Stock views on Sun Phrama, Sunil Hitech Engineers, Unitech

Sharekhan  on Sunil Hitech Engineers - Target Rs 295

 

Sharekhan has recommended a buy rating on Sunil Hitech Engineers, with price target of Rs 295, in its report

"Sunil Hitech Engineers has grown at an exponential rate of 103% over FY2007-09. In view of its strong order book, the huge opportunity in its chosen niche space and its initiatives to undertake large projects, we expect SHEL to double its net revenues and earnings over FY2009-12. The stock trades at a substantial discount to its peers and its current valuation leaves significant scope for re-rating. Moreover, we have not factored in any value from SHEL's 20% stake in the GangaKhed project and 49% stake in its joint venture for coalmines. Historically SHEL has traded at an average multiple of 8.1x its one-year forward earnings per share (EPS). We initiate coverage on SHEL with a Buy recommendation and a price target of Rs 295 (8x average EPS of FY2011 and FY2012)," says Sharekhan report.

Karvy Stock Broking  on Sun Phrama - Target Rs 1755

 

Karvy Stock Broking has recommended a market performer rating on Sun Pharmaceuticals, with price target of Rs 1755, in its report

"On account of injectibles nature of the product we have factored 70% price erosion and a 10 % market share for the products for a 15 day period for the current year and for the next year. We have upgraded our FY10E EPS marginally to Rs 60.8 and by 8.5% to Rs 75.3 for FY 2011E. We value our core business at 22x FY 2011E at Rs 1657 while we value the Taro upside at 50% probability to CY10 EPS. We assign 22x to the Rs 4.3 (50 % Taro EPS upside) to Sun Pharma stock and arrive at a price target of Rs 95. We hence arrive at a price target of Rs 1755 (price upgrade of 8.3 %). We continue to rate the stock as Market Performer," says Karvy Stock Broking report.

 

 

Anand Rathi on Unitech - Target of Rs 127

 

Anand Rathi Securities has come out with a research report on Unitech. The research firm has maintained buy rating on the stock with a target price of Rs 127.

The report says, Unitech's slum-rehab projects are picking up steam. We visited the Golibar, Worli, Parel, Dadar and Malad projects. We saw good construction progress, compared with our previous visits over the past six months. Classified as '3K', Golibar is the largest project on Unitech's Mumbai books. It contributes around Rs 9 of the Rs 14/share from Mumbai projects. In the past one-and-a-half years, though, the company has acquired projects in many more Mumbai suburbs."

"Management has "guided" to 4-5 million sq. ft. of development per year in Mumbai. We estimate it would manage cumulatively 5m sq. ft. of free-sale construction by FY12 and increase gradually thereafter. Thus, given the high value of such projects, greater revenue share would start showing up from FY12. We maintain our FY11e NAV at Rs 127 a share. Currently, it trades at 1.6x FY11e P/BV," according to Anand Rathi Securities.