Daily Indian Stock Market Outlook Fundamental Picks by FairWealth Securities

fundamental-picksInvestors with a horizon of 6-12 months can consider following scripts for their investment. These companies have potential to give higher returns than index over a long term.

Corporate Highlights
Mahindra Satyam, formerly known as Satyam Computer Services has agreed to pay $125 million to settle a putative class action suit filed against the company in a United States District Court. The litigation relates to the 2009 accounting fraud at Satyam Computer, which was later taken over by Tech Mahindra and renamed.

Indian refiner Essar Oil is set to buy Royal Dutch Shell's Stanlow refinery in the United Kingdom for about $350 million to $400 million.

Indian energy major Reliance Industries plans to invest $25 billion to $30 billion in its major businesses over the next five years. Reliance, controlled by billonaire Mukesh Ambani, will mainly target petrochemicals, energy exploration and production, and telecom businesses.

Multiplex operator PVR Ltd will not produce any new movie for at least a year and will focus on exhibition business. Shares in PVR, valued at Rs 316 crore, rose as much as 3.8% on the news before closing at Rs 117.60, down 1.47% in a firm Mumbai market.

Economic Highlights
India's food inflation eased to a two-month low in early February to 11% on moderating prices of onions and other vegetables, amid expectations the government may announce fresh measures to boost productivity for key staples in the upcoming budget. Indian food inflation is among the highest in Asia despite good harvests.