The PSU sector has gained attention, but the market cap and valuations of individual stocks are not overheated in the long-term context. Now we can expand the story to many of the other stocks in the PSU space. While many PSU stocks have seen significant gains in the past year, caution is advised in blindly buying at current levels.
“Tata Consultancy Services (TCS) employs 55,000 people in West Bengal and will add another 15,000 in the new campus.” If we have 65,000 people in TCS, it will be larger than Bengaluru," Mitra said, adding that Jio is setting up a data centre, while Cognizant is employing 22,000 people, and Wipro 12,000 people in the state. He added that the state will unveil many industry-friendly policy in this summit to make Bengal next investment hub, which has the advantage of proximity to Bangladesh and Bhutan.
“This railway stocks story will go on for another year or so. Of course, there will be some pauses in between. BEML, Titagarh Wagon, Ircon, RVNL are some of the stocks where one could consider playing this momentum and one could definitely look at this theme from a 6-12 months perspective.”
Brokerage firm Goldman Sachs maintained a buy rating on IndusInd Bank, HSBC initiated coverage on Titagarh Wagons with a buy rating, Jefferies recommended a buy on Polycab and CLSA maintained a buy rating on ICICI Lombard.