Tata Motors - Buy on further declines

Investors with a long-term perspective can buy the Tata Motors stock. At the current market price of Rs 801 it trades at a PE of about 5.5 times its trailing twelve month consolidated earnings. Improved cost structure, product and market mix at JLR (Jaguar Land Rover), a low debt-to-equity ratio and focus on the less cyclical domestic LCV ( light commercial vehicle) market strengthen the case for investment. Unease about moderation in the domestic auto industry and a slowdown in JLR’s key markets of US and Europe coupled with broader market volatility has seen the stock hit its 52-week low of Rs 785 earlier this month. The first quarter results too have been sedate , with the consolidated year on year net profit growth at less than one percent.

With the steep correction in the stock price, the apprehensions seem to have been factored in. Moreover, JLR has continued to do well operationally with a top line growth of 20 per cent year on year and EBITDA margins, at around the same 15 per cent recorded in the June 2010 quarter. Retail sales grew by 7 per cent, in volume terms during this period. JLR’s 3 per cent year on year drop in profits has been due to an unfavorable revaluation of foreign currency denominated assets and liabilities and higher taxes. One-time costs such as expenses incurred on the issue of bonds and pre-payment charges on high-cost debt repaid have also capped profit growth.

Better product, market mix

Going forward, questions on the financial stability of some countries in Europe and concerns on the raising of the debt ceiling in the US might slowdown the volume growth for JLR in these regions. Both UK and Europe has seen demand soften in the first quarter While the first quarter volumes have been partly affected by the impending launch of the MY12 (model year 12) products and engine constraints for Jaguar, the company hopes to mitigate the risk of a slowdown by rebalancing its product and market mix. September 2011 would see the launch of the Range Rover Evoque, a compact SUV, and an entirely new segment for JLR. The Evoque already has about 18000 booking worldwide. The 2012 Jaguar XF will also be launched shortly along with other refreshed JLR products. In terms of markets, the company is focusing on emerging markets like Russia and China. Having grown at 55 per cent and 48 per cent respectively in the first quarter, these emerging markets currently bring in about 22 per cent of the total volumes. On the operating front too, the company is better equipped to handle a slowdown than last time having brought about variety reduction in materials, standardisation of parts across models and platforms, improved sourcing from low cost destinations (at over 20 per cent currently) and setting up assembly plants in countries like India . The consolidated net debt to equity in the core automotive business (excluding the finance arm) has also been brought down to 0.69 as on June 30.

Domestic initiatives

Back home, the company has grown better than the industry in both the Medium Heavy Commercial Vehicles (MHCVs) and the S&LCV ( Small and Light Commercial Vehicles) segments in the first quarter, growing by 5.5 per cent and 19 per cent. Considering the high interest rates, slow industrial output and the flat freight rates, a further moderation in the CV industry is on the cards. But infrastructure spending and the catching on of the hub and spoke model may keep demand for tippers and trailers going. It is also banking on the strong demand for the less cyclical SCVs to bring in volumes. Capacity expansions for Ace/Magic, and the ramp up of Ace Zip and Magic IRIS is expected to provide further impetus to growth. Competitive pressures on the passenger car segment, however, remain. The company hopes regain lost market share by expanding dealer networks to semi-urban/rural areas, by more focused promotion efforts and through launches such as the Aria two-wheel drive, Vista refresh, new Safari and Manza limited edition. The softening of commodity prices also indicates

The company gave negative returns for the last 1 year and is likely to perform better from here on.

Time Span	Price	Change	%Change
Today	801.10	-44.50	-5.26
Week	889.50	-43.90	-4.93
Month	1,043.65	-198.05	-18.97
Three Months	1,210.90	-365.30	-30.16
Six Months	1,144.65	-299.05	-26.12
One Year	1,024.00	-178.40	-17.42

Investors with long term horizon should start accumulate the scrip from Rs.750 levels and hold for a period 2-3 years for a super gains and target price of Rs.1500

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Tata Motors Buy on correction

Tata Motors, a leading player in the global and domestic auto industry, benefited from a sharp improvement in the performance of its Europe-based marquee brands Jaguar and Land Rover (JLR) during FY11. Apart from strong vehicle sales growth, especially in China and Russia, the company's cost-saving measures in Europe also paid off.

