Stock market analyst Ashwani Gujral has maintained ‘Buy’ rating on Shipping Corporation of India to achieve an intraday target between Rs 138- Rs 145.

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

The shares of the company, on Wednesday (June 24), closed at Rs 123.05 on the Bombay Stock Exchange (BSE). Current EPS and P/E of the stock stood at 22.09 & 5.65 respectively. The share price has seen a 52-week high of Rs 153.60 and a low of Rs 34.88 on BSE.

For 2008-09, Shipping Corporation of India has announced a dividend of Rs 6.50 per share of Rs 10 each on equity capital enlarged by the allocation of bonus shares in the ratio of 1:2. SCI paid a dividend of Rs. 8.50 a share on old capital during 2007-08. The company has registered a growth of 15.6% in its net profit for 2008-09.

As the worldwide shipping business confronting rough weather, Shipping Corporation of India (SCI) has postponed its plan to buy four very large crude carriers (VLCCs) valued at $320 million.

During October last year, SCI floated tenders for acquirement of four VLCCs, and more than nine shipyards had showed interest, said a senior executive from SCI.

But, the credit crisis and the financial slump forced SCI to postpone its plan for six months. In the meantime, the freight market also took a turn for the worse, upsetting SCI’s calculations.

SCI, on June 05, declared that it has entered into the shipbuilding deal for acquirement of 2 nos. 120 ton bollard pull anchor handling, towing and supply vessels (ahtsvs) on June 04, 2009, with M/s. Cochin Shipyard.