A positive breakout move was seen in the Syndicate bank chart, we are now bullish on the stock and one can start accumulating this stock at current levels as stock is now in consolidation phase as seen on charts.
The market capitalization of this company is more than Rs.6,000 crore as on 4 March 2011. EPS of the company is at Rs.17.7 per share and book value of the stock stands at Rs.100. At current market price (115) the stock trades with P/E of just 6.5, which is very attractive.
Looking at these above fundamentals we find that the valuation of the company is very attractive. Technically speaking we saw the breakout above the resistance level of 112, also the EMA crossover on 25 Feb 2011 confirms the possible uptrend.
So buy Syndiacte bank (SYNDIBANK) stock in range the of 110 – 115 for short term target 131 and 146 also place a protective stop loss below 106.
This will surely be a multibagger stock in future, with 16% upside potential in near term.
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