Technical analyst Pradeep Surekha has maintained 'sell' rating on Cairn India Limited stock with a target of Rs 320.

According to analyst, the investors can sell the stock with a stop loss of Rs 338.

The analyst also said that the stock will drop further, so it's better to sell it now.

The stock of the company, on December 15, closed at Rs 330.50 on the Bombay Stock Exchange (BSE).

The share price has seen a 52-week high of Rs 368 and a low of Rs 250.10 on BSE.

Current EPS & P/E ratio stood at 13 and 25.36 respectively.

London-listed miner Vedanta Resources decided to make use of returns from the initial public offering of its Zambian copper biz to part finance its $9.6 billion acquirement of Cairn India.

Vedanta plans to utilize some of the $1.1 billion it plans to lift via an IPO of Konkola Copper Mines (KCM) to pay back portion of the $6 billion debt it has taken up to get hold of bulk stake in Cairn India.

Cairn India recorded consolidated net profit of Rs 15,850.80 million for the three month period ended Sep 2010 as against Rs 4,695.10 million for the corresponding period of 2009.