Active Stocks
Thu Mar 28 2024 15:59:33
  1. Tata Steel share price
  2. 155.90 2.00%
  1. ICICI Bank share price
  2. 1,095.75 1.08%
  1. HDFC Bank share price
  2. 1,448.20 0.52%
  1. ITC share price
  2. 428.55 0.13%
  1. Power Grid Corporation Of India share price
  2. 277.05 2.21%
Business News/ Opinion / Online-views/  Ambit Capital puts SELL on Mundra Port
BackBack

Ambit Capital puts SELL on Mundra Port

Ambit Capital puts SELL on Mundra Port

Premium


In the past month, since our initiating coverage report dated March 05, 2009, the stock price has moved up 18% vs. a 31% rise in Sensex. We believe that there is no justification in the price increase as the company’s fundamentals remain unchanged.

Our target of Rs315 captures all the expected volume growth at the Mundra port. Our valuations are based on a 19% CAGR volume growth between FY09-FY12, including a 25% y-o-y growth in FY09 (FY09, 36.1 MnMT) significantly outperforming the industry growth of 2.1%.

We, however, believe that any potential upside from our target price would be from incremental sale or lease of SEZ areas. We have valued MPSEZ on SoTP basis.

We maintain our SELL recommendation with a target price of Rs315, a downside of 17% from current levels.

Click here for a detailed report

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Published: 17 Apr 2009, 10:33 AM IST
Next Story footLogo
Recommended For You
Switch to the Mint app for fast and personalized news - Get App