Mphasis is a decent IT stock: CK Narayan

CK Narayan, President Treasury, Sharyans Resources in an interview with ET Now talks about Mphasis.

What is the call on Mphasis?

Mphasis, the big decline we saw sometime back on that news relating to HP which brought the stock down to about 350-375 levels, that finished off the decline. So you are unlikely to see lower levels in the case of Mphasis. What it now requires is to rebuild a little bit of strength.

It has been doing that by going across and trying to build a base over the last several weeks. It is a share which is on the mend. It needs a little more of volume and momentum support which will probably come in with some flow of good news. So those who are looking to build some fresh positions in some IT counters, Mphasis would be a decent bet because the downside risk is limited. The upside is fairly large if it were to stay in rally from here.