Buy HUL With Target Of Rs 275

Buy HUL With Target Of Rs 275Stock market analyst PK Agarwal of Purpleline Investment is of the view that investors can buy Hindusthan Unilever Ltd stock to achieve a target of Rs 275.

Mr. Agarwal said that the interested investors can buy the stock with stop loss of Rs 250.

Today, the shares of the company opened at Rs 259 on the Bombay Stock Exchange (BSE). The share price has seen a 52-week high of Rs 306 and a low of Rs 219 on BSE.

Current EPS & P/E ratio stood at 9.58 and 26.92 respectively.

Hindustan Unilever Ltd on June 12 declare that its directors have sanctioned buying back shares valued at Rs 630 crore from the market at Rs 280 a share, to make use of its extra cash.

The company said, "The company proposes to buy back shares from the Bombay Stock Exchange Limited (BSE) and National Stock Exchange of India Limited (NSE) through open market purchases from time to time."

The company added that its directors have given nod to the buyback of the company's equity shares at a cost not more than Rs 280 a share and up to an aggregate amount of Rs 630 crore.

HUL stated that its plan of driving up volume growth is going well, but margins at the home care and personal products manufacturer are suffering, its outcomes for the three month period which completed on March 31, 2010 showed.