See 15-20% return in media space: Porinju Veliyath

Porinju Veliyath, MD & Portfolio Manager, Equity Intelligence India told CNBC-TV18, "Media as an industry has a long way to go from the market capitalisation point of view. However, we have only selected few companies; stock picking is a challenge, it is not very easy. When you look at reasonable or attractive valuations, I find Sun TV looks good even though there is some overhang about the management issues and all. However these things may not affect the core activity, operations of the company."He further added, "They have a got a very large market share in south. They have a very high profit margin too. There are some issues like new competition coming up, new strong channels are coming up but inspite of all those things it is a very reasonable market capitalisation - Rs 13000-14000 crore kind of a market cap. It is available at below 10 PE.""Again there was some controversy about accounting in Eros International. It is another company available around Rs 1700 crore market capitalisation. I am not telling about particular companies, investors can search. This is a very important industry in a country with 1.3 billion people. The movies, the film industry is the biggest portion of the entertainment industry in India.""There is a growth projected something like 15 percent for next 5-15 years time. That is a huge growth in today's global environment in a particular economic segment of a country. I believe investors can make big money very cautiously perhaps and in a conservative way if you look at the listed space. Many of the companies may come to get listed again. So, I think that space as such can grow very big. It can give 20-25 percent kind of a compounding return for investors," he said.