indiabull
06-12-2007, 09:00 PM
Almondz Research has maintained buy ratng on Ruchi Soya Industries with target price of Rs 147 with 12-month prespective as per their report on November 30, 2007. "Ruchi Soya Industries Ltd (RSIL), is the Flagship company of Ruchi Group (USD3billion) with annual turnover of over USD 2 billion for FY07 and is one of the largest agribusiness companies in India. Established in 1986, RSIL is amongst the largest producers & suppliers of Vegetable Oil & Soya Food in India. It is also the largest exporter of Soya meal and lecithin. On a yearly basis, Ruchi crushes 25% of the soya crop in India. At the current market price of Rs 103, the stock is trading at 10.5 times its FY09e FDEPS of Rs 9.8 and 7.8 times FY10e FDEPS of Rs 13.1 which looks undervalued. Also on EV/EBITDA basis, the stock is available at 6x FY09e and 4.8x FY10e earnings. We recommend a Strong Buy on this stock with 12 month price target of Rs 147" according to Almondz report.