Not disappointed with earnings so far; like Supreme Ind: Mehta

Dipan Mehta, member, BSE & NSE, says it is difficult to call a bottom for the market unless bottoms are created for oil and there is stability in China, adding the only comfort is that we are not in a negative terrain by a wide margin.He believes the more time we spend without creating a new bottom, there will be more conviction that a bottom has been formed and we can grow from that base.Spending more time sideways, will give an indication that the level of 7250 is a temporary bottom and markets could steadily improve, says Mehta.From an earnings perspective, he says most numbers reported so far from FMCG, paint companies, private sector banks etc., have been decent without negative surprises.For Godrej Consumer in specific, the numbers have been good and the company has seen a growth in market share and volumes. Volume growth remains the key for the company going forward too because margins on other hand can be protected due to lower commodity prices. It remains a great long-term investment story.He is also very bullish on Supreme Industries that delivered stellar Q3 earnings and with the management being confident of delivering double-digit volume growth for current year.  The stock is also available at reasonable valuation, says Mehta.However, he is disappointed with Max India although the company has done the right things in terms of reorganising their businesses into different companies but the core insurance business has not seen desired growth. It has delivered secular growth after being in business for around 10 years and hasn’t generated great returns for investors. So, it would be better to look at private banks or some NBFCs, says Mehta. Disclosure: Have investments in Supreme Industries