Hold Wockhardt, says Sriram Rathi

Sriram Rathi of Anand Rathi told CNBC-TV18, "On Wockhardt, we are recommending a hold. One should wait for any fresh buying for next two-three quarters because there will be no positive trigger on Wockhardt for next two-three quarters."

He further added, "The only thing is that the valuations are looking very attractive at current valuations. It is trading close to six-seven times FY15 earnings and on the base business side after considering the impact of US FDA import alert as well as UK Medicines and Healthcare products Regulatory Agency import alert, the earnings per share for FY15 could be upwards of Rs 100. Therefore, based on that, the valuations are looking very attractive."
"In case of Cadila, Aurobindo, Claris we have seen that in case of US FDA import alert the stock takes almost one year to one-and-a-half year to start rerating further in terms of valuations. So, similar kind of thing is what we are expecting in case of Wockhardt. The stock has corrected significantly compared to any other stock. So below Rs 800, we do not see any significant downside from hereon in the stock. But investors, who are already holding on to this stock, should continue to hold," Rathi said.