Deepak Fertilisers Long Term Buy Call

Deepak Fertilisers Long Term Buy CallTechnical analyst DD Sharma of Anand Rathi Securities is bullish on Deepak Fertilisers & Petrochemicals Corporation Limited and has maintained 'buy' rating on the stock with a long term target.

Mr. Sharma said that the stock can be purchased to achieve a target of Rs 250.

The stock of the company, on April 04, ended at Rs 172.50 on the Bombay Stock Exchange (BSE).

The share price has seen a 52-week high of Rs 212.40 and a low of Rs 104 on BSE.

Current EPS & P/E ratio stood at 20.61 and 8.74 respectively.

Deepak Fertilisers and Petrochemicals Corporation Limited (DFPCL) has decided to establish a mega chemical facility in Australia to tap its flourishing mining segment.

This would be the company's first key abroad project and its primary step towards establishing a worldwide footprint.

DFPCL has set aside an investment of more than Rs 1,500 crore to establish a 300 kilo tonne per annum Technical Ammonium Nitrate (TAN) facility in South Australia.

Mr. Shailesh Mehta, managing director, DFPCL stated, "South Australia is very rich in minerals but much of it is not exploited. That gives us a lot of opportunity to manufacture a product and a ready market for it."

DFPCL will be capable of using its years of know-how in manufacturing chemicals, particularly TAN, to provide a quality product.