Here are some interesing stock picks of our experts in the mid cap segment:

Bartronics India

The stock of Bartronics has gained almost 72 per cent in the last one month. Considering the company’s sound business model, attractive valuations, consistent growth rates and higher revenue visibility, analysts believe that the stock at Rs 162 is still not expensive and is trading at a price-to-earnings multiple of just 4.3 times its estimated 2009-10 earnings.

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CRISIL

Crisil, which is a leading player in the domestic ratings business, will be a key beneficiary of the country’s growing economy and developing financial markets. The gains would accrue on the back of the company’s diversified business model, which comprises products and services like rating, advisory and research. Besides, it has an added advantage in the form of the support of its parent, Standard & Poor’s (S&P), which is the leading global rating agency. Also, unlike many other businesses, the company is less dependent on capital to expand its business and generate high return ratios, which are among key attributes of a good investment.
 
Going ahead, as per the Basel II norms, all borrowers (with banking facilities above Rs 10 crore) need to get a rating by March 2010 in phases. Many companies that haven’t been rated before are now seen availing the service of rating agencies like Crisil. So far, the company has rated about 2,000 companies. According to estimates, there are about 7,000 rateable entities, which itself indicates the business potential. The company is expected to tap this opportunity given its market share of about 50 per cent.

Crisil’s advisory business reported a 60 per cent decline in revenues in January 2009 quarter led by the slowdown in the capex cycle. The growth rates in this business are expected to improve given the government's increased focus on infrastructure spending as well as the gradual revival in the domestic economy. The research business also holds potential. However, stability in the financial markets is seen among requisites for an improvement in the prospects, which may take some more time to materialise. Meanwhile, at current price of Rs 3,521, the stock trades at a price-to-earnings multiple of about 16 times based on its estimated earnings for year ending December 2009.

Gateway Distriparks

A significant contraction in India's foreign trade has dimmed the prospects of one of India’s largest container freight station (CFS) operators. This is also a reason why the company reported a 20 per cent year-on-year decline in CFS volumes for the March 2009 quarter. However, considering its strong business model – it operates in some of the largest ports in the country such as JNPT, Chennai, Vizag and Kochi – the company could be a good long-term play on India's growing trade and economy.

In addition to the CFS business, the company's strategy to leverage its existing logistic business by way of backward integration into the rail freight and the cold chain businesses would drive growth in future.

The railway freight business contributes about 35 per cent of its total revenue. However, due to the lower utilisations and higher fixed costs, this business is incurring losses. The company currently own 15 rakes and runs 2 rakes on lease basis, which has helped notch up volume growth of about 70 per cent during the March 2009 quarter. Although it has been able to increase its volumes, profitability will remain an issue as the business is expected to be break-even only in 2010-11. Analysts are expecting the volumes and margins to improve going forward, on the back of an increase in the utilisation levels. Higher volumes will also lessen the impact of fixed cost.

The company is present in the entire logistics chain with presence in key trading and industrial regions. However, for the full benefits to accrue, it is crucial that the economy revive. At Rs 96.3