Cement sector does not look very exciting: Sandeep J Shah, Sampriti Capital

In a chat with ET Now, Sandeep J Shah, CEO of Sampriti Capital, shares his views on the outlook for the cement sector.
ET Now: What is your call on the cement pack? Does it seem like many concerns regarding pricing as well as supply persist, and would you be negative on the space?

Sandeep J Shah: Seasonally, the cement sector is getting into a soft patch because this is typical as we get closer to the monsoons. There is going to be a time when we will actually see cement volumes as well as prices come off. Except for some of the cement midcaps, there mostly is no real value at a time when you are actually looking at the core sector of the economy coming out of a hump. Cement valuations are at rough valuations. So, from that perspective the cement sector does not look very exciting.

At the same point, I would like to give this rider that even though midcaps look cheap, you could see midcaps do well even when large caps do well. It is rare to find large caps falling off and midcaps doing well. As far as cement is concerned, if you are a long-term investor and you see corrections then you could be looking to buy. But your portfolio might be tilted more towards midcaps and large caps.