As a result, the company's JLR operations reported a segment profit of Rs 7,700 crore for FY11, a rise of more than 140 times from a year earlier, while revenues in this segment grew by 42.3 per cent y-o-y to Rs 70, 218 crore. Total JLR sales grew 25 per cent y-o-y to 2.41 lakh units in FY 11 on strong demand.

JLRs operations accounted for nearly 57 per cent of Tata Motor's consolidated revenues of Rs 1,23,133 crore (approximately $27.4 billion) during FY11, and helped the company to deal with higher commodity input costs. Tata Motors has also improved its ranking in the latest Fortune Global 500 list to 359, from last year's rank of 442.

Tata Motors will shortly launch the SUV Evoque in Europe. Consumer interest for this model is understood to be strong. This should help the company to deal with the fallout of the European debt crisis. In addition, there are fears of a slowdown in the fast-growing BRIC countries. This has cast a shadow on its growth momentum in the short term. In the domestic market, auto finance rates are on the rise and there are signs of a slowdown in the broader auto sector. Tata Motors' consolidated vehicles sales (including JLR) grew 11 per cent y-o-y in the first two months of this fiscal.

Tata Motors is understood to have received strong consumer interest for its SUV Evoque, which will be launched soon. This should drive growth in Europe in the short term.

In its domestic operations, however, rising auto finance rates remain a key cause for concern. Also, while commodity prices have shown signs of easing, they still remain at elevated levels. The company has also approached the judiciary with regard to its dispute with the West Bengal government for its Singur land.

Investors could consider Tata Motors as an investment on a long-term basis. While 900 acts as a strong support 1200 could be big resistance, getting past it has a potential to reach 1500 in the next 1 year

The following table indicates the kind of returns Tata Motors gave to investors.

Time Span	Price	Change	%Change
Today	975.55	6.85	0.70
Week	1,043.65	-74.95	-7.18
Month	930.25	38.45	4.13
Three Months	1,243.85	-275.15	-22.12
Six Months	1,188.20	-219.50	-18.47
One Year	812.50	156.20	19.22

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Buy Tata Motors

Company: Tata Motors
Broking House: JP Morgan
Rating: Overweight Price Target: Rs 825

The consolidated results of Tata Motors were a positive surprise, says JP Morgan in its note. The reported profit of Rs 650 crore was driven by improved performance of JLR, which recorded a profit of £55 million. JLR saw a total volume of 56,700 during December quarter versus sale of 44,300 units for the September quarter. The management too has given a positive outlook for the year, guided by the recovery in volumes and the soon to be launched premium Jaguar XJ. JP Morgan has retained its overweight rating on the company as it expects better volume domestically and internationally. The brokerage also expects a sharp impro-vement in cash flows and the gearing for the firm.

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Brokerage Views - Crompton, Tata Motors, Tata Tea, Dishman, BHEL

Analysts' corner

S I Team / Mumbai March 30, 2009, 0:21 IST

Crompton Greaves
Reco price: Rs 122.15
Current market price: Rs 120.95
Target price: Rs 110
Downside: 9.5%
Brokerage: BNP Paribas Securities

Crompton Greaves (CR) will be investing Rs 230 crore for acquiring a 41 per cent stake in Avantha Power (AP). AP has four captive power units and is in the process of developing two more power plants of 600MW each, which include Korba Project at Raigarh in Chhattisgarh and Jhabua Project at Seoni in MP.

The total consolidated cash in FY09E is expected to be Rs 405 crore. Thus, post the acquisition of AP, the company can buyback a maximum of 3.9 per cent of outstanding shares. However, given the company’s need for working capital, the maximum buyback will be up to 1.6-2.0 per cent of outstanding shares. The company has successfully integrated three acquisitions to fill in product gaps and to enter new geographies. The brokerage favours the continuation of this acquisition strategy to acquire technologies such as HVDC and automation systems than to forward integrate into power generation. At Rs 110, the stock trades at 7.3x of FY10E earnings. It is trading at a discount to its peers due to a higher exposure to weakening T&D capex cycle in Europe and US (40 per cent of sales) and on account of the weakening demand in its industrial and consumer segments. Maintain reduce.

