Infotech stocks are undervalued: Ketan Parekh
The big bull of the stock market, Ketan Parekh, better known as KP, feels infotech stocks are undervalued. Talking to reporters after the launch of a venture capital company along with Kerry Packer and Vinay Maloo, KP said, "I think all the companies that we have invested in are undervalued. Most of these stocks have immense growth potential and we feel the potential is not reflected in the market price." KP, however did not divulge his portfolio. Though it is widely believed that his favorites include Himachal Futuristic, Global Telesystems, Satyam Computers , Zee and PentaMedia.
Talking of the divergence between the old and the new economy, KP said, "Money will flow to those counters where people see growth and where the investors are likely to get higher returns. Since the old economy stocks do not have such a fast clip of growth rate, they are not likely to attract large funds." When asked whether the focus of his VC fund was more towards stock market rather than towards technology, KP said, "Every VC eventually wants to exit from the investments that he has made and so everything apart exit is more important." |
