Buy Polaris, Escorts, Shree Renuka: SP Tulsian

In CNBC-TV18's popular show Bull's Eye, SP Tulsian, sptulsian.com shares trading strategy of the day.

Buy Polaris with a target of Rs 128 and stop loss of Rs 121. Midcap IT stocks are seen to be in focus and this stock having posted good Q1 numbers, is likely to have an EPS of close to about 24 for FY13 and hence the stock is seeing value buying which is likely to continue and hence a buy call. Buy Escorts with target of Rs 68 and stop loss of Rs 63. The technical breakout has been seen in the stock. After the company having posted very good numbers for its June quarter which is Q3 of the company and considering the working and the expected tractor sales post monsoon season, the company is likely to post better number for Q4 as well as better working for FY13 ahead and hence a buy call. Buy Shree Renuka with a target of Rs 36 and stop loss of Rs 33. All the Indian sugar stocks are seen again in the focus because of the firm sugar prices prevailing in the country which is much higher than the global prices what has been prevailing for white sugar and this company has started its Brazilian operations which are also seen to be doing quite good and the inventory gain which seem to be made by all the sugar companies are likely to be seen positive for this stock also which is witnessing informed buying for last couple of days and hence a buy call. Buy Mangalore Chemical with a day target of Rs 53 and stop loss of Rs 50. The company has posted very bad numbers for Q1 and for the last 3-4 days the stock has corrected and fell to Rs 43-44. But since then we have been seeing informed buying on the hopes that the promoters of the company that is UB group are likely to conclude the sale of their stake in the company which is likely to happen at a very hefty price of close to about Rs 75 per share and hence we have been seeing informed buying in the stock happening for last couple of days. Disclosure: I don't have holdings in any stocks discussed but may have recommended them to clients.