Texmaco Limited – ABN Trading Call

ABN Amro has recommended a BUY on Texmaco Limited with a price target of Rs 1090.

Key Triggers for the Stock are:

  • Entry of private players into containerized freight segment and Indian Railways wagon business. Texmaco’s wagon business accounts for approximately 50% of its revenues.
  • New Steel foundry has commenced operations in FY07.
  • Unlocking the value of idle land bank and business restructuring viz inorganic growth.

The stock is trading above 200 DMA.