Tata Motors
Reco price: Rs 166
Current market price: Rs 172.70
Target price: Rs 100
Downside: 42.1% 
Brokerage: Edelweiss Securities

---

Tata Motors has launched Nano with several options, wherein the base version is priced at about 30 per cent lower than the M800. With deliveries slated to start in June 2009, the company is likely to produce around 50,000 units in FY10. This will contribute Rs 500 crore to standalone revenues. But, Nano is expected to be profitable only on high volumes, thus the project is unlikely to make a positive contribution to the company’s bottomline in FY10.

The favourable demographics of the Indian market indicate a large potential demand for a low-priced car like Nano. However, the key to the car’s success will be its on-road performance. Given the huge excitement the car has generated, any let down will impact its demand. Initial reviews of the car will be crucial to its success. While Nano could yield Tata Motors long-term positives depending on its performance, till then, the company is likely to continue to be plagued by a large funding gap, decline in domestic CV sales, and integration of Jaguar and Land Rover. The brokerage has estimated a fair value (target price) of Rs 100 for the stock. Maintain sell.

Tata Tea
Reco price: Rs 553
Current market price: Rs 559
Target price: Rs 853
Upside: 52.6%
Brokerage: Sharekhan

---

With tea volumes growing moderately in the domestic and international markets, Tata Tea is seeking opportunities to expand its beverage portfolio beyond tea and coffee. Tata Tea has launched ‘T!ON’, a tea and fruit based cold beverage in three variants-Mango Rush, Peach Punch and Apple Buzz in a 400 ml pet bottle priced at Rs 22. The non-carbonated beverages segment is growing at a healthy rate of 35-40 per cent in the domestic market. Tata Tea’s entry into this segment could be the much-needed revenue driver.

The company’s profit margins have been under pressure in FY09 and are likely to remain so with higher raw material prices, especially due to tea prices staying firm on account of tight demand-supply situation in India and globally. However, with a portfolio of strong global brands, Tata Tea has the ability to take price increases to ease the pressure on margins. In the domestic market, it has selectively hiked prices by 7-9 per cent in the beginning of Q4 FY09. The brokerage expects the company to sustain margins in FY2010.

The company’s focus on new geographies and new initiatives (green and herbal tea, fruit-based beverages and mineral water) augur well to sustain the growth at a consolidated level. At Rs 553, the stock trades at 8.7x its FY10 earnings estimate and 3.2x EV/EBITDA. Maintain buy.

Dishman Pharmaceuticals
Reco price: Rs 95
Current market price: Rs 98.15
Target price: NA
Brokerage: ICICI Securities

---

Dishman Pharmaceuticals is a world-class player in the global CRAMS market with expected revenues of Rs 1,000 crore for FY09, of which the CRAMS segment is likely to contribute around 75 per cent. Dishman’s collaborative deal with Polpharma of Poland will utilise the former’s back-ended capabilities and this deal is expected to be a medium-term positive with expected revenue contribution from FY11.The company announced a 13 per cent salary cut for all its employees along with production cut by one day per week at its manufacturing plant at Bavla, near Ahmedabad. This is likely to result in cost savings of Rs 6-7 crore for FY10. With customers tightening inventory and R&D budgets, most CRAMS players are facing a demand slowdown. Besides, rationalising in Solvay’s (top customer of Dishman) production sites could result in lower growth in revenues and profit, at least through to FY10.

The highest ever forex loss in Q2 FY09, issue of pledged shares and mid-cap stock correction has seen the stock tank 69 per cent in the past six months. Dishman is on track to achieve its FY09 PAT guidance of Rs 150 crore. The stock trades at FY10E P/E of 4x and P/BV of 0.9x. Reiterate buy.

