Angel Broking: BUY L&T and Axis Bank
Angel Broking has suggested BUY Calls for Axis Bank and infrastructure major Larsen & Toubro. For private sector banking major Axis Bank, Angel Broking has given a price target of Rs 500. And, for L&T, the target price has been suggested at Rs 1093.
As per Angel Broking report, L&T has a stable order book and majority of government orders will be stable. As per the report, L&T has a strong order backlog of Rs 3 lakh crore. Majority of the order book is from the central government, state government and PSU, where risk of cancellation is low.
L&T is currently trading at Rs 942 and target price of Rs 1093 offers a decent return with low risk. Whenever the markets recover from major sell-offs, better performing companies like L&T stand to gain as investors express their confidence in effective management.
Angel Broking has suggested accumulate call for Axis Bank with target price of Rs 500. Axis Bank is currently trading at Rs 450 and this call offers 10 percent return from current levels. Angel Broking report added that Axis Bank is available at a significant discount to historical average valuations, Axis Bank offers favorable risk reward from current levels given global tailwinds.