Pick of the Week: Unitech

ALL OUR RECENT STOCK OF THE WEEK CALLS HAVE ACHIEVED TARGET IN FEW DAYS ITSELF LIKE HOTEL LEELA, LANCO INFRATECH, ADLABS FILMS, KAVERI TELE, PRAJ IND, YES BANK, AND MANY MORE

BUY BUY BUY UNITECH

Equity : 324.68Cr, (Code : 507878), CMP : 288.85

BUY UNITECH @ 288, Target Rs. 308 to 310

Unitech is one of the two biggest property developers in India. The company has a presence in all segments of real estate development viz., residential, commercial, retail and hospitality. The company has a land bank of over 10,300 acres, which is one of the largest in the country. This provides it strong visibility in respect of future growth. In order to diversify its business from location risks, the company has entered new markets like Kolkata, Chennai, Kochi, Hyderabad, Mohali, Agra and Varanasi and has plans to start operations in many others.

Unitech has executed various residential and commercial projects. It has tie-ups with Singapore � based companies through Unitech Prefab for producing ready mix concrete. In addition it has tie-up with Gurgaon Technology Park and Hyundai through Hyundai Unitech Electrical Transmission for galvanizing and fabricating electric tower material. Real estate division is the major contributor to revenues generation.

Unitech in order to diversify its business is entering into telecom sector through 8 of it�s wholly � owned subsidiary companies. �Sales and NP for year ended 06 / 07 were 2504Cr. & 962.1Cr. Sales and NP for latest Quarter 818.5Cr. & 368.9Cr. On YOY basis NP has increased by 999%, Dividend during year ended 06/07 was 25%