CA Rudramurthy BV, Research Head at Vachana Investments recommends buying Tata Motors DVR, Exide Industries and Power Finance Corporation.
CA Rudramurthy BV, Research Head at Vachana Investments told CNBC-TV18, "Mid and small cap valuations are too expensive especially retail traders have to stay away from these stocks and come back to quality. So, I am recommending Tata Motors DVR, it can do wonders. If Maruti Suzuki can trade at Rs 9,300 plus levels why not Tata Motors and for last four years this stock has consolidated. I don’t want to do any beggar trade in Tata Motors. You can definitely take a kings trade. This stock can do wonders and there is a huge gap between Tata Motors and Tata Motors DVR in valuation."
"I am picking up Tata Motors DVR, one can rollover their contract and can take a position for a larger target of Rs 290 and for the current series you can expect targets closer to Rs 260-265. Have a stop loss of Rs 235 for this long trade. Tata Motors DVR will do much better because of the upmove in Tata Motors and the valuation gap."
"I have a second buy call on Exide Industries. It should be at least trading at minimum Rs 300 but I don’t know why still it is at these levels. Once it moves above levels of Rs 250, it can definitely do wonders, so for me at least for this month I am expecting a big up move in Exide Industries. Rs 250 can be a minimum target in future, I am buying this from Rs 200, I am buying at current level of Rs 225. I will also buy it at Rs 250. A wonderful stock to own for all time frame. Have a stop loss of Rs 225 and go long on Exide futures for current series target of Rs 250," he said.