Buy Hindustan Zinc at lower levels: Prakash Diwan

Prakash Diwan of Altamount Capital Management told CNBC-TV18, "Vedanta is more of that corporate restructuring, the kind of cash strength that the balance sheet now acquires and now that the merger is through, that is where the upside was and now that the news is out people would have to wait for it to start delivering on operational metrics and that could take a while." 

"Tata Steel has not had any headway. There was a lot of positivity around the European businesses being finally divested at a decent level. That kind of also has gone into a little bit of a back burner of sorts because of the Brexit issues. The third is Hindalco Industries, I think it is more to do with the fact that Hindalco has peaked out from its current operational benefits that it would get, the leverage that it has, the efficiency that is built in." 

"In fact one stock in that space which I feel is great buy at lower levels while these three could probably still be given time to cool off is Hindustan Zinc. The reason being there also we had this huge dividend playout which was awaited and after that the stock has kind of lost it mojo a bit in terms of attractiveness. I think given the operational improvement that it would see in the next couple of quarters, it is definitely a great stock to keep on adding to your portfolio at lower levels," he said.

"I would believe that it is not going to take too long for these stocks to revive and Hindustan Zinc could probably be first of the blocks when that happens."