Buy ITC, Greaves Cotton, Hathway: Diwan

In CNBC-TV18's popular show Bull's Eye, Prakash Diwan, Prakash Diwan's Wealth Circle shares trading strategy of the day.

We have already seen ITC do pretty well post results but my sense is it is not only the results but the forthcoming quarter itself looks very promising for most FMCG players particularly for ITC, ability to pass on the cost to consumers is what is going to pay off big time. I see the target price of Rs 265 and a stop loss of Rs 254. From the BFSI space given the fact that we would be finally into some sort of the interest rate cycle downtrend, it is time to capitalize on that. The best companies to do so is IDFC. We will go long on the IDFC with the target price of Rs 139.90 and the stop loss of Rs 129.90. Greaves Cotton one of the prime manufacturers of diesel gensets and diesel engines. It has been facing a lot of competition from an unorganized sector till now but it has finally carved out a niche for itself, it is likely to grow many folds from hereon and if we have a weak monsoon, this is one company that could benefit from industry, from the demand that it could see for pumping water, especially for the irrigation side. So Greaves Cotton with a target price of Rs 64.10 and a stop loss of Rs 61.10. Hathway Cable is one of the key beneficiaries of any move that favourably happens here and given the fact that not only is it well placed but in comparison to its peers, it is also not highly valued. So in terms of ratings, I would look at Hathway Cables to go long on with a target price of Rs 194.90 and a stop loss of Rs 180.90.