Divis Laboratories can touch Rs 1050: Jani

Divis Laboratories can touch Rs 1050, says Hemang Jani of Sharekhan.

Jani told CNBC-TV18, "We have been liking Divis Laboratories for a while and the earnings that they have reported on all fronts, top-line, operating profit and the net profit front we are quite enthused and numbers are much better than the expectations."
He further added, "We feel that given the fact that the overall operating profit margins stand at 35% and because of the fact that Visakhapatnam unit has become operational, has started contributing to the topline. The overall visibility is pretty high, so we think that this stock can give a very strong upside to about Rs 1050 from current levels."
The company's trailing 12-month (TTM) EPS was at Rs 34.06 per share. (Sep, 2011). The stock's price-to-earnings (P/E) ratio was 22.51. The latest book value of the company is Rs 137.78 per share. At current value, the price-to-book value of the company was 5.57. The dividend yield of the company was 1.3%.