RBI credit policy will not affect this company much as you can see Parsvnath has already been playing up a very good strategy of divesting the stake in projects by which the overall equity dilution is avoided at the time the required funds for project execution is easily available there by allowing project completion on time.
Now that it has beaten down to 105 it actually offers a good opportunity to make profits of 50% within short period of time.
Parsvnath has got pan india presence and also has a good land bank apart from contractual projects from Metro
Parsvnath Developers has target of Rs 165-170, says Mitesh Thacker, Technical Analyst.
Thacker told CNBC-TV18, "I track Parsvnath Developers and IVR Prime and that’s the sector which has been buzzing. After the midcap banking stocks, it’s the midcap real estate stocks which have picked up. The largecaps are also looking pretty okay. On Parsvnath Developers we are looking at targets of around Rs 165 to Rs 170 in the short-term with possibilities of high levels being tested over a period of time. For IVR Prime Rs 145-150 is a medium-term target and that’s where we are expecting the entire rally to peak out."
Yeps 165 to 170 will be reached easily as it has fundamental value, the downward price movement is only reaction to the RBI credit policy which RBI requires banks to keep 1% of loan money aside while lending to commercial real estate to prevent NPAs.
This is purely reactive as it will have marginal impact on project fundings
Buy as it provides opportunity buy for short term gains
Yes. Your arguments are correct. Besides they have a large QIP issue which is coming shortly. Hence the stock is expected to rally to 150-160 level by end December 2009.
| NIFTY 
