Sensex marginally down; KTIL opens 13 per cent higher

The small cap stocks yet again proved  their metal in outperforming the blue-chips. Investors prefer small cap stocks is clearly visible. Kesar Terminal and Infrastructure Ltd., commonly abbreviated as KTIL on June 21 has opened on a higher note. The small cap stock as at 9.35 am is up by over 13 per cent. The stocks which previously closed at Rs 453, on June 21 opened in green and as at 9.38 am are trading at Rs 518.

The stock's 52 week high/low stand at Rs 534.50/330. The stock in the last 5 days has rallied over 18 per cent. In last 6 months the stocks have gained as much as 17 per cent.

Valuation of the company looks quite favourable. KTIL’s Trailing Twelve-Month (TTM) P/E stands at 15.35 where as the industry P/E stands is at 28.41, which means the stocks are undervalued, having a wider scope to rally further. Based on the P/E, the stocks look a value stock for the long term.

On the financial side the results have impressed, for Q4FY16 the top line has grown 4 per cent and the bottom line has grown by 66 per cent as compared to Q4FY15.

Kesar Terminals & Infrastructure Ltd., is engaged in the business of tanking, warehousing, storage of liquid hazardous or non-hazardous goods, cargo, materials, articles, things. The company is having Storage Terminals at Kandla.