Watch the interview of TS Harihar of HRBV Client Solutions with Latha Venkatesh & Sonia Shenoy on CNBC-TV18, in which he shared his readings and outlook on market and specific stocks.
Below is the verbatim transcript of TS Harihar's interview with CNBC-TV18
Information & technology
As far as the frontline IT is concerned, which is essentially Wipro, Infosys, Tata Consultancy Services (TCS) and Tech Mahindra and of course HCL Technologies, we would believe that the so-called impact of the cross currency would be about 2-3 percent, 3 percent would be a worst case scenario. The good thing that is probably being missed out is that we could see TCS and Infosys giving a much better guidance. I am not saying in terms of earnings guidance but in terms of the business guidance, their exposure to smack and their revenues from digital, these could be the positive factors for both the companies.
The pessimism is probably little too much in technology stocks and if you are a kind of investor with about six months perspective, it should be the time to get in and start buying the frontline IT futures. I am not so positive on the second run but yes, the frontline IT stocks, they are definitely a buy at these prices.
Glenmark Pharma
Glenmark Pharma is a stock with a great pipeline. It has got approvals from FDA and more importantly, the FII limit has been hiked recently for Glenmark. We are looking at a target of about Rs 1,180-1,200 in a quarter. It could be the outperformer within the pharmaceutical pack while the overall pharmaceutical stocks like Sun Pharma and Lupin would consolidate. We could see this stock outperforming the entire pharmaceutical pack.
ICICI Bank
I was a little negative in ICICI Bank when the Q3 was announced because there were some concerns on the non-performing assets front. But what we understand is that the worst of the non-performing assets (NPAs) is now behind the bank. The valuation gap between Axis Bank and ICICI Bank should eventually narrow.
At about Rs 318-320, to me it looks like compulsory buy. If you are looking at private banks, as a proxy for the Indian growth story, I would believe that ICICI Bank at these valuations would be a compelling buy for me.
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