Ashish Kapur of Investshoppe advised taking long positions in LIC Housing, Aditya Birla Nuvo and Sun TV Network.
Kapur told CNBC-TV18, “Short PTC India with a target of Rs 65 and a stop loss at Rs 72. PTC has come out with very disappointing numbers in Q3. I believe that this is a market in which any stock which delivers results lower than the market expectation will get punished. To that extent, PTC should be no exception. Although fundamentals strength of the company remains intact but clearly fall in tolling revenues has hit the bottomline severely this time.”
He further said, “Go long on LIC Housing with a target of Rs 265 and a stop loss at Rs 247. Results of LIC Housing which came out yesterday during market hours were below expectations and the market punished this stock severely. But on a closer look at the results, we believe that this was mainly due to one off increase in provisions. We do not have any major concern on the quality of assets which this company has.”
“Go long on Aditya Birla Nuvo with a target of Rs 1,010 and a stop loss at Rs 1,030. AB Nuvo is a conglomerate and has very diverse business interest. But mainly we like this stock because of its exposure to Idea Cellular, Birla Sun Life Insurance and also a mutual fund and financial services business,” Kapur added.
“Go long on Sun TV with a target of Rs 470 and a stop loss at Rs 436. Sun TV which has a very strong presence in the southern market would benefit according to us with the digitisation which is currently going on. This will help the company both on its viewership front as they have very strong channels especially in the southern market. Also, it will benefit them on their DTH business which would also stand to gain going forward.”