Wednesday, April 29, 2009

Investment Pick: Noida Toll Bridge

Noida Toll Bridge had posted better results for year ending 31st March 09 with total income at Rs.79.21 crores against Rs.66.39 crores of FY 08. PBT improved to Rs.39.86 crores against Rs.31.78 crores, inspite of a drop in other income to Rs.1.14 crores in FY 09 against Rs.5.50 crores of FY 08. Interest liability for the year, remained stagnant at Rs.14.92 crores againstRs.14.87 crores, of FY 08.

Average daily traffic in FY 09 rose to 99,734 vehicles against 84,261 vehicles in FY 08, registering a growth of 18%. Since, the company collects toll from each vehicle, its income for the year also rose by 19% in FY 09. Average traffic on Mayur Vihar Link, for FY 09, was at 12,350 vehicles per day while it was at 13,632 vehicles in March 09, quarter, showing a case of rising trend of vehicles using it.

PAT of the company, for FY 09 is placed at Rs.33.69 crores (Rs.27.98 crores) resulting in an EPS of Re.1.81 for FY 09. The company adopted guidance note on “Accounting for Service Concession Agreement” issued by ICAI, whereby, Delhi Noida Link Bridge, which was earlier shown as fixed assets, is now shown as intangible asset w.e.f. 01-04-08. Intangible asset is shown at cost, being fair value of construction services. Due to this change, depreciation for FY 09 is lower by Rs.4.97 crores, thus increasing profit to that extent. Earlier, when it was taken as fixed assets, depreciation was provided on straight line method taking life of 62 years, but now, estimated useful life of bridge has been considered as 100 years and intangible assets is amortized over the same life.

Apart from this, the income flow of the company will come from development rights of 235 acres of land, of which, 200 acres are at Noida side while 35 acres at South Delhi side.

Share now ruling at Rs.27 translates into a market capitalization of just Rs.500 crores and even considering debt, the enterprise value works out to, less than Rs.700 crores. Once, the company is able to get clearance of land development, we will see good rise in share price from Rs.27. Advised to hold and even buying can be made at the current levels with 6 months view.

Source: www.premiuminvestments.in (By S P Tulsian)

Intraday Trading Calls for 29th April

Stock Market India may open flat to Negative and may see high volatility at mid-session but it may close flat to positive for the day today.

Today's Intraday Stock Tips / Trading Calls (Keep strict Stop Loss for Each Trade):

SCRIP NAME

TRIGGER

PRICE

TARGET 1

TARGET 2

INDIABULLS REALEST

Buy Above

124.70

130.15

135.00

Sell Below

121.80

118.25

114.00

KALINDI RAIL NIRMAN

Buy Above

108.25

113.05

118.00

Sell Below

105.45

101.35

98.00

HDIL

Buy Above

140.50

145.05

150.00

Sell Below

138.35

135.05

131.00

AREVA T&D

Buy Above

202.75

208.45

215.00

Sell Below

199.70

195.10

190.00

TATA ELXSI

Buy Above

107.60

112.15

118.00

Sell Below

104.25

100.10

96.00

REL POWER

Buy Above

127.25

130.60

135.00

Sell Below

124.70

121.35

118.00

GMR INFRA

Buy Above

110.10

114.05

118.00

Sell Below

107.40

104.20

100.00

Short to Medium Term Delivery Pick:

Buy NOIDA TOLL BRIDGE COMPANY LTD. (532481) CMP Rs. 28/- Target Rs. 38-45.

GOOD LUCK

Disclaimer

The information in this publication is provided by http://www.moneybazzar.blogspot.com/ is intended for use for Readers & Traders . Every effort is made to provide accurate information, but http://www.moneybazzar.blogspot.com/ cannot guarantee the accuracy of the information or of the market analysis. This is a newsletter and is for informational purposes only. It is not a solicitation or offer to buy or sell futures. There is a high risk of loss in trading futures. You should not trade with money that you cannot afford to lose. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this newsletter. The past performance of any trading system or methodology is not necessarily indicative of future results.



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