Comments
Reliance Securities
Skipper (Buy)
CMP: ₹128.3
Target: ₹214
Skipper is one of the world’s largest integrated transmission tower manufacturing companies and enjoys 10-15 per cent market share in India’s T&D structure market.
Its order book continues to remain well-diversified between PGCIL, domestic SEBs/private players and international clients. Its closing order book as of June 2018-end stood at ₹2,500 crore from PGCIL (45 per cent), domestic private players/SEBs/telecom (40 per cent) and exports (15 per cent).
The company’s management expects growth to remain strong and gain further momentum on the back of increased opportunities from PGCIL, SEBs, TBCB projects, renewable projects, exports and infrastructure push in the North East and Eastern India.
Looking ahead, we continue to believe that a sizeable order book, huge imminent opportunity and diversification into PVC business firmly place Skipper on a higher growth trajectory.
Following sharp correction in stock price during the last three months, the stock is available at attractive valuation.
We maintain our ‘buy’ recommendation on the stock with a target price of ₹214.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.