A falling stock is not always cheap: Kotak explains the role of earnings and valuations
Kotak Institutional Equities rate stocks including a list of stocks.
· ET Stocks, Economic Times Markets
Kotak Institutional Equities argues that stock prices are driven by earnings expectations and PE multiples rather than market flows or liquidity. Rebutting myths about FPI outflows and IPOs draining secondary market cash, the brokerage highlights business fundamentals and mental DCF valuations as the true price drivers.
The analysis
This is an Index / institutional flows event. Passive and institutional flows move price independently of fundamentals, and around rebalancing dates they dominate it.
Market context
- Brokerage calls from Kotak Institutional Equities, with ratings on the stocks named.
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