Book profits in Coal India at current levels: Hemang Jani

Hemang Jani, Senior Vice President, Sharekhan in an interview with ET Now talks about Coal India.

What would you do if you had subscribed to Coal India IPO? Would you stay with it or would you book out the profits because it is now at very heady levels?

Well clearly it has been the star performer for the last six to eight months and even in a carnage which we have seen in PSU space because of the pricing, the kind of policy action that has been seen in case of oil marketing companies.

We think that there is some amount of stability and visibility for the pricing and in terms of earnings over the next 6 to 12 months. There is going to be a good amount of shortage worldwide and if the companies is able to show that they are able to improve their margin by moving into washing of coal which would be clear over the next two-three quarters there could be some more upside. But yes, for people who have already got the stock at 245 I think about 390-400 decent upside so it make sense to take off that profit at current levels.