Technical Analyst, Ashwani Gujral is of the view that GMR Infrastructure can go back upto Rs 185.
Gujral told CNBC-TV18, Jaiprakash Associates just ran into a strong support of about Rs 190. I think it needs to get past Rs 255-260 before one could say that it's bottomed out. There is s a good opportunity for the people those who are stuck in the stock will probably get out, all of last year’s heroes, the stocks that went up like crazy they have lots of ownership and they are not going to bottom out in a hurry."
He further added, "As long as GMR Infra can sustain Rs 140-145 levels, rallies back upto Rs 185 are possible but again same problem here. We have seen what’s happened to RNRL and RPL same over ownership and that’s going to provide lot of resistance. Again, I have been saying that get into under owned sectors and you’ll probably do very well this year instead of trying to go back into those same stocks."
Mehraboon Irani of Centrum Broking feels that at 2,500-2,600 despite the negative, which has come right now Larsen and Toubro, L&T looks like decent value buy.
Irani told CNBC-TV18, "When L&T came down very sharply and lowered by around 10% as compared to the Friday’s close, temptation was there to buy but the problem is that disclosures if they are not met and the market in which we are right now where even a stray selling here and there could push down prices further. There is always a fear that we could possible shed some more as far as that particular script goes but looking at all the negatives right now, hopefully that is final negative, which we have heard on the L&T front at Rs 2,500-2,600 it looks a decent buy. Because even if we look at the down grades as far as earnings estimate goes by couple of brokerage houses even they are talking of price target of Rs 3,100-3,200-3,300."
He further added, "I am quite confident that we will see a price much higher than this in the next 12 months because if not for this negative news, even if it was at Rs 3,100, I would have said L&T now definitely looks possibly going in for value buying. So Rs 2,500-2,600 despite the negative, which has come right now, assuming we don’t any other negative news coming in for L&T, looks like decent value buy."
Source: moneycontrol.com
