Abhinav Sharma, analyst at HDFC Securities told CNBC-TV18, "We were positive on Voltas especially after its first quarter results when the stock had fallen to Rs 65 level. Since then rally in the stock has been very sharp and we have now downgraded the stock to a neutral rating."
He further added, "We believe that while the business remains strong currently there are still a lot of headwinds which the company faces. Valuation at Rs 120 is slightly on the higher side. So we would not be buyers in the stock at this point in time and we have a neutral rating."
"Our target price as of now is Rs 84 and the rally in the stock has been very sharp especially in the last one week. We do not recommend it for one-three months time frame, but one can say that the rally has been very sharp and the upmove has been very fast. So maybe there is some downside from these levels," Sharma said.
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