Entertainment - Film production, distribution & exhibition stocks

Indian film industry is one of the largest in the world producing more than 1000 native films annually. The industry is growing at a CAGR of 16% and also gaining global audience in Europe and North America. More multiplexes are coming up in tier II and tier III cities. The corporatisation of film industry led to enhancement of revenue margins and discovery of new revenue streams. Pyramid Saimira, Inox Leisure and PVR Cinema are emerging stars in this evergreen sector.

Oil & Gas - Oil drilling & Exploration Stocks

Oil exploration in India was kicked off by NELP program of the government. Shortage of drilling equipments is a major problem for existing oil block holders and new licensing programs. Companies are in the process of acquiring new equipments inorder to cash in. The outsourcing rates for the equipmets is also going high due to potential shortage till 2012. So, this is the time to enter in to the best sectoral stocks such as Shiv-Vani, Hindustan and Jindal. All the above companies have good exploration experience in India. Hindustan Oil Exploration Co. has higher P/E due to expections on higher profit margins in future.

Finance - Equity Research & Broking Services Stocks

Retail broking and equity research services are increasing day by day based on high economic activity and more small investors arriving to the capital market. Big houses in this sector had started expanding its offices in small towns to get greater market share in coming days. There is also growing consumer demand for added financial services. India Infoline, IL & FS Investmart, Geojit Finacial are best bet in this demand driving sector.

Textiles - Readymade Garments stocks

Textiles - Readymade Garments industry is growing at CAGR of 20%. Major revenues are from exports to EU and US. Domestic market is also creating more demand. Capacity addition is going on across the sector on high growth expectations. All the stocks have considerable profit margins compared to other textile sub-sector stocks. Pearl Fashions, Indus Fila & Page are best bet in this moving sector.