SP Tulsian of sptulsian.com is of the view that S Kumars Nationwide can move to Rs 36-40.
Tulsian told CNBC-T8, "S Kumars Nationwide has corrected to Rs 25. I don't think that that kind of valuation is justified when you have an EPS of close to about 13-14. But the main concerns on the stock has always been the margin call pressure and all that which has continuously been denied by the management that they don't have any sort of that thing and their entire stake is pledged with the bank as collateral."
He further added, "Considering the full valuations taking a fundamental call, I don't think that this kind of valuation is justified. In my view it should catch on and at least should move to about Rs 36-40 when you compare it with maybe the stocks like Alok Textile or maybe Arvind though they are not the real comparison or maybe the stocks like Siyaram Silk Mill or Raymond and all sorts of things. So it may catch on further from hereon by about 20% in a month or so."
