Phani Sekhar of Angel Broking told CNBC-TV18, "TVS Motor Company might be triggered enough for another 10 percent rally, that is a matter of finer detail, because merging two finance arms does very little over the medium to long-term for the operational aspects of a sagging business. So my advice to the investor would be either sell it now or maybe levels closer to Rs 49."
He further added, "TVS lost market share of close to 3.5 percent over the last five years. The entry of Honda has hit TVS the most. It was actually a French player with close to 8-10 percent market share and whenever you have new competition coming in it is always the third or the fourth player that gets hit the most."
"Adjusting for all these subsidiaries losses I think valuations are not at all cheap. I guess it is a good idea to get out of TVS and look at stronger companies in the auto, but on declines. Maybe one can look at Bajaj Auto on declines," Sekhar said.
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