Capital First may move to Rs 468: Daljeet Singh Kohli

Daljeet Singh Kohli, Head of Research at India Nivesh Securities told CNBC-TV18, "Capital First is divided into two parts. Out of their around Rs 12,000 crore of loan book, around Rs 8,000 crore comes from small and medium enterprise (SME) and around Rs 1,000 crore comes from consumer durable finance sector.""Now, SME, if you are saying that there will be economic revival in the country, then SME will be probably and with this Make in India and all these kind of ease of doing business coming in, SMEs will be great beneficiaries, so this business can grow very well," he added."Second thing is the consumption boom likely to come following this Seventh Pay Commission recommendation of 23 percent increase of the salaries, this will lead to a boom in the consumer durables sector. And this company is following exactly the same business model which Bajaj Finance follows. So, very low non-performing assets (NPA), high quality assets and both the businesses on the trigger points of getting new fresh revival. So, that is where we think 2016 calendar will be different for this company.""We have give a target of Rs 468, but there are a lot of triggers. As the return ratios improve, the valuation multiple will also improve over a period of time," he said.