BSE, NSE Stock Ticker

Tuesday, November 16, 2010

Nakoda Textiles: Patience pays

On Sep 12th, I had given call on NAKODA TEXTILES at 13.75 for a target of 20.5 in next few months. Thereafter, in just 2 months, the script rose 51% to cross my target and touch 20.8 on Nov 11 and Nov 12. One can book profits on 50% holdings now and can hold the rest for a target of 23. CMP is 18.3.
 

Nakoda is the largest player in India in the drawable yarn segment and also started production in South Korea, where it has acquired a supply chain for raw materials at a bargain price. Its wind power and clean energy projects are starting off on time and its capex for the textile business has just completed. It is also a low P/E stock. And it's top line can grow by around 40% this year and the price can gradually climb back to 20.5 within a period of 6-7 months."

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