Tuesday 11 November 2008

Buy Reliance Comm, target of Rs 315: India Infoline

India Infoline has recommended a buy rating on Reliance Communications in its report dated November 3, 2008. "Rcom is likely to add over 38 million subscribers over the next two years on its nationwide dual network underpinned by GSM roll out by end CY08 while Globalcom is expected to continue its healthy yoy growth. However, Rcom’s key metrics like ARPUs have fallen at a faster pace in recent quarters as compared to that for Bharti and margins would probably decline as companies expand in to rural areas with low income subscribers. We estimate sales and earnings CAGR of 22.6% and 15.7% respectively over FY08-10E and, in light of significant price correction, upgrade the stock to BUY but with reduced price target of Rs 315," says India Infoline's research report.

Disclaimer: The views and investment tips expressed by investment experts on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Source: Moneycontrol

Posted by Harsh at 07:39

No comments:

Post a Comment

Subscribe to: Post Comments (Atom)
DISCLAIMER: The author is not a registered stockbroker nor a registered advisor and does not give investment advice. His comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to buy or sell a stock, option, future, bond, commodity, index or any other financial instrument at any time. While he believes his statements to be true, they always depend on the reliability of his own credible sources. The author recommends that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction, before making any investment decisions, and that you confirm the facts on your own before making important investment commitments.