Reduce Bajaj Hind, target of Rs 66: Prabhudas Lilladher

Prabhudas Lilladher has recommended a reduce rating on Bajaj Hindusthan with a target of Rs 66 in its research report. "Over the last 2-3 years, Bajaj Hindustan (BHL) augmented its sugar capacity by 7,000 TCD to 96,000 TCD. BHL set up two new distilleries , each of 160 KLPD, totalling the capacity to 640 KLPD. Capacity of sugar plants of its subsidiaries have been augmented from 6,000 TCD to 40,000 TCD and new distillery was set up with capacity of 160 KLPD and surplus power of 15 MW. We expect 20.9% growth in topline in FY2008-09 and 13.2% in FY2009-10. We expect EPS of Rs 3.1 and 7.7 in FY2008-09 and FY2009-10 respectively, Reduce, target of Rs 66," says Prabhudas Lilladher's research report.