Nirmal Bang Research has maintained ‘Sell’ rating on Larsen & Toubro (L&T) stock in order to avoid loss.

According to research report, the stock has been an out-performer in this entire rally and going forward, if it breaks Rs 1315 and trades below consistently then investors could see further weakness.
 
The report added that below Rs 1315, the stock can fall up to Rs 1210-1125. On the higher side strong resistance is placed at Rs 1450.

Today (July 13), the stock opened at Rs 1340.10 on the Bombay Stock Exchange (BSE). Current EPS & P/E ratio stood at 59.48 and 22.31 respectively. The share price has seen a 52-week high of Rs 1800 and a low of Rs 557 on BSE.

After selling the stock, the interested investors can purchase the stock again at a low price, for medium term prospective to make good returns.

As per reports, US-based company Gilbarco Veeder-Root is in the final talks to ink a deal in order to purchase L&T’s fuel dispenser business for around $50 million.

The dispenser divisions situated at L&T’s Coimbatore and Mumbai plants bring in 0.57%, or around Rs 2.2 billion, to its twelve-monthly revenues.

Larsen & Toubro, on July 01, pocketed big orders worth Rs 6,510 million for two hydrocarbon projects.

The company will construct a green field refinery plant at Bathinda for HPCL-Mittal Energy (HMEL), valued at Rs 4,400 million.

Moreover, the company has bagged an order from Engineers India for supply and production of a reactor and regenerator system worth Rs 2,110 million for the Fluidized Catalytic Cracking (FCC) division of Mangalore Refinery and Petrochemicals (MRPL), Mangalore.

On June 29, the company received 6 orders valued at Rs 12.30 billion from the electrical projects in India.

This consists of four orders worth Rs 10.30 billion for transmission line and railway construction, and two orders worth Rs 1.99 billion for the building of sub-stations.