Why Mahantesh Sabarad is avoiding cement stocks now, seeing valuation mojo in two-wheelers

economictimes.indiatimes.com:

Independent market expert Mahantesh Sabarad says “this could probably be the good time to lock in your home buying activity because you will potentially see interest rates falling as you go ahead because most of the home loans are variable interest rate structured, you will tend to find that benefit coming in. I do not believe that this is the time to get into the cement companies as a play on the real estate sector. ”

Do you think cement and building materials is a better way to play the real estate theme right now because the real estate developers themselves have run up quite substantially?
Yes, sometimes it does make sense to play in the real estate segment through the cement companies but not always.

In fact, now that we are seeing that the real estate companies have done really well, both in terms of the overall sales momentum that they are able to garner as well as the prospects ahead because a lot of repair of the economy has happened post-Covid, which is inducing the buyers to buy into or lock in into homes, particularly given the fact that we have had rising interest rates now which are seemingly peaking out.
We have not changed the interest rates for quite a few months now and it tells us that this could probably be the good time to lock in your home buying activity because you will potentially see interest rates falling as you go ahead because most of the home loans are variable interest rate structured, you will tend to find that benefit coming in.

I do not believe that this is the time to get into the cement companies as a play on the real estate sector.

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