27th April 2010
Barring a few companies the results so far had been in-line or slightly better-than expectations. The weak 4th quarter numbers from two major Heavyweights, Reliance and Wipro has affected the market sentiment a bit and hence the stock market has failed to gain momentum.
The Fourth quarter’s numbers have been good so far and that is fairly reflected in the stock prices of many of the frontline companies. As far as a frontliners are concerned, most of the good news has been factored in. The next big move would happen only once the monsoon actually starts because by that time the markets are going to be range bound and maybe little lackluster on the frontline space.
Going forward into 2011 the valuations will probably get firmed or pushed a little high northwards. Investors are playing this market only for growth and not as a value play. Yes, you will get a few value plays if you search deep enough. The market is clearly expecting the Sensex EPS of close to 1100 |
