Share Trading Tips

Tulip Telecom

BSE Code : 532691

Claims to be India’s one of the largest enterprise data connectivity service provider, a leading network integrator and managed services player, with significant experience in creating and managing large networks across most vertical segments including Banking, Financial Services, Insurance, Telecom, Manufacturing, Logistics, Media, Retail, IT, Consulting, Education, Healthcare and Government. Presently, company derives 90% of its revenue from Enterprise Data Services and the rest 10% from Network Integration. As of now company ranks 4th in the total Enterprise data market commanding 11.34% market share. It is also looking to generate income from newer avenues like Managed Services such as DC, RIM, Security etc and from other Value added services Recently it entered into partnership with Qualcomm to provide Broiadband Wireless Access in key telecom circles of Delhi , Mumbai, Haryana & Kerala. For Q1FY11 its revenue grew by 20% to Rs 525 cr but PBT remained flat at Rs 84 cr. Due to higher tax provisioning PAT declined by 15% to Rs 64 cr posting an EPS of Rs4.50 for the quarter on equity of Rs 29 cr having face value as Rs 2/- per share. Company has the potential to clock an EPS of Rs 22 for the current fiscal. A decent buy at current levels.