Vaibhav Sanghvi

director of equities,

Ambit Capital

We are positive on airline stocks. These stocks may see

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some good treatment over the next few months. A major positive for the sector is the rise in passenger traffic at the time when ATF cost has declined. Load factors have improved. Some domestic airlines are looking to expand their businesses by entering into international operations. At this time, many airline companies are also going for restructuring of loans. Capacity at airports is increasing and traffic is expected to swell as the economy is expected to grow at 8-9 per cent annually. These stocks had been under pressure for the past one-and-a-half years. Now, we are likely to see an upward bounce on the counter.