JK Paper may test Rs 48: Lancelot D Cunha

Lancelot D Cunha of ITI Wealth Management  told CNBC-TV18, "JK Paper recently commissioned a new copier plant with an installed capacity of 1.65 lakh tones and that has put a lot of pressure on the financials for this quarter. So, we see that it will take a while for the plant to reach levels where it will start adding to the capital. So, one may have to wait for 12-18 months before you start seeing an improvement in the financial positions.”

“At this point of time if one has a long-term perspective then look at a target price of Rs 45 between 18 months timeframe but if it is a short-term perspective then one should avoid because you are going to see results not really justify valuations and that is why the stock may not move up,” he added.