Top Stocks To Buy, Hold & Sell: Experts Answer On Ask Profit I Trent Shares, M&M | NDTV Profit
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00:00Hi, good morning. Thanks so much for joining in. You're watching Ask Prophet. I'm Alex
00:19Mathew and with me is Mahima Vachrajani and we're here to take you through the next one
00:23hour of trade. That's right. In case you missed this yesterday, Ask Prophet is now a one hour
00:27programme. And that number that you see at the bottom of your screen, that's where you
00:31can send all of your questions to us. Let's take you through where the markets are right
00:35now. And it's a polar opposite from what you saw in trade yesterday, where you saw frenetic
00:41selling continue from the previous week and a number of sessions in a row where you saw
00:46the nifty-fifty lose as much as 1,400 points, more than that in fact. And you're seeing
00:51a bounce back from the low point of the day today as well. And there are a couple of factors
00:55that are playing out globally, but we'll talk about that in just a bit. The benchmark
01:00index at within touching distance once again of 25,000. And the broader markets, if at
01:06all, are seeing even more buoyancy. So you have the mid-cap index that's 1.5% higher.
01:12You have the small-cap index that's up about that same mark. And the market breadth is
01:17tilted very firmly in favour of the advances. This is the exact opposite of what we saw
01:23in trade yesterday. Now, what are the factors that I mentioned? I will very quickly name
01:29them. One is global and the second is domestic. The global factor is that we were looking
01:34forward to China's resumption of trade. The equity markets there were shut and they are
01:39now open. They opened with strong gains. There was supposed to be a press conference by the
01:45top planning body in China. That took place. There was expected to be a large fiscal stimulus
01:52announced, but that did not take place. There was no Big Bang announcement as a result of
01:56which you saw the Chinese equity markets come off the high point and you saw the Hang Seng
02:02that actually dropped 10%. It's recovered somewhat from the low point of the day, but
02:06it's still losing ground. So the whole idea of emerging markets selling off and going
02:11into China, that those funds going into China, that narrative takes a bit of a hit as of
02:17now. The other big talking point, of course, is the result of the assembly election. You
02:22see the numbers on the top of your screen. Right now, in fact, we're talking about Haryana,
02:26where earlier on in the session you had the BJP that was set to lose ground in Haryana.
02:32Now that picture has changed completely and you have the BJP comfortably gaining a majority
02:39right now. There are a few stocks that you should watch out for and for that, Mahima.
02:43Right, Alex. So as you rightly mentioned, with respect to China, metal stocks, of course,
02:47are the biggest pack in focus today and they're down because China is one of the largest
02:53producers of metals and stimulus in real estate sector bodes well for the metal sector.
02:59But seeing the kind of commentary coming on from the planning committee, the metal sector
03:03is seeing a tad bit of pressure, currently almost at its day's high right now. So it's
03:09off from its day's lows, the entire nifty metal. But some more stocks in focus, which,
03:14of course, we'll discuss in detail, you know, towards the end of the show. But to give a
03:19brief about that, Tata Power and JSW Energy in focus today. Nomura has come out with an
03:24interesting note on the power sector and its initiated coverage on Tata Power with a target
03:29price of 560, which was a 27 percent upside potential. Today, the stock is up around 4
03:34percent. And JSW Energy with a target price of 885, which is 31 percent upside. Tata Motors,
03:40another stock in focus, where the Q2 sales numbers have come in and wholesale has impact.
03:46The wholesale numbers have been impacted by around 10 percent. Next on is TLSC on M&M.
03:51They've upgraded to outperform with a target price of 3,400. And the stock is reacting
03:56well to that, up around 3 percent. Lastly, Trent is also in focus. Interesting Kotech
04:02note on Trent, which says that Trent is set to launch, you know, its foray into the lab
04:07grown space and set to launch the brand POM in Westside stores. And this could potentially
04:13be, you know, the studio of LGD or lab grown dimers. Market is what Kotech is saying, Alex.
04:20And that stock is buzzing in trade today. By the way, incidentally, Citi, if I'm not
04:25mistaken, had a note initiation of coverage, if I'm not mistaken, with a considerable upside.
04:30And we'll talk about some of those details. In fact, Mahima will talk to you about that
04:33in just a bit. For now, let's turn attention to the focus of the day, which is or rather
04:39the the key focus of the day, as we normally do on Ask Profit, which is Skipper today.
04:45And there's a reason we're talking about this, because Nuvama has come out with a note. It
04:50has initiated coverage with a buy recommendation. The stock is up as much as 10 percent. To
04:54talk about what Nuvama is saying in its note, we're joined by Anushi. Anushi, what can you
04:58tell us? Hey, Alex, so we are seeing strong gains in Skipper Limited. And now this is
05:03on the back of the Nuvama note you've just mentioned. They've initiated a buy call with
05:07a price target of about 650, which implies a 44 percent of an upside from its yesterday's
05:12close. But just a little bit on Skipper Limited. This is a lead manufacturer for transmission
05:17and distribution structures. And it also undertakes EPC projects in the infrastructure segment.
05:23The company's market cap stood at about five thousand three hundred crore. So what Nuvama
05:27has basically said in its note, they've seen strong, certain key highlights. Just to point
05:32it out, we are seeing a strong presence across the T&D ecosystem. And with this kind of ecosystem
05:39it has built, it expects a strong performance overall. Even the high voltage macro tailwinds
05:44that is both from coming in from the domestic and the international side will be another
05:49factor that would lead to the company's growth as we go ahead. It's also doubling its tower
05:54capacity, which is in which it's the only backward integrated player in India and holds
06:00a niche position in the pole players. So that is another factor that we should be watching
06:06out for. However, on the key risk side, we also need to watch out for any kind of execution
06:11and order related delays which could derail the company's performance. And also sharp
06:16price of raw materials could be another factor that one should be on a watch out for. So
06:2044 percent of an upside that Nuvama is looking for Skipper Limited and by the company stock
06:26is up today. Absolutely. Thanks so much for laying that out for us. In fact, provides
06:30a perfect footing for us to go to our experts. We've got Aastha Jain, who is Senior Research
06:35Analyst, Hame Securities and Swati Hotkar, AVP Technical Research at Nirmal Bang. Thanks
06:40so much, ladies, for taking the time and good morning to you. Aastha, I'll come to you first
06:44on your view on Skipper. If you have one, would you recommend a buy even at this juncture
06:50with a 10 percent gain in today's session itself? Hi, good morning to all of you. Talking
06:56about this counter, yes, Skipper India Limited, I think it is the world's largest and the
07:02only fully integrated T&D company, transmission and distribution space the company is into.
