KPIT Cummins a hold: Siddharth Sedani, Microsec Capital Ltd
It is neither over expensive nor less expensive but it is reasonably expensive, reasonably valued.
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| Siddharth Sedani, Senior Manager ( Portfolio Management Services), Microsec Capital Ltd, in a chat with ET Now talks about KPIT Cummins
What is your call in KPIT Cummins right now?
KPIT Cummins should be a hold because of the reason that 24% of the revenue mix is coming from Cummins – a US based company - and Cummins last quarter has delivered their outlook very positive. So US based Cummins contributing too large in KPIT is a positive news for KPIT Cummins.
On top of, it there is a little bit of a diversification which has been done by the company. They formed a JV with Bharat Forge for some kind of a plug-ins which create fuel efficiency in the cars. So I think that is also a positive where the company is diversifying into other segments and in terms of valuation it is positively valued, it is well placed. It is neither over expensive nor less expensive but I think it is reasonably expensive, reasonably valued.
I think this stock should be hold in the portfolio for at least 6 to 8 month perspective.
What is your call in KPIT Cummins right now?
KPIT Cummins should be a hold because of the reason that 24% of the revenue mix is coming from Cummins – a US based company - and Cummins last quarter has delivered their outlook very positive. So US based Cummins contributing too large in KPIT is a positive news for KPIT Cummins.
On top of, it there is a little bit of a diversification which has been done by the company. They formed a JV with Bharat Forge for some kind of a plug-ins which create fuel efficiency in the cars. So I think that is also a positive where the company is diversifying into other segments and in terms of valuation it is positively valued, it is well placed. It is neither over expensive nor less expensive but I think it is reasonably expensive, reasonably valued.
I think this stock should be hold in the portfolio for at least 6 to 8 month perspective.
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