Bull's Eye: Buy Kaveri Seed, Archies, HPCL, CESC

Bull's Eye, CNBC-TV18's popular game show, where market experts come together to dish out trading strategies for you to make your week more exciting and compete with each other to see whose portfolio is the strongest.

Remember these are midcap ideas not just for the day, but stocks that look attractive in the medium-term as well. This week, Rajesh Agarwal, Eastern Financiers, Pankaj Jain, Sunteck Wealthmax and Parag Doctor, Keynote Capital battle it out for top honours. Rajesh Agarwal, Eastern Financiers Buy Kaveri Seed with a stop loss of Rs 747 and a target of Rs 790. The company has strong focus on R&D, which helps them into developing new seeds. The industry has strong entry barriers so basically lack of competition. Reported strong set of numbers, full year topline grew by around 60% and bottomline by around 68%. With food inflation on a high and MSP (minimum support price) for lot of agricultural products being increased. We think companies like Kaveri has good future going ahead at least for the next two-three years. Buy Archies with a stop loss of Rs 22.50 and a target of Rs 26. This company is basically into greeting cards and gift toys etc. reported strong numbers more than 50% jump in Q4 bottomline. This is one of the cheapest stocks available in the retail story with around 200 stores, this company is one of the cheapest in marketcap valuation at least for the retail industry and any attempt to open FDI in retail would be a big trigger for this stock. Buy Strides Arcolab with a stop loss of Rs 738 and its target of Rs 775. This is basically integrated manufacture of pharmaceuticals generics and speciality chemicals, they are trying to give more focus on it being a speciality company with around 75% turnover targeted by FY13 from speciality business. They have impressive productline of around 73 products already approved and marketing partners like Pfizer and Glaxo. Buy CEBBCO with an intraday stop loss of Rs 73 and a target of Rs 84. This company has been benefited with the excise duty rejig which has been announced in FY12 budget. They are in the process of expanding their capacity by around 30,000 units with a capex of around 1 billion. This capacity addition will help the company in reporting better topline and bottomline. _PAGEBREAK_ Pankaj Jain, Sunteck Wealthmax Long on HPCL. HPCL what we have seen in yesterday’s trading that after hovering around 50 DMA of levels closer to Rs 300 it broke pass those levels with very strong volumes yesterday and there is a strong buzz in the market that diesel price may soon be increased and what we have been seeing that in dollar terms crude prices have been falling substantially. So after spending lot of time between that Rs 295-305 kind of zone this stock has broken pass and we could see levels closer to Rs 345-350 in week or 10 days kind of thing. Long on Kaveri Seed. What we have seen in the stock in yesterday’s trading, the volumes were very heavy. The volumes are almost 10 times the regular volumes. Kaveri Seeds, it’s always a good company, very aggressive management, aggressive growth, it’s almost a debt free company and apart from that the floating stock, the practical floating stock if we take out, high net worth investors and institutions and the promoters, the floating stock is very low. Amongst the agri companies this is one of the good companies and we have very few good listed agri companies and the potential is very high. Short India Cements. What we had seen in India Cements definitely this competition commission order is a big dampener on cement industry. Apart from that what we have been seeing in the India Cement it couldn’t break past that Rs 82-83 levels which was also the 200 DMA and it was showing some slightly signs of weakness around those levels so taking this factor into consideration and taking the competition commission order into consideration we feel that this stock could again fall back to levels closer to 20 DMA which are at levels closer to Rs 75. Short ACC with a target of Rs 1181 and a stop loss of Rs 1241. Prudent idea perhaps to have half of your portfolio filled with short calls on cement considering the CCI allegations. Parag Doctor, Keynote Capital Buy CESC with a stoploss of Rs 267 and a target of Rs 283. CESC has found very strong support around the 200 DMA at Rs 262 and now it has crossed the 100 DMA in the trading. The stock is headed for a recent high around Rs 283 and can be bought with a stop loss of Rs 267. It is in a defensive power sector and also another favorable outcome is opening up of the retail FDI which could benefit it favorably. Buy Financial Technologies with a stop loss of Rs 652 and a target of Rs 689. Financial Technologies has had a very strong base around the Rs 575-625 levels which has built over the last few months. The stock has come out of the consolidation and has very good open interest and volume built up. It is heading for the 200 DMA which is around Rs 690 levels and can be bought with a stop loss of Rs 652. Buy Tata Coffee with a stop loss of Rs 885 and a target of Rs 935. Tata Coffee has a very strong base around the Rs 850 levels from the 100 and 200 DMA. The stock has completed its consolidation and has moved up with good open interest and volume. Stock is heading for its 52 week high which is around the Rs 950 levels and can be bought with the stop loss of Rs 885. Petronet LNG is a short candidate. It is underperforming, the sector itself is underperforming and the stock is not doing particularly well. It is a short term trade on the sell side. The stop loss for the short is Rs 129 and the target is Rs 124.