Buy Kalpataru Power, target price Rs 400: Yes Securities

Yes Securities has buy call on Kalpataru Power Transmissions with a target price of Rs 400. The current market price of Kalpataru Power Transmissions is Rs 375.2.

Kalpataru Power Transmissions Ltd., incorporated in the year 1981, is a Mid Cap company (having a market cap of Rs 5582.61 Crore) operating in Power sector.

Financials
For the quarter ended 31-12-2020, the company reported a Consolidated Total Income of Rs 3520.00 Crore, up 15.15 % from last quarter Total Income of Rs 3057 Crore and up 10.97 % from last year same quarter Total Income of Rs 3172 Crore. Company reported net profit after tax of Rs 308.00 Crore in latest quarter.


Investment Rationale
The stock has witnessed a positive breakout during the start of the month and since then it is holding ground above short-term averages. Sustenance above Rs 370 is likely to unlock further upside potential.

Promoter/FII Holdings
Promoters held 54.37 per cent stake in the company as of March 31, 2020, while FIIs held 7.37 per cent, DIIs 29.17 per cent and public & others 8.71 per cent.