The markets are barely 3 per cent below record highs and yet 500 stocks have hit their 52-week lows on Tuesday. It seems markets are willing to put money only into HDFC twins, Reliance, TCS and Infosys.
The indices have scaled record highs, thanks to these four stocks. The rest of the stocks are languishing. Here are a 4 stocks that are at 52-week lows, which you can bet on.
L&T Finance Holdings
On Tuesday, this stock crashed to a new 52-week low of Rs 107.95. In fact, the stock is now down significantly from 52-week highs of Rs 189.
The stock is now trading at less than 10 times price to earnings multiple, which is very cheap for a stocks that comes with a solid pedigree.
Crisis in the NBFC space has had its toll on the stock, which is why you are getting it so cheap. However, L&T Finance Holdings has no problems with liquidity and has a very strong book. The shares are also available on a cum dividend basis. The shares at the current levels are not a bad bet, especially since they are at a near 52-week low.
IndiaBulls Housing has also suffered because of problems in the NBFC sector. However, the stock at Rs 555, offers you a dividend yield of 7.22 per cent, which is now equivalent to interest on fixed deposits. Dividends are also tax free in the hands of the investors.
The company has a very strong liquidity position, with cash and cash equivalents at near Rs 28,000 crores. Interestingly, the company also sees substantial repayments from customers every quarter.
The stock is now trading at a p/e of just 5-6 times one year forward earnings, which is at a historic low for the company. The shares of the company are now at a 3-year low as well.
The management of IndiaBulls Housing expects earnings to grow at around 18 per cent in the years to come. This stock is only for those who have an appetite for risk.
Escorts has presence across high-growth sectors of agri-machinery, construction and material handling equipment and railway equipment.
This is another stock that has dived to a 52-week low. The shares at these levels are trading at just 12-times one year forward earnings. The shares have seen a 52-week high of Rs 943, and have dived to Rs 518 ever since. At these levels they are not a bad bet at all.
As the government increasingly focuses on increasing the capex and improving the agricultural economy, we would see performance of the company improve in the years to come. Buy the stock for long term-gains.
This is another stock that has plunged in the last few trading sessions. It has now hit a new 52-week low of Rs 248 and has almost halved from 52-high levels of Rs 494.
TV Today runs very popular news channels including Aaj Tak, Headlines Today and Tej. The stock is now trading at p/e levels of just 10 times one year forward earnings. The company is expected to do well in the coming years due to the strong brand equity. Buy the stock at these levels.
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