Nirmal Bang, one of the leading equity research-cum-broking house, has recommended a buy on Power Grid Corporation of India (PGCIL).

According to Nirmal Bang report, the stock has been consolidating for a while in the range of 105-114, if investors see a breakout above 114, then look for a target of Rs 123 - Rs 135 shortly.

Interested investors can buy the stock on dips and hold it for 2-3 days.

In addition, the firm has suggested a support level for the scrip at Rs 104.

Today (July 06), the stock opened at Rs 113.95, as against its last closure of Rs 822.80 on the Bombay Stock Exchange (BSE). Current EPS & P/E ratio stood at 4.02 and 27.57 respectively. The share price has seen a 52-week high of Rs 128.35 and a low of Rs 51.75 on BSE.

Power Grid Corp. of India, on June 22, is planning to raise Rs 30 billion via a follow-on public offering of equity shares.

PGCIL plans new equity offering by the end of the current fiscal year.

Power Finance Corp. plans to disburse Rs230bn of loans in the fiscal year ending March 31, 2010, the company's Chairman Satnam Singh said in New Delhi.

Power Grid Corporation of India announced a steady growth in standalone net profit for the twelve month period ended March 2009.

During the year, the company’s profit surged 16.72% to Rs 16,906.10 million as against Rs 14,484.70 million in the previous year.

It posted earnings of Rs 4.02 per share during the year, posting 11.67% growth over previous year.

For the year, net sales increased 44.66% to Rs 66,758.50 million, whereas total income during the year rose 38.32% to Rs 70,285.40 million, when compared with the prior year period.