Tulsian positive on Ester Industries

SP Tulsian, Investment Advisor is positive on Ester Industries.

Tulsian told CNBC-TV18, " Ester Industries has posted very good results for Q3 this is the company making polyester chips as well as the packaging film and the company has recently increased their metalizing plant as well as the BOPET film making capacity by over two times and the production at the expanded capacity has already commenced. If you go about the Q3 performance the top line is close to about Rs 200 crore while the bottom line has been at about Rs 55 crore which is translating into a net profit margin of over 27-28% and this translates into an EPS of about Rs 8.50 and FY11 performance is likely to have a top line of close to about Rs 720 crore with EPS of close to about Rs 25 and if we go by the present market price the share is ruling virtually at a PE multiple of 2.5 times.