Prefer Dr Reddy's Labs among in pharma space: Sandip Sabharwal

In an interview with ET Now, Sandip Sabharwal, asksandipsabharwal.com, shares his views on markets. Excerpts:

ET Now: It cannot be a blanket call over IT and pharmaceutical, are you being selective, what stocks are you liking within these two pockets?

Sandip Sabharwal: There seems to be some transformation underway in Infosys. So I would say that Infosys could do much better than most of the other large cap names.

ET Now: And pharma?

Sandip Sabharwal: We have to play the companies which are continuing to do well. So I would say that despite the valuation being slightly stretched, I would go with Dr Reddy’s. I do not look at midcap pharma too much because it is very difficult to understand these companies and they move on one molecule, one approval and lot of them have a lot of balance sheet issues, which people do not understand.