Short term target of Kriti Industries

Query: Is it good to buy Kriti Industries, if so what should be the short/long term targets? Dr.Ravishankara

Thebullishtrends: Kriti Industries(India) share price closed today at Rs.17.25. Kriti Industries is an ISO 9001 certified Company, having a diversified product range in the field of Plastic, Oil & Telecommunications. The Company's turnover is Rs.2700 million with an export component of 25%.

Its factories are situated in Pithampur and Dewas near Indore in Madhya Pradesh, in Central India & Ranjangaon near Pune in Western India and has the largest range in Plastic extruded pipe and tubing. It also produces Soya Refined Oil, De-oiled cake and Soya by-products like Lecithin, Full Fat Soya Flour, Soya grits to name a few. The telecommunication ducts also has a wide range of PE ducts starting from micro ducts to coiler ducts useful for laying of Optical Fiber Cable and metal cables. Amongst Kriti's range of product are included molded Engineering Plastics goods for Automobile & the FMCG sector.

The Kriti group has also ventured into the manufacturing of blow molded hollow plastic products required for packaging and injection molded engineering plastic products used in various sections.

In the month of December'07 Kiriti Industries split the Rs.10 equity shares into face value of Rs.1/- each. And recently the company completed the expansion for increasing extraction capacity from 500 TPD to 1200 TPD has been completed and commercial production started. In plastic division first phase expansion have already been completed and current annual installed capacity of 55,400 MT the company has also completed installation of on-line drip irrigation system having 1 MT/day capacity inthis plant.

Kriti Industries posted decent Q 3 results. Having multi product manufacturing facilities the company operating profit margins jumped in the last quarter. You are advised to hold this scrip there is a chance of sharp rise in this scrip in the coming days. You can see Rs.25-30 once the Mid/Small-cap stocks recovered.