Buy KEC Intl, Zee Learn, HSIL: Ashish Kapur

In CNBC-TV18's popular show Bull's Eye, Ashish Kapur, Investshoppe shares trading strategy of the day.
 
Buy KEC International with a target of Rs 71 and a stop loss at Rs 65. KEC is an integrated Engineering, Procurement and Construction (EPC) player operating in telecom, transmission and distribution and various other verticals. The company has managed to improve its order book which now stands at 1.4 times the trailing 12 month sales. Moreover we expect the performance to further improve and also the order book to get further traction as the company which gets 75 percent of its orders from the government usually gets more income towards the end of the financial year.
 
Buy Zee Learn with a target of Rs 32 and a stop loss at Rs 29. Education holds a lot of promise in time to come and Zee Learn in a very well established player now. They have Kidzee brand of pre-schools in which they are operating in about 330 cities. Moreover besides opening 300 new franchises every year they also plan to setup 300 of their own schools over the next five years.
 
Long on HSIL (Hindustan Sanitaryware) with a target of Rs 140 and a stop loss at Rs 131.50. This company is doing quite well and we feel it is quoting at a significant discount to its peers. Also the company is expanding capacity both in sanitaryware as well as the faucet division and given the fact that the company enjoys a very good dominant position in sanitaryware enjoying 40 percent market share we feel the kind of performance which the company is giving and the kind of future prospects of the industry as a whole we feel it is a very safe stock to go long on.
 
Buy KCP with a target of Rs 43 and a stop loss at Rs 39. This is a stock which I am retaining from yesterday’s picks. The company is into two divisions - power and cement. In cement they are valued at about USD 40 per metric tonne which is a significant discount to other midcap cement players which are quoting at around USD 75 per metric tonne. These deep discounts plus the fact that the company is overall doing well, their power division has three verticals wind, solar and thermal, we feel it is a good stock to go long on the near-term.