Lanco Inds hits a new high

Srikalahasthi Pipes, which is traded on the BSE in its old name, Lanco Industries is doing extremely well today. The stock hit a new high today at Rs.77.90 with an over 4 times surge in volumes. The stock is up over 16%.

The stock has zoomed to a new high today reacting to its very good performance for Q2FY15. The company posted a 3% (YoY) lower net sales at Rs.257 crore and thanks to the 9% fall in operating cost and 21% drop in interest cost, the company ended the quarter with a net profit at Rs.18 crore, up over 2.25 times. And the good news, its net profit for H1FY15 was at Rs.31 crore and this is almost equal to FY14 net profit of Rs.39 crore. With two more quarters to go, clearly it will end FY15 on a high note.

Our Edtitor, in our Market Whispers column has stated that this stock has the potential to move to Rs.80 by December and has recommended one to buy as an investor.