Shastri told CNBC-TV18, "Accentia Technologies is in the technology pack. This stock is least affected by the rupee appreciation impact because the company in the recent past has done away with the intermediaries involved in getting them the orders for their BPO works. This has resulted that the company is improving its net margins by 3 times that is the reason the topline has also increased by 3.5 times and the company is going to expand it's sale from Rs 34 crore in 2007 March to Rs 125 crore in 2008 March and from a PAT level of around Rs 7.7 crore in March 2007 to an extent of about Rs 30 crore PAT in 2008 March. So this is a great significant achievement on the part of the company in expanding it's both realization and also net profit margins, which is making the company in terms of the P/E multiple very attractive at a forward P/E multiple of around 6. So I will definitely buy on this stock."
He further added. " Sundaram Multi Pap is into the branded notebooks segment and it has 40% market share in Maharashtra and Gujarat. This company in the recent past has acquired two papers mills for it's backward integration and the resultant fact again is profit margins are improving from 3% on sales to almost 13.5% on the sales in 2008 March resultant again the P/E multiple is attractive at about 5. So I think these two good picks."
