5Gem

5 Gems #7

In announcing the Gems, we have tried to create a balanced portfolio of stable and aggressive stocks.

Hero Motorcorp and Kitex as more aggressive and NHPC Coal India & RECL will rise on a firm ground.

Gem 1

Coal India Ltd

CMP 146.60

  • Market Cap: ₹ 90,192 Cr.  
  • High / Low: ₹ 165 / 110
  • Stock P/E: 6.54
  • Book Value: ₹ 59.3
  • Dividend Yield: 10.9 %
  • ROCE: 46.1 %
  • ROE: 37.0 %
  • Face Value: ₹ 10.0

Near term uptrend likely over the next few months due to Baltic Index and QE Taper may firm USD thereafter.

  • INVEST

CMP 146.60

TARGET:

208  for 3 months, SL 122

Gem 2

REC Ltd

CMP 154.30

  • Market Cap: ₹ 30,463 Cr.
  • High / Low: ₹ 168 / 91.8
  • Stock P/E: 3.46
  • Book Value: ₹ 219
  • Dividend Yield: 8.24 %
  • ROCE: 9.29 %
  • ROE: 21.3 %
  • Face Value: ₹ 10.0

It is undervalued since long and now ready to rise.

INVEST CMP 154.30

Target: 193 2-3mths

GEM 3

NHPC Limited

CMP 27.65

  • Market Cap: ₹ 27,825 Cr.
  • High / Low: ₹ 28.6 / 19.6
  • Stock P/E: 8.20
  • Book Value: ₹ 32.9
  • Dividend Yield: 5.78 %
  • ROCE: 9.70 %
  • ROE: 10.5 %
  • Face Value: ₹ 10.0

Another stock to pile on soon for short term.

Invest CMP 27.65

Target: 36, 2-3 months

Gem 4

Kitex Garments Limited

CMP 171.00

  • Market Cap: ₹ 1,138 Cr.
  • High / Low: ₹ 224 / 91.2
  • Stock P/E: 18.3
  • Book Value: ₹ 105
  • Dividend Yield: 0.88 %
  • ROCE: 11.4 %
  • ROE: 8.12 %
  • Face Value: ₹ 1.00

US Markets are 74% of its business

Firm USD + QE taper and normalcy post pandemic could help.

Invest CMP 171.00

Target: 262 2-3 months

 

Gem 5

Hero Motocorp Ltd

CMP 2799.00

  • Market Cap: ₹ 55,931 Cr.
  • Current Price: ₹ 2,799
  • High / Low: ₹ 3,629 / 2,636
  • Stock P/E: 18.0
  • Book Value: ₹ 772
  • Dividend Yield: 3.21 %
  • ROCE: 24.2 %
  • ROE: 18.7 %
  • Face Value: ₹ 2.00

It’s time now to be better valued by even 50% more.

INVEST CMP 2799.00

Target:

3230 2-3 months

3856 5-6 months

Trading Candlesticks Course

Related Articles

Leave a Reply

Your email address will not be published.

Check Also
Close
Back to top button