After making its bottom on 24th March 2020 at around 7,500 levels, the Indian market has showcased smart 40 per cent pull-back in the last three months. During this period, this pullback could become possible because of the ample liquidity in the market. But, where is this money going right now? Zee Business Managing Editor Anil Singhvi reveals that people have moved towards mid-cap shares where they are getting better returns. Here are two mid-cap shares to buy for positional investors.
On the long-term positional call for the share market investors, Anil Singhvi talked to Vikas Sethi of Sethi Finmart and he replied by saying, “For a long-term positional call, I would recommend DCM Shriram shares to buy as the company has exposure in fertilizer, crop care, agri care and it has one cement plant in Kota also. So, the company has a diversified portfolio and it’s current valuations at Rs 325 per stock levels is quite attractive for any long-term portfolio investor. My recommendation for the positional investor is to buy DCM Shriram shares at current levels for the target of Rs 450 keeping 9-12 month time horizon in mind.”
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Sethi went on to add that DCM Shriram’s return on capital is 20 per cent while its return on equity exposure is 18 per cent and that reflects the sound financial position of the company.
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#SPLMidcapStocks | शॉर्ट टर्म, पोजीशनल और लॉन्ग टर्म में दमदार कमाई के लिए सेठी फिनमार्ट के विकास सेठी के 3 शानदार मिडकैप स्टॉक्स#ZBizBazaar #Midcap #MidcapStocks @AnilSinghvi_ @vikassethi_SF pic.twitter.com/y7RWFZ46Yz
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Asked about the short-term call, Sethi said, “My short-term positional call is Godrej Properties. Like DCM Shriram, Godrej Properties too has strong fundamentals and it has 24 per cent stake in Godrej Consumer Products, 49 per cent stake in Godrej Properties and all these companies are doing well. If we go by they valuation of the company, its market capital is Rs 14,000 crore while its market value is at Rs 33,000 crore. Hence, the current valuation of the company at Rs 427 per stock levels is very low and I would advise positional investors to buy Godrej Industries for the target of Rs 500 in short-term time horizon.”