Slow and steady wins the race
Rakesh Jhujhunwala doesn’t believe in discounting a large part of the future into the present even for growth stocks like internet companies. The Big Bull doesn’t like to pay much for companies that have perceived large markets and good positioning in those markets, but have very little or no cash flow. Here is more on RJ’s screening parameter for stocks and what drew him towards the gaming stock Nazara which is coming out with its IPO this week.
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Booming industrials: A sign of classic recovery
Morgan Stanley India’s Ridham Desai says that after continuously declining for almost 25 years, the share of manufacturing in GDP is likely to rise for the first time as India is becoming more attractive as a manufacturing destination. Read the full interview here.
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Gold losing sheen?
Considered a safe haven asset, gold usually reacts to extreme economic uncertainties, be it hyperinflation or deflation. Amar Ambani of Yes Securities says in ordinary inflationary times, gold does not perform well. Hence, the market veteran argues that the yellow metal is now in a classic bear cycle which will last for a long time. Here’s more on what the expert has to say on gold’s outlook.
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PSU lenders building up steam!
Dipan Mehta of Elixir Equities says the June quarter is expected to see a windfall for PSU banks in terms of margins over their private peers. He says, writing back of provisions on the P&L book is one of the reasons for margins to swell. Here’s why Mehta is betting on PSU banks.
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Sailing the stormy seas
Just like sailing in rough high seas, it’s best not to go head on into a high tide but to sail in the direction of the tide, it’s better to take a similar approach while riding a volatile regime change in the market. The best way to tackle this volatility is by riding the underperformers. Naveen Kulkarni of Axis Securities provides clarity on how to tackle a regime change in the market with major anecdotes. Read here.
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