Look at Linc Pen, says Mayuresh Joshi

Mayuresh Joshi of Angel Broking told CNBC-TV18, "Linc Pen's numbers have been quite encouraging so far. The domestic number has possibly been a little bit on the tepid side but exports have seen a big uptick probably in the quarter gone by. So, export de-growth of 5 percent in FY15 would be largely compensated in this year. If you are looking at topline growth resuming an 8 percent topline growth with number touching Rs 371 crore, the margins should again sustain quite decently around 9-9.5 percent for Linc Pens and Plastic.""The strategy is to have selling points beyond Rs 10 and that is where the competition is not present specifically for the unorganised market. It has got a very strong brand recall, it has got a 10 percent market share, the return on equity (RoEs) have seen significant improvement to around 16 percent. We are expecting that to expand to 17-17.5 percent.""The debt has come down from Rs 43 odd crore to Rs 18 crore which has resulted in interest payments actually coming down from Rs 3.5 crore to Rs 1.5 crore. So, with cash flows coming through, debt coming down further with new products coming through, expansion into southern and western India and again increased exposure to the export market will hold the stock in good stand," he said.