Buy Tata Chemicals, target of Rs 350: Asit C. Mehta

Asit C. Mehta has recommended a buy rating on Tata Chemicals with a target price of Rs 350 in its July 21, 2008 research report. "Tata Chemicals Ltd has reported consolidated EPS of Rs 17.10 for FY08 (normalized EPS). The company’s Earnings Per Share (EPS) will increase from Rs 17.10 in FY08 to Rs 30.37 and Rs 38.87 in FY09E and FY10E respectively."

"At CMP of Rs 277 the stock is trading at 8.59x FY09E and 6.71x FY10E earnings per share . We revise our target price on Tata Chemicals Ltd with a “BUY” recommendation and price objective of Rs 350 (implying a forward P/E multiple of 9x on EPS of FY10E)," says Asit C. Mehta's research report

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