Deven Choksey Market Outlook: Speaking to CNBC-Awaaz on the market’s further outlook Deven Choksey, Managing Director, DRChoksey FinServ It is said that most of the investors are releasing funds from their portfolio because they are investing in IPO. At present, money is being withdrawn from listed companies in the market and invested in new IPOs and shares. The effect of which is also visible in the market. At the same time, the effect of strength in dollar and weakness in rupee is also visible in the market. Besides, the market is also keeping an eye on the upcoming quarterly results. The pressure seen in the margins of companies in the second quarter is expected to be seen in the third quarter also.
Capital goods sector will perform better in the long term
Talking about the capital goods sector, he said that a long slowdown is not visible in this sector. This sector will benefit from the increase in Capex by the government. There should be good momentum in the capital goods sector. There is hope for good growth in the capital goods sector. He says that Siemens, ABB Capital are good companies in this sector. There may be a slowdown in this sector in 2-3 quarters but in the long term this sector will be seen doing better.
Better business model of IT, engineering R&D companies
Talking on the IT sector, Deven Choksi said that the companies which are in the IT, engineering R&D space, are performing in the mid-tier segment. There has not been much change in him. Investment can be made with a time horizon of 3-5 years. IT, engineering R&D space will be seen performing much better than general IT companies.
There is a change in the business model of front line IT companies due to which they may see slight pressure. But the coming times will be good for mid-small IT company IT, engineering R&D. Their valuations also look quite good. The business model of IT and engineering R&D companies also looks better.
There will be better investment opportunities in the market, focus on leading companies of growth sectors – Abhay Aggarwal
Market will focus more on management commentary than results, these sectors will see growth: Rajesh Kothari
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