Buy Ruchi Soya With Target Of Rs 114
Technical analyst Nishant Jain of Tradeswift Brhas maintained 'buy' rating on Ruchi Soya Industries Limited stock to achieve a target of Rs 114.
According to analyst, the stock can be purchased with a stop loss of Rs 105.
Mr. Jain said that the said target can be achieved in a period of 2-3 trading sessions.
The stock of the company, on January 18, closed at Rs 107.70 on the Bombay Stock Exchange (BSE).
The share price has seen a 52-week high of Rs 143.15 and a low of Rs 83 on BSE.
Current EPS & P/E ratio stood at 6.67 and 16.67 respectively.
Ruchi Soya Industries Ltd announced that it will make an investment of Rs 600 crore to increase refinery capacitance by 1.1 million tonnes (MT) by the coming financial year.
Ruchi Soya Industries Managing Director Dinesh Sahara stated, "We are aiming to expand our palm oil refinery capacity by 1.1 million tonnes by 2011-12 fiscal with an investment of Rs 600 crore."
The company said that its present annual palm oil refinery capacitance stood at 2.1 MT and it eyes to raise the same that by an extra 1.1 MT via brownfield development at Mumbai, Kandla and Haldia refineries.
For the quarter ended December 2010, Ruchi Soya Industries recorded an increase of 58.49% in its net profit at Rs 63.78 crore.
Company's net sales jumped to Rs 4,628.36 crore during the said period.