See good headroom growth for Gujarat Pipavav: Prakash Diwan

In a chat with ET Now, Prakash Diwan, Director, Altamount Capital Management, shares his views on Gujarat Pipavav. Excerpts:

ET Now: Have you looked at Gujarat Pipavav? Strong show, good operational performance today and good growth on the bottom line.

Prakash Diwan: Yes, it is one of my favourite companies. You have an MNC that is available at fairly low multiple, given its peer group and this is a company that has spent on the capacity expansion at the right time; they have kind of not over-leveraged themselves and today with the capacity utilisation which has so much of headroom for growth, it is absolutely in the right spot, right time.

Gujarat Pipavav would start seeing itself in lot of the portfolios particularly of the funds which have raised money in the close end with schemes in the recent past and some of them are looking at these midcap companies which are very attractive. Even from price to book value, Gujarat Pipavav is something that suddenly come into consideration. It is just a beginning of a new 52-week high kind of trend that you will see for this counter.