What should investors do now – book profit or hold for the long term? Here’s what analysts are saying:
Satish Kumar, Research Analyst, Choice BrokingWe have a neutral view on the company and had assigned a ‘subscribe with caution’ rating. The issue is valued at a P/E of 51x on FY21 EPS basis, which looks expensive. The private wealth industry has high competition, and change in regulations like mutual fund commission fess and technological developments are major risks. A major portion of the revenue comes from mutual fund sales and direct-linked debentures, while core private wealth segments like PMS and alternative investments are missing in Anand Rathi’s business profile. The issue listed with modest gains of 9 percent. We recommend investors to book profit.Gaurav Garg, Head of Research, CapitalViaInvestors can hold the stock for short-to-long term as new-age technology-led business verticals might turn out to be a dark horse. In any healthy correction of 8-10 percent from the band might turn out to be an opportunity for long-term investment.Also read: MapmyIndia IPO: Trading at 100% premium in grey market after 154 times subscriptionSantosh Meena, Head of Research, Swastika InvestmartAnand Rathi saw moderate listing gains on expected lines. Long-term investors should hold the stock on the back of a strong industry outlook, while those who applied for listing gains can keep a stop loss at Rs 550. New investors can look for buying opportunities at any dip with a long-term view.Divam Sharma, Founder, Green PortfolioShort-term investors can consider an exit at the current levels, while long-term investors can continue holding the company as the future potential growth in the business looks promising.Also read: Data Patterns IPO opens today. Should you subscribe to the issue?Sonam Srivastava, Founder at Wright ResearchWe believe Anand Rathi is an extremely attractive company in a lucrative financial intermediary space, and investors should hold this after allotment.Parth Nyati, Founder, TradingoThe company saw a decent response that was in line with our estimate. We believe the wealth creation industry has tremendous potential and may perform much better in the coming years. Short-term investors who got the allotment can place a stop loss at Rs 550, while long-term investors can hold the stock. New investors can look for long-term investment opportunities after the market stabilises.Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
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