Buy Cummins India, target Rs 820: Swati Hotkar

Swati Hotkar, technical research analyst at Nirmal Bang Securities recommends a buy rating on Cummins India with a target price of Rs 820 and a strict stop loss placed at Rs 785. The stock has lost 23 per cent so far in the calendar year 2016. The stock is looking bearish on the charts.

Cummins India is a low beta stock (-0.52) and is trading well below its 50-day, 100-day and 200-day moving averages placed at Rs 861.44, Rs 886.38 and Rs 975.34, respectively, as per data collated by ETMarkets.com. The stock is trading with a P/E of 29.44 and P/B of 10.63.