Stocks like TVS and Hero MotoCorp will continue to outperform: Nitin Raheja

In a chat with ET Now, Nitin Raheja, CIO, AQF Advisors, shares his view on two-wheeler.

ET Now: How should one approach two wheelers now because the auto dispatch numbers which have come from Hero MotoCorp and from TVS are quite extraordinary?

Nitin Raheja: Clearly there has been a revival and what is doing well is the new launches if you take TVS for example they have new scooter launches that they have done well and I would not be surprised when Honda’s numbers also come and you will see that happening.

Stocks like TVS have this huge leverage story that has to play itself out and although at present when one looks at historical valuations they look expensive but then you see the leverage of the low base. You will start seeing stocks like TVS which have been doing well any which way of late also they have been moving up and inching up. They will continue to outperform.