Online Business

Analysts' corner

BHARTI AIRTEL Reco price: Rs 321 Sensex ends up 35pts Cox & Kings Q3 net jumps 88% to Rs 19 cr UCO Bank seeks shareholders" nod for fund raising Negative view on state-run oil cos: Fitch Jan cement sales in high double-digit Bharti’s December 2009 quarter performance remained flat due to sequential fall in RPM (revenues per minute) by 7.8 per cent to 52 paisa. However, mobile minutes registered growth of 6.7 per cent to Rs 15,300 crore on the back of elasticity from lower tariffs and lower base in September 2009 quarter. Revenue declined 0.7 per cent sequentially and grew 1.4 per cent year-on-year to Rs 9,770 crore. Increase in network costs and selling, general and administration costs depressed margins. EBITDA fell 6 per cent sequentially to Rs 3,900 crore and margins contracted 204 basis points to 40 per cent. The brokerage expects revenue performance to remain subdued in the March 2010 quarter, as RPM has not yet bottomed despite competition. At Rs 321, the stock trades at 12.1 times its estimated 2010-11 EPS. SAIL Reco price: Rs 216 Current market price: Rs 214.35 Target price: 156 Downside: 27.2% Brokerage: Ambit Capital SAIL’s December 2009 quarter net sales came in at Rs 9,697 crore, in line with estimates. There is 2 per cent drop sequentially led by a marginal decline in sales volume at 2.94 million tonnes (MT) compared with 3 MT. Realisations were steady, despite the various price cuts announced by SAIL in the quarter. Its EBITDA margins in December 2009 quarter improved 257 basis points sequentially to 26.6 per cent--on a per tonne basis, EBITDA increased by 10.5 per cent to Rs 8,770, led by significantly lower material costs as well as higher operating income. The quarter saw lower other income and higher interest expense compared with the trend in past quarters, negatively impacting the bottomline. Adjusted net profit at Rs 1,676 crore was flat sequentially. At Rs 216, the stock is trading at 8.3 times its estimated 2010-11 enterprise value to EBITDA and 12.2 times price to adjusted EPS. Current market prices as on January 29


Add your comment:
Name:
Site address: http://
Your message:
Enter today\\\\'s date, 2 digits
(spam protection):

Categories
Business Ideas
Business Opportunities
Corporate
Home Business
International Business
Management
Online Business
Public Company
Public Relations
Small Business
News of the day
Rel MF looks to offer more schemes on stock exchanges
Reliance Mutual Fund (RMF), part of Anil Dhirubhai Ambani Group, has said it will look at offering more plans and schemes on the recently launched MF trading platform of stock exchanges.
Popular Articles

RNRL renews attack
Anil Ambani-controlled RNRL told the Supreme Court today that Mukesh Ambani’s RIL had put it in a disadvantageous position in terms of price, quantity and tenure in their Gas Supply Master Agreement (GSMA).

IOCL invests Rs 2,200 cr in Paradeep refinery
Indian Oil Corporation Ltd (IOCL), which is setting up a 15 million tonne per annum refinery at Paradeep, has so far invested Rs 2,200 crore in the project. While the cost of the refinery excluding the petro-chemical complex is estimated at Rs 29,777 crore, IOCL has already committed Rs 4,680 crore, said state industry minister Raghunath Mohanty.

© Copyright 2009