SIP stocks with Anil Singhvi: Expert picks Welspun Corp shares for good returns; Market Guru explains why it is a good buy
SIP stocks with Anil Singhvi: In the SIP stock segment of Zee Business, research analyst Ashish Chaturvedi picked another stock that would strengthen investors portfolios.
SIP stocks with Anil Singhvi: In the 'SIP stock' segment of Zee Business, research analyst Ashish Chaturvedi picked another stock that would strengthen investors' portfolios. In conversation with Zee Business Managing Editor Anil Singhvi on Monday, Chaturvedi said that the share that he has picked today belongs to a very good company that has a very strong clientele.
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Chaturvedi picked Welspun Corporation shares in this 'SIP Stock of the week'. He said, "This company has all oil and gas giants in its clientele list. Besides India, the company also does business in the US and Saudi. One should accumulate this share at every level because it has very good order book of 5,300 crore, which is likely to grow further with government oil and gas companies increasing their CapEx by 50 per cent in this Financial Year. The company's EBITDA has improved recently, and it is all set to do better from here on as the company has made its balance sheet very strong. From 2,644 crore debt in FY 2016 to Rs 660 crore debt in December quarter last year, the company is also almost debt-free. This company has also seen promoters and FIIs increasing their stake in Welspun Corp Ltd."
Talking about prospects of this share, Zee Business Managing Editor said he will point out only two factors why he thinks this share is very important investment grade stock. "The most important thing is cash with the company, and another is increased stake by promoters and FIIs in the last quarter. Promoters have increased their stake in the company by 2.50 per cent between June and December quarters. FIIs stake also saw around 4 per cent jump in the same period. It shows confidence of both promoters and investors in the company. It is good that the market is not performing well as investors have a chance to accumulate this share at important levels," concluded the Market Guru.
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