Keep Gayatri Projects for long term: A Maheshwari

Ashish Maheshwari, MD of India Capital Markets is of the view that investors can keep Gayatri Projects in the portfolio with long term perspective.

Maheshwari told CNBC-TV18, "Gayatri Projects has lost a lot of value this year. The stock was quoting at about Rs 700 in the month of January and it has hit a 52 week low recently. If we see the fundamentals, the company is mainly into the contracting business and if we see the composition there is no exposure to real estate and they are mainly into BOT projects, road development and irrigation projects. If we see the revenue guidelines in FY09, if we see the prices, it is available at a PE of 3 times price to earnings and in FY10; it is available at PE of 3 times price only. So at this PE multiple, it makes a lot of sense to keep the stock in the long term portfolio of any investor."

Disclosure: Analyst doesn't hold the above stock but have recommended to the clients.