Exit Max India around Rs 210- 215: SP Tulsian

Exit from Max India around Rs 210- 215, says SP Tulsian, sptulsian.com.

Tulsian told CNBC-TV18, “Max India, very interesting deal, firstly by off loading that 9% odd stake, they have made profit of about Rs 800 crore on the transaction and apart from that the whole insurance business has been valued at Rs 10500 crore and the company is still holding about 70% of that, so obviously the value comes to about Rs 7300-7350 crore if you see the market cap, but taking all this into consideration Max India has been a very dull stock. I don’t think that much of the activity has really happened in last one year or so.”
He further added, “If one has seen the share has been languishing in the range of Rs 160-180 or sometimes having moved to Rs 190-195 again corrected. So, I don’t think that it can really move beyond Rs 210-215 and may be the profit booking again will come at those levels and then can settle may be anywhere between the range of Rs 190-200. So, this seems to be a stock for the traders. May be for the near term, next 2-3 days or next 4-5 days one can play on for a gain of about Rs 10, but I don’t think that one should really remain invested. Even the long term investors, those who have been holding the stock can look to exit at Rs 210-215."