Stock views on AIA Engineering, Mcnally Bharat Engineering, KEC International

SKP Securities on Mcnally Bharat Engineering - Target of Rs 103

SKP Securities has maintained its buy rating on Mcnally Bharat Engineering with a target price of Rs 103 in its research report.

"With an order book of Rs 2200 crore which is 2xFY09 revenues and bidding for Rs 4075 crore worth of orders we feel the company is poised to manage healthy growth rates over the next 2-3 years. Though managing the debt component will be a challenge for the compnay we believe falling raw material prices and low interest rates will aid the company in managing its debt prudently. We feel the company will be able to manage to grow at CAGR of 30-35% over the next 24 months on the basis of current order book and expected orders. We maintain a buy on the company with a target price to Rs 103/- in 15 months implying a p/e multiple of 8x FY10 earnings," says SKP Securities' research report.

FinQuest Securities on KEC International - Target of Rs 368

FinQuest Securities has recommended a buy rating on KEC International with a price target of Rs 368, in its report.

"KEC plans to expand its Railway business by entering into areas like tracking, signaling and railway platforms. We expect KEC to report an EPS of Rs 37.7 and Rs 46.3 for FY10 and FY11 respectively. Given the strong pipeline of orders, and earnings growth visibility over the next two years, we believe valuations are attractive. It is currently trading at 6.3x its FY11 EPS. We initiate coverage with a buy rating on the stock with a target price of Rs 368," says FinQuest Securities' report.

Sunidhi Securities on AIA Engineering - Target of Rs 235

Sunidhi Securities & Finance has recommended a buy rating on AIA Engineering with a price target of Rs 235, in its report.

"Although there has been some slowdown witnessed due to global factors, with the Asian hunger for metals growing, mining activity too is expected to go up. Companies have increased their exploration budgets and fresh capacities are coming up in sectors such as steel, aluminum and copper. AIAEL also expects to enter the mining segment where the market potential is 10 times bigger than cement. At the CMP of Rs 190, the share is trading at a P/E of 10.2 on FY09E and 8.4 on FY10E. We recommend buy with a target of Rs 235 in the medium term," says Sunidhi Securities & Finance's research report.