Sangeeta Purushottam view on auto space

You will start seeing a lot of stock specific movement happening and given the concerns on oil and interest rates at this point, it is hard to build a very bullish case for autos right now, says Sangeeta Purushottam, Market Analyst.

Purushottam told CNBC-TV18, "I think we will see a moderation in earnings growth and I also think that within the auto pack, if we step back six months; we saw all auto companies performing very well. I think we will start to see divergence happening amongst these. On the whole I would say that the two-wheeler company should continue to do reasonably well because that is the most or rather that is the least cyclical element of the auto space."

She further added, "Also within the other companies, let us say cars or UV makers, I would say that it will be companies like which have better pricing power, which will do better but there will be moderation in sales growth, there will be moderation in profit growth, the CV cycle will also slow down considerably. So I think you will start seeing a lot of stock specific movement happening and given the concerns on oil and interest rates at this point, it is hard to build a very bullish case for autos right now."