Refrain from Bharati Shipyard at current levels: Gaurang Shah, Geojit BNP Paribas Financial Services

Gaurang Shah, AVP, Geojit BNP Paribas Financial Services, in a chat with ET Now talks about shipyard stocks.

Shipyard stocks have done very well over the last few sessions. Is there anything that could be bought into at current levels?

About a fortnight back, we did give a short-term buy on Bharati and ABG but at current levels, I would just refrain a bit short-term. You have Nifty and Sensex stuck in a range and the fact that these stocks had performed over the last fortnight, you could see some bit of selling pressure getting a little bit on the heavier side in case if the indices trade in the range.

But having said that, on the capacity ramp up from a correction of about 5-6-7% on both these stocks - ABG Shipyard and Bharati Shipyard - I would definitely pick up that. Gujarat Pipavav, however, they have a little bit of constraint and I do not see immediate kind of investment triggers coming into Pipavav. On the flipside, in case if it has to move up, then a little bit of profit booking and a shift from Pipavav to ABG Shipyard and a Bharati Shipyard would definitely be recommended.