New Delhi, Oct. 7 -- Global brokerage firm UBS maintained its bullish outlook on Shyam Metalics and Energy in its recent note, expecting the stock to rise another 40% from current levels, even as it has gained 26% so far this year.

It has retained its 'buy' rating on the stock with a target price of Rs.1550, indicating an upside potential of 45.25% from the stock's Wednesday closing price of Rs.1067 apiece, as it believes the market does not fully appreciate management's execution track record, diversification benefits, and efficient operations.

In terms of valuations, the brokerage pointed out that the stock trades at 7.5x one-year forward EV/EBITDA, in line with the three-year average, leaving room for multiple expansion.

In its note...