07:09So that is the major point. And what is the key highlight of this company is its order
07:13book. Order book stands at around 5,844 crore, which is almost twice of the FY24 revenue,
07:20I suppose. And in fact, the CapEx, which they are doing after that CapEx also the debt profile
07:26of the company stood in will be in a comfortable position because their debt to equity ratio
07:31stood at around 0.64X. So I think a healthy balance sheet with a strong CapEx plan, healthy
07:37order book and the margins we are expecting to improve going forward. This company is
07:42well-placed to cater the opportunities present in this sector. So, yes, we are also positive
07:46on this counter. Now, the main question arises whether to buy at this juncture. So our idea
07:51is that just let the stock cool down and then make an entry into the counter because today
07:56it is risen up by almost 10 percent. So our idea here is buy it around the level of 475-480
08:04and then our price target for this counter is 525-530 at the initial levels. All right,
08:10Aastha, thank you so much for giving us those insights. In fact, so what her view is that
08:15you'd wait till the stock comes to 475 or 480 and then buy the stock. But let's move
08:20on with the queries on the show for today. The first query is from Balwant Modi, who
08:25is from Rajkot. And his query is that which semiconductor chip manufacturing is best for
08:30long term investment? From what I understand is that TCS is one of the companies who is
08:35into this and plus some EMS companies who are also, you know, coming into this. Aastha,
08:40I'll come to you with this question. So, yes, right now some EMS companies are coming into
08:47the space. So in that we are really liking Dixon, first of all. And for Dixon, the financial
08:53performance was also very strong in the quarter gone by. We are expecting this counter to
08:58continuously outperform the other peers and hence in this space positive on the Dixon
09:02technologies. In fact, for the Keynes technology also, although even I'm not very much sure
09:07whether they are into the space, but as an EMS player, we are really liking Keynes technology
09:12also apart from Dixon. So these two players are looking good to us and especially for
09:16the Dixon technology we are giving by recommendation on this counter and our price target for the
09:21Dixon technology at the current juncture is somewhere at around because it is somewhere
09:26running at around 14,000. So we are expecting this counter to go till the level of 15,000
09:31to 15,200 audience. Considerable upside even from this point. The stock is up as much as 5%
09:37in trade today. Let's talk about the next counter and this is from Vinod. By the way, sorry, before
09:41I forget, if you're writing to us for the first time, make sure that you tell us your name and
09:45where you're tuning in from because when we take your question, you'll be able to identify
09:49that it is your question that we're taking. Vinod has got the next question and he's asking about
09:53Jupiter Wagons. A lot of the real counters were under pressure in trade yesterday. Let's see what
09:58it is right now. It's up about 3%. He's bought at levels of 743 and he's looking to hold for a
10:03period of six months and he's wondering what to do. He's seeing a loss right now. Swati, what
10:08would you do on the charts? Yeah, good morning all of you. Alex, definitely this particular client
10:15has bought at a very high levels and from the last four to five months, we are continuously
10:19witnessing a profit booking. Now, whatever the rally we have seen from almost 300 to 700 levels,
10:26the stock has almost hit 50% of that particular rally. We might witness some sort of a consolidation
10:32at the current levels. As of now, we have witnessed a price correction, but now the time correction
10:36will be coming to the market. 440 is the immediate support level I'm looking forward. Up to that
10:43level, we might see some correction after and from that level onwards, we will see some consolidation
10:48phase, then turnaround will be there. So, it will take much more time as of now. I will not suggest
10:52to book the losses at the current levels, but definitely we should hold on because the stock is
10:57trading nearby its oversold zone. So, we might witness some pullback rally from the down level
11:02towards at least 540 to 560 levels. So, it's a hold from my end. If possible, if any, you're
11:07getting any dips towards to 450, 440 levels, you can average it out so that your buying price will
11:12come down and you can get a target of 450 to 460 levels on higher levels. Got it. Swati, I'll stick
11:18with you for the next question. The next question is from Naresh who's from Vijaywada. He's bought
11:22Bajaj Housing Finance at 168 and right now the stock... Yeah, I don't know. I don't think that
11:31there'll be a view on the technicals. Let's take a fundamental view on that. All right. So, I'll
11:36come to you, Swati, for this then. Bajaj Housing Finance, he bought at 168 and right now it's
11:42currently trading at around 149, which is below its listing price as well. So, Aastha, what should
11:47he do? Should he hold or sell? So, talking about this counter because the issue price was 70 rupees
11:54when the issue came way back, not way back, in September only. So, it was at the 70 rupees and
12:00the price to book multiple at that point of time was around 3. So, from that we have seen a sharp,
12:05sharp rise and now it is quoting at around 150. So, now the price to book multiple is going beyond
12:125X to 6X, which looks to be steeply priced at the current juncture. Although we know that the
12:17company has a strong asset quality, they have a strong brand name, but looking after a price to
12:22book multiple, I think now it is overpriced. So, one really needs to wait for some time,
12:28maybe six months down the line to get the profit into this counter because here the
12:33cost price is really high. So, my idea here is to wait for a long term and then make profits
12:38into this counter because right now I think the pricing is a concern. So, this is a good
12:42long term story. In the short term, pricing can affect the stock price movement. Yeah,
12:48considerable interest in the counter today. The stock is at upper circuit even as we speak. So,
12:53no sellers in the stock, only buyers. Let us see how long that and how far that takes Bajaj
12:59Housing in trade today. The next counter is Reliance Industries. It has been under pressure
13:03over the last week or so. In fact, it has lost about 10% or thereabouts in October if I am not
13:08mistaken. Let us pull up the chart. Well, this week it has lost about 7% or 6.5% or thereabouts.
