Moneycontrol
Last Updated : Oct 26, 2018 01:45 PM IST | Source: CNBC-TV18

Best to wait till Nov 10-15 before buying in this market: Ajay Srivastava of Dimensions

With regards to Yes Bank stock, Srivastava said that they would continue to hold on to the stock but not average up or add up at current levels.

CNBC TV18 @moneycontrolcom

Ajay Srivastava, CEO of Dimensions Corporate Finance Services, spoke to CNBC-TV18 about the current selloff in the Indian equities and shared his outlook on specific stocks.

"Conundrum faced by most investors is that currently there are enough reasons to sell in this market but they are not finding triggers to buy. Liquidity is waiting on the sidelines but is unwilling to commit," Srivastava said on October 26.

"The question is not about valuations anymore but in general the earnings so far haven’t been very good and so people would prefer to wait. So the best case would be start to buy not before November 10-15 once big numbers of autos, steel etc come out and then take a call," said Srivastava.

With regards to Yes Bank stock, he said that they would continue to hold on to the stock but not average up or add up at current levels.

"The problem in this market as an investors is that market is only looking at reasons to sell and not at positives to buy. So although there are reassurances from company management, the uncertainty remains with regards to Yes Bank," Srivastava said.

“This is not a market which is going to wait for a signal to buy at this point, I think it is waiting for a signal from the regulator, with regards to where it stands on this whole IL&FS issue, the NBFC issue," said Srivastava.

"So market needs some trigger to buy and need organised institutional trigger to say things are getting under control at least domestically," he said.

With regards to the banking space, Srivastava said, "The pricing power for them is coming back and they have got transitional advantage now."

Talking about the sentiment of retail investors, he said, "This onslaught has frozen them out. There is no panic reaction to redeem but would prefer to wait and watch."

 

Source: CNBC-TV18
First Published on Oct 26, 2018 12:05 pm
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