Buy Core-education. FY 12 target stands at 330, FY 13 target stands at 400

Core-education & Technologies

Core-education and Technologies is one of India's leading company in e-learning space, along with Educomp Technologies.

The domain of e-learning is growing exponentially in India as more and more schools are moving towards digital learning space.

Company's fundamentals are very strong. In FY11, it earned EPS of 20 Rs. In 9-months of FY12, it has attained EPS of 21 Rs and likely to close this financial year with EPS of 30 Rs. Hence, even if we give conservative Price-to-Earning (PE) of 10-11X PE, the scrip should close at 300-330 Rs by this month end.

For FY13, it is expected to earn EPS of 40 Rs and with PE of 10X, the target price for FY13 stands at 400 Rs and hence, shows an upside of 40% from the current levels. DII and FII holdings is increasing gradually which indicates strong belief in this company's fundamentals.

Technically too, the stock is in bullish phase in short term. In weekly charts, the short term trend is on verge of breakout from long term levels which if happens, will take stock to 300 Rs.

Financial Results

Bank of Baroda - Sell at 845 with target price of 770, Stop Loss of 890

Sell Bank of Baroda

1) Bank of Baroda has made a downwards trend line starting from Nov 10 when it made a high of 1050. Similar tops have been made at 980 and then 870.

2) There was a strong support zone in 845-860 range where it traded for 3-4 months before it breaks it down and now acting as a resistance zone.

3) First Support comes at 770 where the current rise started around 10 days back. The second support comes at 730 where the stock has taken support three times.

4) 5 Day exponential moving average is above 34 Day average which is a bullish signal. It indicates that stock might try to enter into resistance zone.

5) RSI is neutral which again indicates bullish for short term.

Overall, the stock is likely to face resistance at around 5% from the current levels from where we anticipate favorable risk-to-reward ratio. Hence, we recommend "Sell" at those levels.