13:16And in fact, let us pull up the one month. Okay. So, it is down about 5.4% or thereabouts. But
13:21still, Swati, under pressure. The question is from Jayesh. He is writing in from Mumbai. He
13:26has bought at level of 3050. So, he has lost a bit of ground. What would you do with this? Would
13:31you buy more this juncture? Is it a good opportunity to add? Yes, Alex. This particular
13:37counter is really very strong even though we have seen some correction. But after such kind of rally,
13:42we cannot deny the correction from the higher levels. Definitely, one should book their profits.
13:48But if we look towards the past history later, as of now, the stock is nearby. It is a support
13:52level of 2700 levels which we have seen in the past history. I believe that 2700 will act as
13:58a crucial support level. So, as long as it holds that level, definitely one should hold the long
14:03positions for a longer term duration. I am looking for a pullback rally or a cover up rally up to
14:073000 and beyond that level, 3200 can be seen. If you are getting any dips, definitely one should
14:13add on this particular counter. It is a quality counter one should have into their portfolio.
14:17All right. So, add on dips is the verdict. Well, the next query is from Nidhi Raghav.
14:23She has bought Suzlon at 74 and she is asking whether she should hold or sell. So, Swati,
14:29I will stick with you for this one. I think the highest so far for Suzlon has been 86,
14:34if I am not wrong. What should Nidhi do? Yes, definitely. We have seen a 52-weeks
14:40high at around 86 level, you have rightly pointed out. From there onwards, we are witnessing some
14:45sort of a profit booking because the stock was trading in the overbought zone.
14:49And even though if the market has shown some sort of a very strong correction,
14:53but this particular counter manages to take a very good support nearby its cluster levels at
15:0065 levels and today we have seen a very good bounce back rally towards to 73. I believe as
15:06long as 66 levels are hold, we are definitely likely to witness this extension of this rally
15:12towards to 80 and 84 levels. So, I will suggest hold this particular counter by maintaining a
15:17strict stock loss of 65 rupees on a downside. Vijendra also had a question on Suzlon. He has
15:23bought at levels of 76 if I am not mistaken. Hopefully, this also covers that. KV Narayan
15:28Rao from Vishakhapatnam has got the next question. He is talking about Tata Elixir
15:33and the possibility of acquiring at the current market price which is about 7600.
15:40Aastha, you did not mention this particular counter and while it is not necessarily a
15:44manufacturer of semiconductors, I believe that it is also involved in the design elements
15:50associated with the semiconductor space. It is of course doing a lot more than that as well.
15:55Would you suggest a fresh entry for a period of three years?
15:59No, I would not because the main reason behind it is that the Q1 FY25 performance was a muted
16:05set of the number. So, I mean the numbers were not that great and I really need to look after
16:11the results for the Q2 of FY25. So, we really want to wait till that time. So, my idea here is
16:17to wait just for the results to arrive and then make entry to the counter. Then it will be a lower
16:22risk strategy. So, my idea is just to wait for the results and then make a fresh entry rather
16:30making at this point of time. Aastha, I will stick with you for the next question. The next
16:35question is on Sisilks. Now, the question is that the person wants your fundamental view
16:43on yesterday's query. He is saying that yesterday he asked this query that fundamental view on
16:49Sisilks because yesterday we saw the stock had a good run-up but today the stock has tanked
16:54quite a bit. So, your view on Sisilks? So, Sisilks was the latest entry into the secondary market
17:00because it was an IPO which came I think way back a year or so. So, at that time we were
17:06liking that company because the kind of establishment this company has made. As we all know that
17:12Kalamandir, they are well known for their saree and this company is, I mean they have a long history
17:18and the kind of number of stores now they are opening is also looking good to us. But looking
17:23after the same store sales growth, I think we really need to wait for more results and
17:30more numbers to come in on that part and hence my idea here is that fundamentally this company
17:36is looking good to us but we really don't want to see the results and hence we are recommending
17:41to not to buy at the current juncture. Maybe a hold is a better strategy but fresh buying is
17:46not recommended at this point of time. What about Tata Motors then based on the fundamentals? It
17:52is down if I'm not mistaken. Let's pull up the chart and see where it is. Last time I looked at
17:56it, it was under a little bit of pressure. The latest developments from Jaguar Land Rover,
18:01they are putting on a brave face and talking about the wholesale numbers being positive
18:06and likely to improve in the second half because certain supply chain issues have gotten resolved.
18:12But the retail sales for Jaguar Land Rover are nothing to write home about. In fact,
18:16some pressure in China as well as in Europe. If I'm not mistaken, Europe sales down about 22 percent,
18:22China sales down about 17 percent. I'm trying to remember the numbers offhand. Hopefully,
18:26I'm right. Dr. P Somaya from Hyderabad is asking about whether or not it can be bought Asta
18:31at the current level 914. Is that something that you're advising?
18:36So, I think one can buy this at the current level also. However, the China is a relatively
18:42smaller market for this company. So, we are not very much further about that part and in fact,
18:48if I look after the margin and the debt profile, I mean that is looking good to us. In fact,
18:53there are new product launches which are really making us excited as well and the inventory is
18:58also lower at current juncture. So, looking after all these things, I think it is a good long-term
19:03story to put the money in. So, at around 900 or 890 odd levels, one can really make an entry. So,
19:10it's hardly 13, 14 points here and there. So, my idea here is definitely one can make a fresh
19:16entry into this counter but here the horizon should be long-term because in the short-term,
19:20we can see some sort of pickups in the price momentum but in the long-term, it will again
19:25move to the level of 1000 to 1020. All right. So, it's a long-term play definitely then.
