Consider infra stocks for investing: Dalton Capital Advisors

UR Bhat, MD, Dalton Capital Advisors, in a chat with ET Now suggests stocks one can look at.

With Budget around the corner, which sector are you looking at right now Mr Bhat?

I think typically the sort of indications that are there are that there will be quite a lot of allocation in social sector. There will be probably some impetus given to the infrastructure sector. So these are the sort of stocks that one might actually consider investing in. But they are not necessarily cheap. There is lot of expectations built up on that and they are already probably reflecting quite some announcements in this direction.

But I think going beyond the Budget, the ones that one really can sort be de-invested in - in terms of being very cautious on the outcome of the Budget and thereafter - are probably FMCG, pharma and non-banking finance companies. These are the ones where I think there might be some value left but the cement companies, the engineering companies the best expectations are already factored in the prices. So, therefore, unless there is some correction there may not be great value left there.