Maintain ‘Buy’ on Shiv Vani Oil with target of Rs520: Sharekhan

MUMBAI: Sharekhan has maintained ‘ Buy’ recommendation on Shiv Vani Oil with a price target of Rs 520 per share.

“Shiv-Vani is an excellent bet in the oilfield service sector given its strong order book of Rs 3200 crore (2.6x FY2010 revenues) and high probability of winning new orders. At the current market price, the stock is available at 6.4x its FY2012E earnings and an enterprise value (EV)/earnings before interest, depreciation, tax and amortisation (EBIDTA) of 5.2x. We maintain our Buy recommendation and a price target of Rs520 on the stock,” the report said.