Buy Gitanjali Gems; may test Rs 650: Mohindar

One can buy Gitanjali Gems at current market levels as the stock is expected to test Rs 650 level in near term, says Rahul Mohindar of viratechindia.com.

Mohindar told CNBC-TV18, "Gitanjali Gems has been an outperformer as we have seen over the last couple of months. We have really seen the stock performed all the rough weather. Rs 650 is a price target in the near term and I would look at Gitanjali Gems more short-term rather than for investment. We are looking at targets of Rs 650 probably down a month odd and my stop loss on this trade would be around Rs 575 level and it is worth buying into even at current market levels." The company's trailing 12-month (TTM) EPS was at Rs 29.62 per share. (Dec, 2012). The stock's price-to-earnings (P/E) ratio was 20.17. The latest book value of the company is Rs 275.10 per share. At current value, the price-to-book value of the company was 2.17. The dividend yield of the company was 0.5 percent.