Saturday 4 October 2008

Maruti Suzuki has target of Rs 725: V Sharma

VK Sharma of Anagram Stock Broking is of the view that Maruti Suzuki has target of Rs 725.

Sharma told CNBC-TV18, "It’s the most competitive industry in the cars segment because of early Indianization of all its things. Also the fact that the raw material price which have been a worry for this sector, they have shown some respite, steel prices have come down 27% from their highs. This price reduction in raw material will not have an immediate impact because companies tend to source their raw materials quite in advance, from that perspective probably from the next quarter onwards we could see this getting into the bottom line."

He further added, "Maruti Suzuki also plans to double its exports in the current year and also the new model; A-Star would be introduced this month, which overall makes the company look quite good as compared to other stocks in this segment. Because uncertainty lies ahead, my target is not more than Rs 725 on the stock."


Source: Moneycontrol

Posted by Harsh at 08:15

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