Tuesday, May 21, 2013

Kalindiee Rail Nirman (Engineer): Will Surely Engineer A Better Portfolio
Kalindee Rail Nirman (Engineers) Limited, today stand as Premier and Trusted agency in execution of Railway Track, Signaling & Telecommunication projects on turn key basis. It has rich and varied experience of more than three decades.
The scrip has a book value of Rs.113.97, 9MEPS of Rs.7.59 and P/E of 6.57 (Industry P/E: 10.40), showing that the scrip is highly undervalued at the current conditions when the construction stocks are getting re-rated, in view of a cut in the CRR by the Central Bank.
Made by Kalindee Rail Nirman (Engineers)
For Q3FY13, the company came out with decent set of numbers. The net profit of the company for Q2FY13 came out to be Rs.3.26 as against Rs.3.06 in Q3FY12. Moreover, both the OPM and NPM showed improvement in Q3FY13, speaking Q-o-Q basis. 
Work of Kalindee Rail Nirnam (Engineers)
Recently the company announced that it was able to garner three large value projects each of around Rs.200.00 crores from Railways in the second half of the last year. The Company could also bag a high value order of Rs.166 crores from Kolkata Metro. The Company's operations are presently undergoing in various metro rails in the country viz. Jaipur Metro, Bangalore Metro, Kolkata Metro etc. plus Delhi Metro over and above in Indian Railways throughout the country. Further, the Company’s bid for Rs.246.00 crores with Rail Vikas Nigam Ltd, New Delhi under Ministry of Railways, New Delhi has been successful due to being lowest bidder. Presently order position in the Company is highly comfortable.
Therefore, investors should buy the scrip at the CMP of Rs.50.05-50.10, for a target of Rs.59-60, in the next few trading sessions; please keep a SL < Rs.47.