Shriram Transport top pick, target Rs 1500: Parag Jariwala

Parag Jariwala of Religare Capital Markets told CNBC-TV18, "Our top pick continues to be Shriram Transport Finance Corporation mainly because what we think is as the CV market recovery becomes broad based many small players will come back in the market. Last two years the used CV market churning has been virtually stopped at least in the plus seven years old vehicle category. So, we think that disbursement growth for Shriram Transport could be much higher."

"So, we think definitely this company can post around 20-23 percent kind of CAGR growth for next two years. Currently the credit cost is at cyclical pick and we think it will come down below average of last 10 years. So, we are projecting around 33 percent profit growth for Shriram Transport and that gives us a target price of Rs 1500 in next one year," he said.