A Goldman Sachs’s report predicting that India’s property market is “poised for a deep correction” has finally shaken up realty czars. Goldman says that it expects a drop of 30% from current levels, while many banks and lending institutions believe that prices need to drop a minimum of 50% or more. In fact, some numbers quoted by bankers suggest that Goldman is being optimistic. The...

Aarti Drugs will grow and the stock is cheap

The Indian pharma sector comprises a diverse set of players. There are somnolent multinationals, dictated by the policies of their remote parents. The larger Indian ones, like Dr Reddy’s and Ranbaxy, have tried to go down the path of patent challenges but got entangled in litigation launched by US pharma companies. Smaller and medium-sized Indian...

In my 25 years of writing and reporting, if there is one common shortcoming I have found among business people, it is ignorance of history. Among industrialists, this ignorance manifests in their bafflement when the business cycle turns down. The steel barons were as unprepared in 2008 with falling demand and increased supply as they were in 1994. In the last three market peaks (1994, 2000 and...