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Monday, August 2, 2010

SOKHI PICK of the WEEK : Balaji Amines Ltd CMP 175

Balaji Amines Ltd 530999 (BUY) 173 - 176 (Targets) 180 / 184 / 187 (SL) 165
It posted an EPS of Rs.32 on its equity of Rs.6.50 cr. Even for Q1FY11, its topline grew by 35% to Rs.80 cr and PAT by 25% to Rs.6 cr posting a quarterly EPS of almost Rs.10. Considering these factors, the company may clock a turnover of Rs.300 cr with net profit of Rs.25 cr i.e. an EPS of Rs.38 on its current equity. At a modest forward discounting by 6 times, the share price can shoot up Rs.230 within 9-12 months.

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All the advises,calls,tips and predictions are neither an offer nor a solicitation to purchase or sell securities.The information and views given by writer is believed to be reliable but no responsibility (liability) is accepted for error of facts and opinion.Writer may be trading in or having positions in stock markets.