Dec 11, 2008, 03.41 PM | Source: CNBC-TV18
Dipan Mehta, Member of BSE & NSE is of the view that one can buy Bharti Airtel in the telecom space.
Dipan Mehta (more)
Member, BSE & NSE | Capital Expertise: Equity - Fundamental ,IPO
Mehta told CNBC-TV18, " MTNL is a kind of a deep discount deep value stock given the kind of cash it has on its books but then I think it has been steadily losing market share and the fact that it has launched 3G does not necessarily mean that process will stop or it will not lose market share. So I think that is a stock, which you could have a trading rally but that is not something, which you want to remain invested for a long period of time."
He further added, " Rel Comm also bit of a leg up could be expected but if the overall market remains steady and we see the continuation of this rally then maybe we could see gains coming in RCOM. Apart from that I think within the telecom sector it is better to go with the leader and Bharti Airtel although in terms of valuations is at a premium within the group, the visibility in earnings which are there and the manner in which they maybe able to take advantage of this new segment that is 3G and value added services, which are opening up they are best plays to take advantage of this emerging opportunity. So my sense is that it is better to go with the leader within the telecom sector. So although we are positive on the sector it is just one stock that we like to buy in at this point of time."
Disclosure: It is safe to assume that analyst and his clients may have an investment interest in the above stock/sector.