Solar Industries can test Rs 1000 in 6-8 months, says SP Tulsian, sptulsian.com. Tulsian told CNBC-TV18, "Solar Industries is into making explosives and the initiating devices, which are used by the infra, mining, construction sector. The company has about 16 plants in the country with presence in 8 states where the mining activities are carried out in a very big way."
He further added, "Apart from that they have moved into Africa and Europe also and that presence has been created in last six months and that is showing a considerable progress. With the kind of requirement which we see for mining in Africa also I think this is going to be a big kicker for the stock in terms of the increase in their topline and bottomline. So taking that into account I am expecting that probably FY12 should be having a topline of about close to Rs 1000 crore with EPS of about Rs 60 per share."
"If I go by the shareholding pattern it is quite comforting - 75% promoter stake, 15% held by 3-4 well known mutual funds and about 7% are held by the HNIs, which are associates and close to the management. There is a very low public float of about 3% - as I said it is a debt free company and very good performance. Share is available at a PE multiple of 10.5 to 11 on the FY12 estimated earning which is expect that it can take the share price to move to about Rs 1000 in the next to 6 to 8 months time."
