Phani Sekhar, Fund Manager, Angel Broking view on Tata Group stocks.
Sekhar told CNBC-TV18, " Tata Sponge is more of a value stock and there are no growth drivers in this stock atleast for the next two years till the time that it gets hold of the coal mines and starts producing from it. It is a low cost player and extremely good operating metrics, everything is fine, valuations are extremely good at less than one time book value and being a Tata Group company, it makes immense sense but I think lack of growth drivers is making the stock languish at these levels and I am not surprised with the spike up in the stock because it had to had some trigger for it to go up. I think now with Tata Steel denying it, you will see that the stock might sulk because it was up by around 25% in the last two trading sessions."
