Moneycontrol
Last Updated : Jun 06, 2016 04:53 PM IST | Source: CNBC-TV18

Prefer Cholamandalam Investment on dips, says SP Tulsian

SP Tulsian of sptulsian.com is of the view that one may prefer Cholamandalam Investment on dips.

SP Tulsian of sptulsian.com told CNBC-TV18, "If you see the financial performance of last two or three quarters of Cholamandalam Investment, the kind of growth the company has shown looking to it size also, I don’t think that that kind of growth has been shown by any non-banking financial company (NBFC) because you have to take a comparable size also."

"There is no point in comparing with the microfinance or all other companies and secondly if you see the management commentary when they came in and all sort of things, actually people got bit confused while referring the results of last two quarters because of the change in the accounting treatment, because earlier one of the subsidiary became associates, so profits of that associate company has shown as below line, not added into the top line and shown in the operating profit and all that, but going forward I am still keeping a positive view on the stock, but not at the current level because if you really take a call on all NBFC, practically they are all seen to be quite heated up and I won’t be surprised to see the profit booking coming in across the board in many of them to the extent of about 8-10 percent and that could be taken as an entry point for Cholamandalam as well," he added.
First Published on Jun 6, 2016 04:53 pm
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