Sell stocks of Sintex Industries above Rs 60

Bansal told CNBC-Awaaz, "One should sell Sintex Industries at above Rs 60. The stock has important support at Rs 60. If it goes down from support level then we can see level of Rs 46-45 at downside."

The company touched its 52-week high Rs 195.00 and 52-week low Rs 58.70 on 31 May, 2011 and 19 Dec, 2011, respectively. Currently, it is trading -67.18% below its 52-week high and 9.03% above its 52-week low.

Buy stocks of KPIT Cummins

Sukhani told CNBC-TV18, "For KPIT Cummins, if somebody is a position trader then there is an opportunity even after this tremendous rally. You can buy now, wait for a few weeks, six-eight weeks or 10 weeks and chances are that you will make money, certainly much more than the bank’s fixed deposit rate. But if somebody is looking at a swing trade, today and getting out tomorrow, I don’t think this is a low risk trade for short term traders."

He further added, " Kingfisher Airlines is in my library remains a short sell. I don’t exactly know how you sell such a low price share now. But if there is a small rally, it should be sold into."

Don't buy stocks of Lanco Infra at current level

Bansal told CNBC-Awaaz, "Investors should not buy Lanco Infra at current level. The stock is looking weak on chart. One can sell the stock with a stoploss of Rs 14.5. The stock can go down to Rs 9.4-9.5 in next 30-45 days time."

The company touched its 52-week high Rs 37.00 and 52-week low Rs 8.50 on 04 May, 2011 and 19 Dec, 2011, respectively. Currently, it is trading -63.14% below its 52-week high and 60.47% above its 52-week low

Buy stocks of Hyderabad Ind; target of Rs 510

“HIL, a C K Birla Group incorporated in 1946 is into the business of producing building products, engineering goods and industrial products. HIL is the market leader in its segments. HIL markets its product AC and fibre cement sheets under the well-known brand “Charminar”. The total capacity of the cement sheet is 8.55 lakh tpa, prefab building panels at 4.60 lakh tpa, prefabricated autoclaved capacity at 3.05 lakh tpa and thermal insulation capacity is 6,000 tpa. The commercial production of sheeting line 2 in Uttar Pradesh has started w.e.f. 09 February 2012. HIL is also the largest manufacturer of calcium silicate, insulation blocks, pipe sections and jointing for gasketing, thereby meeting the critical needs of the fertilizer, engineering & chemical industries. It also makes aerocon prefab panels, autoclaved aerated concrete blocks, which find applications in the construction of buildings, malls, shopping complexes and office partitioning etc. HIL’s most modern manufacturing plants are located at 12 locations in 8 states-Andhra Pradesh, Gujarat, Haryana, Jharkhand, Kerala, Maharashtra, Orissa and Uttar Pradesh. HIL has a strong & extensive distribution network with nearly 8000 sales points spread across the country which is serviced by its 45 depots.”

“During Q4FY12, sales rose 29.8% to Rs248.6 crore and net profit by 71.4% to Rs18.0 crore. (YoY). OPM and NPM stood at 13.5% and 7.2% compared to 10.9% and 5.5% respectively in Q4FY11. EPS for Q4FY12 stands at Rs24.0 Vs Rs14 in Q4FY11. During FY12, sales advanced by 18.4% to Rs857.8 crore and net profit rose by 19.8% to Rs60.6 crore. OP and NP margin stood at 13.5% and 7.1% against 13.4% and 7.0% respectively in the corresponding period last year. EPS for FY12 stood at Rs81.1.The DER as at FY12 stood at 0.21:1 (0.29:1) whereas the value of the net block stood at Rs326.4 crore (Rs289.9 crore).”

“At the CMP of Rs381, the share is trading at a P/E of 4.1x on FY12E and 3.5x on FY13E. We recommend BUY with an increased price target of Rs510 in the medium-to-long term,” says Sunidhi Securities research report.

Buy stocks of Godrej Consumer; target of Rs 575

“GCPL’s Q4FY12 consol Net sales, EBITDA and recurring PAT came in at Rs13.2bn (up 32% YoY), Rs2.48bn (up 40% YoY) and Rs1.76bn (up24% YoY) v/s our expectations of Rs13.49bn, Rs2.5bn and Rs1.8bn, respectively. Indian subcontinent posted 21% sales growth, led by Soaps and Household Insecticide which grew 30% and 28%, respectively. Strong Soap performance was aided by low base. However, Soaps category posted a sedate 4% volume growth, per GCPL. Household Insecticide’s performance (eight consecutive quarters of 25% plus growth) reflects the impact of strong distribution synergies with GCPL as well as innovative new launches backed by aggressive brand investments. GCPL has likely gained market share as category grew only 9%. International revenues grew 49% led by Megasari (up 30%) and LATAM division (up 29%) and inorganic growth (Darling). International performance was driven by new launches, distribution expansion and realisation of operational synergies. Operating profitability in international business improved sharply (EBITDA up 2x) on the back of better produc”