19:31The next question is from Praveen who's from Coimbatore, Tamil Nadu. Now, his question is
19:36regarding IRFC and he's asking whether one should hold or sell the particular stocks. So, Swati,
19:42your view, how does IRFC look on charts? Because it's seen a significant dip since
19:47quite some time along with the entire railway pack. Yeah, IRFC as of now is currently trading
19:55in the oversold zone and looking towards the chart structure, I believe that we have already seen a
20:01very sharp correction from almost 200 to 140 levels and the chart suggests that it is showing
20:07some sort of a positive divergence is happening at the current levels. So, whatever the pullback
20:11comes, it might extend towards to 165 to 170 levels. So, if you have any long position,
20:16definitely you can hold on. Downside, it has a very good supporter for 138. So,
20:20by maintaining that stop-loss, you can definitely hold on your long positions
20:24for immediate target of initial will be 164, then after that 175 levels can be seen.
20:29Okay, fair point. All right. Peter has got this next question. He's asking about MOSCHIP
20:33technologies. He's currently eyeing or rather he's currently looking at a 17% loss. He bought
20:40at levels of 278 or thereabouts. Let's look at where the stock is currently trading,
20:45MOSCHIP technologies. Aastha, he hasn't specified what his time frame is. I'm assuming that he's got
20:51a potential to hold for the long term. Would you suggest holding on? So, Alex, I would be really
20:58sorry because I cannot answer this question. We are not covering this downturn. No, that's perfectly
21:02fine and it's understandable. The stock is up about 2% in trade today. It's up about 140% in
21:07the year so far. Swati, on the charts, how does it look? Alex, on the chart, the stock is really
21:14not doing very well. This month, we have seen a correction of almost 6%. And from the last few
21:19months, we are witnessing a continuous low tops, low bottom formations on the low side. As of now,
21:26the stock has given the breakdown of 20 DMA, the short term moving averages and also the cluster
21:31supports of 230 levels. So, all these patterns shows a little bit cautious sign at the current
21:36level. I will suggest if we are getting any dips towards to 245 or 250 levels, so one should exit
21:41this particular counter because I'm looking forward for a target of at least 200 to 195
21:47levels on the downside. So, on every rise, one should exit the long position from this particular
21:51stock. Okay. The next question is from Harsh, who's from Bangalore. Now, his question is kind
21:58of unique. He's asking famous stocks with upside of 10% in the next one month. I believe that,
22:06festive season is kicking in. So, a lot of festive stocks could see an uptick in the next
22:11two months. But Swati, I'll stick with you for this one. What do you think? Next one month,
22:16what are the stocks that could see a 10% potential upside? Yeah, the 10% potential upside, I can say,
22:24one can vote for ITPAC. ITPAC is really doing very well in this particular, from the back.
22:31Bipro really will do good in the, not for the one month period as such, but definitely,
22:36this is the counter one should go for a long, currently staying at 520 or levels. I believe
22:42if you're getting any dips towards to 500 and so one should definitely go for a long position. So,
22:46I'm looking for a target of 580 to 600 levels on the higher side. So, for a, not for a one month,
22:53but for definitely for a one to two months, you can go for a long position into this particular
22:58counter. Okay. All right. We've got the next question from Balkrishnan. He's writing in from
23:04Ongole in Andhra Pradesh. He's bought NHPC at a price of 93 rupees and he's been holding for 10
23:11months. He's asking, should he sell and shift from NHPC to a Suzlon? And can you give a suggestion
23:19on this? Since we've already taken a view on the, on the technicals, I believe on Suzlon,
23:24let's talk about the fundamentals. Aastha, would such a shift make sense?
23:29Suzlon is looking good to us. First of all, we want to give price target of around 82 to 83
23:35at the current juncture. So, talking about Suzlon, what we are seeing is that there is a strong
23:41activity in their order bookings because the government tendering is going on. So, that will
23:47really help the company and this company, because we all know it is one of the leader in the wind
23:51turbine generators market. In fact, the renewable energy space is looking good to us. Company has
23:58installed capacity of around 20 gigawatt and they are planning it to extend to 24 gigawatt by FY26.
24:05So, I think industry tailwind is strong. Company's expansion plans are strong and backing by the
24:10strong financial performance. So, I think Suzlon is a better choice and one can shift towards this
24:16space also. Otherwise, both the counters are looking good to us. For Suzlon, our price target
24:20is 82 to 83 at the initial levels. All right. So, both the counters look good, but Suzlon is your
24:25preferred pick. Aastha, next question is from Dr. Praveen Kumar Yata. Now, he is from Mirzapur.
24:33He is asking as to what is the future of ethanol production in India and what about Renuka Sugar's
24:39growth? He wants a long-term perspective. He bought the shares at 52 rupees and he is asking
24:44whether he should hold or sell. So, your fundamental view, because recently a lot has been happening in
24:49the sugar sector with respect to ethanol production. The government has also allowed
24:54ethanol production from B-grade heavy molasses as well. So, what do you think about Renuka Sugar
24:59and of course, the ethanol production perspective? So, I think Renuka Sugar is not looking so strong
25:08to us. There are few reasons behind it. First of all, the results which came in Q1 of FY25 that
25:14were not encouraging because we have seen if I extract other income and exceptional item,
25:19then there was a loss in the bottom line. So, although ethanol production space is looking
25:24good to us, but if I talk about Renuka Sugar in particular, this counter is still, we really want
25:30to see the results as I'm saying for other counters as well, since the results season is about to
25:35kickstart. So, here also the past performance was not that encouraging and hence, we believe it's
25:40better to wait for some time, let the results come in and then make entry into the counter.
25:44So, we are giving your risk our strategy and just wait for some time before making entry into this
25:49counter because the past financial performance was not that encouraging. Now, for the technical
25:55side of things, we're joined by Mr. Brijesh Singh, who is the Senior Technical Analyst at
25:59Opulent Investment Advisor. Welcome to the show Brijesh. I'll start with the queries again.
