To validate invest abc's statement, i add some more points here....
1. PAP is a power energy sector company. Every analysts forecast A HUGE GROWTH in this sector.. SL as a booming economy relies heavily on power / energy.
2. Around 4 rupees level is affordable price for many RETAIL investors and if the share increases by a small margin even u can make good profit.
3. We dont have any financial info to validate it's current value but from the backround of thecompany we can assure that the investment will be safe andwill yield good return.
4.Dont consider this as a short term investment as power sector of SL will tak some time to pick up this is for the long term investors.IFU HAVE IT, HOLD IT!!
There will be upward momentum once the financial results out, I think it will hit in the range of Rs.4.80 and 5.00 and will stagnant in the range Rs.4.80
when will look at it earnings
Pan Asian Power - For 6 Months ( 30th Sep) ----45,159,110
Manelwala For 6 Months ( 30th Sep) ----- 6,421,291
Total For 6 Months ( 30th Sep) - ---51,580,401
3rd & 4th quarter Expected Profit -----70,000,000
Issued qty ------500,000,000
Annualized EPS ------ Rs.0.26
Current MKT Price ------ Rs.4.20
PE ------- Only 16 times
However in bloomberg has not adjusted Manelwala earnings and not annualised.. ( http://www.bloomberg.com/apps/quote?ticker=PAP:SL)
When you look at the other companies in power sector
VLL- 23 Times http://www.bloomberg.com/apps/quote?ticker=VLL:SL
HPWR -19 Times http://www.bloomberg.com/apps/quote?ticker=HPWR:SL
VPEL - 17 Times http://www.bloomberg.com/apps/quote?ticker=VPEL:SL
HPFL - 23 Times http://www.bloomberg.com/apps/quote?ticker=HPFL:SL
when HPWR was Rs.30 level I was telling in Investnow PAP and HPWR are the undervalued stock in the sectors. Now HPWR as i expected it hit rs.42 level...
My prediction is PAP will hit in the Range of Rs.5.20 5.50 once they release it financial and coming quarters..