Page 4 - Elixir Equities News Today

Dipan Mehta believes that the stock with the most potential in the digital arena is Zomato, as it is on track to profitability. Mehta also mentions that the US yield movement is impacting markets in Asia. He expects a quiet period in the domestic market until October, when corporate earnings will have a more significant impact on stock prices. Mehta also discusses the upcoming credit policy, stating that it is likely to be a non-event.

Specific sectors, nothing specific in mind, but banks should do pretty much well for the next two-three weeks or so and we will be entering into earnings season and those are the keys and news flow which you should watch out for because when the company declares the earnings that is when we have the maximum volatility and a lot of trading also happens around those events. So, I think we are in for a quiet week from the news flow point of view, but pretty busy towards the end of next month.

“I am really looking for further triggers for the stock market to move up from these levels. Intuitively, you do feel that there should be a correction, it could be healthy, shake out a lot of the weak players and provide an opportunity to get into good quality businesses at reasonable valuations, with margin of safety.”

"So long as the company continues to deliver on the quarterly front and the fundamentals have not changed, the underlying growth momentum has not changed, it is best to remain invested. I can tell from decades of experience, that you get multibagger returns by just staying put for three years, four years, five years and not trying to do this entry exit kind of a strategy. "

“We are seeing more and more trading positions being loaded onto the market. And leverage positions also I suspect are coming through. So, it is a situation where we are near entering a parabolic zone, which means that from here prices can easily go into some kind of a bubble territory. ”

"Investors who had conviction in equities, who have stayed with their SIPs and invested in stocks for the last two-three years, have all been rewarded with handsome returns and that certainly means more and more money will come to the equity market over the longer term at the expense of other financial assets. It is a very good trend."

“It is pretty clear that the US is going into a soft landing. And that certainly will protect a lot of the IT spending from that perspective. So investors are looking ahead and maybe six to 12 months from now, we may have solid numbers coming through from the IT sector.”

“The real issue at hand is, where is the correction? Everywhere I go, people ask me that question as well and the answer is that we do not know when it will be. But the fact that people are still waiting for the correction means that they are to an extent under-invested.”

"Whenever we have seen a change of management like this, it has worked positively for shareholders. Look at what happened in JB Chemicals, and even then UniChem. All the acquisitions which have taken place in the pharma industry have been very positive for both the acquirer as well as the acquired company. They also have been able to unlock a lot of synergy. So I am very positive on this particular development in Cipla, being a shareholder and a disclosure, we and our clients are invested i...

“If companies can compound earnings by even 17-18% or so, for an extended period of time, then you have a multibagger in your investment holdings. This is true of the last so many stocks that I have seen for the last 10-15 years or so. The critical thing is to remain invested and ride through the turbulence.”