Good Long Term Stock Picks - July 19, 2010

Posted by admin in Advice, Companies on Jul 19th, 2010 | no responses

Here are a couple of good long term stocks recommended by some brokerage firms for the week as given below.

J Kumar Infra Projects Ltd.

Recommendation: Buy
Brokerage Firm: Susheel Finance
Current Market Price: Rs. 194.20
Target Price: Rs 260
Expert Opinion: J Kumar is one of the top players in Domestic Infrastructure sector. At the current price the stock is trading at an attractive price of 6.6 times (P/E) of 2010-11 earnings estimates of Rs 24.6. These earnings per share (EPS) is expected to grow to Rs 34.6 for FY 2011-12. That means the stock is currently trading at 5.6 times of next years estimated earnings. In addition to the governments support for major infra projects, JK Infra’s future grow is supported by strong current order book and very good fundamentals.

Century Textiles

Recommendation: Buy
Brokerage Firm: AK StockMart
Current Market Price: Rs. 459
Target Price: Rs 599
Expert Opinion: Century textiles is a flagship company of BK Birla group with diversified interests. Company is currently doing business in Textiles, Paper and Pulp, Chemicals sectors. Even though cement buiness is doing good, short term concerns still exist on pricing and margins due to capacity expansion and current monsoons. But demand seems bullish. For 2010-11 industry is expected to post a growth of 11-12%. The concerns on margins in the cement business can be more than offset by the good margins in Paper and Textile busines