KRChoksey views on PVR, DLF, Unitech

Buy PVR

KRChoksey Research has recommended a buy rating on PVR in its August 4, 2008 research report. "Net sales for the Q1FY09 were up by 10% Y-o-Y to Rs 60.2 crore. The growth of 10% was mainly driven by F&B income ( 10% Y-o-Y to Rs12.4 crore) and Advertisement & Royalty income (Y-o-Y 62% to Rs 9.0 crore)."

"At CMP of Rs 173, the stock is trading at 21.9x TTM EPS of Rs 7.9. We recommend investors to BUY the stock, with our price target under review," says KRChoksey's research report.


Buy DLF, target of Rs 615

KRChoksey Research has recommended a buy rating on DLF with a target price of Rs 615 in its August 4, 2008 research report. "Sales grew 24% y-o-y to Rs 3,810.6 crore in Q1FY09. There was a 12% decline in q-o-q sales due to the seasonal effect as sales in Q1 are historically sluggish. Operating margins were lower by 1020 basis points y-o-y on account of revenue from middle income segment. Net Profit was Rs 1,864 crore, a growth of 23% y-o-y but 14% lower on a q-o-q basis."

"We believe DLF’s strong balance sheet and its robust business model makes it one of the best investments in Indian Real Estate. We recommend a BUY with a target price of Rs 615. At the target price the stock would be valued at 12.1x FY09E EPS of Rs 50.65, implying an upside potential of 19.4%," says KRChoksey's research report.


Buy Unitech, target of Rs 191

KRChoksey Research has recommended a buy rating on Unitech with a target price of Rs 191 in its July 31, 2008 research report. "Top-line was mainly driven by sales from the residential properties which accounted for 70% of revenue. Sales in Q1FY09 were Rs 1,031.67 crore, an increase of 19.2% on a y-o-y and a decrease of 11.1% on q-o-q basis."

"We recommend a BUY with a target price of Rs 191. At the target price the stock would be valued at 14.05x FY09E EPS of Rs 13.59, implying an upside potential of 16.5%," says KRChoksey.