“Consolidated operating margins improved 100bps YoY reflecting the impact of recent price hikes as well as improved mix. Net forex impact on standalone and consolidated entity for the quarter stood at Rs(8)m and a gain of Rs17m, respectively. We maintain ‘BUY’ rating, with a revised 12 month forward TP of Rs575 (P/E of 22x FY14e). Continued traction in Household insecticide segment, coupled with improved balance sheet (leverage down to 0.33x) and working capital metrics lead us to revise our P/E multiple to 22x (earlier 20x), still a discount of 10% to other tier II consumer companies. Discount is fair in our view, given the high proportion of overseas revenue (38%),” says Prabhudas Lilladher research report.

Buy stocks of Titan Industries; target of Rs 290

“Titan’s Q4FY12 Sales, EBITDA and PAT came in at Rs22.8bn (up 28%), Rs2.07bn (up 96%) and Rs1.44bn (up 72%) against our expectations of Rs21.7bn, Rs1.78bn and Rs1.39bn, respectively. Watches volumes were up a robust 14% for Q4 and 15% for FY12, whereas Jewellery volumes declined 7% for Q4 but for the full year it was up 5%. Titan added 41 stores during the quarter, taking the total count to 827 stores with more than 1m sq.ft of operational space. Management in the con-call indicated a pick-up in demand in the last two-three weeks in Jewellery sales though Coins sales remained subdued. Eyewear and Precision Engineering posted 17% sales growth (Eyewear revenue growth of 26% for FY12). Strong volume growth in Watches division remained the key highlight of the quarter.”

“Jewellery EBIT posted 29% YoY growth, while margins remained flat at 10.1%. Studded Jewellery mix improved to 32% for the quarter even though for FY12 it came in at 26%. Titan has started promoting affordable diamond jewellery under the price point of Rs10-25k to attract new customers into the segment. Watches margins improved 40bps QoQ led by price increases. Nonetheless, entire benefit of pricing improvement (13%) did not reflect in margins owing to hedging strategy.”

“We like Titan’s strategy of expanding its presence in Lifestyle segments, essentially categories where demographic dividend can be most leveraged. We reiterate Titan as our top pick in the Retail space and maintain our ‘BUY’ rating, with a one-year forward TP of Rs290 (28x FY14e). Price volatility in Gold can act as a deterrent for volume growth,” says Prabhudas Lilladher research report.

Hold stocks of Maruti Suzuki; target of Rs 1448

“Maruti’s result was mixed with top-line marginally better than expected and margins falling short of expectations. Management's tone has changed from muted outlook last quarter to 'cautiously optimistic' outlook which is driven by rate cuts and new model launches.”

“Net sales increased 49.9% QoQ but declined 16.5% YoY to Rs 11,486 crs in Q4FY12. The company’s production returned to normal levels after being disrupted in Q3FY12. Volumes were up 50.4% QoQ and 4.9% YoY to 360,334 units. Net realizations grew 11% YoY (down 11% QoQ). Although blended realizations look lower sequentially, the management stated that domestic realizations were up ~3% QoQ (driven by better mix). EBITDA declined 15.0% YoY to Rs 858 crs in Q4FY12 primarily due to higher raw material expenses and larger discounts offered to push petrol sales. Consequently, Maruti’s EBITDA margins stood at 7.47% (down 276bps YoY; up 203bps QoQ). The company reported higher other income (up 148% YoY; 85% QoQ) mainly due to maturity of some FMPs during the quarter (to the tune of Rs 200 crs). PAT was above estimates aided by higher other income and lower tax rate.”


“We expect margins to improve from FY12 levels. Volumes will be driven by strong response to Ertiga, new Swift, new Dzire and the ramp up in diesel capacity. Driven by a better product mix (higher shares of lower discount diesel variants) and benefits on the currency front, we believe that Maruti will report strong performance in FY13E. Moreover, consumer sentiment is expected to improve with reduction in interest rates. However, the stock has seen a strong run-up in the last one quarter and we believe that the positives have been factored in the stock price. In our view, upside from these levels will be limited for near term. However, we do suggest buying the stock on decline. At CMP of Rs 1,369 Maruti is trading at 14.66x FY13E EPS of Rs 93.4. We recommend to HOLD the stock with a target price of Rs 1,448 per share and recommend to buy the stock on decline. Our long term outlook continues to remain positive,” says Nirmal Bang research report.