Wait and watch for HCL Tech and Infosys: Shashank Khade

In a chat with ET Now, Shashank Khade, Executive Vice President-Portfolio Management Services, Kotak Securities, gives his views on Infosys and HCL Technologies.

In the near term, do you think it makes sense to sell Infosys and buy HCL Technologies?

No, it could just be the other way round because while HCL Technologies has delivered good numbers and that is what is factored into the price, you have a situation where Infosys has negatively surprised and the stock has reacted based on that. So it could be a point where Infosys from here could be interesting to look at.

As far as HCL Tech is concerned, one could possibly take profits. So it could be just the other way round. It is sell on good news and buy on bad news, that could be a trade which one could possibly look at Infosys vis-à-vis HCL Tech. Having said that, the room for disappointment or one really needs to wait for the entire earnings of 4 IT companies to really come out before really taking a call on the IT sector because clearly BFSI as a sector is troubled spot right now for these IT companies. So maybe wait it out for TCS earnings and then take a call on which stock to really bet on.