Betting on South Indian Bank, MMTC, Oberoi Realty and Bombay Burmah: G Chokkalingam

In a chat with ET Now, G Chokkalingam, Founder & Managing Director of Equinomics Research & Advisory Pvt Ltd, talks about his stock specific strategies. Excerpts:

ET Now: What are your top three ideas from the midcap space?

G Chokkalingam: Even today, we are buying stocks like South Indian Bank, MMTC, Oberoi Realty, among others. Bombay Burmah has almost more than doubled in the last six to eight months, and yet we are buying this because even after this rise, it has got an 80 per cent discount to value of investment it holds in Britannia. Moreover, Britannia has been growing its profit more than 30% in the last three years on an average. If the profit grows even 50% for the next three years, the value of holdings in Britannia for Bombay Burmah can multiply to two times. Thus, these are the three-four very high conviction stocks we continue to buy.