Whirlpool of India Ltd : BUY Call

Thursday, June 10, 2010
http://www.buzzingstocktips.com/2010...-buy-call.html

CMP / Reco Price : 235
Target : 470
Time Span : 1 year

Whirlpool of India Ltd. manufactures refrigerators, deep freezers, compressors and other allied products. The Company also manufactures electrical grade laminations, electronic cash registers, microwave ovens, washing machines, dishwashers, scooters, mopeds, winding wires and tools.
Strong Balance Sheet, Good Cash Flows and an ever growing Earnings numbers makes this a very attractive pick. They have focussed on Debt restructuring paying off a lot of debt which makes their operating cash flows even stronger. The relative numbers such as P/E or EV/EBIDTA is on the higher side compared to its peers. But we are not reading too much into those numbers because, a) None of their peers bring so much innovation into the market as they do. b) This company was quoting losses four years back and it has performed strong since then.

Whirlpool Q1 results on 19-Jul-10

Whirlpool's Q1 net profit was up at Rs 64.2 crore versus Rs 46.2 crore, YoY

Whirlpool up 11.4% on better Dec qtr results (Whirlpool of India has reported net profit of Rs 24.1 crore )