KRChoksey Views on Blue Dart, JMC Project, C and C Constuctions, Aegis Logistics

Blue Dart - Target of Rs 520





KRChoksey Research has recommended a buy rating on Blue Dart Express with a target price of Rs 520 in its November 19, 2008 research report. "Net sales increased 27.8% y-o-y and 8.6% q-o-q to Rs 265.8 crore driven by increase in the average pricing (15-20% in air cargo charges and 10-15% in the ground network service charges). We recommend a BUY on this stock with target price of Rs 520, which represents an upside potential of 21.8%," says KRChoksey's research report.





JMC Project - Target of Rs 97





KRChoksey Research has maintained its buy rating on JMC Projects (India) with a target of Rs 97 in its November 17, 2008 research report. "Company’s sales increased by 76.4% y-o-y to Rs 325.5 crore. The PAT was flat at Rs 6.8 crores. We have reduced our sales estimates for FY09, as there is no visibility of fresh order inflows. However, we anticipate order execution will be at expected pace. The EBITDA margins have been revised downward, mainly due to an increasing trend in construction expenses."





"Interest cost estimates have been revised upwards due to an increase in interest cost during the quarter. It will impact the PAT margins of the company by 27bps. We have given additional liquidity discount of 10% to company’s multiples. We therefore downgrade our target price to Rs 97, maintaining a BUY rating, with an upside potential of 51.5%," says KRChoksey's research report.




C and C Constuctions - Target of Rs 137





KRChoksey Research has maintained its buy rating on C and C Constuctions with a target of Rs 137 in its November 14, 2008 research report. "Company’s sales increased by 162% yoy to Rs 129 crore on the back of strong order book position. PAT was flat at Rs 4.95 crores. We have revised our sales estimates for the year upwards by 8.6% due to fresh inflow of orders. However, we anticipate slowdown in order execution thus affecting the topline. The EBITDA margins have been maintained owing to falling commodity prices. An increase in debt levels of the company is anticipated, which will impact the PAT margins of the company. We therefore downgrade our target price from Rs 265 to Rs 137, maintaining a BUY rating, with an upside potential of 25.6%," says KRChoksey's research report.





Aegis Logistics - Target of Rs 96





KRChoksey Research has recommended a buy rating on Aegis Logistics with a target of Rs 96 in its November 17, 2008 research report. "Net sales increased 42.5% y-o-y to Rs 130.9 crore driven by strong growth in both gas (47.6%) and liquid logistics (18.0%) divisions. Net profit dipped 13.0% y-o-y to Rs 7.8 crore."





"In the long run, we firmly believe that the key upside to Aegis’ story is its Auto Gas business, which is likely to be driven by the company’s strong expansion plan and increasing price differential between Auto LPG, with respect to diesel and petrol. At CMP the stock is trading at 3.2x on FY09E EPS of Rs 20.7. We recommend a BUY on this stock with target price of Rs 96, which represents an upside potential of 43.3%," says KRChoksey's research report.