Positive on Idea Cellular, says Taher Badshah

In a chat with ET Now, Taher Badshah, Senior Vice President & Co-Head Equities, Motilal Oswal Asset Management Co Ltd shares his views on the telecom space.

ET Now: What is your view on the telecom space?

Taher Badshah: We will see some pricing action by the players come about in the following months in the telecom space. It will be very hard to resist given the outlays that they have on their spectrum payments and other costs.

We saw some evidence of specific price increases by some players in certain markets that will fan out a little more across different market segments, geographic segments and players. The pricing action is not something which the market is expecting and has priced in.

The large cap and front line telecom stocks have upside, especially after the underperformance and the correction that they have witnessed. We essentially own Idea in our portfolios and we are positive on this stock.