Thermax Short Term Buy Call

Thermax Short Term Buy CallStock market analyst Rakesh Bansal of New Age Wealth has maintained 'buy' rating on Thermax Limited stock with a short term target of Rs 950.

The stock can be bought with a stop loss of Rs 848.

The stock of the company, on Nov 18, closed at Rs 888 on the Bombay Stock Exchange (BSE).

The share price has seen a 52-week high of Rs 926.90 and a low of 565 on BSE.

Current EPS & P/E ratio stood at 26.15 and 33.86 respectively.

Thermax has purchased Danstoker, an European boiler maker in addition to its German arm Omnical Kessel for a total amount of Rs 182 crore.

Thermax MD M S Unnikrishnan stated that the takeover will assist the company to source the best technology in biomass-fired boilers, which are the future of the section and also get a foothold in novel markets like Russia, South East Asia as well as South America.

Mr. Unnikrishnan stated that the agreement will be financed by a financial pact of euro 10 milion from RBS and the remaining sum will come from Thermax's internal sources.

For the second quarter of the existing fiscal, the company reported above-expectation outcomes, with revenue and net profit increasing by 61% yoy and 65% yoy, respectively.

On a consolidated basis, the company has an unexecuted order build up worth Rs 7,276 crore that imparts sturdy revenue visibility going forward.