AMJ Land Hold­ings Ltd

Money Times - - Techno Funda - By Nayan Pa­tel

(BSE Code: 500343) (CMP: Rs.21.35) (FV: Rs.2)

AMJ Land Hold­ings Ltd (AMJ) was in­cor­po­rated in 1964 to man­u­fac­ture spe­cial­ity pa­pers at its plant in Pune and sub­se­quently di­ver­si­fied into a wide range of spe­cial­ity pa­pers and sev­eral other ac­tiv­i­ties in­clud­ing con­verted tis­sue prod­ucts, real es­tate de­vel­op­ment, in­for­ma­tion tech­nol­ogy (IT) and FMCG prod­ucts. It de­merged its pa­per man­u­fac­tur­ing busi­ness in Jan­uary 2016. Cur­rently, it is fo­cused on its real es­tate de­vel­op­ment in Pune. It is also en­gaged in the busi­ness of gen­er­a­tion and sale of power. It has 3 wind power plants at Satara and San­gli with an ag­gre­gate gen­er­a­tion ca­pac­ity of 4.6 MW.

AMJ is cur­rently de­vel­op­ing a res­i­den­tial project ‘Greens’ in Pune in part­ner­ship. It has com­pleted 6 build­ings so far with plans be­ing fi­nal­ized for the 7th build­ing. It awaits ap­provals for de­vel­op­ing a 12 acre land in Pune with a po­ten­tial de­vel­op­ment of 9 lakh sq.ft. of res­i­den­tial apart­ments. It en­tered into a MoU last year for this project. The con­struc­tion of an­other project ‘Green Ville’ is in progress with about 2 lakh sq.ft. of saleable area. AMJ has an eq­uity cap­i­tal of Rs.8.2 crore sup­ported by re­serves of Rs.93.69 crore. The pro­mot­ers hold 61.75% of the eq­uity cap­i­tal, which leaves 38.25% stake with the in­vest­ing pub­lic. With a share book value of Rs.24.85, its P/BV ra­tio works out to just 0.86x.

Dur­ing Q2FY19, AMJ posted 58% higher PAT of Rs.2.46 crore on sales of Rs.5.77 crore and an EPS of Re.0.6. Dur­ing H1FY19, it re­ported 101% higher PAT of Rs.3.9 crore on higher sales of Rs.13.41 crore and an EPS of Re.0.95. H1FY19 PAT was 17% higher than the PAT recorded for full FY18. It paid 10% div­i­dend for FY18. Cur­rently, the stock trades at a P/E of 14.23x and is avail­able at 40% dis­count to its 52-week high of Rs.35.9 recorded in July 2018. The stock looks at­trac­tive based on its fi­nan­cial pa­ram­e­ters. In­vestors can buy this stock with a stop loss of Rs.17. On the up­per side, it could zoom to Rs.28-35 lev­els in the long-term.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.