Stock Pick From Construction And Miscellaneous Sector

DSIJ selects two aggressive stock picks in every issue, with a 15 day horizon based upon the bullish trend during that period. For this issue, we are recommending companies from the construction and textile Sector

Ashoka Buildcon

BSE Code: 533271                                        

Volume: 144000

Face Value: 5

Ashoka Buildcon is engaged in construction and maintenance of roads, supporting services to land transport-operation of toll roads and others such related. The company operates in three segments viz. construction and contract related activities; BOT projects and sales of goods. Its subsidiary Ashoka Concessions has recently become the lowest bidder in the global tender invited by National Highways Authority of India (NHAI) for its Ludhiana project worth Rs 1600 crore. It also received orders worth Rs 486 crore from NHAI in Jharkhand. Ashoka Buildcon will build Govindpur-Chas-West Bengal border section of NH-32 about 56.889 km under Engineering, Procurement and Construction (EPC) mode. The company’s current order book stands at Rs 4100 crore as of FY16. On financial front, Ashoka Buildcon’s revenue increased by 13.98 per cent to Rs 2667 crore in FY16 as compared to previous financial year. The company’s EBITDA boosted by 55.28 per cent to Rs 824 crore in FY16 on yearly basis. Its net profit reduced by 28.22 per cent to Rs 58.5 crore in FY16 on yearly basis.

Info Edge (India)

CMP 825.15

BSE Code 532777

Volume 419

FV 10

Info Edge (India) is an online classifieds company. The company is engaged in the business of internet-based service delivery operating in four service verticals through Web portals. It invested Rs 50 million in happilyunmarried.com. Info Edge (India) invested amount of Rs 30 million for acquiring a 11.5 per cent stake, into Vcare Technologies (www.dirolabs.com). The company also made an investment Rs 40 million for acquiring about 28.5 per cent stake, in Unnati Online (www.unnatihelpers.com). Info Edge (India) has nationwide coverage through 64 company branch offices in 44 cities. On financial front, the company’s revenue increased by 27.96 per cent to Rs 938 crore in FY16 as compared to previous fiscal year. It posted EBITDA loss of Rs 326 crore in FY16 against EBITDA of Rs 21.61 crore in FY15. Info Edge (India) posted net loss of Rs 252 crore in FY16 while posting net profit of Rs 24.06 crore in FY15.