>Sunil Hitech Engineers (ANGEL BROKING)

Sunil Hitech Engineers
Initial Coverage..........

Price Rs63
Target Price Rs111
Investment Period 12 months

* Substantial Power capacity addition to throw up immense opportunities: India's Eleventh Five-Year Plan Target for Power generation capacity addition stands at 78,577MW. Even after providing for slippages, actual capacity addition is expected to be in excess of 50,000MW. The power capacity addition is expected to throw up opportunities in excess of Rs1,00,000cr for players in the BOP space over FY2007-12E.

* Robust Order Book Position: During 9MFY2009, the company received orders worth Rs887cr. As of December 31, 2008, SHEL had a strong Order Book position of Rs1,298cr or 4x its FY2008 Revenue. This strong Order Book position provides high Revenue visibility for the company over the next two years.

* Proven execution capabilities: In its two-decade long presence in the BOP space, the company has established a strong track record of timely and successful execution of projects. The company has personnel from reputed companies like BHEL on its Board, which gives a fair idea of its excellent execution capabilities. Its clients include NTPC, BHEL and various state electricity boards (SEBs).

To see full report: Sunil Hitech