Market expert Dipen Sheth of HDFC Securities, in an interview with CNBC-TV18, shared his views on the fundamentals of various stocks and sectors.

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According to Sheth, the current newsflow around ICICI Bank (top management rejig) could be a sentiment booster for the stock but one cannot make a judgmental call on it. Over the long-term it could be a value play.

"Likewise, the news on Axis Bank is speculative and would be unfair for the individual as well as the bank," said Sheth. According to media reports, Axis Bank may consider PS Jayakumar as a replacement for Shikha Sharma once Jayakumar's term as the chief executive of Bank of Baroda ends in October.

Talking about his rationale for downgrading Maruti, Sheth said he is not comfortable with the valuations. Moreover, the volume growth is also likely to come under pressure on the back of higher fuel prices, inflation and interest rates, said Sheth.

With regards to pharma, he said there is some kind of bottom formation happening. Firstly, the pain points that is the price erosion faced by the generic companies has reduced. Secondly, regulatory headwinds for the sector have begun to recede. Thirdly, many large caps are still pumping money into R&D.

From the consumer discretionary space, Sheth said he is bullish on Voltas and Symphony although they are down from their peaks.

When asked what will be the trigger for ITC, he said the hotels part of the business is well placed for a cyclical uptick. Another key factor is that they are well placed to get back into the volume growth game, said Sheth.

First Published:Jun 19, 2018 11:49 AM IST