Avoid tyre stocks: Vivek Mahajan, Aditya Birla Money

Vivek Mahajan, Head-Research, Aditya Birla Money, in a chat with ET Now talks about tyre companies.

Coming on some of these tyre companies, import duty has been slashed to 7.5% from the previous 20%. Do you think these are just news driven counters or probably there is still some value left in some of these tyre companies and the growth potential for them is good going forward?

These are basically one off flavour from these counters. Investors will be using this as an exit option. So it is better to avoid these counters, wait for some proper correction before looking to buy into this space.