*Hi,***

*There is an IPO valuation post in today's News updates in Indian stock
market. *

By the way, *Morningstart Investment articles* has offered me *free trial
for 14 days <http://bit.ly/84XLnd>* which I would like to share with you.Also
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So here the details on today's updates

   - Vascon Engineers IPO
Valuation<http://www.stockmarketindia.net/vascon-engineers-ipo-valuation/>

*Strengths
*
...Strong and diverse EPC order backlog of Rs 3227.08 crore spread over 70
projects/ contracts as of December 31, 2009. Of the total order backlog,
about 37.6% (or Rs 1214.74 crore in 47 projects) are third party contracts
and the balance 62.4% are captive contracts from the realty business,
amounting to Rs 2012.34 crore, spread over 23 projects.... - read more

*Weaknesses

...*The company’s order backlog is largely made of fixed price contracts
and, hence, any upward cost push in construction and input services will
impact the margin affecting profitability.... read more

*Valuation
*

In comparison, Sobha Developers quotes at a P/E of 25.9 times of its FY 2009
consolidated earning, and BL Kashyap quotes at a PE of 13.3 times of its FY
2009 consolidated earnings. Though the high margin and high realty business
may give a push to the margin and profitability, the asking price seems
steep compared to listed realty players as well as EPC service players of
similar size.

*Want to get these updates on IPOs, bonus news, stock split news, rights
issues in your mailbox without any efforts,
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*
Abhijeet
Fellow Investor just like you in Stock Market
Yahoo ID: stockmarketindia24
twitter: http://twitter.com/smi24

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