BHEL
Reco price: Rs 1,410
Current market price: Rs 1,570.15
Target price: NA
Brokerage: India Infoline

---

Although execution issues are easing, the thermal power project site where BHEL is a BTG vendor is still facing constraints for acceleration in execution. The physical targets set for FY09 would be missed by 12-13 per cent. Domestic supply-chain bottlenecks have eased significantly, with the Trichy plant being able to meet the requirements well ahead of schedule. Considering the execution issues, FY10 revenue targets would translate into around 20 per cent growth, which is 5-6 per cent lower than consensus estimates. In FY08, BHEL’s revenues were in line with the targets. In FY09, BHEL is unlikely to outperform, given the execution slippage in Q3. Hence, FY10 consensus revenue estimates could be revised downwards.

In Q3, the management increased the FY09 employee cost estimates to Rs 4,300 – Rs 4,500 crore. Thus, in FY10, employee costs could provide a positive surprise (pending final negotiations), notwithstanding increased gratuity provisions. Against order inflow guidance of Rs 40,000 crore given at start of the year, the management expects to end the year with inflows of Rs 60,000 crore, a 20 per cent y-o-y growth in an environment where other engineering players are finding it difficult to sustain order books. Maintain buy.

Current market price as on March 26, 2009

source : business-standard

Market Voices 13-03-09

Today the Indian market witnessed one of the strongest session in recent months. Largecap stocks gained in strength though midcap and smallcap stocks were muted in their gains. Sensex is up 5.3% and Nifty is up 4%. BSE Midcap index was up 0.8%, BSE Smallcap index was up 2.5% over the week. BSE Metals index up 6.7%, BSE Auto index up 6.5%, and BSE Oil & Gas index was up 6.2%.  

It was a cheerful day for the Indian market that closed on a highly positive note. Sensex shut shop at 8756, up 413 points and Nifty at 2719, up 102 points from the previous close. CNX Midcap index was up 2.9% and BSE Smallcap index was up 1.9%. The market breadth was positive with advances at 890 against declines of 202 on the NSE. Top Nifty gainers included DLF, Tata Power and Tata Motors while losers included BPCL, ABB and NTPC.  

Hold long position in RIL, says Rajat Bose, technical analyst, on CNBC TV18. But do not buy at current levels because it is trading near its resistance level of Rs 1320, he adds. The stock is at Rs 1282.35, UP 6.7% on the BSE.  

Hold NTPC with long-term view, says Gaurang Shah of Geojit Financials, on Zee Business. Buy more at Rs 165, he adds. The stock is at Rs 170.20, down 2% on the BSE.  »

Hold Nagarjuna Construction for 12 months, says Sailesh Kanani of Angel Broking on CNBC Awaaz. It will give returns of 80-100%, he adds. The stock is currently trading at Rs 40.50, up 4.1% on the BSE.  

The Indian economy is close to bottoming out and it could turn around by Q4 this year, says Sam Mahtani of F&C Investments on CNBC TV18. He expects the second half of the year to be positive backed by the steep decrease in interest rates and aggressive monetary policy actions that was taken over in the past couple of months.  

Stay invested in Axis Bank, says VK Sharma of Anagram Stock Broking on CNBC TV18. It is one of those stocks in the private sector which has done pretty well, he adds. The stock is currently trading at Rs 330.55, up 8.6% on the BSE. 

Hold long positions in Nifty for target of 2780 and stop loss of 2660, says E Mathew, technical analyst, on CNBC TV18.  

It was a stellar day for the Indian market thanks to excellent global cues. Sensex closed at 8789, up 445 points (provisional) and Nifty at 2725, up 108 points (provisional) from the previous close. CNX Midcap index was up 3.1% and BSE Smallcap index was up 1.9%. The market breadth was positive with advances at 870 against declines of 315 on the NSE. This is the largest point and percentage gain for Nifty since December 10, 2008, says NDTV Profit.  

Buy Sesa Goa on dips, says Ashwani Gujral, technical analyst, on CNBC TV18. It has support at Rs 65 and resistance at Rs 105, he adds. The stock is at Rs 80, up 5.5% on the BSE.  