26:05The query is from Aarish and he's asking about Titagarh rail systems and he's looking for a
26:10fresh buy. He's asking whether he should wait or buy now. Your view on this Brijesh.
26:17So, good morning everyone. Regarding with the Titagarh wagon railway has been considered on
26:21the daily time frame of the chart, the stock has been trading with lower tops and lower bottom
26:24formation. So, number one sign of negativity. Second sign is that the stock, if we consider
26:29the moving average, the shorter term, the medium term and the longer term moving average, the stock
26:34has been trading below that. So, again, it is a sign of a negativity. Even the strength of the
26:38counter has been weak. The oscillator front indicators are not giving any sign of bottoming
26:44out or positive divergent. Nothing like that has been seen. So, I would be saying avoid it. If
26:50anyhow stocks give closing above 11, 1,150 above, then only the fresh entry bank would be seen in it
27:00and that too also that would be the tool for the pullback and that pullback can be towards the
27:04level of 1,250, 1,270. So, I would be saying better to avoid, look out some other counter
27:10for a buying has been considered. Bounced back today but it was under pressure yesterday,
27:14if I'm not mistaken. Brijesh, thanks so much for that view and welcome to the show. Mazgon
27:20Dock Shipbuilders is the next counter that we're talking about. Ricky from Ludhiana has got this
27:24next question and he's bought at slightly elevated levels, 4,613. A lot of people have made a lot of
27:29money on Mazgon Dock Shipbuilders. Unfortunately, Ricky is not one of them. Asa on the fundamentals,
27:35would you hold on to this? Yes, I would like to hold on this counter. The only problem with this
27:40as I have discussed this prior also on your channel is the valuation concern. Otherwise,
27:45margin profile is very strong and the deliveries are also very strong. But the kind of run-up which
27:50we have seen in the stock prices, that makes really valuation expensive. So, that is the
27:55major issue that why we are not able to see any sort of upside momentum into this counter.
27:59But we are quite optimistic on the upcoming results and maybe they will also settle the
28:03valuation concern. So, a hold from my side and price target which I would like to give to this
28:08counter is 4,800 at the initial level. All right, so hold on the counter for now. Asa, next question
28:14also I'll stick with you. We have Thomas George from Kochi who is holding 100 shares of Trent
28:23and he had bought it for 2,400 apiece. And he wants to understand as to what to do with the
28:30share. And just for viewers' context, we are going to have an extensive chat in the second
28:34half of this show on Trent. So, do stay tuned for that. But Asa, for now, your view on Trent?
28:41So, the results were above expectations, especially the kind of number of stores they
28:45have opened for Westside and the Zodio Westside, 228 stores. Zodio 500, more than 500 stores they
28:52have opened as of now. So, I think that is really looking strong to us because the value will also
28:58coming from those counters. In fact, there is a reduction in the losses in Star Bazaar. So,
29:06that will also have the company posting strong numbers. Although this company has posted good
29:10numbers in Q1 FY25 and we are expecting this to continue in the second quarter as well.
29:15So, positive on this counter. Initial price target is 8,200.
29:20Vodafone Idea, viewer favourite, investor favourite. A lot of retail investors have
29:25piled into this stock and large amounts have been bought. It is currently trading at 9.35
29:30rupees. Once again, in single digit territory, we have got Sandeep Yerova who has bought 50,000
29:36shares at a price of 9.72 and is looking to hold it for the next month or so. Brijesh,
29:42short time frame for a volatile stock. What is the advice that you would give?
29:47See, overall, I would be saying only one word Alex, better to be out of this counter. If you
29:52want to stick to the telecom, Bharti and Reliance would be the one. Regarding with this stock,
29:58it has been considered on the news space, we are seeing buying in it on a daily chart, weekly chart
30:04and even on the hourly time frame of the chart. Nothing looks promising right now where we can
30:09see a pullback towards the level of 10.5 or 11 rupees. So, overall strength is weak, better to
30:15book loss and be out from it. If you want to play in telecom, as I have said, Bharti and Reliance
30:21would be the favour. The next question is from Varun who is from New Delhi. He has Mastic
30:29shares and he has 2,000 of these shares and he bought it at 3,000 apiece. Now, what he is saying
30:35is that his current investment is in losses and he wants to know what he should do. Aastha,
30:41from a maybe longer term perspective and a fundamental view on this particular stock,
30:46in September, I believe we saw the small cap world selling a huge stake in Mastic, but Q1 was
30:53kind of muted for the company. But going forward, how do you expect the company to perform?
30:59Yes, Q1 was muted because there was a contraction in the margin. But going ahead,
31:05the deal momentum is strong in this counter. So, that is looking good to us and what we believe
31:10on the back of the strong deal momentum, the company will show strong or a decent financial
31:15performance in the coming quarter of Q2 by 2025. So, I think right now gold is a better strategy
31:21for this counter. So, we are recommending gold on this counter. If results come as per our
31:26expectation, then we can expect the price target to be somewhere at around 2950.
31:32Okay, Linde India share, let us pull that up and see where it is currently trading.
31:36And 7,915 is what I see or thereabouts is what I see on the screen. It is down about a half a
31:43percent or thereabouts and we have got a viewer, Sasi Deep, who has bought at levels of 7,795.
31:51So, he is gaining ground and he is looking for any target that you might have, Brijesh,
31:55for a period of three months. So, first of all, I would be saying Alex to
32:01keep your buying price as your stop loss has been considered. For a three-month point of view,
32:06then I will say that the first level where the supply can be seen would be 8,300 to 8,400 odd
32:14level. If we surpass this thing, then 8,800 would be coming in the middle. So, your buying level
32:18would be the stop loss and play for the target of 8,300, 400 followed by 8,700 to 800.
