PFC, REC, PTC India may see 5- 6% upside: Tulsian

Tulsian told CNBC-TV18, “The state governments have started taking a pragmatic view of raising the power rates and bringing down their loses. I this happens now with the Rajasthan government also because that’s the second biggest loser after Tamil Nadu and obviously all the financing companies whether you want to include the banks and all that, but specifically three companies come into the mind, that is PFC, REC and PTC India because all three had huge outstanding, good amount of outstanding from these two states.”

He further added, “Both of them are beneficiary and generally this is the pattern we have seen in case of PFC and REC, that first both move in sync and whenever we see the kind of recovery or short covering or renewed buying happens, it lasts for about 2-3 days because in those 2-3 days we generally see the price again reaching to the level where the profit booking starts coming in. So, may be an upside of about 5-6% in all three stocks can be taken from hereon because partly the rise in all three stocks have been seen today.”