Metals to continue to shine going forward: Rahul Shah

We have the RBI’s policy review up ahead, and the IPO of Macrotech Developers on investors’ radar. Where do you think could the market be potentially headed?
We have seen one clear trend in the market that has been sector rotation. So we have seen the metals shining for quite some time. Banks have been showing some interest in the last two sessions. So my sense is that metals will continue to do well going forward. There could be a lot of action in bank stocks, which have taken a beating for the last few sessions. I think the Bank Nifty is down around 10 per cent from the recent highs. And, as you rightly pointed out, we will see the listing of Lodha (Macrotech). I think the real estate space will see some more traction, also with the registration rates jumping in Maharashtra, especially in Mumbai. There would be sector rotation but I think one should stay invested in the market as of now.

With its unique business model, Nazara became the first of its kind to get listed in the market with backing from marquee investors. Would you say these are good opportunities to at least start nibbling these stocks?
I personally feel the gap is huge in terms of the way the valuations are. I do not think that in the near term, anything is left on the table. So my sense is if you are a very long-term investor, with a 10-year view, and if you have such kind of view that the gaming industry as a whole is going to go broader, and the market share will keep on increasing and then the revenue, my sense is that in the near term, everything is discounted at this juncture. So I don’t think that one should invest at the current levels unless you have a horizon for the next 7-8 years or so.