Wednesday, September 9, 2009

PORTFOLIO ANALYSIS - SAMPLE 3 ( X-7 )

In this tranche of Mr X's portfolio we will dwell upon some scrips belonging to Auto Sector and Steel Sector. Stay tuned!

MARUTI
Holding 80 shares @ 750, CMP - 1518
1 yr tgt- 2600
Maruti has had a fabulous run up and is probably a spent force. You are sitting on more than 100% profit and there is no reason to hold on to such a position. With market correction Maruti can so easily come down between 800 to 875. Booking profit and re-entering after correction would be a prudent thing to do.

ASHOK LEYLAND
Holding 200 shares @ 36, CMP - 41.25
6 mnth tgt- 55; 1 yr tgt- 70
Immediately Ashok Leyland can touch 44. That should be the point to book profit but then you should re-enter at 36 during its correction. From there on you should hold the scrip for one year's target.

TATA MOTORS
Holding 50 shares @ 780, CMP - 565.8
6 mnth's tgt- 700, 1 yr's tgt- 830
Tata motors should correct from here to about 400. You should pick up 50 additional shares at 400 level. Keep one year's target to exit the scrip

JSW STEEL
Holding 55 shares @ 618, CMP - 731
6 mnth tgt- 1050, 1 yr tgt - 1350
JSW Steel can be held for 6 month's target of 1050 and then trading techniques should be employed for maximising profit at major dips. Major correction in the scrip could also come around 850.

TATA STEEL
Holding 120 shares @ 270, CMP - 464.8
6 mnth tgt - 700 , 1 yr tgt- 900
Tata Steel could be held for at least six month's target of 700 and then trading at dips could be done. However if you do not want to trade then keep the scrip for one year's target of 900.