Kernex Microsystems speeds up

Kernex Microsystems India was locked at 5% upper limit of Rs 230.30 at 11:12 IST on BSE, after the company said its anti-collision device project will be extended to cover entire Indian Railway network in a phased manner and in the next two years.

The company made this announcement during market hours today, 27 February 2008.

Meanwhile, BSE Sensex was up 309.09 points or 1.74% to 18,115.28, on positive cues from the global markets. Asian stocks surged today after weak US economic data and comments from a Federal Reserve official signaled that US interest rates will continue to head lower. Fed Vice Chairman Donald Kohn said on Tuesday, 26 February 2008, that a weak US economy was a bigger worry than higher inflation risks.

On BSE, 5,541 shares were traded in the counter. The scrip had an average daily volume of 16,065 shares in the past one quarter.

The stock hit a high of Rs 230.30 and a low of Rs 230.30 so far during the day. The stock had a 52-week high of Rs 339.91 on 7 September 2007 and a 52-week low of Rs 111.82 on 3 April 2007.

The small-cap scrip had outperformed the market over the past one month till 26 February 2008, gaining 13.80% compared to the Sensex’s decline of 1.91%. It had underperformed the market in the past one quarter, declining 15.11% compared to Sensex’s decline of 5.98%.

The company’s current equity is Rs 12.50 crore. Face value per share is Rs 10.

The current price of Rs 230.30 discounts its Q3 December 2007 annualized EPS of Rs 4.48, by a PE multiple of 51.41.

Railway Minister Lalu Prasad announced in parliament on 26 February 2008 while presenting the railway budget that, the anti-collision device (ACD) project will be extended to cover entire Indian Railway network in a phased manner over next two years. ACD system will be installed and commissioned in southern, south central and southwestern railways.

Kernex Microsystems India’s net profit rose 6.06% to Rs 1.40 crore on 17.33% growth in net sale to Rs 5.89 crore in Q3 December 2007 over Q2 September 2007.

Kernex Microsystems is engaged in the business of manufacturing, installing and maintaining of anti collision systems as well as developing certain railway safety and signal systems.