Shah told CNBC-TV18, "Because of new listing the retail normally what one does is that, they applies into the new list, tries to make out whatever they can make and take it off the table, so that is one of the reason why there is a lot of interest in this stock. Secondly, I would advice caution in this kind of issues because, most of times when the promoters enter the market when the markets are at high, it is basically to try to get as much as from the market and many of them are quoting at very fair valuations, infact many of them are quoting above fair valuations"
He further added, "I would at best caution and infact ask investors to be away from many of these companies, which are quoting at 15-20 times PE multiple and where the growth is also likely to be about 10-15% kind of growth. So one can book profits in many of the counters like Deep Industries, KEW Industries and Atlanta and all that."
Disclosure: We hold almost every company, which we have recommended.
