See 5-7% upside in capital goods stocks: Gautam Shah

Gautam Shah of JM Financial told CNBC-TV18, "We like capital goods. I think capital goods as a sector has been sort of an underperformer in the last 4-6 weeks and now as the Nifty has snapped out of this range, I think some of the popular capital goods stocks including L&T, are likely to see a 5-7 percent run up, so this is a move that we expect to play out in the next 2-3 weeks and the downside is limited, because as I said like the market many of these stocks have made a nice strong base just 2-3 percent away from current prices. We like it from a trading angle."On Friday, Larsen and Toubro ended at Rs 1,502.40, down Rs 5.25, or 0.35 percent on the BSE.