Chat Transcript

Insurance | 01 Sep - 10:00hrs

What is the outlook on equities?


Dipen Shah | Head of Private Client Group Research, Kotak Securities

hmtgniet8275: Want to invest 2 lakh now for min 5 year....Please suggest good stock
Dipen Shah: The markets have corrected steeply, largely due to global factors. This provides an opportunity to pick up stocks with a long term view. In terms of picks, one should look at stocks across sectors. We feel select stocks in sectors like private sector banks, autos, IT, Pharma and Infrastructure should do well.
pritamswarup: I have 225 units of Adani Power @32.89. What should I do...Should I buy more to average or hold at the same position...
Dipen Shah: In the past few quarters, the power sector has seen reforms like coal block auctions. However, the high indebtedness of the State Electricity Boards is hindering sale of power by the generating entities. The Government is trying to solve this issue and the sector will see better days once they start buying power
kank20: hello sir, pls advice on HPCL, JBM auto that I am holding since long? Also which are the short term stocks for trading? thanks
Dipen Shah: It is difficult for me to talk on short term movements in stocks. The prospects of OMCs are determined largely by movement of crude prices. Crude prices had corrected sharply but have also bounced back in past three days. We believe that, curde prices will remain ranged atleast in the foreseeable future, which will bode well for OMCs.
guest: hello sir gud morning .......... i have bought 100 share of SBI at 261.2 level .......... Should i Hold it or Sell
Dipen Shah: We believe that, the deterioration in asset quality of the banking sector may be nearing the end. However, it will take some time for the improvements to happen. Interest rate cuts from RBI will also come in due course. So, one needs to hold on to the Banking stocks for a longer time to benefit from the same.
guest: Is it time to enter the market after sharp down fall or wait for some more time? what are the entry levels??
Dipen Shah: The steep fall in markets has come in due to the global factors. The sharp fall in prices offers an opportunity to enter stocks of companies with credible managements and strong balance sheets, with a medium-to-long term perspective. It is always better to `Buy in Panic` rather than do`Panic Buying`.