Should you buy shares of Infosys Ltd. at the current market price? Is Indus Towers Ltd. a good choice from a long-term perspective? Should you keep holding shares of Transrail Lighting Ltd.?
Prashanth Tapse, research analyst at Mehta Equities, and Gaurav Sharma, head of technical and derivatives research at Globe Capital, answered these investor queries and more on NDTV Profit's Ask Profit show.
Infosys (CMP: Rs 1,589.6)
Prashanth: Downside risk minimal
Over the next three years, the IT sector is expected to have limited downside compared to current levels.
Every dip in the stock should be used as an opportunity to add it to your systematic investment plan.
The stock's downside risk is minimal, and its valuation is attractive.
Although the near-term looks uncertain, Rs 1,500 is a key level to watch, and buying more at this price point is advisable.
Reliance Industries (CMP: Rs 1,256.6)
Prashanth: Hold
Regarding valuation, it's reasonable to hold the stock at this time.
However, progress may be slow due to uncertainties in various businesses, including the retail-business IPO and other segments.
Over the next 12–18 months, the stock is expected to remain positive, but it will take time to deliver optimal returns for investors.
KPIT Technologies (CMP: Rs 1,233.85)
Prashanth: Hold
In the long term, the stock appears promising, but there are several short-term challenges due to its focus on automobile software businesses.
The companies it currently serves are not performing well, leading to a bleak near-term outlook.
A further 5–10% decline in stock prices is expected, and Q1 and Q4 earnings are anticipated to be moderate.
Hold the stock for now, but if it drops below Rs 1,150, it would be a good level to buy for the long term.
KFin Technologies (CMP: Rs 917.9)
Prashanth: Buy on dips
Optimistic about the company's business model.
The analyst advises investors to buy the stock during dips. Similar to an SIP, as there will be challenges in the near term for both the markets and KFin Technologies.
In the second half of the next financial year, there will be consolidation in both the markets and the company's business.
Transrail Lighting (CMP: Rs 507.45)
Gaurav: Stock underperformed since listing
The stock hasn't performed well since its listing, and the overall market has also struggled.
Investors should set a stop loss at Rs 470 on a closing basis.
Significant buying is expected if the stock stays above Rs 550–560 levels.
Rs 470 is a key support level on the downside, while Rs 550 is a resistance level.
Indus Towers (CMP: Rs 324.8)
Prashanth: Wait and Watch
In the short term, the stock might decline due to the partnership between Starlink, Airtel, and Jio.
However, in the long term, the tower business is expected to remain stable.
Therefore, observe and wait for future developments.
Disclaimer: The views and opinions expressed by the investment advisers on NDTV Profit are of their own and not of NDTV Profit. NDTV Profit advises users to consult with their own financial or investment adviser before taking any investment decision.
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