Cipla settling the patent litigation on the Revlimid drug is on anticipated lines. We have seen a lot of the other names also come forward and carry out this settlement and Cipla was also logically expected to do so. He also said that this was a trigger not just for Cipla, but for the pharma pack as a whole.
I would believe Cipla definitely calls for attention and it could test Rs 830 kind of highs by the time the numbers are out for December end quarter.
Prakash Diwan, Market Expert
A Kotak report estimates an additional 5G opportunity of Rs 200 crore for Cummins India on an annualised basis and growing over the next 5 years. They seem to be reasonable numbers, the 5G opportunity is pretty global so it is not just related to India. India will roll over into 5G over the next two years, whereas some of the other markets especially those in South-East Asia markets like Philippines and China and few others already started the major implementation of 5G.
We have already begun supplying gensets to many of those markets and we have the best-tailored product for these markets, so we see this as a very exciting opportunity for us moving forward.
Ashwath Ram, Managing Director, Cummins India
We have seen a dramatic recovery of sorts. We saw a sharp recovery in the second quarter and Q3 has been even better. But the kind of setbacks that we took in the first of the year – our first-quarter numbers were down 65 percent and the second quarter ad revenues were down about 25 percent. So that deceleration in revenues is now baked in and I don’t think the recovery will be so sharp as to recover all the deficits of the first 6 months. So, for the full year, we are bracing for at least a 20-25 percent de-growth even assuming we do very well in Q3 and Q4.
I think subscription will perhaps become the mainstay of media companies like ourselves. 9 years ago when I joined Sun, our subscription revenues were averaging around Rs 85 crore a quarter which was Rs 340 crore run rate annually. That number has almost touched Rs 2,000 crore 9 years down the line and we are only seeing greater momentum in the subscription. So, my own guess at this time is subscription will perhaps become the mainstay of media companies.
SL Narayanan, Group CFO, Sun Group
Exports in terms of volumes from July to October has gone up by 24 percent whereas imports have gone down by 28 percent and that’s the main cause of imbalance in the availability of containers. The situation is likely to normalise by April.
Mahesh Keyal, VP, Federation of Indian Export Organisations (FIEO)
Valuations are expensive, particularly in the context of India, but at the same time, in an environment of increasing earnings estimate and low cost of capital, what appears expensive today might appear relatively cheap a few months down the line.
We are not taking our foot off the pedal as far as the tech megatrends are concerned. We believe that some of the megatrends shall last over 2021 and beyond.
Manishi Raychaudhuri, Asia-Pacific Head of Equity Research and Asian Equity Strategist, BNP Paribas
We would be selective; there are oil and refining companies, some shipyards, the transmission companies. So there are selective good PSUs which has strong capabilities, mediocre growth and good dividend yields – that’s the combination we look at when we invest in this.
It looks like the government now has a clear focus to create value via central public sector enterprises (CPSE) companies.
Sanjay Parekh, Senior Equity Fund Manager, Nippon India Mutual Fund
We were positive on ONGC at around Rs 60, but at around Rs 95-98, I think it is a good time to take away some profits from the stock. The upside in ONGC from the oil price increase is capped and beyond a point basically, the subsidy also starts kicking in, so you will not be able to capture the full oil price increase. He observed that it is a good time to take away some profits from ONGC.
Nischal Maheshwari, CEO, Centrum Broking
The whole proposition of consolidation and its benefits in the telecom sector will flow through, it is a matter of patience.
We are reasonably well exposed in the telecom sector. We have a couple of names from the sector which are among our top overweights in not just our contra fund but even in a couple of other important strategies too.
Taher Badshah, CIO-Equities, Invesco Mutual Fund
(Edited by : Abhishek Jha)
First Published: IST