CMP: 587

Thermax India Limited manufactures equipment and machinery used to both produce and to conserve energy. The Company operates through a number of divisions, including Boilers, Heat Recovery Steam Generators, Water Treatment Plants and Air Pollution Control Equipment. In addition, Thermax produces steam and gas turbines and diesel gensets through a number of strategic alliances.

Thermax is a good buy in mid-cap space. Dividend yields of 1.50% in last 12 months. Minimal liabilities. FY11 has been an excellent year in terms of revenue flows, profit margins and profits. NPM is currently at 8%. The order inflows have remained strong with current order pipeline valued at over 6000 Crores. Its currently trading at a P/E of 18 in par with industry and is a good buy for short term and long term.