a 25 per cent rise in throughput. Rise in transportation cost due to the acquisition of Snowman and the operation of its own container train led to a contraction in margins by about 10 percentage points to 45.6 per cent. However, with a changing revenue mix, the pressure on margins may abate over two-three years.
Concerns
Given that GDL’s Mumbai facility contributes to about 80 per cent of its overall revenues, any slowdown in traffic or any regulatory changes pertaining to the JNPT port could affect GDL’s earnings. However, with the scaling up of other facilities, its dependence on this CFS would reduce. Increasing competition, delay in expansion plans and cost-overruns are downside risks to our recommendation.
Pensioners in europe reap benefits
Indian pension fund managers may not yet have the regulatory approval to dabble extensively in stocks, but the unabated rise in domestic stock prices has certainly brought smiles to pensioners in The Netherlands, Norway and Denmark. State-run pension funds of these European nations have reaped significant benefits from their investments in Indian stocks and have significant sums invested here.
Together, pension funds such as The Netherlands’ ABP (Algemeen Burgerlijk Pensioenfonds), Norway’s The Government Pension Fund – Global (Statens pensjonsfond – Utland) and Denmark’s Lonmodtagernes Dyrtidsfond (LD Pensions) have invested over $1.2 billion (nearly Rs 5,000 crore) in India.
“We have been investing in Asian emerging markets since the mid-nineties. This has been done mainly through external managers,” Mr Thijs Steger, ABP spokesperson, told Business Line. Mr Steger said ABP’s exposure to Indian equities is around €700 million (Rs 4,000 crore). He added that ABP, which caters to 735,000 pensioners, has an exposure of five per cent in its portfolio to equity investments in the global emerging markets. Its total assets under management stood at $305 billion at the end of the first half of this year and delivered a return of 9.5 per cent in 2006.
Another similar-sized player with over $200 million (Rs 850 crore) invested in India, the Norwegian fund has investment in 58 Indian stocks including 17 Sensex stocks such as Bharti, SBI, Infosys and Reliance Industries. The fund, earlier known as The Petroleum Fund, was started in 1990 for management of the country’s petroleum revenues.
The fund is run by Norges Bank Investment Management, an arm of Norway’s central bank. “The Ministry of Finance is responsible for the management of the Fund. When it comes to investment strategy, this includes setting the benchmark and risk limits for Norges Bank’s management of the Fund,” said Mr Thomas Ekeli, the Oslo-based Investment Director of the Asset Management Department, Norwegian Ministry of Finance. Since 2007, the fund’s strategic equity allocation has increased to 60 per cent and its equity portfolio gave a return of 17 per cent in 2006. Mr Ekeli said the fund’s strategic asset allocation was based on the premise that capital markets are fairly efficient, and that the fund tended to adopt a very long investment horizon. He added that Norges Bank is given the freedom to take investment risk to beat relevant benchmarks. Overall, of its total assets of $300 billion, the fund has equity investments across 20 sectors, according to the data provided by the official. Norges Bank’s Foreign Exchange Reserves and Norway Government Petroleum Fund are registered as Foreign Institutional Investors with SEBI.
Saturday, September 08, 2007
Home loan interest rates cut
Here’s some good news for all those people who dream of buying their own house but have been deterred from doing so by soaring interest rates. Home loan rates are finally showing a downward trend after nearly three years, thanks to banks suddenly finding themselves flush with funds.
Three lenders have already kicked off rate cuts. HDFC Ltd had cut its floating rate by a quarter of a percentage point (0.25%) to 11% under its special monsoon offer, in addition to lowering the processing fee. Last week, Bank of Baroda pruned rates by 50 basis points to 11% for loans up to Rs 20 lakh and 11.25% on loans above Rs 20 lakh.
Allahabad Bank too joined the party, cutting its rate by 1 percentage point to 12% for 25-year loans. But there’s a catch: the offers have so far been confined to new borrowers. Existing home loan customers will have to wait for a while to enjoy a reduction.
Several other lenders, including the likes of SBI, are expected to follow in the coming weeks. Initially, it will be pitched as a festival bonanza, but bankers say the reduction will continue even later as they plan to pass on the decline in the cost of funds — with deposit rates having already been slashed — to borrowers.
Interestingly, several lenders have already cut rates without making any announcements . The reduction — for new borrowers — is in the form of a discount on the benchmark rate by 50 basis points.
The interest on floating rate is pegged to a benchmark reference rate, known as prime lending rate or floating reference rate. None of the banks have decreased their benchmark reference rate. But many have increased the discount they offer on the reference rate, effectively lowering the home loan rate for fresh borrowers.
Existing borrowers will only benefit once the reference rate is lowered. But bankers suggest that people who have already borrowed should not lose hope as continued high liquidity in the system will lead to lowering of benchmark rates over the next couple of months.
Bankers said there was abundant liquidity , forcing them to scout for good customers . With bad loans accounting for less than 1% of the home loan portfolio, the segment is once again emerging as a lucrative option for bankers and prompting them to offer lower rates.
The current round of rate reduction will be the first since November 2004. Between then and March 2007, home loan rates were revised eight times, with interest rates rising from 7% to 12% during the period. As a result, EMIs have increased nearly 40% since 2004-end.
Subscribe to:
Posts (Atom)