Helping You Build Wealth With Honest Research
Since 1996. Read On...

MEMBER'S LOGIN

MEMBER'S LOGINX

     
Invalid Username / Password
   
     
   
     
 
Invalid Captcha
   
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Revealed
India's Third Giant Leap

This Could be One of the Biggest Opportunities for Investors




Important: We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
By submitting your email address, you also sign up for Profit Hunter, a daily newsletter from Equitymaster
covering exciting investing ideas and opportunities in India.

AD

IT Stocks Under Pressure
Tue, 9 Feb 11:30 am

After opening the day on a dismal note, the Indian markets continue to trade in a similar trend. Barring oil & gas, major sectoral indices are trading on a negative note with stocks from the information technology and metal space facing the maximum brunt.

The BSE Sensex is trading lower by 290 points (down 1.2%) and the NSE Nifty is trading lower by 85 points (down 1.2%). The BSE Mid Cap index and the BSE Small Cap index are trading lower by 1.2% and 1% respectively. The rupee is trading at 67.81 to the US$.

As per an article in leading financial daily, Mahindra & Mahindra's (M&M) new utility vehicle named 'KUV 100' is proving to be a threat to rivals such as Maruti Suzuki and Hyundai Motor India. KUV 100 is a compact sports utility vehicle and is giving direct competition to the passenger vehicles in the hatchback segment. Reportedly, the car is priced at Rs 4.5 lakh and is loaded with latest features and technology. Growing aspirations of the youth, may lead to shift of demand in the compact sports utility vehicle segment from the hatchback segment. The customers could possibly be willing to pay a bit more and grab a compact SUV as compared to the traditional hatchbacks. In the absence of any real competition, the KUV100 is targeting buyers of hatchbacks who did not have an SUV option earlier.

Maruti has stated that it does not have any immediate plans to get into the compact SUV space. The company will watch the developments in this space and then take any actions on this front. Sales from KUV 100 will be the key things to watch out for going forward in order to track the traction in the compact sports utility segment.

In an important decision, telecom regulator struck down the differential prices for internet services offered by telecom players to mobile users. This could come as a big blow to Facebook as well as telecom operators in India. Telecom operators association and Cellular Operators' Association of India (COAI) expressed its displeasure over the regulators rules.

However, the regulator has upheld the principles of net neutrality. Earlier there were talks of providing discriminatory/ differential tariffs for access to different websites and services. However, regulator stated that the differential pricing is not in the interest of the consumers and the growth of the internet.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

View all commentaries | Archives

Read the latest Market Commentary


Equitymaster requests your view! Post a comment on "IT Stocks Under Pressure". Click here!

  
ABOUT EQUITYMASTER

Since 1996, Equitymaster has been the source for honest and credible opinions on investing in India. With solid research and in-depth analysis Equitymaster is dedicated towards making its readers- smarter, more confident and richer every day. Here's why hundreds of thousands of readers spread across more than 70 countries Trust Equitymaster.

PREMIUM PRODUCTS
QUICK LINKS
POPULAR TOPICS
TRENDING TOPICS
FREE NEWSLETTERS
EQUITYMASTER SUPPORTS
  • HelpYourNGO
  • You Tube
  • Linkedin
  • Twitter
  • Telegram
  • Google Play

Copyright © Equitymaster Research Private Limited (formerly Equitymaster Agora Research Private Limited).

Whitelist | Refer | Terms | Privacy | Contact | About | Sitemap

Phone +91-9136015013

Equitymaster Research Private Limited (formerly Equitymaster Agora Research Private Limited) (Research Analyst)
SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
Telephone: +91-22-61434055. Email: info@equitymaster.com. Website: www.equitymaster.com.
CIN:U74999MH2007PTC175407

Name of the Compliance & Grievance Officer: Ms Sonal Ramachandran
Telephone: +91-22-61434003 | Email: compliance@equitymaster.com

LEGAL DISCLAIMER:
Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.

All rights reserved. Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

Equitymaster Research Private Limited (formerly Equitymaster Agora Research Private Limited) (Research Analyst) bearing Registration No. INH000000537 (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA, Canada or the European Union countries, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.