ACC, Ambuja Cements, UltraTech, Shree Cement, Vedanta & RIL: What Deven Choksey says about these 6 stocks

Deven Choksey, MD, DRChoksey FinServ Pvt Ltd, said on Thursday that the market looks worrisome at current levels. If you are an investor sitting on cash and given the opportunity to enter at lower levels, the focus should be on investing and not trading calls, the market veteran told Business Today TV.

When asked about the cement sector, he said: “I remain optimistic about the sector and it will have a significant impact as we see more infrastructure related to construction activity continuing in the economy. The entire cement business has become a pan-India business. “We used to have a lot of influence with the local players, but today the influence comes from companies like Adani Group like ACC Ltd, Ambuja Cements Ltd and UltraTech Cement Ltd determine the price and logistics on the supply side of the activity.”

Those that expand their footprint could be relatively better choices later on, such as Shree Cement Ltd, Choksey suggested. “The structural change lies in the area of ​​increasing margins. Given this direction and the strong demand scenario, the companies with larger capacity would be a better choice to add to a portfolio,” he added.

Responding to a question on metals, the market specialist said that the tailwind for Vedanta Ltd. is extremely cheap. “The structural changes such as spin-offs and deleveraging of balance sheets and the overall bottom line of the company will have a positive impact around the first quarter of the year.” “If you take a position six months before such an event, it may be the right one Time to bet on Vedanta,” DR Choksey explained.

From the energy sector, the market expert liked Reliance Industries Ltd (RIL). “Despite the adversities everywhere, the dependence on the oil-to-chemicals business is doing very well,” he said.

Meanwhile, Indian equity benchmarks recorded a sharp decline today due to weakness across sectors. The 30-stock BSE Sensex and the broader NSE Nifty fell over 1.6 percent each. India’s VIX, the fear index, rose 10.69 percent to 13.27. The broader markets (mid and small cap stocks) were also down.

All 16 sector indicators – compiled by the NSE – were trading in the red. Nifty Auto, Nifty Financial Services, Nifty Oil & Gas, Nifty Private Bank and Nifty Realty sub-indices underperformed the NSE platform and fell as much as 2.12 percent, 2.02 percent, 2 percent, 2 percent and 3, 41 percent, each.

Overall market breadth was weak as 2,754 stocks declined while 1,110 gained on BSE.

Foreign institutional investors (FIIs) sold shares worth Rs 5,579.35 crore on a net basis in the previous session, while domestic institutional investors (DIIs) bought shares worth Rs 4,609.55 crore, exchange data showed.