Friday, October 23, 2009

Welspun Gujarat - Where the stock heads?

Welspun Guajarat is one of the hottest stocks now in the mid-cap sector. The company is the seconda largest line pipe company in the world. The thing that keeps the stock rocking is its order book. The company recently announced that it had reached the landmark of Rs.10,000 cr in its order book. This ensures the better cash flow for Welspun in coming years, atleast throughout 2010.

The company's stock was at around Rs.50 in March/April this year, now trading at Rs.280.

Strong fundamentals such as impressing order book, strong financial results, good management, global presence,etc.

Welspun reported that its net profit has increased by more than 90% Year-on-Year to Rs.138 Cr for the quarter ended June 30, 2009.

EPS went up by more than 200% Y-o-Y to Rs.7.38 for the same quarter.

The company is expected to announce its results for the quarter ended Sep 30 with the same level of growth.

This is one of the best picks in the market. It has already reached its peak in the market, trading at Rs.380.

Anyone who wants to invest for atleast 1-2 years, this is the best pick!

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