M&M is preferred stock in near term: Gaurang Shah

In a chat with ET Now, Gaurang Shah, Asst VP, Geojit BNP Paribas Financial Services, shares his views on auto space.

ET Now: Would also want your perspective on some of the tractor associated companies from the agri businesses on the automobile side and Escorts being a case in point that the numbers on the auto sales front flash, what is the expectation there?

Gaurang Shah: The stocks on which I would possibly want to put my money will be M&M and as a disclosure that is the top pick amongst the four wheelers and across different verticals that M&M has its presence and that is the safe bet to play with.

On the number side as we have the progress of monsoon and as weeks and months go by for the next two quarters, you should expect numbers from the tractor side vertical for M&M to improve to a great number and of course in terms of market share also they have a very decent presence over there.

So my belief is that if I have to make a pick on fallback of this news flow because of an event that is going to unfold in the near future M&M would be the preferred choice.