4305 Investors following Jubilant Life. Share this News with them.
0
Like this story, share it with millions of investors on M3
Buy Jubilant Org, target of Rs 224: Emkay Global
Emkay Global Financial Services has maintained its buy rating on Jubilant Organosys with a target of Rs 224. Being the largest CRAMS company in India, Jubilant is likely to capture a major share of the global outsourcing opportunity.
Emkay Global Financial Services has maintained its buy rating on Jubilant Organosys with a target of Rs 224 in its December 8, 2008 research report. "The stock price of Jubilant has come down by 31% in the last one month and has underperformed both- the Sensex as well as BSE healthcare index. We expect robust growth opportunities in outsourcing to be the key growth driver for the company. Being the largest CRAMS company in India, Jubilant is likely to capture a major share of the global outsourcing opportunity."
"We have assigned a multiple of 9x (in-line with other CRAMS companies) for P&LS business (Rs 196, 9x Rs 21.8- FY10E EPS), which is expected to contribute 80% to the bottom line and a multiple of 5x for I&PP business (Rs 28, 5x Rs 5.5- FY10E EPS). This has led to our target price to Rs 224. At CMP of Rs 120, the stock is trading at 4.4x FY10E FDEPS. We reiterate our "BUY" rating with a target price of Rs 224 an upside of 87%," says Emkay Global Financial Services' research report.
Disclaimer: The views and investment tips expressed by investment experts on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
To read the full report click on the attachment......
