Avoid shares of Sterlite Industries

I am interested in buying shares of Sterlite Industries. Is this a good stock for a long-term investor, who has an investment horizon of at least five years? R. Awasthy Sterlite Industries is a non-ferrous and mining company. Its primary businesses include aluminium, copper, zinc and lead, and commercial energy. The company's expansion of its zinc, aluminium and power businesses is now nearing completion. The zinc business, which is highly profitable, contributes nearly 50 per cent of its total earnings. The company has registered a robust five-year compounded annual growth rate (CAGR) of nearly 51 per cent and 26 per cent in profit after tax and sales respectively. It has maintained a very low level of debt-

This article was originally published on August 03, 2010.