Exit JP Associates, prefer Maruti Suzuki: Mayuresh Joshi

Mayuresh Joshi, VP- Institution at Angel Broking told CNBC-TV18, "Jaiprakash Associates’ numbers have been not that encouraging and the net loss probably has widened this quarter around and in terms of the share interest in financial cost that this company services, that takes a toll on to their bottomline in a substantial manner.”

“You’re not looking at any substantial improvement probably happening in terms of the cash flows for the company. They have got all sorts of issues and probability is that they are looking at selling of the non-core. You have seen some amount of sale happening on their cement divisions and so on and so forth but a lot more deleveraging probably needs to be done on the balance sheet to really improve the cash flow situation,” he added.

“The regulatory aspects are hurting the stock in terms of corporate governance issues that the stock had been riding through over the past few months. So, my take probably would be on rallies to get out of this stock and one can look at specific stocks within the banking or the auto packs or something like an Axis Bank, an ICICI Bank on declines from the private space or even something like a Maruti Suzuki or a Hero Motocorp from the auto space look attractive to us," he said