WorleyParsons (WOR) Shares

UBS has a Buy 2 stock rating for WorleyParsons (WOR) with a share price target of $24. UBS is bullish on the WOR stock. On a DCF basis, WorleyParsons has a share valuation of between $24 to 25. Recent news include the announcement of an Indian Joint Venture with Kirpalaney & Associates, an Indian engineering services company. The venture is to commence operations in Mumbai on 1 November with a staff of 200 people. The stock broker suspects that the venture will not add in a material manner to near-term earnings. "While Worley has a small office in New Delhi we suspect that the joint venture will give the group much better spread and access amongst medium-sized domestic Indian customers. It also seems reasonable to us that Worley's skill set and relationships with multinationals are likely to be much broader and deeper than those of Kirpalaney." "Worley noted in the release that the venture will give immediate access to a resource pool capable of supporting the group in other markets. Given that WOR has been hiring 350 engineers a month for 18 months, this seems to us to be a reasonable spinoff benefit."

WorleyParsons Limited is listed on the Australian Stock Exchange (ASX) under stock code WOR. You can view their investor website here. Find out the meaning of the recommendations in this primer. Browse for other stockbroker recommendations. Worley Parsons was a winner of the week in May 2006. Previous Worley Parsons (WOR) share recommendations. Check your charts and good luck with your share trading!