Hitendra Vasudeo of stockmechanics.com is of the view that traders can buy Jindal Steel & Power (JSPL) to achieve a short term target of Rs 2742.

According to Mr. Vasudeo, traders can buy the stock between Rs 2484-2596.

In addition, Mr. Vasudeo has suggested a support level for the scrip at Rs 2450.

Shares of the company, on Tuesday (June 16), closed at Rs 2629.95 on the Bombay Stock Exchange (BSE). Current EPS and P/E of the stock stood at 99.31 & 25.56 respectively. The share price has seen a 52-week high of Rs 2709 and a low of Rs 517.30 on BSE.

The Jharkhand government, on June 09, sighed up a MoU with Jindal Steel & Power Ltd (JSPL) for establishing an Industrial Training Institute (ITI) close to Dumka.

The state administration has offered the construction and other infrastructure spread more than 2 acres at Godda, whilst JSPL will oversee work force and other running expenditures. The overall intake will be 150 and the primary batch is expected to begin from Feb 2010. The building has been given to the company on a lease for 30 years.

On May 27, JSPL declared that the company’s directors have recommended dividend of Rs 5.50 (550%) per equity share of Re 1/- each.

Jindal Steel declared 2.4 times increase in its consolidated net profit to Rs 30,071.50 million for the year ended March 31, 2009 as against Rs 12,495.90 million for the year ended March 31, 2008.

For the year ended March 31, 2008, total income increased 97.04% to Rs 109,133.70 million from Rs 55,387.30 million.

The company’s directors at its meeting held on May 27, 2009, has announced dividend of Rs 5.50 (550%) per equity share of Re 1 each.

On May 12, Global Transport Logistics Incorporation (GTLI), a division of India’s Jindal Steel & Power (JSPL) has discovered new natural gas reserves in a well in eastern Bolivia.