Monday, March 21, 2011

Buying TIPS

TCS
TCS is recommended to buy with a target price of Rs.1300 over one year. The stock is currently traded in the range of Rs.1080.

It seems that 4QFY11 would be slightly weak due to seasonal factors (4Q is generally weak) and the revenue growth for the quarter would be 3- 4% qoq, as against the market expectation of 5-6% revenue growth. However, FY12 appears to be a strong year and the revenue growth is expected at 25% with stable EBIT margin of 27-28% range.

United Phosphorus Ltd
Hold it for one year. Target price :230.

Reliance Industries Ltd, GAIL and Andhra power producers have signed agreements involving swapping of gas to ensure additional gas supply for generating 600 Mw power in the state. Thursday’s agreement would enable supply of another 2.594 million standard cubic metres of gas per day to power units in Andhra. The resulting power production of almost 600 Mw is important for farmers of the state, said a petroleum ministry statement. The agreement was signed in the presence of the minister, S Jaipal Reddy, who is a Congress MP from the state.


No comments:

Post a Comment