Nirmal Bang, one of the leading equity research-cum-broking house, has recommended a buy on Everest Kanto Cylinder Ltd (EKC) with a short term target of Rs 235.

In latest research report, experts at Nirmal Bang said that interested investors can buy the stock on dips and hold.

In addition, the firm has suggested a support level for the scrip at Rs 195.

The report further stated that, if the counter is successful to breach 220, then it will create a huge breakout.

Today (June 24), the stock opened at Rs 212, as against its last closure of Rs 209.90 on the Bombay Stock Exchange (BSE). Current EPS & P/E ratio stood at 3.68 and 56.52 respectively. The share price has seen a 52-week high of Rs 327 and a low of Rs 84 on BSE.

Apart from Nirmal Bang, many other stock analysts have suggested that investors with a long-term perspective can consider accumulating the stock of Everest Kanto Cylinder (EKC), on declines. The company has healthy long-term expansion plans and will do fine in the upcoming quarters.

Gas cylinder manufacturer Everest Kanto has decided to raise Rs 150 crore through different fund raising paths.     

The company stated that its directors at its meeting sanctioned the raising of Rs 150 crore via issuing fully convertible debentures or through qualified institutional placement with the qualified institutional buyers.     

Established in 1978, Everest Kanto Cylinder Limited has developed to become pioneer in growth & manufacturing of industrial & CNG Cylinders with well over 1.5 million High Pressure gas cylinders and 5.00,000 CNG cylinders in service and three manufacturing plants in India Aurangabad, Tarapur and Gandhidam and Middle East (UAE) JAFZA in Dubai.