Go long on Crompton Greaves above Rs 96: Bothra

Kunal Bothra of LKP is of the view that, one can go long on Crompton Greaves above Rs 96 with a stop loss of Rs 93 for the target price of Rs 103.

Bothra told CNBC-TV18, "Crompton Greaves is forming a good pattern on daily charts. Look at the line charts as well it is forming an inverse head and shoulder. Today, looking at the move so far it has crossed 50 DMA which is a good sign and my sense is that very close to previous top which is at Rs 102 levels for Crompton Greaves that is very good, probably the first set of resistance coming across." He further added, "The stock has to close above Rs 96. If that happens today from a short-term perspective traders can comfortably go long on Crompton. Keep the target of Rs 103 and stop loss at Rs 93." The company's trailing 12-month (TTM) EPS was at Rs 10.82 per share. (Dec, 2012). The stock's price-to-earnings (P/E) ratio was 8.98. The latest book value of the company is Rs 42.10 per share. At current value, the price-to-book value of the company was 2.31. The dividend yield of the company was 1.44 percent.