Stock Views on Rolta India, KS Oils, Hindustan Construction Company

Prabhudas Lilladher on Rolta - Target of Rs 240

Prabhudas Lilladher has recommended accumulate rating on Rolta India with a target of Rs 240, in its research report.

“Rolta has strengthened its IP portfolio with Geospatial Fusion, OneView, iPerspective and SOA Today, that has de-linked its model away from the linear growth model. Also, JVs with Thales Group and The Shaw Group have helped them bid for government projects and provide world-class service to its clients. We believe that solution driven growth when compared to service driven growth led by nonlinear approach to revenue momentum, would help the company sustain its margin with revenue momentum.”



Prabhudas Lilladher on KS Oils - Target Rs 88


Prabhudas Lilladher is bullish on KS Oils and has recommended buy rating on the stock with a target of Rs 88, in its research report.

“KS Oils (KSO) is a market leader in the Rs130bn mustard oil market, with 11% market share (FY09). It also has ~30% market share in branded mustard oil segment (current market size of ~Rs39bn) which is expected to grow at ~25% CAGR, going forward. By FY11, the company is expanding its mustard oil crushing capacity by ~3x (of its FY09 capacity). We believe that the multi-product brand portfolio will push KSO to capture the growing branded mustard oil market. Further, KSO is expanding ~4x of its FY09 refined oil capacity by FY11. We believe that a strong market presence in mustard oil, strong brands and rich experience in edible oil industry will help KSO capture the ~Rs600bn refined oil market in India.”

“Based on one year forward P/E, KSO is trading at a discount to its global as well as domestic peers despite having higher earnings CAGR and higher return ratios (RoE). We are positive on the stock on account of its strong edible oil market presence, its growth potential and discounted valuation. At present, stock is trading at near to lower end of its historical forward P/E band of 8x-14x. Hence, we recommend ‘BUY’ the stock,” says Prabhudas Lilladher research report.

IndiaInfoline on HCC - Target Rs 160

IndiaInfoline is bullish on Hindustan Construction Company, HCC and has recommended buy rating on the stock with a target of Rs 160, in its research report.

"On the daily chart, HCC has given a bullish breakout. A detailed analysis of the volumes of HCC reveals that maximum interest has been displayed by the traders in this stock since last week of October 2009. On Thursday, it made a convincing move above the top of the trading range. The daily momentum oscillators i.e. RSI and MACD are suggesting strength in the upmove. Keeping in mind the above-mentioned evidences, we suggest high risk traders to buy the stock between the levels of Rs 149-152 with a strict stop loss of Rs 146 for a short-term target of Rs 160."

Stock views on Jet Airways, Unity Infra, Hindustan Construction Company

IndiaInfoline on Jet Airways - Target Rs 575-580

IndiaInfoline is bullish on Jet Airways and has recommended buy rating on the stock with a target of Rs 575-580, in its research report.

"On the daily chart, Jet Airways has formed a bullish price channel. It is a continuation pattern that slopes up and is bound by an upper and lower trend line. On Tuesday, the momentum indicator RSI depicted a positive divergence. In addition the stock is trading above its key short-term moving averages. We recommend a buy at current levels and on declines up to Rs 555 with a stop loss of Rs 551 for a target of Rs 575, 580," says IndiaInfoline research report.

Karvy Stock Broking on HCC - Target Rs 171

Karvy Stock Broking is bullish on Hindustan Construction Company, HCC and has recommended buy rating on the stock with a target of Rs 171, in its research report.

“Hindustan Construction Company (HCC) one of the largest and oldest companies engaged in construction business is in a sweet spot with core construction business on a growth trajectory driven by improving visibility for new order inflow and 135% higher infrastructure investments in 11th five year plan. We expect order book would grow at CAGR of 19% over the next two years to Rs 233 billion, primarily from sectors like hydro power and irrigation."

"Consequently, HCC's revenue would grow at CAGR of 26% over FY10-11 and able to sustain margin at higher level. In addition to that, value unlocking from its foray into real estate primarily Lavasa Corporation would add significant value to HCC's shareholders. We initiate coverage with a BUY rating and price target of Rs 171 based on our SOTP (Sum of the Parts) valuation,” says Karvy Stock Broking research report.


Nirmal Bang on Unity Infra - Target Rs 669


Nirmal Bang is bullish on Unity Infraprojects and has recommended buy rating on the stock with a target of Rs 669, in its research report.

"Unity Infraprojects has raised Rs 73.3 crore through a QIP issue. The QIP was issued at Rs 506 per share resulting in a post issue dilution of 10.7%. The promoter shareholding in the company now stands at 62.7% down from 69.5%. The company has issued 14,49,476 shares at a premium of Rs 496 per share. The equity share capital for the company now stands at Rs 14.8 crore. We have revised the target price of UIL to Rs 669 per share down from Rs 726 primarily to factor in the equity dilution. At the current market price of Rs 508 per share the stock looks quiet attractive. We maintain a ‘BUY’ recommendation with a long term view," says Nirmal Bang research report.