Many of the high-quality names are not cheap and could see a correction, said Manish Gunwani, CIO-Equity Investments at Nippon India MF, on Thursday.

“I do think that some of the high-quality names are overvalued, whether they will do a time correction or a sharp price correction is anyone’s guess,” Gunwani told CNBC-TV18.

On the cement front, Gunwani said, “I would look at midcaps rather than largecaps because there is value in a lot of midcap cement; super largecap cement, I do not think there is too much value left.”

Gunwani also said he continues to remain positive on commercial vehicles (CVs) and expect it to beat expectations.

“I wouldn’t venture into tractor cycle but the CV cycle is just about turning around, so it still bottoms upcycle or early turnaround stage. We have been positive on CV space for the last one-one-and-a-half year, obviously, after the coronavirus, it got hit, but the volume assumptions on the street are benign for CV volumes. So we are quite positive.”

According to him, global macros and dollar breakdown bode well for the metal sector.

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(Edited by : Ajay Vaishnav)