ETMarkets Smart Talk- Plan to invest Rs 10 lakh? Here are 7 stocks for long term wealth creation: Vikram Kasat
“One should have an optimal mix of large and midcap companies with a good hold on valuations,” says Vikram Kasat — Head Advisory, Prabhudas Lilladher Pvt Ltd.
In an interview with ETMarkets, Kasat said: “Our top picks remain with D-Mart, ICICI Bank, Reliance Industries, SBI, and others for large caps and Ashok Leyland, Safari, Chalet Hotels, and others for midcaps” Edited excerpts:
With the June quarter results season almost over – what do you make of the results from India Inc. as well as the future commentary? Any results which stood out?
1Q24 was the first normal quarter after 1Q20, devoid of any covid wave during the quarter or base quarter.
The demand scenario is mixed, with some green shoots in 2-wheelers and FMCG in rural India.
Urban discretionary spending shows a seasonal uptick in QSR, price correction led growth in Jewellery while most discretionary segments are depressed.
However, travel, tourism, and spending on marriages continue to show strong growth.
Capital Goods, Pharma and Travel have given maximum beat in sales, Agri and specialty chemicals have been worst performers with 8-10% decline in sales.
Auto, Pharma, and Travel have given maximum beat in EBIDTA, Sp. chemicals, Agri, and building materials have seen 6-26% lower EBIDTA than estimates, Capital Gods, Durables, and Staples were largely in Line.
Agri and Sp. Chemicals have given 56% and 26.5% miss on PBT while Auto (JLR), Durables, Pharma, and Travel (Aviation) have shown better numbers.
How are you seeing small & midcap space? Are foreign investors also chasing more of these growth stocks?
Small cap space is very interesting as post-Covid a lot of new opportunities have tapped into India with new and niche innovations, transforming the whole tech
