Is it worth to buy RPL stocks at current level for Rs.66.50. When they starts refinery what could be the expected price. I prefer to keep it if the price doubles by year 2009.
What will be the target price by Dec-2007 for Reliance Industries share.
2007-01-22 19:02:30 · 1 answers · asked by Krisna 2 in Business & Finance ➔ Investing
Even when there was nothing worthwhile on the grounds, RPL never quoted below Rs.60/-. It shows a tremendous support for the scrip at that rate.
The company is expected to start the refineries operations by end 2007 or about the time. Ones the operations start, the scrip will gain much more than in the build-up phase.
I feel that this is a good investment story if one is looking for reasonable returns in the long term.
Your horizon for investment is fairly long. You have stated the realisation period by 2009. By this time, the operations must be running at full capacity and the financials will be positively affected for sure.
This should return you the expected price of 125+, I feel.
But then stock market is very irrational entity and one can never be sure of anything, till realisation. Keep your positions absolutely within your risk parameters and ranges.
About RIL, if everything goes as per the book and recently declared results, RIL may quote nearer Rs.1800.00, I feel.
Ofcourse, this is strictly my personal opinion and am not an expert on the markets though I have spent enough time in the markets. Please be cautious all the time and every time.
SEBI disclaimer: I do not hold any position in RPL but a small position in RIL.
Best of luck to you.
2007-01-22 20:24:06 · answer #1 · answered by Nitin G 7 · 0⤊ 0⤋