'There is still tremendous potential in infra stocks'

ET Now caught up with Sanjay Dutt, Director, Quantum Securities, to find out what investments themes he is looking at currently.

What are the investment themes you are looking at at the moment?

My clear focus is on the unlisted space. But, if we talk about the listed space, there is a tremendous potential still in some of the infra companies as well as some of, what I call, ancillary infra, which are primarily capital goods or companies that are taking care of inputs of these infrastructure companies. The pipeline there is very strong. Although there is pricing and margin pressure because there are concentrated buyers and there is a limited supply of inputs at any point of time and we have the usual payment cycle problems, that's a sustainable theme.

Over the next 3-5 years, we will see quite a few companies in the 500 crores to 1000 crores market cap or companies with a 1,500 crore EV, multiplying 2-3 times on the current levels. That's where our focus primarily is. Similarly, in the education sector, unfortunately, there are not many risks at place. I am not saying this because today we have got a historic Right to Education bill, but the fact is there is tremendous potential in that space. There is also going to be a sea change in the social fabric of the country when it comes down to primary and secondary education. Forget the global universities coming into India, just look at the basic companies who are looking at input for schools whether it is as simple as Navneet Publications, but there are a lot of other companies, which one can look at and they will make a tremendous amount of money.