- LATEST
- WEBSTORY
- TRENDING
BUSINESS
50k in 6 to 7 years, says Jhunjhunwala
On the day the sensex crashed, Rakesh Jhunjhunwala said most Indians don’t recognise the India story and tried to explain why he remains bullish.
Updated : Sep 15, 2017, 01:31 AM IST
TRENDING NOW
)
Meet woman, first cleared NEET, prepared for UPSC while working night shift at hospital, passed exam with AIR...
)
Forgotten Soviet-era spacecraft Kosmos-482 returns to Earth after five decades, it was stuck in Earth orbit due to...
)
Big relief from traffic jams: Greater Noida to get 400 m long flyover soon, to connect these areas..., estimated cost is Rs...
)
This actor forcibly kissed 15-year-old actress, left her traumatised, in tears, then laughed while justifying the act; he is...
)
After IAS officers Tina Dabi and Smita Sabharwal, marksheet of CBSE class 12 topper Keshav Bhatia goes viral, check his scores in different subjects
)
Meet Khushi Shekhawat, CBSE class 12 second topper, who secured 100 marks in four subjects, daughter of retired Army officer, she aspires to be...
)
Hema Malini's mother wanted this superstar as her son-in-law, its not Dharmendra, Jeetendra, Sanjeev Kumar but...
)
Regena Cassandrra reacts to box office failure of Kesari Chapter 2: 'This would affect Akshay Kumar' | Exclusive
)
Viral video: Young couple shows PDA in Bengaluru Metro, internet is stunned
)
From Chandrachur Singh to Kumar Gaurav: Six 90s stars who aged like fine wine, 2 look unrecongisable
)
Virat Kohli's viral class 10 marksheet shared with a special message, check his highest scores
)
President Erdogan's daughter pays price for Turkey's support to Pakistan, Sumeyye Bayraktar's nexus exposed...
)
Dharmendra's lucky shirt that made him star, he wore it from 1968 to 1970, did 3 films in it, all became blockbusters, they were...
)
Amid India-Pakistan tension, Priyanka Chopra gets brutally trolled for old clip of Quantico showing Hindu as..: 'Yeh bhi anti-national nikli'
)
India's Sudarshan Chakra: How much does it cost to fire missile from S-400? The price will SHOCK you!
MUMBAI: Rakesh Jhunjhunwala is one of the market’s Big Boys with a portfolio rumoured to be Rs5,000 crore.On the day the stock market crashed, he told DNA Money most Indians don’t recognise the India story, and tried to explain why he remains extremely bullish.
On the participatory notes issue
There was a day when we had to pledge our gold (to borrow foreign exchange, in 1990). Now we have to restrict foreign capital. Life has come a full circle.
Where will Sensex go next?
50,000 in 6-7 years if the current profit growth is sustained.
And GDP growth?
India will grow at 10% before 2010. I have a dinner table bet with TN Ninan, the editor of Business Standard, on this.
What about corporate profitability?
Stock valuations are slaves of earnings. Economic history tells us that earnings grow at 1.25-1.75 times GDP growth. Hence, I see the growth in corporate profitability over the next few years at 17-20%.
Which sectors are hot?
India-centric sectors such as telecom, banking and infrastructure will continue to remain hot. Stay away from IT because the current 30% margins cannot be maintained. Only monopolies can maintain 30% sustained margins.
What about real estate?
I don’t invest in real estate. Real estate prices in fringes of cities will fall because the current prices are unsustainable. Education is a great business to be in, but I can’t find the right investment. I am bullish and my faith is getting accentuated by every public appearance I make.
What about household money coming to markets?
In 1992, 17% of domestic savings went into the stock markets. In 2004, it fell to 1%. And I feel 15% of domestic savings will go into the stock market by 2011. So $45-50 billion of local money is what we are talking about.
