Why is Nomura upbeat about Indian tyre industry? Apollo Tyres, Ceat & Balkrishna on its radar

    Global research firm believes that the Indian tyre industry is witnessing a phase of cyclical uptick in demand.

    The industry fundamentals are in a better shape now due to the demand and high utilization as well, analysts at the firm wrote in their report.

    It sees 8 percent volume CAGR over FY18-21.

    The segment is a good play on the back of healthy growth outlook, pricing discipline, and benign commodity prices, which will support margins.

    Further, the benign commodity prices could also lead to 20-25% EBITDA CAGR over FY18-21.

    Nomura expects strong demand scenario to keep utilization healthy.

    Among stocks, it has initiated coverage on Apollo Tyres with a target at Rs 288, along with Ceat and Balkrishna Industries.

    On Ceat, it neutral with a target at Rs 1,346. In case of Balkrishna Industries, it is also neutral with a target at Rs 1,008.


    5 untrue things about budgeting

    5 untrue things about budgeting

    There are some untrue things about budgeting which so many people have come to believe are true.

    A lot of people have no budget because they feel it is not easy to create a budget and it is worse when they believe the untrue things about budgeting which might affect their finance negatively.

    You should know the difference between the truth and false things about budgeting, so you can gain control of your money and finances.

    Here are 5 untrue things about budgeting you must never ever believe.

    1. You must have an extremely detailed budget

    This is one of the biggest false claims about budgeting. Your budget shouldn’t be extremely detailed. You can create and stick to a simple budget.

    playYour budget doesn’t have to be extremely detailed. (Smartmoneynation)

    If having an extremely detailed budget works for, it is not a bad idea but if you can’t deal with it, you can stick to a simple budget.

    You can create a simple budget by using the 50/30/20 approach to budgeting, 50 percent of your income should go into your essential needs, while 30 percent should go into your wants and lifestyle, the 20 percent should go into your savings.

    This is a basic budgeting approach you can stick to.

    2. You have to deprive yourself if you have a budget

    I always wonder why people believe that they have to deprive themselves of the good life because they have to reach their financial goals.

    It is a so false and very silly to be part of this school of thought.

    You don’t have to deprive yourself because you want to budget. Budgeting is a financial tool meant to help you achieve your financial goals.

    ALSO READ: 5 ways to get serious with your savings

    It is just a way of being financially smart and controlling your finance.

    You really don’t need to cut some things from your budget. The only time you can cut from your budget is when you have a serious financial problem.

    This is the reason why you should know the difference between your needs and wants which you should never mix up.

    3. Creating a budget is time-consuming

    You really don’t have to stress yourself because you want to create a budget. Don’t make budgeting look so complicated.

    ALSO READ: How to stop dipping into your savings

    It is a false belief to think creating a budget is time-consuming.  This is the reason why you need to keep your budget basic and simple.

    4. You can’t spend more than your budget

    Some people don’t have a budget because they feel it restricts them from spending, which means they can’t spend above their budget.

    ALSO READ: 5 signs you are not making enough money

    Though it is advisable to spend below your budget, things happen sometimes which can make you over-spend. This shouldn’t affect your budget and also stop you from having a budget.

    5. Budgets are for some specific people

    This is another silly and false belief about budgeting.

    playEveryone needs to have a budget. (Debtfreemuslims)

    While some believe the rich don’t have to budget because they have so much money, some others believe they shouldn’t budget because they don’t make enough money. Then there are others who believe they don’t need a budget because they don’t have debts to pay.

    This is so wrong. No matter who you are and how much you make, everyone needs to have a budget, to control and curb your excessive spending, also to help you save more.


    Shares of Apple suppliers in Asia sink amid worries about iPhone demand

    Philip W. Schiller, Senior Vice President, Worldwide Marketing of Apple, speaks about the the new Apple iPhone XR at an Apple Inc product launch event at the Steve Jobs Theater in Cupertino, California, September 12, 2018.

    Shares of some major Apple suppliers fell in Asian trading Tuesday — some to multi-year lows — after the iPhone maker’s stock plunged on concerns about customer demand.

    Apple dropped 5 percent overnight in New York trading after Lumentum, a manufacturer of lasers that can sense in 3-D, said it received a request from one of its largest customers to “materially reduce” shipments to them. Lumentum shares dropped nearly 33 percent. The company did not name Apple in Monday’s report, but previously listed the tech giant as its largest customer in a filing for fiscal year 2018.

    Also on Monday, TF International Securities’ Ming-Chi Kuo reversed his view on iPhone XR sales by cutting his outlook for shipments by 30 million units. The reduction followed a Nikkei report earlier this month, citing supply chain sources, that Apple told Foxconn and Pegatron to stop plans for additional iPhone XR-related production lines.

    The worries about slowing iPhone demand spilled over into shares of Apple suppliers in Tuesday trading in Asia, where most of the companies are based.

    In Taiwan, Hon Hai Precision, better known as Foxconn, fell more than 2 percent to its lowest in nearly a month.

    Pegatron briefly fell more than 5 percent to its lowest since May 2014, before recovering losses and trading higher. Largan Precision also temporarily tumbled more than 5 percent to its lowest since July 2016 before reversing and rising more than half a percent.

    In Japan, Panasonic declined 2.5 percent and Alps Electric dropped nearly 5.8 percent, both to their lowest since late 2016. Nitto Denko fell more than 4 percent.

    Hong Kong-traded AAC Technologies briefly fell more than 7 percent to its lowest in more than two years, before recovering much of its losses.

    In Shenzhen, Luxshare fell more than 5 percent to its lowest in a month, while Suzhou Anjie Technology fell more than 1 percent.

    The major Asian stock indexes pared opening losses by midday Tuesday..