Anand Rathi Brokerage

The Managing Director of Anand Rathi Brokerage, Amit Rathi announced that small caps and midcaps have rise up to 40% as compared to the last year, which is also valued more than the large cap. Mr. Rathi also mentioned that average earnings growth in both the segment touches nearly 20%.

Investors are taking the overview of the last 2 years in the auto and auto ancillary sector, and are being hopeful regarding the interest rate cuts which may consequently encourage the demand for vehicles in times to come.

Ananad Rathi Brokerage MD, Amit Rathi is calling it a step forward towards improving the capital raising, structure of bank holdings and gradual reduction of the government’s stake.

On asking that what is the sense Mr. Rathi is getting with all the interaction that he must have perhaps had so far? Is the mood still extremely bullish towards the Indian Market and is there a lot more potential in midcap and smallcap compared to the large cap space?

Amit Rathi firmly replied to this, “It is start of the conference but from what we have seen in terms of meeting request and the number of meetings there has been a fantastic response. We have almost 110 listed companies almost all of them under a billion dollar market cap. The kind of meetings that we have seen relative to last year is again fantastic so interest continues.

“Stock price are up, on an average midcap smallcap sort of fund which is the reflection of all the sectors done is up about 40-45 percent in the last one year. However interest is still very high. We have close to Rs 3,000 interactions lined up over these two days.”

Mr. Rathi was also asked, that a few companies that were attending his conference were the tyre companies like Ceat, JK Tyre etc. How does he justify the move on these stocks when there is no revenue growth that these companies are seeing because of Chinese dumping?

To this query, MD of Anand Rathi Brokerage replied, “with most of the stocks today, specially the industrial side, auto ancillary, investors are taking a 24 months plus view and saying that these sectors will benefit from lower interest rates because sort of the capex cycle is still a while away.

“I think most investors are betting on is that interest rate can go significantly lower. It seems clear consensus that Reserve Bank of India (RBI) is significantly behind the curve and if interest rates do go down the interest rate sensitive sectors and therefore the entire ancillary space that could see a fall of the demand. So it is not looking at the really the rear view mirror but looking forward in terms of what can happen.”

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  • Rahana Zubaidah

    Even World bank and IMF called India, the fastest growing economy of 2015. So yes, I agree with India’s GDP to touch 7.7% this year. So Mr. Amit Rathi’s prediction seems pretty true.

  • Ashwani Patel

    I am a student of economics myself, so I can authenticate the facts provided in this article. These are true speculation of development, growth and economy.

  • Sachin Verma

    Mr. Amit Rathi seems quite optimistic with Indian economy this year. Well, the country has performed so well during the last year that such expectations and optimism is natural.

  • Jeevan Das

    Anand Rathi an above board man has its own authentic contact with more than 100 companies on which he is serving its financial services across the India. Investors should need to understand its impeccable services to use for their company. And undoubtedly he is able to getting interation from the market.

  • Anuj batra

    Thanks Mr. Rathi to let us aware of such beneficial investment. Certainly I would like to capitalize of my fund investment.

  • Harmeet Kaur

    Who would not want to take the advantage of investing money. Good fortune to take the initiative.

  • Vikram Bisht

    Investing in midcaps equities are generally valuable and profitable. Buying of mid caps are overwhelmingly has became a unbeat challenge in market nowadays. Thanks to Mr. Anand Rathi who confronted us with this article I think now I will be able to get fruitful result of my investment.

  • Gaurav

    Good knowledge gathering article.The greatest advantage to adding large-cap stocks to an investment portfolio is the stability they can provide. Because large-cap companies are so large and have a well-established reputation with consumers.

  • Mukul Shekhawat

    It’s a good news that midcaps have rise up to 40%now its looking like to invest in stock would not be wrong as this point of time Mr. Anand Rathi have announced this resolution to make out investment.

  • Neeraj kapoor

    I usually skeptical before investing anywhere. But since I have started following Anand Rathi brokerage advise i believe this person heartedly. As we know that rise in small and mid caps may lead into the rush to investors of buying stocks. Anand Rathi conference with the big companies were not to be rued.

  • Ajit kumar

    Investors should be aware that mid-caps can also be more volatile than larger companies and should ensure they believe in the long-term fundamentals before investing for growth. So we should be careful while investing in small & mid caps.

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