What to expect from TCS Q4 earnings? Sandip Sabharwal answers
«I think these are broadly the themes which from a stock market perspective could do well. Then, the power demand could go up and that could benefit some of the power companies supplying on merchant basis and I think that those stocks already also had some sort of run up because of this,» says Sandip Sabharwal, asksandipsabharwal.com.
Let us begin by getting in your thoughts then on the latest brokerage notes as well that are coming in from something like a Zomato. JM Financial has raised the target price and categorically said there is no signs of slowing down. Your views?
Yes, so I think among the new generation companies which got listed, Zomato has been the one which has shown the fastest turnaround. Now, the pace of turnaround I believe is already built into the stock prices and this is a normal phenomenon when price reaches a particular level, then the brokerage upgrades the price targets. But the price target is aggressive. So, even a small amount of slippage in expectations can lead to a sell-off. So, I would think that the stock is more than fairly valued at this price. I would believe that the valuations are on the higher side at 196 levels.
IndiGo, who would have thought a year ago that a stock which was at 1800 would go all the way up to 3700?
Yes, we actually thought that and I have been lucky enough that we have ridden the entire wave of IndiGo. Now, we are seeing some downgrades coming from brokerages. I think it is more a matter of like that Hindi saying goes, baithe baithe kya kare, karna hai kuch
