Buy Jyothy Labs, Sintex, Allahabad Bank, Oil India: Jajoo

In CNBC-TV18's popular show Bull's Eye, Vishal Jajoo of Nirmal Bang shares his trading strategies for the day.

One may buy Jyothy Laboratories with a target price of Rs 152. Ten brands, 7 power brands, strong focus of the new management and one of the cheapest stocks in the FMCG space that makes Jyothy Laboratories a clean cut buy, though over the long-term we have much higher targets of over Rs 200 but for the day we have a target price of Rs 152. One may buy Sintex Industries with a price target of Rs 24.50. There have been negatives with regard to reduction in government's spending on which the company depends heavily. The company did some acquisitions in Europe and USA over the past few years which did not pay off the way they were expected to but considering the price correction which has taken place from 52 week high levels of more than Rs 70 to the present levels from a trading perspective, one can consider Sintex Industries. One may buy Allahabad Bank. The stock has corrected heavily from a high of Rs 190 plus levels in January this year to the present levels. If one considers the consistency in dividends of Rs 6 per year over the last three years and the levels at which it is trading compared to the book value, inspite of the stress in the PSU banking spaces and inspite of the negatives with regard to the asset quality, Allahabad Bank has been punished much more than what it deserves. There could be a bounce back from these levels and one can definitely look at it. One may buy Oil India. There have been a set of reforms in the oil sector and Oil India is expected to be the key beneficiary of the same, whether it comes to diesel price hike or whether if one refers to the hike in gas prices. The stock has corrected from a high of Rs 620 levels to the present levels of Rs 470. It has almost come back to the level before the reforms. One can expect good returns from the present levels.