There is value in smaller cement companies: Sangeeta Purushottam

In a chat with ET Now, Sangeeta Purushottam, Managing Director, Nine Rivers Capital, shares her views on cement pack.

ET Now: What is your view on the entire cement pack?

Sangeeta Purushottam: There is value in these smaller cement companies. When I look at the larger cement companies and you look at them from a more longer term metric like EV per tonne, I do not find huge amount of value. Buying into a cement stock rests on the premise that the pricing power companies have seen will continue for the next 2 to 3 years. This is the timeframe over which we are seeing excess capacity in the system. If I were to buy, I would rather buy some of the smaller companies where at least you have a valuation comfort.