32:24All right. The next question is from Rajesh who is from Bangalore and he is asking whether PC
32:32Jeweller at 150 rupees is a good gold stock to buy or not. PC Jeweller has been a momentum trade
32:39since the past one month now and it has seen significant gains. Brijesh, I will stick with
32:44you for this one. Is this the right time to enter PC Jewellers? See, overall, the structure of the
32:51chart looks promising right now. On the short-term time frame as well as on the daily, the
32:56higher-top and higher-bottom formation is being seen in the chart. Rs. 155, the stock has been
33:01trading. So, ideal buying level would be if it trades somewhere around Rs. 135, then one can
33:06look out to buy with the stop loss of Rs. 120 and then play for the target of Rs. 165 to Rs. 170.
33:12So, another Rs. 20 of downside if it comes, your risk-reward ratio would be in your favor.
33:17All right. The next question is from Dr. Ramana. Now, his question is that please
33:21recommend 5 shares from short-term perspective. So, Brijesh, your top 5 picks which are looking
33:27extremely good on the charts? So, I will start with 2-3 picks only right now if someone wants
33:34to play. Then, Tata Power looks good on the chart right now. It's Rs. 454 around, it's been
33:42trading. We have seen stocks making a high of Rs. 296 and after that we have seen
33:48a profit booking. It's been trading near the buying zone only. So, one can look out to buy
33:54at the present rate of Rs. 454 with a stop-loss of Rs. 445 or Rs. 440 and play for the target of
34:01Rs. 485. Another counter for the buying would be Amar Enterprises. The overall structure of the
34:09chart on a short-term time frame with higher-top-share-bottom formation is giving an
34:13indication of buying and we can see stocks making a new 52-week high also. So, Rs. 5080
34:18around, it's been trading. So, one can look out to buy at the present rate with a stop-loss of
34:22Rs. 4900 or Rs. 4950 around as a support. So, keep that thing as a stop-loss. Play for the target of
34:29Rs. 5500. And in metal counter, if someone wants to play, then one can look out for a pullback in
34:36sales. It has a range of downside at Rs. 125 or Rs. 122 around as a support whereas on the higher
34:44side, it has a resistance at Rs. 145 to Rs. 148. So, now it's been trading at Rs. 130. So,
34:49present rate can be used for accumulation purpose with a stop-loss of Rs. 122,
34:53play for the target of Rs. 145, Rs. 148. All right. So, that's a comprehensive list.
34:59Even though, I would suggest that perhaps, Brijesh, it's not the easiest to pick stocks
35:06right now. Would you actually say that patience is warranted? I'm just asking for your sense
35:14of how you've seen the markets over the last week or so. Of course, we're seeing a break
35:19in the selling right now. But would you suggest that patience is warranted at this point?
35:24Brijesh, I'm asking you. Yeah. See, obviously, patience always rewards. But since the
35:31query was regarding the short-term, I gave you some of the picks. One can look out for a pullback
35:38sort of thing where the profit can be made. And with the patience, I would be always saying,
35:43have a discipline, have a stop-loss. Even if you are looking for a technical perspective,
35:49technical perspective, fundamental perspective or derivative, people are what they have been
35:54doing. They are not using the stop-losses. So, I would be saying that whenever you've
35:58been trading, always use stop-losses. And opportunity always would be coming if you
36:04have a patience in it. An important advice being given by Brijesh. Let's talk about Ujjivan Small
36:12Finance Bank. And this is a question from Natarajan Ramanathan. He's riding from Chennai
36:16and he's deciding to buy fresh at this juncture. And he's looking at buying as many as 500 shares.
36:23He's looking at at least holding for the next 12 months and buying more every month. Aastha,
36:28is that a good strategy? So, right now, Ujjivan Small Finance Bank, I think,
36:35buying at the current juncture is not recommended because what we have seen in the quarter bond
36:40bank, the results were not that encouraging. So, in fact, we have seen some sort of fall
36:45in the last one month also. So, my idea here is that wait for more fall to come. Although,
36:50in the longer run, the kind of asset quality this bank is posting, I mean, that is looking decent.
36:57So, there is no worries on the asset quality part. In fact, ROEs and ROEs are also looking
37:02decent in current juncture. The only thing which we are like not very much from optimistic on was
37:08the financial performance, which was muted. So, I think, wait for more dip and then make entry
37:13this counter. So, accumulation is a better strategy. Accumulating all the dips is a
37:18better strategy. I should say that. All right. It's time, both of you,
37:23to go into the rapid fire segment, Aastha as well as Brijesh. Brijesh, you'll be familiar with this.
37:29I won't hold you to it, but try to give your answers as quickly as possible in a period of
37:34two minutes. We're going to try and fit as many as possible. Sashi has got the first question.
37:39Bharat Electronics is the name of the counter he's bought at a price of Rs. 325. Would you suggest a
37:46hold at this point, Brijesh? So, lower tops and lower bottom formation has been seen. Better to
37:51exit. Still, if he wants to hold, then I would be saying keep a strict stop-loss of Rs. 260.
37:55Got it. Morpen Laboratories is the name of the counter. Sushila from Billari is asking,
38:00bought at a price of Rs. 82, if I'm not mistaken, which is where the market price is right now.
38:07On the fundamentals, would you hold? Yes, I would recommend hold on this counter
38:12with a price target of Rs. 87 to Rs. 88 at the current juncture.
38:16CDSL is the name of the counter. Time period is about two to three years.
38:20This is a question from Rajan. He's bought at a price of Rs. 1,445,
38:26a little bit higher than the market price right now. Aastha, he's lost a little bit of ground.
38:30Would you hold? Yes, I would recommend hold,
38:33because the kind of accounts which are increasing and the capital market boom which we are seeing
38:37definitely will be helping this company. Hold is recommended from the long-term perspective.
38:41Price target can be set at around Rs. 1,400 to Rs. 1,420 odd levels.
38:45Okay. Zee Entertainment bought at a price of Rs. 128. Nirmala from Bagalkot in Karnataka is asking
38:51about this. The stock is currently trading at that price. Aastha, on the fundamentals, would you hold?
