panch-tattva talk…petrochemicals sector

Friends,

Petrochemicals sector has had very dismal performance in both terms ie PE is down to 19 now against 51 in 2000 and its share in total market capitaalisation is down to 1.5% from 6.5% in 2000. This has happened due to its poor profit performance compared to other sectors and secondly it had rather unreasonably high PE discounting way back in 2000. The feed stock has been costlier and this has pushed costs to them. I , however, would advice to you get overwiegth slightly and wait.

HariOm,

krsnaKhandelwal