Should You Invest in Hyundai or Swiggy IPO? Analyst Anand Tandon Weighs In

Anand Tandon, an independent analyst, shares his thoughts on the upcoming IPOs for Hyundai and Swiggy. He notes that the strong market performance, even with many new IPOs, indicates positive investor sentiment. However, he also warns that the current environment feels like a lottery for investors.

Tandon describes both Hyundai and Swiggy as established companies with steady businesses. He believes that investors shouldn’t overly worry about valuations since the market tends to price IPOs higher after listing. The presence of large IPOs can relieve some pressure on the secondary market, which is experiencing inflated valuations.

When it comes to Swiggy, Tandon points out that the competition is heating up in the delivery and e-commerce sectors. Companies are expanding their product ranges, making it crucial for them to differentiate themselves. He sees potential growth for these companies, especially given their ability to expand into new markets. However, he acknowledges that the landscape might ultimately favor only a couple of players.

Hyundai, on the other hand, is a well-established brand in India, making it a strong contender in the auto market. Tandon emphasizes that while Hyundai will likely gain market share, it could shift some investments away from other auto manufacturers like Mahindra & Mahindra and Tata Motors.

Discussing the real estate sector, Tandon notes that it typically follows a cycle of five to seven years. He believes we are nearing the peak of the current cycle, making it harder for demand to keep up with rising prices. Instead of investing directly in real estate, he suggests looking at housing finance companies, which may offer more stability.

Finally, Tandon addresses rising gold prices. He believes that central banks will continue to buy gold as a safe asset. He recommends investing in gold mining companies or gold-related ETFs, which could provide good returns as gold prices potentially rise further.