Zomato share price | Paytm share price: Paytm, Zomato look good with possibility of 15-20% up move: Hemang Jani

“Management commentary and the kind of statements which are coming out from and are definitely better than what the market was looking at a few months earlier. So, there is some level of interest having seen a major drop in the market cap and as we see the operational numbers turning better maybe there can be some uptick of 15-20% for names like Paytm, Zomato,” says Hemang Jani, Equity Strategist & Senior Group VP, MOFSL

There are a lot of new IPOs which really represent a very interesting business. Five-Star Financials, a south-based company, is an NBFC which enjoys a fantastic return on equity. That is an IPO which has done rather well for itself in the recent time. Anything in the new space which attracts your attention?
My general view is that the overall interest level across the IPOs has actually gone down because by and large we have not really seen any significant listing gains or a great story emerging out of it. It partly has something to do with the overall market itself and the sentiment around the listed space. We feel that the management commentary and the kind of statements which are coming out from Paytm and Zomato are definitely better than what the market was looking at a few months earlier.

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So, there is some level of interest having seen a major drop in the market cap and as we see the operational numbers turning better maybe there can be some uptick of 15-20% for names like Paytm, Zomato. Yes, there is a large supply there which can come through but for retail interest, about 10-15%, 20% move, these stocks are extremely good.

Let us get in your thoughts on the big news for , their EV arm. Close to $300 to $350 million cheque and ADIA, Goldman Sachs, Carlyle, etc, are eyeing that stake.
In the two-wheeler space,

has been a standout performer and both in terms of stock price as well as quarterly numbers, they have done pretty well and on the EV side they have been able to roll out some interesting products and the disruption risk has reduced.

Now with this EV company, the way they have set it up and the fact that they are getting a certain valuation out of it, we see more prominent investors coming into it and if there is a valuation re-rating because of that, there will be some rub off on the TVS price also. So within the two-wheeler space, though the sector has not been that great, TVS is relatively better placed but at this point we have an overall overweight stance only on the passenger vehicles.

, , are the names where we have a positive view.