Nischal Maheshwari of Edelweiss Financial Services recmmends buying Sesa Goa as metal stocks are on recovery path.
Nischal Maheshwari of Edelweiss Financial Services told CNBC-TV18, "We have a buy in Sesa Goa. The broader call is on the metal basically. Metals have been on a recovery path. Whether this recovery is temporary or sustainable I think the jury is out on that. At the moment valuations are in their favour."
"Bounce back is happening in most of the metal stocks given that China has been showing stronger number and US and Europe are also recovering. Domestically I don't see any recovery happening in the short term. So, the Q2 numbers will still be bad for most of these metal companies," he said.
The share touched its 52-week high Rs 205.40 and 52-week low Rs 119.45 on 07 January, 2013 and 31 July, 2013, respectively. Currently, it is trading 6.28 percent below its 52-week high and 61.16 percent above its 52-week low. Market capitalisation stands at Rs 16,730.20 crore.