Prefer private sector banks: Tushar Mahajan

Tushar Mahajan, Head of listed Futures & Options - India at Nomura told CNBC-TV18, "The private sector banks are probably a more preferred bet versus the public sector banks. If you look at the valuation zone the public sector looks definitely better, but if you look at the Non-Performing Asset (NPA) story people are not really too convinced on the valuation argument for the public sector banks as well."

He further added, "If you have to look at within the banking space the preference is for the private sector banks, but when there is a sectoral drought there is only one better than the other. It is really tough to call it for an absolute performance mode."