Page 8 - VP-MARCH 2016 final8
P. 8
technical
pick
TVS Motors: Buy TVS Motor Company is the third largest two-wheeler
CMP: ` 290 (As on3rd March, 2016) manufacturer in India and one among the top ten
Target Price : ` 324-336 in the world, with annual revenue of more than Rs.
Buy : ` >296 10,131 Cr in 2014-15 (around USD 1.6 billion), and
Stop-Loss: ` 279 is the flagship company of the, USD 7.29 billion in
2013-14, TVS Group. The company has a production
capacity of 3 million 2 wheelers & 1.2 Lakh 3 wheelers
a year.
TVS group spans across industries like automobile,
aviation, education, electronics, energy, finance,
housing, insurance, investment, logistics, service and
textiles and has over 90 companies under its umbrella.
TVS Motor Company Ltd (TVS Motor), member of
the TVS group, is the largest company of the group
in terms of size and turnover. The company has four
manufacturing plants, three located in India (Hosur,
Tamil Nadu and Mysore, Karnataka and Nalagarh,
Himachal Pradesh) and one in Indonesia (Karawang).
Technical Outlook:
On the weekly chart, the stock has taken support at
the lower trendline of the channel. At present strong
resistance is seen at Rs 296 level. Any close above the
mentioned level would lead to a momentum in the
stock.
Hence we recommend to buy the stock above Rs 296
with a stop loss of Rs 279 for a target of Rs 324 -336
levels.
8 ARIHANT CAPITAL ยก MARCH 2016
