Concerning the class of ’21 shares that went public in 2021 and 2022, he stated a few of them may make it huge.

“There isn’t any extra hype. There was a whole lot of hype and a loopy form of valuation in November and December final yr. These issues are gone. 60-70% correction has occurred now,” Agrawal instructed ET NOW whereas praising promoters of the new-age firms who wish to make revenue in a short time.

“A few of them can be very profitable and among the firms are very distinctive. There aren’t any me-too firms in that exact section,” stated the worth investor whose crew has been assembly the administration of new-age firms.

“We try to determine the trail to revenue or the scale of the revenue. Does it have a reference to the present market cap? Can we see the sunshine of the day in what they’re saying that we’re going to make Rs 1,000 crore revenue within the subsequent 3-4 years?,” Agrawal stated, including that the way in which to go about now could be to place small bets as a few of them will turn into very giant.

New-age shares like Paytm and Zomato have been among the many greatest wealth destroyers in calendar yr 2022. On the again of enhancing concentrate on profitability, the shares have seen some shopping for curiosity within the final 1-2 months.

Thus far in 2023, Nifty is down round 3.7% amid promoting by FIIs and a lacklustre Q3 earnings season.Agrawal says nothing can cease the inventory market from rallying as soon as the earnings development picks up.

“Because the market will get confidence on subsequent yr’s earnings development, I don’t assume it’ll wait whether or not FIIs promote or they purchase, the market will simply blast,” he stated.

(Disclaimer: Suggestions, solutions, views and opinions given by the consultants are their very own. These don’t characterize the views of Financial Instances)