Stock Views on Sun Pharmaceutical Industries, Lupin, HDIL

Prabhudas Lilladher on HDIL - Target Rs 280

Prabhudas Lilladher has maintained its accumulate rating on Housing Development and Infrastructure (HDIL) with a target of Rs 280 in its research report.

"HDIL reported revenues to the tune of Rs 2,954 million, a decline of 48% YoY. Revenues were largely led by sales of TDRs. The company sold 1.8 million TDRs during the quarter at an average rate of Rs 1,500/sq.ft. HDIL generated approximately 2 million sq.ft of TDRs during the quarter and currently has 0.5 million sq.ft of TDRs in its inventory. The company reported strong EBITDA margins of 83% due to the large proportion of TDR sales which led to profits increasing by 73.6% QoQ. We have estimated HDIL’s NAV at Rs 312/share. We are valuing the company at 10% discount to NAV which translates to Rs 280. We maintain ‘Accumulate’ rating on the stock," says Prabhudas Lilladher's research report.


Sharekhan on Lupin - Target Rs 978

Sharekhan has recommended a buy rating on Lupin with a target price of Rs 978 in its research report.

"Lupin’s performance in Q1FY2010 was ahead of our expectations. The consolidated revenues grew by a healthy 25.9% to Rs 1,085.6 crore in Q1FY2010. The revenue growth was driven by a strong traction across advanced formulation sales (up 40.4%), a healthy growth in the domestic formulation business (up 21.5%) and higher revenues from the Japanese market (up 42.1%). We maintain our 'Buy' recommendation on the stock with a price target of Rs 978," says Sharekhan's research report.

Sharekhan on Sun Pharma - Target Rs 1217

Sharekhan has maintained its buy rating on Sun Pharmaceutical Industries with a target price of Rs 1217 in its research report.

"Sun Pharmaceutical Industries (Sun Pharma)’ Q1FY2010 performance is well below our expectations. The revenues for the quarter declined due to lower sales in the US market (as against the high base of the non-recurring sales of Pantaprazole in Q1FY2009), a decline in Caraco Pharmaceutical (Caraco)’s revenues due to seizure of inventory by the US Food and Drug Administration (USFDA) and a staggered domestic performance. We maintain our 'Buy' recommendation on the stock with a price target of Rs 1,217 (14x its FY2011 earnings)," says Sharekhan's research report.