Edward Pulling JP Morgan Asset Management
Said that if India trades at 15 times PE, the Sensex could trade at 30,000 in the next three to four years and said that he saw a Sensex EPS of Rs 2000 between March-September 2013. He added that the March 2009 Sensex EPS would be seen at Rs 850 and March 2010 at Rs 850-900. “India is not expensive at this point; most Asian markets are trading at 14 times 2010 earnings.” Pulling further said that he did not expect the Indian market to see a re-test of its previous lows.
Commenting on the Indian economy, Pulling said he was positive that India would once again see a GDP growth of 7% and 8%. He said that earnings growth would be primarily driven by the infrastructure space. However, he said that the Indian real estate sector was not attractive right now as there was more transparency required.
Speaking on the current fad of Qualified Institutional Placements (QIP), Pulling said that he did not see all of the QIPs going through.
When I first started investing in India, about 15-16 years ago I think the Sensex was around 3000-4000 and now we are at 14,000-15000. And I think that in 3-4 years time we will be at 30,000. So by almost any measurement that is a bull marker. This being India, there are going to be plenty of bumps along the road and that’s part of the fun and challenge of investing in Emerging Markets. But there is tremendous amount of money, profit to be made in the longer-term if you stick with it and you know what you are doing. If I think that the market can double from here in 3-4 years then that is no matter what your definition is that’s a bull market. But it's not going to be a linear 14-15000 to 30000?
source : MC
0 comments:
Post a Comment