Auto sector seems to be an interesting space at the moment: Enam Holdings

The 10 most valued domestic companies together added a whopping Rs 4,04,068.05 crore in market valuation last week, with RIL and HDFC Bank leading the gains. Here are the top 10 firms according to their market capitalisation for the week ended April 9:

Sridhar Sivaram, investment director at Enam Holdings, spoke to CNBC-TV18 about the current opportunities in the market and his views on the auto space.

"Our broad belief is that this is a cyclical slowdown that we are seeing and we are seeing a lot of opportunities in the market. We think this quarter could possibly the worst," Sivaram said.

On the investment front, Sivaram said, "Saw a statistic recently that out of the roughly 2,800 stocks that trade in the market, 65 percent of them are down more than 50 percent and another 25 percent down between 25 percent and 50 percent. So even though the index is giving a different picture, there has been carnage in the broader market."

"Therefore, we think that there are a lot of opportunities in the broader market and that’s where we are shopping right now because some of them are good brands or good business models; maybe going through some cyclical slowdown right now or some other issues and that’s where the opportunity is," he said.

"We think autos are an interesting space to look at. We are seeing opportunities in chemicals, in commodities like cement, multiple sectors. Therefore, I am not able to give a particular answer that this should be the sector," Sivaram added.

Talking about the broader market, he said, "The correction has been so steep in the last 18 months that I would want to believe that there isn’t much correction left."

Source: CNBC-TV18