Reviews

LARSEN & TOUBRO INFOTECH

Ticker : 540005 
FV: Rs 1 
52-Week H/L: Rs 1990/1078

We had recommended Larsen & Toubro Infotech in Volume No 35, Issue No 3 (dated Nov 5, 2018) when it was trading at Rs 1763. It was one of the Diwali portfolio recommendations based on technical-fundamental analysis. Today (Jan 17, 2019), the company has announced about its acquisition of Ruletronics which is a pure-play Pega consulting and implementation company having offices in the US, UK and India. It caters to customers in banking, insurance, healthcare and retail sectors. This acquisition will help L&T Infotech to grow its digital business in Pega implementation space. Also, the company has been successful in adding new clients to its base across the verticals. It has given high ROE and ROCE of 30.2 percent and 39.5 percent respectively in FY18. Considering all these factors, we urge investors to HOLD the scrip.



DR. REDDY’S LABORATORIES

Ticker : 500124 
FV: Rs 5
52-Week H/L: Rs 2745/1888

We had recommended Dr. Reddy’s Laboratories in Volume No 35, Issue No 5 (dated Nov 26, 2018) when it was trading at Rs 2602. Our recommendation was based on factors like strong growth in H2FY19 and launch of new products. In December 2018, the company launched Aspirin and extended release of Dipyridamole capsules. Also, it has launched sevelamer carbonate for oral suspension in 0.8 g and 2.4 g packets, a therapeutic equivalent generic version of Renvela (sevelamer carbonate) for oral suspension, approved by the USFDA. On January 15, 2019, the company informed that the USFDA has issued four Form 483 observations for formulations at Srikakulum plant (SEZ) Unit I in Andhra Pradesh. Considering the new launches with robust financial growth in H1FY19, we urge investors to HOLD the scrip.