Buy Reliance Industries on dips, says Sajiv Dhawan of JV Capital Services.
Dhawan told CNBC-TV18, “We are still bullish on Reliance. We actually advice clients to go long with the options. I think there is some skepticism on the refining margin front but that should be taken care of. As long as the company comes in line with expectation you have a good opening on Monday.”
He further added, “The caveat has been set before the RNRL case and it looks like RNRL might have the upper hand there but from a Rs 1000 level we have been recommending the stock with a target of Rs 1200. From an investor perspective, I think you look to buy on the declines and again if liquidity and institutional comes and again Reliance will be one of the key drivers taking the Nifty to much higher levels.”
The share closed at Rs 1,087.35, up Rs 11.80, or 1.10%. Yesterday the share closed up 2.03% or Rs 21.35 at Rs 1,075.55.
The company touched its 52 week high Rs 1,245.00 and 52 week low Rs 887.40 on 19 May, 2009 and 23 Apr, 2009, respectively. Currently, it is trading -12.66% below its 52-week high and 22.53% above its 52-week low. Market capitalisation stands at Rs 355,604.16 crore.
The company’s trailing 12-month (TTM) EPS was at Rs 45.99 per share. (Dec, 2009). The stock’s price-to-earnings (P/E) ratio was 23.64. The latest book value of the company is Rs 350.34 per share. At current value, the price-to-book value of the company was 3.1. The dividend yield of the company was 1.2%.
Source: Moneycontrol.com
