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Has the worst of news been priced in? 5 stocks from consumer electrical sector with upside potential of up to 45%
Both railways and defence related stocks are examples of what happens when a sector catches the fancy of the street. Once that happens, no questions are asked about valuations, market size or for that matter anything else, just mad rush to own them. It is not the first time this is happening, right from IT stocks in 2000 to infrastructure stocks in 2008, many sectors have witnessed such moves before they corrected and valuations come in the zone of sanity. One sector which had caught fancy of the street between 2016 and 2020 was consumer electrical space. All the stocks witnessed strong re-rating and became multibagger. However in the last four years, they have gone through a phase of valuation sanity check as they faced many headwinds. Have the stock prices, priced in the worst of news and time to bring them back on the watch list.