Would look to buy L&T on declines: Kotak Securities

The stock of the morning was Larsen and Toubro (L&T), the Q2 numbers were in-line though the company cut their FY18 order guidance.

In an interview with CNBC-TV18, Sanjeev Zarbade of Kotak Securities shared his views and readings on the same.

We are largely neutral to the order intake guidance which has been cut but we are more focused on the steps that the company is taking in terms of the monetisation of existing assets and in the future they will be going for right capital allocation, he said.

On the balance sheet side, he said there was deterioration on the working capital and increase in borrowing. It was a mix performance by the company, he added.

We see valuations are reasonable at this point of time but would look to buy the stock on declines, said Zarbade.

For full interview, watch accompanying video...