Go long on Cairn India at Rs 170 with target of Rs 175, says Vijay Bhambwani, technical analyst, on CNBC TV18. Keep stop loss of Rs 167, he adds. The stock is currently trading at Rs 169.70, up 3.95% on the BSE.  

Buy DLF when it goes above Rs 150 with target of Rs 162, 180 and 211, says Prasad Kushe, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 140, he adds. The stock is currently trading at 153, up 11.8% on the BSE.  

Hold Videocon Industries, says Rajesh Jain of SMC Global Securities on Zee Business. It has resistance at Rs 140-150, he adds. The stock is currently trading at Rs 84.50, up 1.8% on the BSE.  

The Indian market is trading firm with the Nifty above the 2700 mark. Commodity stocks are showing strength. The Asian markets closed on a high. Sensex is trading at 8716, up 372 points and Nifty is at 2709, up 92 points from the previous close. CNX Midcap index is up 2.7% and BSE Smallcap index is up 1.8%. The market breadth is positive with advances at 887 against declines of 300 on the NSE.  

Buy DLF on dips, says Sudarshan Sukhani, technical analyst, on CNBC TV18. It is worth taking a long call on this stock, he adds. The stock is currently trading at Rs 151.50, up 10.7% on the BSE.  

Buy Ambuja Cement with target of Rs 75 and 86, says Prasad Kushe, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 63, he adds. The stock is currently trading at Rs 68.80, up 1.6% on the BSE.  

HSBC maintains a buy call on Reliance Industries with target of Rs 1640, reports CNBC Awaaz. It is expected to give returns of 36% from current levels, it adds. The stock is currently trading at Rs 1271.50, up 5.8% on the BSE.  

Hold Chambal Fertilisers with stop loss of Rs 32, says Rajesh Jain of SMC Global Securities on Zee Business. It is trading in the range of Rs 32-42, he adds. The stock is currently trading at Rs 36.10, up 3.1% on the BSE.  

Hold GMR Infra with target of Rs 85, says Rajesh Jain of SMC Global Securities on Zee Business. The stock is currently trading at Rs 71.50, up 3.7% on the BSE.  

Buy Tata Motors with target of Rs 162 and 172, says Prasad Kushe, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 148, he adds. The stock is currently trading at Rs 158.30, up 8.5% on the BSE.  

Buy Dena Bank with target of Rs 36, says Ashwani Gujral, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 28, he adds. The stock is currently trading at Rs 30.85, up 4.1% on the BSE.  

Buy ICICI Bank on dips, says Sudarshan Sukhani, technical analyst, on CNBC TV18. It has a long-term support between Rs 200-250, he adds. The stock is currently trading at Rs 307, up 8% on the BSE.  

The Asian and European markets are trading positive and following the global cues, the Indian market continues to hold up fairly well. Both the largecap and midcap indices are showing good gains. Sensex is trading at 8668, up 324 points and Nifty is at 2695, up 77 points from the previous close. CNX Midcap index is up 2.6% and BSE Smallcap index is up 1.4%.  

Hold HUL which has support at Rs 185 and Rs 210, says Ashu Bagri, technical analyst, on NDTV Profit. It has resistance at Rs 245, he adds. The stock is currently trading at Rs 228.50, up 1.4% on the BSE.  

Exit Indiabulls Real Estate on rally, says Sharmila Joshi of Systematix Shares on NDTV Profit. Invest in some other sector altogether, she adds. The stock is currently trading at Rs 89.60, up 4.7% on the BSE.  

Hold Shree Renuka Sugars with target of Rs 98-100, says Akshita Deshmukh, technical analyst, on CNBC Awaaz. It has support at Rs 75, she adds. The stock is currently trading at Rs 76.75, up 2.1% on the BSE.  

Investors should sell Satyam on rally, says Phani Sekhar of Angel Broking on CNBC Awaaz. There is, however, trading opportunity in this, he adds. The stock is currently trading at Rs 46.60, down 1.3% on the BSE.  

Hold Axis Bank and sell when it reaches Rs 425, says Ashu Bagri, technical analyst, on NDTV Profit. It has support at Rs 220-270 and resistance at Rs 352-396, he adds. The stock is currently trading at Rs 326, up 7.1% on the BSE.  

