CA Rudramurthy BV at Vachana Investments is of the view that Force Motors is a wonderful buy on valuations and feels that the stock can further move up from current level.
CA Rudramurthy BV at Vachana Investments told CNBC-TV18, "Force Motors is having its business in a niche area and recently there is also an approval which they have got along with a plant that is coming up with Chennai exclusively for the production activities. Their PE multiple is attractive when I compare it with it's peers. It is hardly trading at 20-25 PE multiple and someone who has a timeframe of two to three years can definitely look into buying Force Motors."
"It is a company which has a return of equity close to 20-25 percent and return of investment close to 40 percent, a profit growth of about 40 percent which makes it a wonderful buy on valuations. Definitely it is a stock which can further move up from current level and it is good to bet on the winning horses than on something which is not doing good," he said.The Great Diwali Discount!
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First Published on Jul 24, 2015 03:08 pm