Buy Emami; target Rs 610: ICICIdirect.com
ICICIdirect.com is bullish on Emami and has recommended buy rating on the stock with a price target of Rs 610 in its research report dated July 19, 2013.
July 22, 2013 / 11:35 IST
ICICIdirect.com's report on Emami
"Emami rallied from the April 2013 low of Rs 381 to the May 2013 high of Rs 530 and the ensuing pullback saw the stock retrace the April-May gains by 50 percent. The stock consolidated at the 50 percent retracement mark (455) for over four weeks and formed a Bullish Engulfing line candlestick pattern in last week’s trade. The formation of a strong bull candle validated the presence of major buying support at the 50 percent retracement area and signalled an end of the sideways consolidation phase.""We believe the share price is well placed for a rally after a healthy correction and offers a good risk-reward set-up for medium term players to ride the up move in the coming months towards Rs 610. Based on the price equality principle, we believe the current up-leg from last week’s low of |464 is set to replicate the preceding rally, which measured around 149 points (530-381=149), thus projecting an upside target of Rs 613 levels over the medium term."Strategy: "Buy Emami in a staggered manner in the range of Rs 513 –502 for a target of Rs 610 with a stop loss below Rs 455 on a closing basis," says ICICIdirect.com research report.Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions. 
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