Hem Securities has recommended a buy rating on Bhushan Steel with a target of Rs 1016 in its May 27, 2008 research report. "The company has posted the compounded annual growth rate of 16.16% in top line and 38.92% in bottom line in last three years and is expected to maintain its growth in coming years. The company is spearheading a technological revolution in India’s Cold Rolled Steel industry and, in the spirit of a true leader, is ceaselessly striving to raise the bar, achieve new milestones and set new benchmarks in terms of quality of products and degrees of customer satisfaction."
"The stock at the current market price of Rs 769.45 is trading 7.95 times to its earnings of Rs 96.80 and 2 times to its book value of Rs 382.76. We initiate a ‘BUY’ signal on the stock at the current levels with a target of Rs 1016 in the medium to long-term investment horizon with an appreciation of 32%," says Hem's research report.
"The stock at the current market price of Rs 769.45 is trading 7.95 times to its earnings of Rs 96.80 and 2 times to its book value of Rs 382.76. We initiate a ‘BUY’ signal on the stock at the current levels with a target of Rs 1016 in the medium to long-term investment horizon with an appreciation of 32%," says Hem's research report.
