- Eternal Ltd shows strong bullish momentum; hold for potential upside to Rs 370
- Granules Ltd has steady revenue growth; add shares on dips at Rs 780-790 support
- Bosch Ltd offers a good entry; buy on dips due to strong momentum and buying interest
Should you add shares of Granules Ltd.? Should you hold shares of Eternal Ltd. at the current market price? Have you lost the chance to buy KEI Industries Ltd. stock at an attractive price? Should you sell shares of LTM Ltd.?
Tapan Doshi, Research Analyst and Swati Hotkar, Nirmal Bang provided insights on these investor queries and more on NDTV Profit's Ask Profit show.
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Eternal Ltd. (CMP: Rs 349.45)
Swati: Hold
- The weekly chart exhibits a strong bullish pattern, signaling sustained upward momentum.
- Trading volumes are robust, confirming solid buying interest and underlying strength.
- Maintain a short-term price target of Rs 370 for profit-taking opportunities.
- Hold existing long-term positions to capture potential extended upside.
Granules Ltd. (CMP: Rs 797.6)
Tapan: Add
- Revenue growth remains steady and supportive.
- Profitability metrics display modest performance.
- Historical margin pressure is offset by a recent surge in demand.
- Consider buying on dips at Rs 780 to Rs 790 support levels.
Bosch Ltd. (CMP: Rs 49,645)
Swati: Buy
- Current market price offers an attractive entry point.
- The stock displays strong momentum, indicating healthy buying interest.
- Adopt a buy-on-dips strategy to accumulate at lower levels.
READ | NSE Q2 Results: Profit Slips 17% As Margin Narrows, Revenue Stays Above Rs 4,000 Crore
LTM Ltd. (CMP: Rs 4,213)
Tapan: Sell
- LTM has failed to recover in tandem with other IT sector peers.
- The overall IT segment continues to underperform.
- Pricing pressure remains visible across key business verticals.
- Profit margins have taken a hit, requiring close monitoring over time.
KEI Industries Ltd. (CMP: Rs 3,881.4)
Swati: Add
- The stock exhibits a strong recovery off lower levels, indicating renewed buying interest.
- Momentum indicators confirm the counter is trading in an oversold zone, signaling potential for a technical rebound.
- The chart setup favors initiating a long position given the favorable risk-reward balance.
- Maintain a price target of Rs 4,200 with a strict stop loss at Rs 3,800 to manage downside risk.
ICICI Bank Ltd. (CMP: Rs 1,424.50)
Swati: Hold
- The stock exhibits a positive underlying setup, indicating potential for a short-term rally.
- Avoid averaging out positions at current levels.
- Wait for further price consolidation and clearer direction before taking additional action.
MRF Ltd. (CMP: Rs 1,17,690)
Tapan: Sell
- Higher crude oil prices will directly impact operating margins.
- Short-term margin recovery is expected to take at least 1 to 2 quarters.
- Auto segment performance is likely to rebound soon.
- Investors should maintain a minimum investment horizon of at least 1 year for full recovery.
- Consider adopting a phased sell-on-rallies strategy at higher levels.
Bharat Dynamics Ltd. (CMP: Rs 1,017)
Tapan: Hold
- The stock remains expensively valued within the defense sector.
- BrahMos missile systems continue to demonstrate strong performance.
- Export order potential for the counter is massive.
- Order booking and revenue execution remain lumpy.
- Supply chain bottlenecks persist in key operations.
- Financial and operational metrics are improving, but fresh additions should be avoided for now.
- Maintain a hold strategy and wait for clearer execution recovery.
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