Won't expect JSPL to dip further; Hindalco good bet for the long term: Mehraboon Irani

In a chat with ET Now, Mehraboon Irani of Nirmal Bang Securities, shares his views on JSPL and Hindalco. Excerpts:

ET Now: What happens to JSPL?

Mehraboon Irani: 210-220 would be a level to buy, irrespective of the decision. 210-220 could possibly be the bottom for the stock. But I don't belong to the camp that believes that the stock has come down very sharply near the level below which it should not have fallen and therefore you should go and buy it. At the end of it all, if I do not have clarity as to what the company will do without this coal block - if at all there is de-allocation taking place - I do not think it warrants a buy. I am not saying one should be buying the stock, but that the floor price could possibly be around 210 to the level to which it could come.

ET Now: What about the rebound in Hindalco? Is it an opportunity?

Mehraboon Irani: Over the longer term, the answer would be yes. People who are positive on Hindalco at a price that is 15 per cent or so above present level today are feeling a little nervous because all this definitely dents sentiment. It is a catalyst for a correction. In this space, anything related to metals, power and capital goods come as a big dent and I do not think that will go away in a hurry.