Hold L&T for 2-3 years, says Gaurang Shah of Geojit Financials on Zee Business. It will give very good returns, he adds. The stock is currently trading at Rs 603, up 4.7% on the BSE.  

Buy Cairn India at its support level of Rs 150, says Sudhanshu Pandey, technical analyst with LKP Shares, on CNBC Awaaz. Sell at Rs 168-170, he adds. The stock is currently trading at Rs 169.80, up 4% on the BSE.  

The Indian market continues to look good and cheerful as the Asian markets surge too. The indices are gaining ground. Banks, IT, realty and metals zoom. Sensex is trading at 8654, up 311 points from its previous close, and Nifty is at 2687, up 68 points. CNX Midcap index is up 2.4% and BSE Smallcap index is up 1.3%. The market breadth is positive with advances at 852 against declines of 302on the NSE.  

Hold Tech Mahindra at current levels, says VK Sharma of Anagram Stock Broking on CNBC TV18. The stock is currently trading at Rs 260 on the BSE.  

Hold Rajesh Export and exit when it reaches Rs 30, says Ashu Bagri, technical analyst, on NDTV Profit. It has support at Rs 19-20, he adds. The stock is currently trading at Rs 22.30, down 0.9% on the BSE. 

Hold Hero Honda with target of Rs 1040, says Akshita Deshmukh, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 935, she adds. The stock is currently trading at Rs 957.60, down 1.5% on the BSE.  » 

Invest in Escorts with long-term view, says Paras Bothra of Ashika Stock Broking on CNBC Awaaz. It will give good returns, he adds. The stock is currently trading at Rs 36.65, down 2.9% on the BSE.  

Hold GVK Power for long term with stop loss of Rs 12, says Gaurang Shah of Geojit Financials on Zee Business. The stock is currently trading at Rs 18.45, up 1.9% on the BSE.  

Buy SBI, Axis Bank and PNB on dips, says Daljeet Kohli of Emkay Shares and Stock Brokers on CNBC Awaaz. These are safe stocks to invest in, he adds.  

Buy Mahindra & Mahindra at Rs 280, says Sudhanshu Pandey, technical analyst with LKP Shares, on CNBC Awaaz. It has resistance at Rs 334, crossing which it might go up to Rs 410, he adds. The stock is currently trading at Rs 352.20, up 7% on the BSE. 

Hold Reliance Capital with stop loss below Rs 274, says Simi Bhaumik, technical analyst, on Zee Business. The stock is currently trading at Rs 303.80, up 7% on the BSE.  

At noon, the market continues to look good, steadying the gains of the day. Most heavyweights are pushing the indices up, except for NTPC which is trading in the red. Sensex is trading at 8625, up 281 points from its previous close, and Nifty is at 2685, up 68 points. CNX Midcap index is up 2.4% and BSE Smallcap index is up 1.4%. The market breadth is positive with advances at 867 against declines of 268 on the NSE.  

Buy Bharti Airtel at current levels but with strict stop loss, says Sudarshan Sukhani, technical analyst, on CNBC TV18. The stock is currently trading at Rs 550.70, up 0.1% on the BSE. 

Buy Satyam at around Rs 38 and hold for 3 years, says Gaurang Shah of Geojit Financials on Zee Business. Stop loss for short term should be Rs 32, he adds. The stock is currently trading at Rs 46.25, down 2.01% on the BSE.  

Buy IDFC on decline at around Rs 40-42, says Paras Bothra of Ashika Stock Broking on CNBC Awaaz. One can get returns of 10%, he adds. The stock is currently trading at Rs 47, up 5.2% on the BSE.  

Sell RIL on rally, says Sudhanshu Pandey, technical analyst with LKP Shares, on CNBC Awaaz. Crucial levels to watch out for are Rs 1260-1280, he adds. The stock is currently trading at Rs 1238, up 3% on the BSE.  

Hold ICICI Bank with stop loss of Rs 248, says Simi Bhaumik, technical analyst, on Zee Business. It has resistance at Rs 330-350, she adds. The stock is currently trading at Rs 305.50, up 7.5% on the BSE..  

