Jitendra Panda‘s view on IT sector

Jitendra Panda, HD - Sales Broking, Future Capital Ltd view on IT sector. The large caps IT stocks are losing their sheen and the midcaps and the small caps are doing well.

Panda told CNBC-TV18, “If you see earlier in IT sector pack the large caps are losing their sheen and the midcaps and the small caps are doing well whether it’s with HCL Technologies earlier and then Hexaware. Now we see Mahindra Satyam adding lot of interest and lot of positions getting added there. So we see some upside momentum because we are seeing a tactical shift from the large cap companies where they are facing headwinds on the pricing power and the margins whereas these smaller companies are able to manage the cost and able to manage the margins. So that shift is giving a clear angle. If you look are looking the IT sector, certainly Hexaware at a lower level and even HCL Tech and then certainly Mahindra Satyam could be taken after the results and all that we can take long positions there. We have seen technical breakouts also.”