10-15 per cent upside still left in Infosys; could touch 3800 levels: Rajen Shah

In a chat with ET Now, Rajen Shah, Chief Investment Officer, Angel Broking, shares his views on the markets. Excerpts:

ET Now: I want to ask you specifically on some of the defensives which are standing out. After Infosys’ earnings, what is your overall call on the IT sector?

Rajen Shah: Infosys should go to about 3800 levels. That is what we at Angel feel. They have posted good numbers and at about 18-19 times, the stock can go up to about Rs 3800. So there is about 10-15 per cent kind of upside still left in Infosys.

The sector should do reasonably well. But as I said, the budget is focussing more on the infra space. So shocks in this space should give you much higher returns than IT or this sector for that matter. So we are not owning any of the IT stocks in the portfolio right now. But we are actually into some power names and some cyclicals which we believe should do exceptionally well over the next 12 months because the focus is clearly on the infra space. That is what the budget clearly spells out.