Wednesday, February 13, 2013

Jai Prakash Associates LtdForms Temporary Bottom
It seems for the time being Jai Prakash Associates Ltd has formed a temporary bottm, whihc might take the scrip upto Rs.77-79, in the short term. The net profit of the company dropped more than 64% on Y-o-Y basis to Rs.110.9 crore as its interest cost jumped over 20 %. Total income, however, rose by 15.5% to Rs.3,430.9 crore from Rs.2,969.5 crore during the same period.
Meanwhile, the research firm Barclays has an overweight rating on the stock with a target price of Rs.103. "Near-term performance will be driven by the company's ability to resolve the perception around it's debt service capability," Barclays reasoned.
Note: This was sent to the Paid Members and to those who are trading through my Brokerage House, yesterday night.