Maruti Suzuki: Workers to Sign "Good Conduct" Pledge

Maruti Suzuki: Workers to Sign "Good Conduct" PledgeSince three months, it is for the third time that some internal disputes have made the production at Maruti Suzuki at a halt.

As told by the Japanese controlled company, it had introduced a bond in regard to the conduct of its workers and has asked all the employees to sign it. The “Good Conduct” agreement refers to that no employee would ever try to interrupt production or would in any ways tries to obstruct its output at the Manesar plant. Moreover, he would not route any kind of strike tactics.

Due to the signing of this bond, the production at the company is at a standstill.

Considering this, as told by Kunal Saraogi of Equityrush, it is not the right time to invest with Maruti Suzuki and therefore he has asked the investors to quit from there.

He said, “Investors should exit Maruti Suzuki. The stock is trading on dips since three trading sessions. It has a selling pressure due to news of Manesar plant. The stock has broken important level of Rs 1100. It may go down to Rs 980-990 in future”.

In June’2011, the company's sprawling 12-month (TTM) EPS was reported at Rs 82.12 per share. Well at that particular time, the stock's price-to-earnings ratio was estimated at 13.15.