Portfolio Manager, PN Vijay is of the view that right now things are not too good for HCL Infosystems .
Vijay told CNBC-TV18, "One has to be very careful about it. Redington and CMC which are almost in the similar space are probably better at this point in time. The thing about HCL Infosystems is - it's a pretty hardware type of driven company. Though they have been trying to go into solutions but some of the other sister companies concentrate more on solutions. So it's really a hardware company. They try to put out integrated systems but they have not gone too far on that. So I would say that on the business level also there are certain questions about the business model and the EBITDA margins."
He further added, "Coming to the CWG, the Shunglu Committee came out with a very damming report, almost as damming as the CAG Report which set in motion lot of other things in the 2G. So the CBI is picking on contract after contract and going deeper. I am in no position, I am not Prashant Bhushan to talk about the legality of it. But, right now things are not too good for HCL Infosystems."
