Buy ILandFS Trans, Dishman Pharma, Elder Pharma: Agarwal

In CNBC-TV18's popular show Bull's Eye, Rajesh Agarwal of Eastern Financiers shares his trading strategies for the day.

One can buy ILandFS Transportation Networks (ITNL) with intraday stoploss of Rs 104 and a target of Rs 112. This is a service transportation infrastructure company and is one of the largest players in the build, operate and transfer (BOT) road operations in India. This company is expanding its business in UAE and Nigeria. On valuation parameters also, it is trading at a price to earning (PE) of less than 4 which we believe is highly undervalued. One can buy Dishman Pharmaceuticals & Chemicals with an intraday stoploss of Rs 46 and a target of Rs 50. This company manufactures vitamin D3, which is in good demand. We expect this business to show growth as there are very few manufacturers around the world. They are likely to benefit with the growth in contract research and manufacturing services (CRAMS) sector also and even on valuation parameters, it is trading at a PE of less than 4, which we believe is highly undervalued. One can buy Elder Pharmaceuticals with a stoploss of Rs 329 and a target of Rs 354. This company has strong brands like Shelcal in their portfolio. There have been strong buzz of stake sale in the recent past due to which we have seen good momentum in the stock. We have been hearing of a bid of Rs 2,400 crore to Rs 2,500 crore against a marketcap of Rs 700 crore and a debt of Rs 700 crore and if this deal goes through that would be a big positive trigger for the stock.