Wait for correction in disinvestment candidate NBCC as valuations turn bit expensive: NBCC

In a chat with ET Now, market expert Ambareesh Baliga shares his view on NBCC.

ET Now: NBCC is back from the lows it hit in the last couple of months. Clearly, the divestment news had taken the stocks all the way down from Rs 950-odd levels. Is this a resumption of a rally, which enthuse you to invest into NBCC? The prospects look okay. The only overhang, if at all, is a government divestment. Is that too strong a reason to not buy an NBCC?

Ambareesh Baliga: If there is a divestment, I would possibly wait for that. It is because whenever divestment happens in the PSU space, you have a decent correction. Therefore, I would wait for that because at these levels. I am finding it a bit expensive, even as the long-term story is intact — especially looking at the sort of like demand in the affordable housing space.
One should wait for a correction, before buying the stock.