Shiv-Vani Oil & Gas Exp Services Ltd: BUY
CMP Rs424, BUY
Target price Rs648, Upside 52.8%
Shiv-Vani faces huge growth opportunity due to following
ä Huge order inflow on the back of a surge in E&P capex
ä Commitments made in first six NELP rounds yet to be comple ted, NELP VII due in December 2007
ä CBM turnkey projects is a new source of revenue
Valuations are attractive; recommend a BUY with a target price Rs648
At CMP of Rs424, the stock trades at P/E multiple of 9.2x and 7.2x on estimated earnings of Rs46.3 and Rs58.5 for FY09 and FY10 respectively. Given the expected robust build-up in SVL's order book and a rise in operating margins to 39%, we recommend a BUY with a target price of Rs648, implying an upside of 52.8%.
Click below for a detailed Report on Shiv-V ani Oil & Gas Exp Services Ltd
http://www.indiainfoline.com/adserver/InverstorReport_shivvanioil221107.asp
Warm Regards,
India Infoline Research Team
0 comments:
Post a Comment
All comments are moderated. Please post no spam