Nirmal Bang has recommended buy rating on Unity Infraprojects with a target of Rs 726, in its November 30, 2009 report.
"We believe going forward the revenues of the company will grow at a CAGR of 26.4% over a period of next 3 years and Net profit will grow at a CAGR of 24.1% during the same period. At the current market price of Rs 495 per share, Unity Infraprojects is currently trading at a PE of 7.5x FY10E and 6.1x FY11E EPS estimates, which looks quite attractive. We arrive at a target price of Rs 726 per share by assigning a P/E multiple of 9x for FY 2011 EPS of Rs 80.7 per share. We recommend a BUY rating on the stock with a long term view," says Nirmal Bang 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.
