Company Update: Va Tech Wabag Ltd - BUY - TP Rs.711 - Kotak

- The Wabag stock has corrected in recent days without any negative newsflow. At the current price of Rs 596, the stock has corrected 17% from its high of Rs 716. In view of the strong order book, sound balance sheet, long term growth potential and reasonable valuations, we upgrade the stock to "BUY" from "Accumulate" earlier. We retain the earnings and target price.

- Concerns: Business model is prone to execution risks like labour movement, currency, law and order etc.

Shares of VA TECH WABAG LTD. was last trading in BSE at Rs.620.65 as compared to the previous close of Rs. 612.1. The total number of shares traded during the day was 17061 in over 1154 trades.

The stock hit an intraday high of Rs. 623.7 and intraday low of 609.05. The net turnover during the day was Rs. 10543903.

Source : Equity Bulls

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