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ICICI Prudential Life Insurance Company

Valuation:

According  to  the  management  by  focusing  on  improving protection  business,  persistency  and  costs,  the  company  would get  good  growth  in  coming  years.  The  key  strategy  of  the  company has been to grow the V alue of New Business through growing the protection  business,  while  the  company  achieved  its  strategic goals  for  FY2017.  The  company  is  well  capitalized  for  growth opportunities. The solvency ratio was at healthy level of 288.6% end June 2017, which is much above the regulatory requirement of 150%.  Thus, it  is  expected that  the  stock  will see  a price target of  Rs.490  in  8  to  10  months time  frame  on  a  one  year  average P/Bvx  of  9.56x  and  FY18  BVPS  of  Rs.51.29.


Gujarat State Petronet

Valuation

The company has healthy debt equity ratio of less than 1 and Net Worth  is  also  increasing  gradually .  As per  the  management of  the  company ,  transmission  business’ s  volume  growth  looking good due to  favorable  reforms,  increased  LNG capacity ,  lower gas  prices and renegotiated  LNG supplier  contracts.  Thus, it  is expected  that  the  stock  will see  a  price  target  of  Rs.237  in  8  to 10  months  time  frame  on  a  target  P/E  of  21x  and  FY18  (E) earnings  of  Rs.11.27.


KPR Mill

Valuation

The  company  grew  faster  than  the  industry  in  terms  of  both revenue and profit. The impact of GST on textile business is only temporary  in  nature.  Up  gradation  of  existing  yarn  capacity  to value  added  yarns  would  help  to  improve  realization  in  textile segment  from  2QFY18 onwards.  Along with all these  factors,  with improved  government  policies  and  new  modern garment  capacity , the  company  is  expected  to  see  good  growth  going  forward.  Thus, it  is  expected  that  the  stock  will  see  a  price  target  of  Rs.868  in  8  to 10 months time frame on a target P/E of 18.90x and FY18 EPS of Rs.45.94.


TECHNO ELECTRIC & ENGINEERING

Valuations

The management of the company is  confident of the company’ s potential  to  expand  the  EPC  segment  on  the  back  of  capex  revival, led  by PGCIL  and SEBs, with strong visibility of traction in  order book. In  FY18, the  management has said  that  it  would focus  on closure of projects, which it believes will prune retention money and improve working capital cycle. Thus, it is expected that the company would see good growth going forward and the stock will see  a  price target  of  Rs.450 in  8  to  10  months time  frame  on  a  one year  average  P/E  of  21.80x  and  FY18  (E)  earnings  of  Rs.20.63.


H T Media

Valuation

The  company  grew  faster  than  the  industry  in  terms  of  both revenue  and  profit.  The  company  regained  revenue  growth  in Print  business  with heightened  focus  on  yield-led  growth  and  tight control  on  costs  to  improve  profitability .  Also  the  company continues  to  drive  revenue  from  its  newly  launched  Radio stations.  Along  with  all  these  factors,  with  improved  Digital footprint  by  executing  on  digital  strategy ,  the  company  is expected to see good growth going forward. Thus, it is expected that the stock will see a price target of Rs.127 in 8 to 10 months time  frame  on  a  target  P/E  of  15x  and  FY18  EPS  of  Rs.8.49

 

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