Asian Paints stock correcting on sell-on-news as margins were expected to expand: Abneesh Roy

According to Abneesh Roy, Executive Director at Nuvama Institutional Equities, Asian Paints’ stock has neared its all-time high over the past three to four months and may undergo profit-booking. In terms of margins, there has been clear expansion in pricing power, with revenue growth at 6% on a 53% volume base. Although the stock corrected 3-4% and 2% on two separate days, it is not a reflection of peak valuations, but more of a short-term response.