Book profit in Nagarjuna Fert (NFL) at current level, says SP Tulsian, sptulsian.com.
Tulsian told CNBC-TV18, "I will go with RCF but not with NFL because the kind of run up which we have seen in the stock is largely due to the low float, which we have been witnessing in case of 10 stocks. I agree that even in RCF the stake is above 90%."
He further added, "In RCF the company has a more robust business model because they have the potential to expand their capacity at Thal where they already are running a 5000 tonne per day urea plant. In case of NFL you require huge capital investments for migration of feedstock in three of its plants from naphta to gas. So I will hold my view on NFL and in fact profit booking is advised in NFL from current levels but on RCF a call can be taken with a view of about 3-6 months."
