ITC may outperform, says KR Bharat

KR Bharat of Advent Advisors told CNBC-TV18, "There will be an issue when an economy which is growing at 8-9 percent five years ago, you talk about a 3.8 or a 4 percent, there is a significant slowdown. You just have to sort of look around you in terms of what is happening to prices and therefore what is happening to the consumption story. So, there is an impact across the board. I don’t believe that, that slowdown and the impact is going to affect the larger companies as much as it will affect some of the smaller companies."

"The rural story is still not as bad as perhaps the urban story. While there may be a bit of disappointment with the ITC numbers, I think over time a stock like ITC will outperform for a couple of reasons. One is the rural story that it encapsulates and a lot of its products are reasonably recession proof and therefore notwithstanding some dips it will by and large given the fact that it has quality management, it will outperform."