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Friday, February 2, 2007

TT Limited

TT Limited is a fast growing company in the hosiery business. I'm sure most of you would be familiar with their TT Brand. They have just declared an interim dividend of Re.1 (10%) which can be availed. The half year eps has been over Rs.3 so far and the stock's closing price yesterday was Rs.24.50. The stock looks undervalued and there is scope for a lot of appreciation from the current levels in the medium term.

6 comments:

vinay said...

Bro what do you feel about Salona Cotspin. Seems an undiscovered gem so far.

Superstar said...

TT Limited came out with results and here are some of the highlights: Sales up by 73%, EBITDA up 89%, Weighted EPS for nine months at Rs.3.63, 10% Interim dividend declared and record date set as 28th Feb, 2007. Promoter's shareholding increased by 10% for December,06 qtr as compared to Dec, 05 qtr. Company's project report for Modernisation cum Expansion plan (phase 2) of Rs.156 crores is with Bankers for appraisal.

Dear Vinay,
Salona is an undervalued stock too and I like it. It's a good find.

Cheers!

jig said...

hey superstar, good pick again i just saw the results and cld not understand the reason for such high tax numbers.The results are really good with a NPBT of 37.28 m but thn u have a tax deduction of 23.95.Can u guide on this..

Vincent said...

hi super,
what is your suggestion at what rate should i sell this? i bought it at 34 today.

SS

Superstar said...

Dear Jig and Vincent,
The results are excellent and the company has declared 10% interim dividend also. Yes, I've noticed that the incidence of tax is on the high side but I don't have details for that figure. The projected eps for full year works out to be approx. 6, so a target of over 50 looks achievable in the medium term and long term could be much more than that. Cheers!

jig said...

dear Superstar,
Hey one more observation .. i just re-looked at the results and found the following on BSE : Qtr Ended June EPS:1.89, SEP:1.12,DEC: 1.61.Of this the eps for 2 qtrs : Jun/Sep donot discount post rights issue nos: hence the eps becomes 1/2 and the nine(9) months ended EPS comes to arrnd 3.10. Do u still maintain the year end EPS target of 6. Wht say ?