Motilal Oswal an attractive bet, says Saurabh Mukherjea

According to Saurabh Mukherjea, Head of Equities of Ambit Capital, Motilal Oswal is a quite attractive bet in the stock broking space. He feels it is the cleanest and neatest play on a market recovery.

Mukherjea told CNBC-TV18, “We have been buyers of Motilal Oswal for a good couple of years. Our view is that amongst the listed stockbrokers this is the cleanest, neatest play on a market recovery. Clearly retail investor interest in the stock market has been waning for the last couple of years. As gold comes off and as the whole regulatory intervention from the RBI into gold also makes it a less attractive play, our reading is that the Indian retail investors will come back into equities.”
“We are already seeing equity MF flows pick up and then next step will be retail equity flows picking up. From that perspective this is the neatest play on a retail investor recovery at 1 times book value, good management and good balance sheet. I would find it a quite attractive bet. Disclaimer: He has some shares of Motilal Oswal in his personal capacity.