'It's time to build stable ICE portfolios'
With prices falling, Ramesh S Damani finds valuations of tech stocks fair as he feels that the market is willing to pay a premium for growth.
Mr Ramesh Damani (Wed Jul 19 19100 5:57 IST)
hello guys - Thanks for logging in. Let's start.
Shamim Ahmed (Wed Jul 19 19100 5:5 IST)
Why infotech prices are falling. What will be infotech mood for tomorrow i.e. 20-07-2000, whether it will go up or down? please reply
Mr Ramesh Damani (Wed Jul 19 19100 6:0 IST)
Shamim - Tech stocks are falling because Infy could not rise after such good results. Market seems to be sobering.
aman (Wed Jul 19 19100 5:58 IST)
will today's political developments affect stock market
Mr Ramesh Damani (Wed Jul 19 19100 6:0 IST)
aman - maybe, if Sena withdraws support it would create uncertainty. However, I believe the Sena needs the BJP also
sean (Wed Jul 19 19100 5:53 IST)
is the ICE sector still attractive to you
Mr Ramesh Damani (Wed Jul 19 19100 6:1 IST)
Sean - markets pay enormous for growth. Look at the results of Castrol, ABB, Larsen. Market will come back to ICE.
sean (Wed Jul 19 19100 6:0 IST)
hi ramesh what's your take on reliance & bses
Mr Ramesh Damani (Wed Jul 19 19100 6:4 IST)
sean - bses will benefit with the new telecom policy.
Deepak (Wed Jul 19 19100 6:3 IST)
Which is the best buy today for a short term investor?
Mr Ramesh Damani (Wed Jul 19 19100 6:6 IST)
Deepak - Take a look at telecom. If Long Distance calling is deregulated, great opportunities exist in the telecom sector. Take a look at Birla 3M. Long term though.
sean (Wed Jul 19 19100 6:4 IST)
sir everyone says that (come back to ice) but we are hearing that since may this year. true cyclicals cannot outpace ice growth rates but the valuations of the ice sector...
Mr Ramesh Damani (Wed Jul 19 19100 6:6 IST)
Sean - they look good now. Infy is trading at a PE of 75 which is fair.
aman (Wed Jul 19 19100 6:6 IST)
what do u think of NIIT, Software Solutions
Mr Ramesh Damani (Wed Jul 19 19100 6:8 IST)
aman - i would bargain hunt on NIIT. They will do well for the balance of the year. SSI is a bit expensive. Buy on reactions.
sean (Wed Jul 19 19100 6:8 IST)
which could be good picks in the cyclicals/non-ICE sector preferably low priced stocks
Mr Ramesh Damani (Wed Jul 19 19100 6:9 IST)
sean - B group shares have been out of favour. No liquidity. Wait till the market bottoms to buy B group shares.
sean (Wed Jul 19 19100 6:9 IST)
sir what about castrol india- will the takeover affect it positively
Mr Ramesh Damani (Wed Jul 19 19100 6:10 IST)
sean - what takeover ??
sean (Wed Jul 19 19100 6:12 IST)
takeover by BP AMOCO
Mr Ramesh Damani (Wed Jul 19 19100 6:14 IST)
sean - sorry I forgot about it. I remember now.
ganeshh (Wed Jul 19 19100 6:10 IST)
when nasdaq is up successively, why then are FIIs turning aggressive sellers in India particularly in ICE counters ???
Mr Ramesh Damani (Wed Jul 19 19100 6:12 IST)
ganesh - mainly because of INFY. It is a benchmark stock. It still trades at a 60-75% premium. FIIs will sell when they see opportunity. I think they are disappointed with the lack of 2nd gen reforms.
aman (Wed Jul 19 19100 6:11 IST)
are you worried about Foreign institutions pulling money out.
Mr Ramesh Damani (Wed Jul 19 19100 6:13 IST)
aman - for every seller there is a buyer. They will be back. I am not overly worried. What we need is 2nd generation reforms.
rohit (Wed Jul 19 19100 6:14 IST)
what do you think of wipro around 2500-2600
Mr Ramesh Damani (Wed Jul 19 19100 6:14 IST)
rohit wipro is okay at 2500
aman (Wed Jul 19 19100 6:14 IST)
is satyam is a good buy at CMP
Mr Ramesh Damani (Wed Jul 19 19100 6:15 IST)
aman - i prefer infy to satyam
girish (Wed Jul 19 19100 6:15 IST)
despite good quarterly results from the ICE majors (Wipro is still to announce) why is the sector not looking up ? What else do u think are the reasons ?
Mr Ramesh Damani (Wed Jul 19 19100 6:17 IST)
girish - they will rebound. It's time to build stable ICE portfolios.
girish (Wed Jul 19 19100 6:17 IST)
WHAT ABOUT THE ENTERTAINMENT STOCKS IN PARTICULAR? ANY HOPES?
Mr Ramesh Damani (Wed Jul 19 19100 6:18 IST)
girish - I see great hope for ent stocks. Look at how one show Kaun Banega Crorepati has transformed STAR. People need something to watch.
aman (Wed Jul 19 19100 6:18 IST)
what u think about MOSER BAER. Its Q1 profit is up 366%
Mr Ramesh Damani (Wed Jul 19 19100 6:20 IST)
aman - what is the actual figure? Moser Baer looks good but remember, it is in Hardware only.
sean (Wed Jul 19 19100 6:20 IST)
any good turnaround companies that can be picked up for long term
Mr Ramesh Damani (Wed Jul 19 19100 6:24 IST)
sean - I am going to start looking. Probably good time to start
rohit (Wed Jul 19 19100 6:26 IST)
do u think today's hoc divestment is good enough?
Mr Ramesh Damani (Wed Jul 19 19100 6:27 IST)
rohit - pleeeeeeeeeeese. It's absurd to disinvest hoc. They should be bold if they are serious.
rohit (Wed Jul 19 19100 6:29 IST)
ok ramesh. got your point :-)
sri (Wed Jul 19 19100 6:26 IST)
Hi Ramesh, what is ur view on HLL, Birla 3M ?
Mr Ramesh Damani (Wed Jul 19 19100 6:28 IST)
sri - i like Birla 3M. HLL I would pass.
Sudha sankar (Wed Jul 19 19100 6:28 IST)
Hi Mr. Damani, I am residing in Dubai. I plan to invest in some offshore funds. I am new to this sort of investment. Any advice from you?
Mr Ramesh Damani (Wed Jul 19 19100 6:31 IST)
sudha - thanks for logging in. Invest in good quailty mutual funds like Birla Global, Morgan. Thanks. we will see you next week. have a prosperous week ahead.
Money
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