Edelweiss Securities has maintained 'Hold' rating on Adani Ports and SEZ with target price of Rs 355 as against current market price Rs 343 in its report.

Commenting on the investment rationale Edelweiss said, ''Adani Ports and SEZ's (APSEZ) Q4FY15 consolidated PAT at Rs 6.6 billion surpassed our/consensus estimates of Rs 5.0/5.3 billion despite lower than expected cargo volumes. While the standalone entity reported in line earnings at Rs 5 billion (adjusted for tax write back), subsidiary ports posted healthy profits.

This was driven by tariff revision across ports (which offset the volume decline) and on retrospective basis (since June'14) in Dhamra, which bunched up profits during the quarter. While the company's long-term growth story remains intact, the stock is trading close to fair value. Hence, we maintain 'HOLD' with TP of Rs 355.

Management is confident of sustaining cargo outperformance across its ports despite moderation in cargo volumes in FY15.  We have recalibrated volume and realisations based on revised contracts as guided by management resulting in revised SOTP-based TP of Rs 355 (Rs 325 earlier). We believe APSEZ will leverage its asset portfolio and balance sheet to pursue growth opportunities, especially inorganic which is not factored in our valuations. At Rs 343 the stock is trading at 16.8x FY16E and 13.6 FY17E EV/EBITDA. Maintain 'HOLD/SO'.''

Disclaimer: IRIS has taken due care and caution in compilation of data for its web site. Information has been obtained by IRIS from sources which it considers reliable. However, IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website.