Thununguntla advises to exit from SKS Microfinance

Jagannadham Thununguntla, Strategist & Head of Research, SMC Global Securities Limited is of the view that one should not hold SKS Microfinance.

Thununguntla told CNBC-TV18, “I know so many high networth individual (HNIs) and so many investors who are actually loosing big money in SKS Microfinance considering that the stock has fallen all the way from Rs 1452 to Rs 100 levels. I don’t think one should hold on."
He further added, "SKS Microfinance is sort of showing a turnaround both in terms of regulatory environment as well as the financial performance. So, it is a high risky trade but considering the other opportunities in the market I don’t see a reason why one should take that extra bit of risk."