Manappuram Finance, Muthoot, Titan & Thangamayil: What Rudra Murthy of Vachana Investments says on these 4 stocks

Rudra Murthy BV, MD at Vachana Investments, stayed bullish on gold, even at the current market price. "Stock-wise, Titan offers a mouth-watering buy after a 25-30 per cent fall from its recent top. Thangamayil Jewellery is also a decent buy at current levels. Gold has given around 40 per cent returns in the last two years. If you some corrections in the prices, it will not be more than 5-10 per cent. Whenever there is a high expectation of a recession in the US along with trade war fears, more money usually flows into the safe haven asset," the market expert told Business Today on Wednesday.

"If gold has to come down heavily, then there should be a booming economy and soaring stock market, which is not happening anytime soon. The gold sector will do good but be very stock-specific," Murthy added.

The market specialist also expected that the gold financing companies would perform well. "Manappuram Finance Ltd offers a great buy even at current levels. The stock can hit upside targets of Rs 250-300 in the next 1-2 years. In comparison with Muthoot Finance Ltd, Manappuram has much better valuation comfort," he stated.

Meanwhile, Indian equity benchmarks resumed fall today after a single-day halt as IT, banks, financials and metal stocks dragged. Broader indices (mid- and small-cap shares) were also down.

15 out of the 17 sector gauges -- compiled by the NSE -- were trading in the red. Sub-indexes Nifty IT, Nifty PSU Bank, Nifty Financial Services and Nifty Metal were underperforming the NSE platform by falling as much as 2.41 per cent, 1.75 per cent, 1.16 per cent and 1.70 per cent. In contrast, Nifty Auto and Nifty FMCG rose 0.69 per cent and 1.78 per cent, respectively.

The overall market breadth was weak as 2,463 shares were declining while 1,120 were advancing on BSE. 181 stocks remained unchanged.