Moneycontrol Be a Pro
Get App
Last Updated : Dec 21, 2018 04:19 PM IST | Source:

Buy Suprajit Engineering; target of Rs 280: Nalanda Securities

Nalanda Securities is bullish on Suprajit Engineering has recommended buy rating on the stock with a target price of Rs 280 in its research report dated December 20, 2018.

Broker Research @moneycontrolcom
  • bselive
  • nselive
Todays L/H

Nalanda Securities' research report on Suprajit Engineering

Suprajit Engineering, headquartered in Bangalore was established in the year 1985 is one of the global leader in manufacturing of two - wheeler automotive cables. It manufactures cables across all the segments of automotive industry and gradually gaining market share. We initiate a coverage on Suprajit Engineering Ltd (SEL) recommend a ‘Strong Buy’ with a fair value of INR 280, implying a 22 . 9 % upside potential from the current levels. Our view stems on the fact that a) SEL is quick in acquiring OEMs in low penetrated 4 Ws segment. b ) Increasing touch base in the gigantic aftermarket . c ) Expanding into newer segments in non - automotive cables . d ) Strategically looking for acquisitions into LEDs & other segments . e) Growing in extensive export market.


We recommend a Strong Buy on Suprajit Engineering with a average fair value of INR 280 per share, valuing the company with P/E and EV/EBITDA Methodology. In the past three years, it use to trade at a forward P/E of ~ 20 x and EV/EBITDA of ~ 11. 5 x . We have assigned similar multiples on account of huge potential and growth opportunities.

For all recommendations report, click here

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on are their own, and not that of the website or its management. advises users to check with certified experts before taking any investment decisions.

LIVE NOW... Video series on How to Double Your Monthly Income... where Rahul Shah, Ex-Swiss Investment Banker and one of India's leading experts on wealth building, reveals his secret strategies for the first time ever. Register here to watch it for FREE.
First Published on Dec 21, 2018 04:19 pm
Follow us on
Available On