L&T, Punj could disappoint further: Kotak

There is a more scope for disappointment in Larsen and Toubro (L&T) and Punj Lloyd, says Sanjeev Prasad, Institutional Equities, Kotak Securities Limited.

Prasad told CNBC-TV18, "There is more scope for disappointment in L&T and Punj Lloyd. If you look at L&T, for next year we have about Rs 86 EPS and that is predictive about Rs 940 billion of order inflows. So I think that is a pretty tall task now looking at the way infrastructure spending is slowing down to some extent. So unless and until you see a quick turnaround as far as capex cycle is concerned, I think the order booking will disappoint over there." He further added, "Also if we have higher steel prices that will also feed into lower margins to some extent. In Punj Lloyd execution has been a big challenge for them for some time and I don