PhillipCapital retains 'buy' rating on VA Tech Wabag

PhillipCapital has retained its 'Buy' rating on VA Tech Wabag and raised its target price to Rs 600 on expectations that higher sales and margins will drive earnings growth in the next two years.

The company's September quarter earnings beat the analysts' expectations.

Two large municipal orders are expected to be booked in second half of 2013 worth Rs 200-250 crore each and Rs 100-150 crore would be booked in the industrial segment, the analysts added.