HomeNewsBusinessStocksBuy Gujarat Pipavav Port; target of Rs 165: ICICI Direct

Buy Gujarat Pipavav Port; target of Rs 165: ICICI Direct

ICICI Direct is bullish on Gujarat Pipavav Port has recommended buy rating on the stock with a target price of Rs 165 in its research report dated February 03, 2017.

February 03, 2017 / 15:29 IST
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ICICI Direct's research report on Gujarat Pipavav Port
Container volumes de-grew 6% YoY (up 1% QoQ) to 167000 TEUs vs. our expectation of 174000 TEUs. This was completely offset by growth in bulk volumes, which was at 14% YoY (down 29% QoQ) to 502000 MMT vs. our estimate of 400000 MMT. Rail volumes continued to remain sluggish with de-growth of 3% YoY to 1.76 MMT.
OutlookThough current volumes at port remains subdued, updated capacity would better equip GPPL for the expected ramp up in trade activities. We continue to maintain our target price of Rs 165. However, given the recent price correction and attractive FCF yield (5%), we upgrade the rating to BUY recommendation.
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first published: Feb 3, 2017 03:29 pm

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