Sector Indices

Name Value Change %
BSE Carbonex 971.14 [20.6] [2.1]
BSE Greenex 1,586.15 [34.3] [2.1]
BSE SME IPO 255.07 [0.9] [0.3]
BSE 100 5,980.25 [126.9] [2.1]
BSE 200 2,402.29 [49.7] [2.0]
BSE 500 7,422.53 [153.1] [2.0]
BSE AUTO 10,877.86 [174.8] [1.6]
 

Aban Offshore (Q4 FY10) – BUY (Target Rs785, Upside 14.0%)

India Infoline Research Team / 17:08 , May 26, 2010

CMP Rs688, Target Rs785, Upside 14.0%

  • Income from operations lower than expected on account of lower utilization of assets
  • OPM at 64.6%, up 883bps yoy and 283bps qoq driven by fall in costs across categories
  • Foreign exchange loss and write-down on investments impacts PAT, which fell 56.1% sequentially
  • Sinking of Aban Pearl to leave severe impact on revenues, profits and cash flows
  • Lower our target price to Rs785 as we cut our EPS estimates and lower our target multiple

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