Buy, Sell Or Hold: IndusInd Bank, JK Cement, Affle, Tejas Networks, BEL — Ask Profit

Should you buy shares of IndusInd Bank Ltd. at the current market price? Is Bharat Electronics Ltd. a good choice from a long-term perspective? Should you keep holding shares of NTPC Green Energy Ltd.?

G Chokkalingam, founder of Equinomics Research, and Ravi Singh, senior vice president at Religare Broking, answered these investor queries and more on NDTV Profit's Ask Profit show.

IndusInd Bank (CMP: Rs 900.60)

G Chokkalingam:

• The bank was once a significant wealth generator, but it has experienced losses over the past 52 weeks.

• These losses are primarily due to excessive exposure to microfinance and intense layers of competition.

• In the next one to two years, the bank is expected to deliver significant returns, as the price-to-book value has decreased considerably, making the stock more attractive.

JK Cement (CMP: Rs 4,399.2)

G Chokkalingam:

• The cement sector is expected to face stress for at least one or two more quarters.

• However, this particular stock continues to show decent performance within the sector.

• Investors can consider holding onto the stock for the medium to long term, as the sector's fortunes are likely to change in their favour within one to two quarters.

Affle (India) (CMP: Rs 1,427.3)

Ravi Singh: Slight correction

• The stock is due for a slight correction.

• Wait for the price to reach the Rs 1,320–1,350 range before considering investment.

Tejas Networks (CMP: Rs 699.55)

G Chokkalingam: Valuation looks stretched

• The stock may experience a further dip in the short term.

• The company's inventory levels are significantly higher in comparison to their annual sales.

• With Vodafone Idea Ltd. and BSNL as their major customers, it's uncertain how effectively they can manage their working-capital turnaround.

• Core profits are minimal, and the company's valuations appear stretched.

BEL (CMP: Rs 272.25)

Ravi Singh: Hold

• The stock faces strong resistance at Rs 286. Investors can hold the stock with a stop loss at Rs 262.

• The stock can be purchased within the buying price range of Rs 262-268.

• The long-term structure of the stock appears favourable, so holding onto it is advisable, and there is no need to panic.

NTPC Green Energy (CMP: Rs 94.98)

G Chokkalingam: Short-term value stretched

• Optimistic about the stock in the long term at its current price.

• In the short term, the stock may face some stress as its earnings per share are unlikely to surpass one, even on a consolidated basis.

• Although the stock is currently stretched, a long-term perspective of three to five years suggests that returns would be decent.