We are underweight on Infrastructure sector; L&T best pick: Tirthankar Patnaik

In a chat with ET Now, Tirthankar Patnaik, Director, Strategist-Institutional Research, Religare Capital Markets shares his view on Larsen & Toubro and infra sector in general.

ET Now: L&T also of late has been a marked out-performer. For those who are buying L&T at the current juncture, are they simply taking a leap of faith that things will turnaround?

Tirthankar Patnaik: Infra is one sector where we have a comprehensive underweight. L&T is the only stock that we have been liking. We have a buy on the stock, our analyst likes the stock but that is the only stock in the entire sector.

Raising L&T to neutral or overweight can happen but that cannot be basically accompanied by any other stock in the sector.

So in our opinion for L&T the results were alright but order growth is something that L&T would have to look forward to and unless order growth significantly improves going forward, and we do not expect that will happen, we would be cautious basically.