SP Tulsian not positive on Unitech beyond Rs 28

SP Tulsian, sptulsian.com won’t be keeping positive stance on Unitech beyond Rs 28.

Tulsian told CNBC-TV18, “I am not keeping my positive stance from here on Unitech for the simple reason because if you see the terms of the settlement having reached with Telenor, earlier they were demanding of USD 150 million for relinquishing or giving up the rights of 32 percent. But now they seem to get a very small amount of about Rs 25 crore.”
He further added, “That is just the buying piece or putting to an end the litigations, but nothing concrete has really flown to the company and now people have started taking a call that probably they could take a more focus view on their core business, otherwise, they were taking. I don’t think that a multi-divisional company can say that we were busy in litigating with Telenor and hence we were not able to focus on our core business. So yes, maybe on the kind of run up, which we have seen we may see some halt coming at the current level, maybe a price of Rs 28 and then profit-booking can again bring it down to about Rs 23-24 because if you see the typical behaviour of the real estate stocks either it is getting straight to the other stocks because they have not participated in the rally.”
“A while back we have talked off the Kolte Patil and DB Realty both because both of them have not participated and all these companies are having a huge good real estate land with them for development. So probably people will be looking for the other ideas then stretching a particular stock beyond a point. So, I won’t be keeping my stance positive on Unitech beyond Rs 28.”