Bull's Eye: Buy HCL Tech, BHEL, Titan; Short REC

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Bull's Eye: Buy HCL Tech, BHEL, Titan; Short REC

Bull's Eye, CNBC-TV18's popular game show, where market experts come together to dish out trading strategies for you to make your week more exciting and compete with each other to see whose portfolio is the strongest.

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Excerpts from Markets Midday on CNBC-TV18 Watch the full show » ALSO READ See what other Experts & Brokerages are saying about HCL Tech See messages about HCL Tech

Bull's Eye, CNBC-TV18's popular game show, where market experts come together to dish out trading strategies for you to make your week more exciting and compete with each other to see whose portfolio is the strongest.

Remember these are midcap ideas not just for the day, but stocks that look attractive in the medium-term as well.

This week, Ashish Kapur, Investshoppe, Lancelot D'Cunha, Sharvans Wealth Mgmt and Madhumita Ghosh, UNICON battle it out for top honours.

Below their top stock picks and analysis:

Ashish Kapur, Investshoppe

My first call for the day is long position on HCL Tech with a target of Rs 427 and a stop loss at Rs 406. The IT sector is likely to quite well in the near term mainly on account of rupee depreciation and also because it's an industry which doesn't get severely impacted by slowdown in the domestic economic growth. HCL Tech is one company where the results are likely to be fantastic not only in this coming quarter but also over the next few quarters. The company has managed to source lot of deals in the last 2-3 years and that would result in steady revenue increase going ahead.

My second call for the day is a long position on Mahindra Satyam . We believe that this stock will do well in the coming quarters and even the last quarter results were fairly above average and better than expected. The company is likely to gain significantly from the impending merger of Tech Mahindra and Mahindra Satyam. The merged entity would be amongst the top five listed IT outsourcing players in the Indian market. For the day we have our target at Rs 77 and stop loss at Rs 67.

My third call for the day is a long position on Cipla . The company is a leading player in the domestic pharma industry and plans to increase its focus by entering into new areas like oncology. Also they are planning to increase their geographical spread by going into rural and semi-urban area. The company has a very robust model, very safe model and well diversified across different segments and different business models. So we like this company, it is defensive.

My final call for the day is a short position on REC . The company though fundamentally very strong is going through a very rough patch because of delays in power projects and also large part of their loan book comes from state electricity boards, which are also cash strapped. So given all this background we assume that this stock could remain under pressure for the near-term. Though fundamentally a very good story, we are negative for the near-term and for the day we have a short call on it with a target at Rs 150 and stop loss at Rs 162.