Buy Rashtriya Chemicals With A Stop‐Loss Of Rs 65: Nirmal Bang
In its latest research report, Nirmal Bang, an equity research firm said that Rashtriya Chemicals & Fertilizers can give good returns in the coming days.
According to Nirmal Bang Research, interested traders can buy the stock with a strict stop loss of Rs 65.
The report also stated that, if the counter is successful to breach 72, then it will hit a target of Rs 86.
Today (Sep 29), the shares of the company opened at Rs 71.50 on the Bombay Stock Exchange (BSE). The share price has seen a 52-week high of Rs 90 and a low of Rs 25.10 on BSE. Current EPS and P/E of the stock stood at 4.06 & 17.81 respectively.
For the three month ended June 2009, Rashtriya Chemicals & Fertilizer announced a phenomenal increase in its standalone net profit. During the period, the company’s profit surged 65.53% to Rs 315.50 million as against Rs 190.60 million in the corresponding period of the last year.
The company’s sales during the period fell 45.99% to Rs 8,430 million, whereas total income declined 45.74% to Rs 8,545.60 million.
The company reported an EPS of Rs 0.57 per share during the period under review.
RCF is a Government of India undertaking that manufactures fertilizers and basic chemicals for the agriculture sector.
The company is quite familiar for making basic chemicals including Methanol, Sodium Nitrate, Ammonium bicarbonate, Methylamines, Dimethyl Formamide and Dimethylacetamide. The major fertilizer products produces by the company are Ujwala, Suphala, Sujala, Microla and Biola.