Exide has surged 80% but still not overvalued? Sudip Bandyopadhyay explains why
Sudip Bandyopadhyay, Group Chairman, Inditrade Capital, says fertilizers and agrochemicals is one sector where they have become bullish. He says last week's excitement was based on the fact that some GST concession was expected and that is, to an extent, unfounded. He does not think the GST Council has yet started deliberating on that at all. So, it will take a lot of time.
Amara Raja has doubled this year already. Exide is up 80% and there are still buyers.
Sudip Bandyopadhyay: This transition from IC to electric vehicle is giving a significant opportunity to the battery manufacturers. And remember, in IC, the battery used to be one component, whereas in EV that is going to be the most important component. And a significant part of the value of the EV will be in the batteries. So, the opportunity size for the battery manufacturer in the automobile ecosystem is going up many-many fold.
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Obviously, the established battery manufacturers – Amara Raja as well as Exide – are naturally seeing and seizing the opportunity. Of course, today's excitement is on the back of the fact that the technological tie-up which they have with their Slovakian investee company, they have an investment and they have increased the investment to close to 10% in the Slovakian company and the technology
