Deven Choksey sees value emerging as markets correct, bets on metals, select IPOs

Markets have turned choppy and a lot of stocks are no longer trading at the kind of premiums they commanded a few months ago.

For Deven Choksey, Managing Director at DRChoksey Finserv, that’s not necessarily bad news. He believes the correction is slowly bringing back sanity to valuations — and with it, selective opportunities.

Choksey said, “We have been looking at some of the good quality companies which have fallen significantly, likes of Bajaj Housing Finance, which has now started coming down closer to a realistic price to book value ratio. This is one company which looks good, continuously growing at a significantly better rate of growth.”

He believes many companies have become attractive again after the recent correction in valuations. At current levels, the downside risk appears limited in several of these names. While returns may not be immediate and could take time to play out, a meaningful upside is possible over the next two to three years. From a medium-term investment perspective, some of these stocks now offer a reasonable entry point.

 Choksey also pointed to Tata Technologies

, noting that the company has a strong business moat. After climbing to the ₹1,400–1,500 range post listing, the stock has corrected sharply and is now trading close to its IPO price. At these levels, he believes it makes more sense to start adding the stock to portfolios.

Choksey remains constructive on the metal space, including Vedanta. He said, “We continue to believe, that the white metal commodities, are definitely going to remain strong. The demand position for them is remaining strong.

Many metal producers have been increasing their renewable energy capacity, which should lower power costs over time. That, in turn, can strengthen margins and balance sheets. With additional triggers such as demerger-related value unlocking in some cases, he believes staying invested in quality metal names makes sense.

Among renewable plays, Choksey has a positive stance on CleanMax Energy. Choksey confirmed, “We are putting a subscribe view, and we like this particular business model.” While he refrained from commenting in detail on valuations, he described the model as promising and structurally attractive.

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