Buy Karnataka Bank, Bajaj Finserv, SREI Infra: Tulsian

In CNBC-TV18's popular show Bull's Eye, SP Tulsian, sptulsian.com shares trading strategy of the day.

Buy Karnataka Bank with a day target of Rs 170 and stoploss of Rs 153. This bank is expected to have an earnings per share (EPS) of over Rs 20 for FY13. As the bank is having 525 branches in 20 states and post the announcements of Reserve Bank of India (RBI) guidelines on banks this is seen as an merger and acquisition (M&A) play and hence a buy call.
Buy Bajaj Finserv with a day target of Rs 888 with a stop loss of Rs 815. This is flagship holding company of Rahul Bajaj group which is expected to have an earnings per share (EPS) of over Rs 115 for FY13 and this company is seen as a strong contender for the bank in times to come and hence a buy call.
Buy SREI Infra with a day target of Rs 39 and a stop loss of Rs 35.50. This bank also seem to be a strong contender for the banking licence from the eastern region and the stock is seem under accumulation for the last four days by holding the current price and hence a buy call.
Buy Lakshmi Vilas bank with a day target of Rs 102 and stop loss of Rs 93. This bank is having 290 branches in 15 states and promoters having 10 percent stake is seen to be an merger and acquisition (M&A) play in time to come after Reserve Bank having announced the guidelines on private sector banks and hence a buy call.