Mihir Vora of Trust MF weighs in on the banking, tourism sectors

In a conversation with CNBC-TV18, Mihir Vora, Chief Investment Officer of Trust Mutual Fund, shared his take on the recent rally in public sector banking stocks and his preference for private banks. He also shared his outlook on the tourism sector.

He expects public sector banks to perform in line with the broader Nifty Bank index as private banks will continue gaining market share led by factors such as better management and operational flexibility.

He noted that the recent rally in public banks' stocks was largely a catch-up rally since the fast-growing retail oriented private banks had gained significantly post-Covid, while public banks were left behind. However, now that the valuation gap has been corrected, he prefers private banks that are expected to grow faster.