Accumulate Texmaco Rail, says Phani Sekhar

Mumbai:  Phani Sekhar, Fund Manager at Angel Broking advises accumulating Texmaco Rail and Engineering with a long term view.

Phani Sekhar, Fund Manager at Angel Broking told  “The balance sheet of Texmaco Rail  still looks pretty robust. What it means is it can easily survive another 6-8 quarters of poor macro environment without any significant damage to the company’s long-term health.”

He further added, “As of now the company’s orders from Indian railways have almost been exhausted and new orders are not trickling in at the rate at which it would desire. This has laid to a significant strain on the profitability of the company which is showing up in the stock price performance.”

“If an investor has patience and has faith in the India story, give yourself a time of around two-and-half-to-three years then this is one capital goods stock that you should accumulate at current levels. So I guess over a period of time it will give you very good returns,” Sekher said.