Query: I want to know the future prospects of Shri Ram Transport Finance,kindly also give me short tem and long term targets, can I purchase more at current levels. Please give me reply. Manju
Thebullishtrends: Shriram Transport Finance shares are trading at Rs.319.45. Though rising inflation, and petrol and also diesel rates and also the prices of truck may rise in the coming days, which may impact the earnings of Shriram Transport Fiance.
Shriram Transport's Q4 net up 131.28% from Rs.48.36 cr similarily revenues were up 77.6% from Rs.422.14 crore to Rs.749.73 crores. Company disbursements have increased more than 60%. Shriram Transport is having 6 lac custromer base which is planning to touch 10 lac by 2010. The commerical vehicle industry slowdown is mainly in particular segments which is medium and heavy commercial vehicles, particularly new trucks. Due to the rise in oil prices and higher costs of trucks new truck sale may come down which will impact the revenues of the company for this year.
If you have already entered into this stock in higher levels then it is the right time to take some more shares at the current price to get the better average price, other wise leave this stock for atleast 9-12 months.
