ICICIdirect.com report on Havells India
"We continue to believe the Nifty is likely to continue its consolidation in the range of Rs 6100-6300. In the backdrop of this range, we continue to focus on sectors and stocks, which are likely to attract money flows. In this exercise, we have identified the FMCG sector, which despite the recent profit booking has seen strong money flows. Where the Nifty has moved up close to 4 percent for the year, the FMCG Index has moved up over 16 percent. This clearly brings out the outperformance of this sector. Within this sector, in the current leg, index heavyweights have seen profit booking. However many midcap names are still going strong on the back of strong money flows. Havells is one such stock, which despite the profit booking seen in the FMCG space has held at lower levels. From an immediate perspective, Havells has support near Rs 730, which is its 50 DMA. Positionally as well, the key 200 DMA is also placed at Rs 680. These two levels are likely to give support to the stock on declines," says ICICIdirect.com research report.
Recommendation:Buy Havells India in cash in the range of Rs 738-750Target: Rs 860Stop loss: Rs 679 on closing basisTime Frame: 3 months
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.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
