Prefer MBL Infra, LIC housing among mid, smallcap stocks: Mayuresh Joshi

In a chat with ET Now, Mayuresh Joshi, Fund Manager, Angel Broking, shares his top investment ideas.

ET Now: What are you top ideas at present?

Mayuresh Joshi: In largecaps, private banking is something that we continue to prefer. We like Axis Bank and ICICI Bank. Within the auto space, Maruti and Ashok Leyland is where we believe that the earnings trajectory should continue. Within the mid, smallcap space, MBL Infra is something that we like. The order book looks quite decent for the company. The expectations that the management has, specifically from an FY16 perspective, look quite decent. If we do a simple SOTP calculation, the company’s standalone EPC business, even if we just chip in cash flows from their BoT projects, gives us quite reasonable valuations. So, the cash flows appear decent for the latter part of FY16 and that will probably shore up the earnings estimates for MBL Infra. Valuations are not too expensive at the current level and this is something that we like along with something like an LIC Housing Finance which has again posted excellent set of numbers in our opinion.