Dalmia Bharat Sugar has been hitting new highs consistently for the past few days and today too, it hit another new high at Rs.202.20. Profit booking has come at these high levels and the stock is now at Rs.193 levels, up less than 0.5%.

As rightly stated by our Editor, MR SP Tulsian, the company has posted “mind boggling” numbers for Q3FY17.

Mr.Tulsian says in our Market Whispers column, “ The company’s operating profit has risen to Rs.98 crores from Rs.68 crores, QoQ, with company having sold 11.70 lakh bags of Sugar in Q3 at over Rs. 38 per kg., with company having crushed 43% higher sugar cane in Q3, YoY, of 13.32 lakh tonnes, thus firing on all sectors, with PBT rising to Rs.80 crores from Rs. 48 crores, QoQ. Probably this will be the best sugar Q3 numbers, which may be surpassed by Dwarikesh, due to better sugar recovery seen as well.”

Giving more details, Mr.Tulsian said, “Company is having 2 sugar mills in Maharashtra with total capacity of 10,000 TCD and 3 mills in U.P. of 22,500 TCD. We gave buy call on the stock in Stock Recommendation section on 30-12-16 at Rs.129 and in this (Market Whisper) section on 16-1-17 at Rs.160, with both targets seen having met and these Q3 numbers are now making it a buy again. Maharashtra has already seen sugar prices crossing Rs. 40 per kg., which will see moving up further, improving margins of UP based sugar mills, due to higher production than last year.”

He expects share price to touch Rs.210 in a month and Rs.240 in next four months. He advises one to buy as an investor.