IT stocks to give 20 pc return by year-end; Infosys top pick: Ajay Srivastava

In an interview with ET Now, Ajay Srivastava, CEO, Dimensions Consulting Pvt. Ltd, shares his views on the IT stocks. Excerpts:

ET Now: After the numbers, Infosys has appreciated by about Rs 200 plus. Do you think Infosys has the potential to go to Rs 4,000-4,200?

Ajay Srivastava: Yes, its biggest market is the US and that is booming. Our reports say that the order book is getting stronger and the cost structure has been rationalised quite substantially.

We all know that the entire senior management sitting there was chopped away. Hence, that is a case of good rationalisation. There is more hunger at the local levels and the order book is good in the US and it is expanding.

Hence, in all parameters, they are doing well at this time. If the rupee continues to depreciate to 65 again, that will give another hedge for the next two to three years. A 10-15 per cent is there for the taking in all these stocks.

At the end of the year, all the IT stocks, irrespective of which it is, will give you a 20 per cent return from this point of time and Infosys should be a leader in the system as there is more hunger in the younger team.