Buy Voltas With Stoploss Of Rs 115: Ashwani Gujral

VoltasStock market analyst Ashwani Gujral has maintained ‘Buy’ rating on Voltas to achieve a short term target of Rs 145.

According to Mr. Gujral, interested traders can buy the stock with a strict stop loss of Rs 115.

Shares of the company, on Tuesday (June 16), closed at Rs 126.85 on the Bombay Stock Exchange (BSE). Current EPS and P/E of the stock stood at 7.63 & 16.78 respectively. The share price has seen a 52-week high of Rs 150 and a low of Rs 31.10 on BSE.

According to reports, Voltas’ electro-mechanical business, on June 16, has pocketed 2 orders worth INR 300 crore. For electro-mechanical projects for the most esteemed and significant new generation airports in the country namely Kolkata's Netaji Subhas Chandra Bose International airport and Chennai International airport.

On June 12, Voltas’ electro-mechanical business bagged two sizeable orders worth Rs 38 crore including one from Tata Steel for a 25MGD water treatment plant at Jamshedpur, and another from Kolkata Metropolitan Water & Sanitation Authority for a 15MGD water treatment plant in addition to a UGR cum pump station of 0.75MGD capacity.

For the twelve month period ended March 31, 2009, Voltas announced that its consolidated net profit after minority interest and share of profit of associates increased to Rs 2,514 million versus Rs 2,076.80 million in the same period of the last year.

The company registered a growth of 21.05% its net income during the year.

Total income surged to Rs 44,069.20 million as against Rs 32,472.30 million during the previous year, an increase of 35.71%.

The company’s directors announced a dividend of Rs 1.60 per share for the year 2008-09.

On May 29, Voltas’s electro-mechanical business bagged two deals worth Rs 3 billion for electro-mechanical project from Chennai International airport and Kolkata`s Netaji Subhas Chandra Bose International (NSCBI) airport.

The company will complete electro-mechanical order in 24 months for Kolkata and 21 months for Chennai.