STOCK IN FOCUS
Ramco Cements (RCL) gained ~2% in yesterday’s sell-off markets despite subdued operational performance.
While operational performance was dismal led by cost pressure, a substantial decline in finance costs and impressive sales volume were key positives for 3QFY18.
RCL’s strategy to grow in outside Southern markets started payingoff and commissioning of 3mnT new satellite capacity in next 18 months will furthers aid RCL to improve volumes and profitability.
Moreover, visible change in fuel-mix and 12MW CPP will improve its operating synergy further.
We envisage improved operating efficiency with no meaningful capex would lead to healthy Free Cash Flow (FCF) generation to the tune of Rs22bn through FY18E-FY20E.
We reiterate our fundamental BUY rating on the stock with Target Price of Rs850.
NIITTECH (PREVIOUS CLOSE: 830) BUY
Fresh long position can be initiated in the range of Rs830-815for the target of Rs930 with a strict stop loss of Rs770.
PVR (PREVIOUS CLOSE: 1331) BUY
For today’s trade, long position can be initiated in the range of Rs1330-1320for the target of Rs1390 with a strict stop loss of Rs1295.
L&TFH (PREVIOUS CLOSE: 159) BUY
Click here to read the full report
For today’s trade, long position can be initiated in the range of Rs159-157 forthe target of Rs164-168 with a strict stop loss of Rs155.
About Reliance Securities
Reliance Securities, the broking arm of Reliance Capital, is one of the India’s leading retail broking houses, providing customers with access to equities, derivatives, currency, IPOs, mutual funds, bonds, and corporate FDs amongst others. The large array of financial offerings helps customers fulfilling their investment objectives on one platform. Focus on timely & error-free execution represents its core strength. Their best in class research offerings, high degree of compliance with stock exchange regulations, ethical business standards, & strong risk management capabilities; Reliance Securities positions itself amongst strong & innovative brands in the financial services space.
For more information please write in to firstname.lastname@example.org
Disclaimer: The author has taken due care and caution to compile and analyse the data. The opinions expressed above are only the views of the author, and not a recommendation to buy or sell. Neither the author nor IndiaNotes.com accept any liability whatsoever arising from the use of any of the above contents.