Happy New Year 2007
Thursday, December 28, 2006
Wishing you all a very Cheerful and a Profitable year - 2007. Check out More Detail's on Nokia's New Years Party exclusively on Broadband India :-)
Published by DalalStreet Business @ 9:27 AM
Punj Lloyd - Review and stock recommendation
Tuesday, December 19, 2006
Punj Lloyd Limited (PLL) is one of India's best Construction and Infrastructure company. We are initiating coverage on PLL with a BUY recommendation and a 12 month target price of Rs 1,500. 50% upside from current levels.PLL operates in India, Middle East, Africa and entire Asia. PLL mainly implements mega infrastructure projects. Some Key Statistics of Punj Lloyd Limited.
CMP - Rs 1018. Buy Upto Rs 1075.
52 week High / Low - 1254 / 544
Book Value - Rs 203.7
P/E for H1FY07 Annualized - 44
Equity : 52.22 crores. Face Value Rs 10
For H1, FY07, Punj Lloyd recorded a sales of Rs 2022 crores and a PAT of Rs 22.91. PLL management has guided for revenues of Rs. 5800 crores for FY07. Margins are likely to expand going forward as its acquired company Sembawang engineers and Contractors’ Operations are streamlined and larger number of higher margin urban infrastructure projects flow through.
Large and diverse order book: Punj Lloyd continues to have a large overseas exposure to tap potential opportunities across the globe, especially in the oil & gas and petrochemicals space. Punj Lloyd had an order backlog of INR 13394cr as at Sept-06 of which Rs. 12500cr is with an average duration of 2.5 years.
For FY07, We expect PLL to deliver a PAT of 220cr resulting in EPS of Rs 40. Compared to other infrastructure and construction stocks, PLL with a very strong management and execution track record is quoting at a forward P/E of mere 25. We recommend a BUY on Punj Lloyd Ltd with a target price of Rs 1,500.
Tags: Invest India, Dalal Street, Punj Lloyd, Infrastructure Stocks
Published by DalalStreet Business @ 9:19 AM
CLSA concerned about Reliance Valuations
Saturday, December 02, 2006
Popular stock broking and research firm, CLSA has voiced concerns on the valuation of Reliance Industries Limited stock. In a report it said,- Capacity additions exceeded demand growth in 2006. This will become pronounced from 2008 as larger expansions start coming onstream
- RIL is trading as a finely-priced, newsflow-driven asset play, but lacklustre core earnings growth over the next few quarters may weigh on its stock
- Kotak Securities downgraded RIL and said, We estimate the gap between RIL’s stock price and our estimated fair value of its extant businesses at Rs 700 per share and Rs 600
- RIL’s fundamentals have weakened over the past few months and there are several unresolved issues with Reliance’s financing, accounting and disclosures.
Via [ET]
Tags: Invest India, Dalal Street, Indian Stocks and Shares, Reliance
Published by DalalStreet Business @ 4:32 PM
