Scripscan:Sumedha Fiscal Services Ltd
Bse code:530419
Cmp:9
Target:20
Duration:9-12 months
Story:-Sumedha Fiscal Services is a member stock broker of the NSE-Capital Market and FNO segments.At Rs 6 crore of market capitalisation,Sumedha is perhaps the cheapest broking outfit quoting on the BSE.At present, apart from its Calcutta office, the firm runs 8 other branch offices across the length and breadth of the country.Sumedha Fiscal is currently empanelled with most of the FIs, MFs, Banks and Corporate Groups which implies the scalability of business and growth in the coming years.With increased focus on arranging corporate finance, IPO management and Advisory Services, the corporate seems willing to broaden the Revenue stream.Sumedha Fiscal came onto the Dividend list last year with a 5 per cent dividend pay-out and with better business growth should raise this pay-out in this year.The company ended fy 07-08 with revenues of around 8crs but this year the same should reach to 14crs.Profit after tax is expected to escalate to 3.25crs from 1.80crs last year.At curent price of 9 its quoting at a PE of just 1.8 times its 6 months forward earnings.There seems little reason to believe that Sumedha will not be able to scale up and grow its business in the coming years and from a price of Rs 9, there would seem to be little downside but huge upsides would be there once market stabelizes and market man gets the reliking to the brokerage stocks.Not to forget the dividend yield of nearly 6%-ICING ON THE CAKE RIGHT?
Regards,
ARUN
I can be reached at:-arunanalyst@rediffmail.com
Wednesday, August 20, 2008
Subscribe to:
Post Comments (Atom)
Important Disclaimer&Privacy policy
This blog does not share personal information with third parties nor do we store any information about your visit to this blog other than to analyze and optimize your content and reading experience through the use of cookies.You can turn off the use of cookies at anytime by changing your specific browser settings.This privacy policy is subject to change without notice and was last updated on 20.3.2013. If you have any questions, feel free to contact me directly here: arunsharemarket@gmail.com
Investment in equity shares has its own risks.Sincere efforts have been made to present the right investment perspective.The information contained herein is based on analysis and up on sources that I consider reliable. I,however,do not vouch for the accuracy or the completeness thereof.This material is for personal information and am not responsible for any loss incurred based upon it & take no responsibility whatsoever for any financial profits or loss which may arise from the recommendations above.The stock price projections shown are not necessarily indicative of future price performance.The information herein, together with all estimates and forecasts, can change without notice.
No comments:
Post a Comment