Stock views on Sterlite Technologies, Atlas Copco, Sterlite Technologies

Networth Stock Broking on Sterlite Tech - Target Rs 145

 

Networth Stock Broking is bullish on Sterlite Technologies and has recommended buy rating on the stock with a target of Rs 145.

"Sterlite Technologies (STL) reported 15% YoY growth in turnover at Rs 6.6 billion in Q4FY10 and 65% YoY growth in net profit. Sterlite Technologies has recorded only 6.2% growth in FY10 revenues due to lower realization on transmission segment on the back of drop in metal prices. However, the slow top line growth has been over shadowed by the significant margin expansion."

"We remain bullish on STL, on the backdrop of convincing quarterly performance. With the expected capex set to help the company achieve better volumes and improved margins seen in the conductor segment, we reiterate our 'Buy' rating on STL and maintain the target price at Rs 145," says Network Stock Broking research report.

Swastika Investmart  on Atlas Copco - Target Rs 1500

 

Swastika Investmart is bullish on Atlas Copco and has recommended buy rating on the stock with a target of Rs 1500, in its research report.

"Atlas Copco (India) is subsidiary of Atlas Copco, Sweden. In last 10 years it has acquired various companies like Ingersoll-Rand (Company's Drilling Solutions Division - 2004), Beacon Medas (Compressors Division – 2005), Mafi Trench and Dynapac (Compressors division and Equipment business, respectively – 2007). It also acquired Focus Rocbit Pvt. Ltd. and Prisma Roctools Pvt. Companies of Hyderabad in the year 2009."

"Company's book value has increased with a CAGR of 7.17% p.a. during the period 2004 to 2009. Company's Net Worth has increased with a CAGR of 23.11% from the year 2004 to the year 2009. Company's Foreign Earnings have been continuously rising from the year 2004 to 2009 with a CAGR of 22.03% p.a. The Parent Company (Atlas Copco AB), currently holds a major portion of equity in the Company of around 84% and any buy-back plans in future can trigger the market prices up. Strong Balance Sheet may allow company to declare bonus in fiscal year 2010-11 or 2011-12 as currently Reserves have swollen to approx. 20x of Share capital."

 

 

Emkay Global Financial Services on Sterlite Tech - Target Rs 131

Emkay Global Financial Services has maintained its buy rating on Sterlite Technologies, with price target of Rs 131, in its report. The stock closed at Rs 106.70 on April 23, 2010.

"Our revised EPS estimates after an upgrade by 9.8%/11.2% are at Rs 8/Rs 10.1 for FY11E and FY12E. Considering the strong revenue visibility (order book Rs 24 billion), benefit of capacity expansion, improved balance sheet (net debt Rs 500 million), ROCE expanding from 24.8% in FY10 to 27.2% in FY12E, we retain BUY rating on Sterlite Technologies, with revised price target of Rs 131 (v/s Rs95 earlier)," says Emkay Global Financial Services report.