Buy cements stocks on dip: Mirae Asset

Rahul Chadha, Mirae Asset Global Investments is of the view that one can add cements stocks on dip.

Chadha told CNBC-TV18, "In the near-term positions should still be defensive. Pharmaceuticals, some select IT  names still look attractive. Outside that one can look to buy into consumer names and some good private sector banks  on dips. Probably one can also add cement stocks on dips.”
He further added, “But clearly 2-3 factors which market would be watching for would be the Current Account Deficit  (CAD) number, which I believe comes in next couple of days. Outside that developments on the political front would  also be watched for and continuation of government's steps towards reducing fiscal deficit, doing the much necessary  clearances to fast track investment in the economy, would be watched by foreign investors."
Ambuja Cements touched its 52-week high Rs 220.70 and 52-week low Rs 139.25 on 05 October, 2012 and 23 May,  2012, respectively. Currently, it is trading 21.88% below its 52-week high and 23.81% above its 52-week low. Market  capitalisation stands at Rs 26,592.22 crore.
The company's trailing 12-month (TTM) EPS was at Rs 7.90 per share. (Dec, 2012). The stock's price-to-earnings  (P/E) ratio was 21.84. The latest book value of the company is Rs 57.08 per share. At current value, the price-to-book  value of the company was 3.02. The dividend yield of the company was 2.09%.