Stock market guru Dipan Mehta, member of Bombay Stock Exchange and National Stock Exchange, shared his views on oil marketing companies (OMCs), IT, NBFCs and hospitality stocks.

OMCs are in a reverse play on crude oil and at these levels not worth booking a loss. But, whenever there is softness in crude prices, the OMCs may rebound and that could be an opportunity to exit them, said Mehta.

“OMCs are not for long-term investors’ given their business model and interference of the government is concerned,” he said.

Mehta is negative on most IT companies except a few select names. There is no long-term visibility for the space. Maintaining a double-digit growth rates and going forward for sustainable basis for the companies would be difficult and more so for largecap IT.

According to him, this is the right moment to buy retail focused non-banking financial companies (NBFC) on back of good uptick in housing loans and vehicle financing. Investors can be overweight on that sector, he added.

Hotel industry, which has been an under owned sector is in a cyclical uptrend. It looks like investors want an exposure to hospitality companies as a broader consumption theme. However, on needs to be cautious because the sector has not been a great wealth creator in the past.

First Published:Apr 20, 2018 4:18 PM IST