Buy Zee Entertainment, Apollo Tyres; sell HPCL: Mukadam

In CNBC-TV18's popular show Bull's Eye, Shahina Mukadam of Varun Capital shares her trading strategies for the day.

One can buy Zee Entertainment with a target price of Rs 254. I believe the quarter numbers that would be reported later this month should be good. I expect a good growth both in subscription as well as in advertising revenue. We expect the losses on sports channel to be lower in this quarter. Overall at a 30 times multiple this stock looks good both in the medium-term as well as longer term. One may buy Polaris Financial Technology. It is a buy with a target of Rs 117. The company is restructuring its operations. The product division which contributes about 25 percent of revenues is now being set up as a separate division with separate team of management. There is going to be a re-focus with the new management team coming in place. Also it is a small IT company with very attractive valuations available at six times PE and very close to book value. It makes a good short-term as well as medium-term bet. One can buy Apollo Tyres with a target of Rs 68. The stock has seen a huge correction in the last month after it announces its acquisition of Cooper Tire, but at current levels there is a lot of buying coming in. This stock seems to have found its bottom and we are seeing short covering. I think it is a good short-term pick with a target of Rs 68. One can sell Hindustan Petroleum Corporation (HPCL) with a target of Rs 228. The negative sentiment in the stock is likely to continue. Crude oil prices remain high and the rupee is expected to remain weak. It is going to be extremely difficult for HPCL to recover its losses.