Tweet Buster: Which stocks to sell when valuations are at peak?

NEW DELHI: As the stock market retreated from its all-time high levels, PSE, metals and pharma stocks gained momentum last week. Analysts say Nifty may continue to remain in a broad range after a possible technical pullback. In this edition of Tweet Buster, we scan the social media feed to help you navigate market uncertainty.

Honest admission
Zerodha co-founder and CEO Nithin Kamath explained why he is pessimistic about the valuations of brokerages around the world, including that of his own firm Zerodha.

Bullish Call
Sanjiv Bhasin of IIFL Securities has a target price of Rs 1,850 on Adani Enterprises by Diwali.

Checklist
Kalpen Parekh of DSP Mutual Fund says that to know the risk of investing, check if you can overcome the phase of being unlucky at the peak of cycle and have to exit at low in the next one. “If you can overcome this phase of risk – returns will belong to you,” he says.

Asset allocation
Parekh gave an example to explain how asset allocation will work when it feel it doesn’t work.

Clearing the dilemma
Dalal Street veteran Shyam Sekhar said the confusion on what to sell increases when valuations are near peak. “Just rank the stocks on set parameters. Start at the bottom. Sell weakest stocks first and keep moving up. Overall, keep improving portfolio quality alongside raising liquidity,” he says.