Expect 13% upside in HUL: RBS Asia

One can expect another 13% upside in HUL over the next 12 months, says Parul J Saini, Executive Director, RBS Asia.

Saini told CNBC-TV18, "We have been overweight interest rate sensitives for sometime now. To be fair that was a bit early, but I do think given what the RBI has telegraphed now about rates it makes sense to be overweight interest rates sensitives names, especially beaten down sensitives names. So there I would highlight some of the wholesale funded financial institutions and also banks like say Canara Bank. And on the consumer side I would have howled at something like Maruti and on the infrastructure side a Larson and Toubro."

He further added, "On the staples side we have had a very marginal overweight, but I think we discussed this earlier on also when I was on the show that given the bullish outlook we would probably be taking some money off the table and moving it to some of the other beaten down areas."

"We have upgraded our price target on Hindustan Unilever specifically. We see another 13% upside over the next 12 months or so. But given our view on the markets, I think for a year end rally I think you would probably get more beta in some of the other areas of the portfolio especially things like wholesale funded financial institutions, names like Maruti Suzuki and also some infrastructure names L&T, GMR for example."