Sathish Ramanathan,Head Equities,Sundaram Paribas says,Definitely the midcap IT space does look interesting. If you look at many of these companies have 25% to 30% of cash as a percentage of market cap. They are trading at sub-10 PE, they have high return on equities of 20% plus and they look interesting. Some of the midcap pharma names look interesting considering that they have secular growth stories, again have return on equities of 20% with PEs less than 10. So these 2 segments clearly stand out in terms of valuations vis-à-vis cash flows. These 2 segments are what excite us a little.Source:ET NOW
Indian shares are likely to witness a cautious opening as the global markets are subdued with SGX Nifty trading 1 point lower @9368 .capitalstars
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