Monday 10 November 2008

Buy Aban Offshore, target of Rs 1295: Asit C. Mehta

Asit C. Mehta has maintained its buy rating on Aban Offshore with a target price of Rs 1295 in its November 7, 2008 research report. "During Q2 FY09, Aban Offshore Ltd. (AOL) witnessed strong revenue growth of 73% from Rs 4761.2 million in Q2 FY08 to Rs 8242.6 million in Q2 FY09. Considering the downward revision in estimates and outlook, we are lowering our P/E multiple from 6x to 3.5x. At current market price valuations looks attractive, we maintain Buy on “Aban Offshore Ltd.” for a target price of Rs 1295, which is equivalent to a forward P/E multiple of 3.5x to AOL’s FY10E EPS of Rs 370.2," says Asit C. Mehta's research report.

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Source: Moneycontrol

Posted by Harsh at 12:44

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