Wait and watch for auto stocks: Sandeep J Shah, Sampriti Capital

In an interview with ET Now, Sandeep J Shah, CEO, Sampriti Capital shares his views about the auto sector outlook.

ET Now: What pockets catch your interest amongst the autos?

Sandeep J Shah: Tata Motors is a global play. It has been doing well in spite of a faltering global economy. Now, I do not know for how much long that is going to continue for. But if the two wheelers pack were to correct from here then at some point of time the 6% to 8% volume growth will get priced in.

If Maruti were to correct significantly from here then that could be interesting. I do not think that at today’s price we are looking to buy auto stocks. But if you want to buy auto stocks then you will have to wait for a petrol price hike before you get in.

Also, at some point of time the rupee will stabilise. I do not know where that level will be, whether it is 56 or 58. But this kind of a sharp fall cannot continue forever. It is going to stall for sometime and even as the rupee has made a new low, the markets have not.