Buy Coal India on dip, says Phani Sekhar, Fund Manager, Angel Broking.
Sekhar told CNBC-TV18, "If one is willing to hold for the long-term Coal India being monopoly in the coal sector and it's likely to be for at least next 5-7 years. I think the investors has no reason to panic and sell out, it's an opportunity that one should use and buy on every decline because although the plain reading of the FSA at this point in time makes things little unattractive for Coal India but as they always say the devil is in the detail, so we don't know whether Coal India is headed the ONGC way or the Petronet LNG way because you can also visualise a scenario where out of imported coal, Coal India may have a marketing margin because some of this coal might not be going in strictly for companies which will have a PPA."
He further added, "So there are several permutations and combinations that are possible and there are the whole logistics issues these things have been discussed for the last two days. I think investor should stick to his/her stock and keep on buying at every decline because over the next two years I see the stock going above Rs 400."