Buy Kotak Mahindra Bank at around Rs 230-210 with trading target of Rs 255-260, says Anil Maghnani, technical analyst, on CNBC TV18. Keep stop loss of Rs 205, he adds. The stock is currently trading at Rs 239, up 3.3% on the BSE.  

Hold Rolta India with stop loss of Rs 38, says Simi Bhaumik, technical analyst, on Zee Business. Exit when it reaches Rs 47-50, she adds. The stock is currently trading at Rs 43.35, up 4.8% on the BSE.  

An hour into opening, the market is looking good, holding on to the morning's gain. The Asian markets are rallying, too, with Hang Seng and Nikkei looking rather strong. Sensex is trading at 8584, up 244 points from its previous close, and Nifty is at 2677, up 59 points. CNX Midcap index is up 2.1% and BSE Smallcap index is up 1.5%. The market breadth is positive with advances at 820 against declines of 249 on the NSE.  

Buy Ashok Leyland on dips with stop loss of Rs 15, says Sudhanshu Pandey, technical analyst with LKP Shares, on CNBC Awaaz. It has a crucial level of Rs 17.20, crossing which it might go up to Rs 22, he adds. The stock is currently trading at Rs 17.15, up 3.3% on the BSE.  

Sell Dewan Housing on rally, says Paras Bothra of Ashika Stock Broking on CNBC Awaaz. The company is under pressure at the moment, he adds. The stock is currently trading at Rs 53.65, down 0.6% on the BSE.  

Hold Tata Motors with target of Rs 185-195, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss of Rs 135, she adds. The stock is currently trading at Rs 153.60, up 5.2% on the BSE.  

Hold Tata Steel with target of Rs 165-175, says Simi Bhaumik, technical analyst, on Zee Business. The stock is currently trading at Rs 160.80, up 3.1% on the BSE.  

Buy Emco with stop loss of Rs 23, says Anil Singhvi, market expert, on CNBC Awaaz. Traders keep target of Rs 31-32, he adds. Investors can expect returns of 25-30%, he says. The stock is currently trading at Rs 29.40, up 13.1% on the BSE.  

Buy Sesa Goa on decline of 5-10%, says Paras Bothra of Ashika Stock Broking on CNBC Awaaz. The stock is currently trading at Rs 78.80, up 4% on the BSE.  

Go long on Bank Nifty with target of 3525-3550, says Devangshu Dutta, market expert, on CNBC TV18. Keep stop loss of 3375, he adds.  

Sell Wipro on rally at Rs 225 with target of Rs 200, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 230, he adds. The stock is currently trading at Rs 215.95, up 1.8% on the BSE.  

Traders should buy equities today, says Sudarshan Sukhani, technical analyst, on CNBC TV18. He feels that buyers could either take profits or carry their position into Monday.  

The market opens on a reasonably good note today, following a rally in the US market. Autos and financial stocks are leading the gains. Sensex is trading at 8563, up 219 points from its previous close, and Nifty is at 2676, up 59 points. CNX Midcap index is up 1% and BSE Smallcap index is up 0.4%. The market breadth is positive with advances at 401 against declines of 58 on the NSE.  

Go long on Nifty Futures with target of 2690, says Devangshu Dutta, market expert, on CNBC TV18. Keep stop loss of 2580, he adds.  

Some covering by Nifty 2500 Put buyers was seen yesterday, says VK Sharma of Anagram Stock Broking on CNBC TV18. The Options data now indicates a neutral view with IVs coming down, he adds. He sees resistance for Nifty at 2680 and feels that a higher closing would lead to a short covering rally.  

There could be a short covering rally in the next few days followed by a collapse, says Anil Maghnani, technical analyst, on CNBC TV18. He sees resistance levels for Nifty at 2650 and 2700 and support at 2410 and 2480.  

The bias is on the upside for the near term given the positive global cues, says Amitabh Chakraborty of Religare Securities on CNBC TV18. He feels that the Nifty can go up to 2700, while the key support is at 2500. There are hopes that the Q3 GDP may be revised upward after the good IIP data, he adds