Key Points
Jyotivardhan Jaipuria, Founder & MD, Valentis Advisors, says the whole capex cycle, the government spending, and India doing well will play out for some time..
At the same time, stocks go up a lot and then there is a period where they do not really go up, they need to consolidate gains and one needs to start seeing earnings really flow through..
So, to that extent, real estate and a lot of other sectors may be in that zone where the next six months may be tough in terms of stock price, where people are consolidating, now people are saying, okay, show me all the earnings before we have the next leg up in these stocks...
Jyotivardhan Jaipuria: We do not own textile per se, but textiles is in a decent spot just now because you will have a lot of raw material prices coming down there..
The reason we do not buy them is, one, the liquidity in a lot of these stocks is a problem and secondly, they are very cyclical in nature depending on raw material prices...