38:57Yes, again, hold for this counter as well. Price target can be set at around Rs. 135 to Rs. 138
39:03at the initial limits. Okay. The next one is on Raymond Limited. We've got a question coming in
39:11from Indra. Indra has bought at a price of Rs. 2,200. The stock is currently trading at Rs. 1,600
39:17or thereabouts. Brijesh, any view on the technicals for a period of one year?
39:24So shorter term as well as medium term look negative. You know, stock can move down towards
39:29the level of another Rs. 1,400. I would be suggesting better to book loss and be out from
39:34this counter. Anyhow, stock doesn't give closing above Rs. 1,780. I feel that more pressure would
39:41be seen in this counter. Better to book loss and be out from this counter. Fair point. All right.
39:45On that note, Brijesh as well as Aastha, thank you so much for joining in. Very insightful session
39:50so far. Thank you so much for taking the time. On that note, it's time to move to the top stories
39:56at this hour. And we promised you that we will talk about a few things at the start. We are
40:00indeed going to be talking about the likes of Tata Motors as well as Trent. But first, there's an
40:05interesting story that has come through from New Delhi. The enforcement directorate has launched
40:12a PMLA probe into 20 companies that are importing Chinese goods. And there are quite a significant
40:21companies in this list. We've got Shreemi who is hearing all of this from sources and she's picked
40:26this up a short while back. Shreemi, thanks so much for joining us on this show. What can you
40:31tell us about this latest development? So, what we are picking up from our
40:39enforcement directorate sources is that 20 companies, including some big firms as well,
40:46who have been importing electronic goods, leather items, and in fact, high-end furniture,
40:54they are under ED scrutiny. And what we have learned is that they are using the Hawala
41:00transaction, an illegal way of sending money outside India by importing the items. And
41:09they are under-invoicing and saving taxes. And the rest of the amount and the rest of the margin
41:15which they are making is sending back to the Chinese seller whom they are importing the item
41:20to India. So, what ED is looking into, two angles here. Clearly, there is a money laundering to it,
41:27which they are, of course, looking at. And in fact, their initial estimates of enforcement
41:31directorate suggested that there are around like 50,000 crore of money laundering is what
41:38they are keeping in mind and checking that. And in fact, they are also looking at forex
41:44transaction. You know, FEMA violation is also there. These companies are doing and they are
41:50started the investigation. And of course, we will see some sort of search action also on these
41:56companies in the coming days. And accordingly, they will progress with the investigation. And
42:02we are tracking the story and we'll get more on who all are under scanner. Back to you.
42:09Thank you so much for getting us those details, Srimi. Indeed, we will come back to you to get
42:13more details on this developing story. Let's talk about what we were initially discussing. Actually,
42:20no, if we can, let's go on to an NDTV exclusive. We've got Charu joining and she's broke this story
42:26a short while back, where the Securities and Exchange Board of India has issued notices to
42:32over 120 stockbrokers for association with TradeTron. What is TradeTron? Why is that a
42:41problem? The association, Charu is here to tell you what she's exclusively picked up. Charu,
42:47what's the story here? Hi, Alex. So, Security and Exchange Board of India, which is the market
42:51regulator last week had issued a notice to over 120 and to be precise, 122 stockbrokers,
42:58including some top brokerages, for their association with an algorithm-based platform
43:03called TradeTron, which was basically an aggregator platform that gives you strategies
43:08and advises and assures certain kinds of returns by using these strategies. Now, in a 2022 circular,
43:14the market regulator had already said that the stockbrokers cannot directly or indirectly be
43:19associated with any such platform. And on the violation of this particular 2022 circular,
43:24on the violation of the direction of not being associated in any capacity with such a platform,
43:29these brokers and brokerages have received this said notice and now their responses and the
43:35further processes remain to be seen. Okay, that's a very interesting development and,
43:40of course, certainly something else to keep an eye on in the coming days and certainly over the
43:46course of the day as well. Now, we did promise you at the start that we would get you more
43:50details on Trent, which arguably is one of the stocks of the day. It is gaining quite significantly
43:56at very close to the high point, up as much as five and a half, six percent. Now, one of the
44:01key developments is the foray into lab-grown diamonds and my co-anchor is somebody that
44:07tracks the stock very closely. Mahima, the question, I guess, is why did they choose to go through Trent
44:14and how big of a deal is this for Trent? It's definitely a very big deal, Alex, because
44:19what they're trying to do is that they're not doing it through Titan, but doing it through
44:24Trent because if they do it through Titan, their natural diamond sales will get affected.
