Shah told CNBC-TV18, "Equity broking companies which are listed on the exchanges like Motilal Oswal, Edelweiss, India Infoline, these are all high-quality companies with respected managements quoting at a marketcap of anywhere between Rs 2.5 thousand to Rs 4,000 crore, these are very strong equity players. But if you see there is one company called A.K. Capital which is equally significant in the debt market. It has Rs 182 crore kind of a market cap and it is as good as these players are in equity into the debt market."
He further added, "Next year it would be reporting almost about Rs 65 kind of earnings. It's trading at about hardly 4-4.5 PE compared to 15-18 kind of multiple enjoyed by equity broking players, so why should the market give a step-motherly treatment to debt player like AK Capital when it is a significantly good player. The management has decided in the last month to come out with a QIP, so obviously the QIP would not be done at 4-4.5 kind of PE Multiple. So we do expect a significant movement in the stock. The target for the day is Rs 299."
