Days of Value Investing are back

When i started this blog I promised to put out list of my favorite value stock in Indian market but I could not get enough time to keep my promise.
Lot has changed since than and nowadays there is mostly negative news about market and now people just do not want to hear the dirty word sensex and from the time when people kept refreshing their browsers to get latest value of their portfolios. Yes unmistakable signs that now you will able to find value stock without too much effort.
Here is my list
Aban Offshore(Rs.872)- though many would hesitate at thought of purchasing this highly leveraged company at these times but its business of renting oil rigs is not going to be shut just because oil prices have fallen. It has locked in high rentals but market fears that these will reneged and that is why it is falling in recent months. I feel that even if its contracts are renegotiated at lower prices it continues to earn fixed cash flows and demand for these oil rigs will continue to remain on short supply and oil prices have cooled only for short time as world economy has cooled as soon as recovery starts again demand will outrun supply so buy and forget
Cairn India(Rs.141)- Price is down due to same reasons as above as it oil drilling company. Logic is that at current price it is below its book value means it has successfully bid for oilfield and found oil and having spent years drilling to be finally ready to get oil for sale. Meanwhile it available of less price than money it has spent and with certainty of cash flow. not logical.

Just 2 for the day. I will now keep posting it regularly.

Value stocks in India

Well I am starting this blog to discuss what I think are best investment options in stocks using value investing methods of Graham and Warran Buffet. I have been fascinated by success of these gurus in creating wealth using these simple but hard to follow disciplined approach.

I will write about potential buys available in Indian stock markets searched using value investing ways and construct a portfolio using this techniques.

I welcome all suggestions, advice and discussions of my recommendations with all interested in furthering cause of value investing.