44:29But doing it through Trent will, of course, help them from a back-end perspective because
44:34the manufacturing, the kind of labor work that they already have associated with
44:39Tanishq that they'll be using, but they'll be selling this through the west side stores and the
44:44brand that they've disclosed for this lab-grown diamond is called POM and they're
44:48expecting the rollout for POM to be, yeah, in the next one to two years. Now, what they're saying is
44:54that, now there was a very interesting note, in fact, from Kotak on Titan and what they're saying
44:59is that this development reinforces a caution stance on Titan, of course, because eventually
45:05it will affect the natural diamond, you know, sales that Tanishq already does, which is under Titan
45:12and they're expecting direct, indirect impact to weigh on the profitability as well as growth of
45:17Tanishq. And correct me if I'm wrong, yesterday you had Titan under pressure because you had the Q2
45:22business update where you have had a 26% growth in revenue, but it has been pointed out that gold
45:28prices have gone up, what, 30% in this year, so in value terms, while there could be a growth in
45:33revenue in volume terms, it's a bit of a concern. So traditional jewelers are facing the brunt
45:38of things like lab-grown diamonds. Absolutely, and one of the reasons why it was under pressure
45:42yesterday was also because the studded jewelry mix in terms of the jewelry was lower and because
45:48of that, margins will take a hit in Q2. Once the numbers are out, we'll realize how much of a hit
45:53it is, but that is also one of the reasons. Now, just, you know, just to give a view of how this
45:58lab-grown diamond will, you know, phase out for trend, it is offering at, it will be offering
46:04lab-grown at a significant lower prices, first of all, as compared to natural diamonds. But 15%
46:08or 15 to 20% of the cost of the original diamond, right? Correct, so it goes beyond that, it will be
46:14anywhere, the discounted price could be anywhere between 15 to almost 85% is what the note is
46:19saying. Yeah, and what they're saying is that one carat solitaire ring will be priced approximately
46:24at 24,000 to 29,000 and so Kotak believes that this poem particularly, you know, could be the
46:34of the LGD market. So whether or not this is good news for the investors of Trent, it certainly is
46:40good news for those people that are going to go and buy a diamond to propose because a one carat
46:47solitaire ring would cost, what, two lakhs, thereabouts? Maybe even lower, maybe 1,50,000
46:54around that and so why Trent in focus? Well, it's doing three major things, Alex, just to conclude
47:01this chat. Firstly, they're entering into premiumization side of things when it comes to
47:06clothing. Second is the lab-grown space that, you know, now they're, you know, foraying into. Thirdly,
47:11they're also, you know, putting in a lot of R&D and a lot of investment into the makeup space,
47:18which they're selling under the brand of Studio West. And lastly, one more thing, the Star Bazaar,
47:23which even Aastha pointed out, is picking up very well in the past, last one quarter. By the way,
47:28I don't know if they checked right now because I've got a message in my ear. Somebody suspiciously
47:34quickly has been able to tell me the price of a one carat diamond, which is around three and a
47:40half lakhs. So I don't know if it's a sign of how quickly they've found out, whether they're in the
47:46market or somebody has bought one for them in the recent past. That's a question for another day.
47:50Let's talk about Tata Power and JSW Energy because these are two stocks that are in
47:57focus today. They're buzzing, they're gaining quite significantly,
48:00likely on the back of an initiation of coverage by Nomura. And we've got Puneet joining in to
48:07tell you about what exactly Nomura has been saying about these two companies. Puneet?
48:12Well, thanks for that. So, you know, it's a very positive report. They've initiated coverage on
48:15both these stocks. Let me just give you the target price. So they have initiated, you know,
48:19with a buy rating on Tata Power with a target price of 560 rupees per share. This is roughly
48:2527 percent upside from the previous close. And they also initiated a coverage with a buy on JSW
48:31Energy as well. Target price of roughly about 885 rupees per share, which is roughly 31 percent
48:36upside from the potential previous close. Now, you know, they said that, you know,
48:40India's power demand has been growing significantly led by the commercial as well
48:44as the residential sector. And they expect a healthy growth of about 5 to 6 percent CAGR
48:48over the next few years, especially in the next five years. And that will be led by renewable
48:52energy. So that is a target of roughly about 500 gigawatts of renewable energy capacity that's
48:58going to be built up over the next by 2030 specifically. And they see that these two
49:03companies will be a key beneficiary of the same. Now, both of these companies are adding huge
49:06capacity of renewable energy capacity going forward for Tata Power specifically. They are
49:12expected to deliver an EBITDA CAGR of about 16 percent between the next three years or between
49:1824 and 27. They are also doubling the renewable energy capacity to 10 gigawatts in the same
49:23time frame and are expected to deliver on these EPC projects as well. There should be a sharp
49:28jump, you know, for Tata Power in terms of profitability, especially because the Odisha
49:32discom problems have now been solved. And, you know, that's going to be one of the key triggers
49:36to watch out for Tata Power. For JSW, they're expecting a higher CAGR of EBITDA 38 percent
49:41between FY24 and FY27. This is also because of doubling of the renewable energy capacity.
49:47They also see earnings visibility with roughly about 92 percent shares tied to long-term power
49:53purchase agreements. So that's one of the key things. So both these stocks in focus because
49:57of this brokerage note. Back to you. I'm coming back to you, Puneet, on another brokerage note,
50:01and this is CLSA. It's an upgrade on Mahindra and Mahindra to an outperform from a buy. The
50:07stock is up 2 percent at 3,123. And the target price by CLSA has been kept at 3,400, which is
50:16considerable upside even from this point. And I'm curious about what you made of that note, Puneet,
50:22because they have comments to make both on the automotive business as well as the
50:25farm equipment sector. And if I'm not mistaken, they are projecting for an improvement in earnings.
50:30Yes, definitely. You know, and there is a new analyst that's coming on CLSA,
50:34which they were very positive on M&M. Now, the target price has been increased from 2,600 earlier
50:39to 3,400. So a very big jump. And they mentioned that, you know, they're saying that there are
50:44three key things for M&M because of this big upgrade that they are seeing now that's led by,
50:48you know, the improved scale as well as a superior mix of higher SUV products that the company is
50:53now selling as well as better pricing compared to the previous few years. Now, they've also said
50:57that, you know, the upcoming EV models are going to be something to be watching out for. M&M is
51:02expecting to have six new EVs over the next six years, and that will increase the higher average
51:07selling prices as well, which will aid EBITDA as well as profitability. Now, for CLSA specifically,
51:12they are estimating a 9% EBITDA margin guidance over the next two years or roughly about FY26 to
51:18FY27 is their estimating this to come in. For, as you rightly said, the tractor segment is expected
51:23to have a higher growth in FY26 compared to the last two years that's been flattered. So that's
51:28another thing. Finally, on what they make of numbers, they see a structural improvement in
51:33M&M's SUV market share. Currently, they are third overall in terms of market share, and they're
51:37implying a higher price to earnings of about 26 times versus 18 times that was between FY18
51:43and 22. So definitely taking into consideration M&M's effort over the last two years and post
51:48the Anisha era, and that's reflective in this higher target price as well. Back to you.
51:51All right, Puneet. Thank you so much for breaking that down for us. But with that,
51:55we're completely out of time on this edition of Ask Profit. But stay tuned to NDTV Profit.
52:00There's more on the other side.