The Leader In Packaging

UFLEX

CMP: 280
Target: 400


This one is my favorite! This is because not only I see a lot of potential upside in the stock, but also I can relate to its products in everyday life. It manufactures packaging products for tooth-pastes, milk & milk products, juices, coffee pouches etc.

Company Strengths

• Product Portfolio Range
• Innovation
• Entry into Aseptic Liquid Packaging

Valuation Strengths

• Trading at significant (~60%-100%) discount to peers Essel Propack and Paper Products Ltd
• FIIs stake up by 200 basis points in past 1 year
• Management focus on margins have shown results

With institutions taking cognizance of the growth prospects, this stock will be re-rated going forward.
I value the company at PE of 8x FY18 EPS which gives a target of 400 to 450.