Investors will remain with Bharti Airtel as it is strongest in the sector: VK Sharma, HDFC Securities

In a chat with ET Now, VK Sharma, Head of Business, Private Broking & Wealth Management, HDFC Securities, shares his views on various stocks.

ET Now: What is your call on Bharti Airtel?

VK Sharma: Bharti Airtel is weak technically and fundamentally. The falling profits are not a new thing to the fundamental investors who are looking at Bharti from that perspective. It has been going on for quite a while because of the 3G and 4G services which they are going to roll out from March. Those expenditures are behind the current low profitability of the company.

However, investors are looking at Bharti that among the lot this is one company which has done its homework well as far as meeting the legal requirements are concerned. Bharti has played by the rulebook and from that perspective, investors are going to remain with Bharti for a while. This is because the stock continues to be the strongest in the sector and as prices fall another 5% to 7% it will become more attractive.