MULTIBAGGER- NUCLEUS SOFTWARE.

Nucleus Software

(CMP as on date 10-04-2015:230)

Nucleus Softwares is in the computers- software sector. Despite the underperformance let us see why should you buy this stock?

                                           Four simple straight reasons:

VALUATION	BALANCE SHEET	PARENTAGE	FUTURE OUTLOOK
1.FACE VALUE: 10	1.DIVIDEND YIELD: 2.60%	1.PROMOTER: 60.62%	1. RED COLLABORATION.
2.MARKET CAPITAL:747.42 CR	2.DEBT: 0CR	2.FII: 8.54%	2. ORDER BOOK AND BRANDING.
3.PE: 14.67	3.ASSETS: 355.61 CR	3.DII: 3.03%	3. MANAGEMENT& RESERVES
4.BOOK VALUE: 109.81	4.ESC: 32.39 CR	4.OTHER: 27.81%	4. RUPEE DEPRICIATION.
5.EPS: 15.43	5.RESERVES: 323CR
6.INDUSTRY PE: 24.98

The PE for the company is 14.67 as compared to industry average of 24.98. With EPS of 15.43 the stock is very cheap.

Total debt is 0 cr versus assets of 355.61 cr. Reserves of 323 cr is the highlight to the healthy balance sheet of this dividend paying company. The company is well stabilized with promoter holding 60% of ESC. In fact promoters have increased their holding. Even Fii’s and Dii’s together hold 11.5% of ESC.

The future outlook for NUCLEUS is strong keeping in mind the recent collaboration with Red Hat It has a strong international branding and a stronger order book.

Huge reserve in the hand of an efficient management makes the company worth it.  

Last but not the least the way rupee has depreciated and re rated itself around 62 levels, Nucleus is one of the major beneficiaries of it.

One should look to buy this stock for targets of 520.