Fund managers ask govt to take steps for addressing poor show by PSU stocks

Many stocks in this group are grossly undervalued, the fund managers told the Centre

Country’s leading money managers have urged the government to initiate action for arresting the underperformance of public sector undertaking (PSU) stocks. Many stocks in this universe are grossly undervalued and a multi-pro­nged approach may even lead to doubling in market value, they have told the centre.

"Many of the PSU stocks today are available at deep value and much below their intrinsic value. Most of these names are sector leaders and are companies which are fundamentally sound given their inherent strength in their respective sector. Given the prevailing low interest rate environment, a combination of buy back, dividend, coupled with