Sujana Universal Industries Ltd:

BSE Code-->517224:

Group: The Sujana Group of Hyderabad:

CMP--->Rs.25.5: Book Value: Rs.57.19

EPS--->Rs.12.08[For FY-05-06]

Sector: Real Estate and Engineering:

Performance: Market Outperformer:

Recommendation: Buy at the CMP:

Target-->Rs.100-Rs.150:

Time: 6 months to 18 months:

This is a very popular stock from the Sujana Group of Hyderabad. The Stock closed with huge volume today with 781949 shares changing hand. One of the striking feature in this company is the GDR issue in which Bank of New York holds 35.3% of the total shares of the company--a huge chunk. Hence we can expect a world class management to guide the company. This is one of the cheapest stocks in the infrastrucuture space. Some Features: 1. The company came out with excellent set of numbers for FY-05-06[Year ending, 30th June, 2006]. The net profit of the companyjumped to Rs.58.2 Cr as against Rs.3.66 Cr. The EPS for Fiscal 2005-06 was a whooping Rs.12.08. The company has mammoth reserves of Rs.216. 75 Cr in the Year ending 30th June, 2006. For the September, 2006 quarter also the Net Profit of the company jumped to Rs.8.9 Cr as against Rs.5.96 Cr. 2. The Company´s Infrastructure Division has bagged contracts of value of over Rs 2000 million for the construction of an integrated residential township & Commercial buildings for leading companies in the electronics and IT sector & also specialized building for a super speciality hospital & medical college. 3. The Light Engineering Components Division is manufacturing several specialized precision engineering products for leading companies; the division has also successfully developed several automobile engineering components, for the production of which additional capacity is being planned. 4. The company’s Appliances Division is planning to set up a new plant at Uttaranchal to avail the tax benefits. for manufacturing of "Satellite" range of electronic fans, which operates even when power fails and consumes less power than normal fans. 5. The capacity of the Casting Division of the Company is being expanded from 50000 TPA of M S castings to 240000 TPA (which will add a revenue of approx Rs 3000 million). Those who have bought today Keep holding the same. Today NITCO Tiles hit the buyer Freeze. The stock was recommended yesterday at around Rs.239. Today also there were single bids of more than 25,000 shares at Rs.7.37. So I think for Gravity(I) Ltd there is no problem at all. Flat Products Equipments Ltd has huge order book positon. Keep Buying Soma Textiles, Flat Products Equipments Ltd, and Samkrg Piston & Rings Ltd. RTS Power Recommended at Rs.92.55 is still above Rs.100--good sign. More in the following postings..... Best regards, Suman Mukherjee India. www.sumanspeaks.blogspot.com