Should you buy FMCG stocks on dips? SECTIONS Last Updated: May 15, 2021, 09:38 AM IST Share ET Now FMCG stocks now because they do not have enough business catalysts. Edited excerpts from his interview: What is your understanding of the strength we are seeing in midcaps and smallcaps? It indicates that the fundamentals of the broader market is improving. The expectations are being met. A company like Prince Pipes beat EPS estimates by 20-30 percentage points. This quarter will be a fairly good one, especially for export-oriented companies. What is your reading of the management commentary of Asian Paints? As a stock, it has underperformed in the recent past and so there is some amount of catch-up trade happening. While the prices of its raw material has moved up along with oil, given the second wave of Covid in Asia there is an indication that oil prices will remain in check. Therefore, prices of raw materials for Asian Paints will also remain in check. While the second wave of Covid will dampen the quarter for sure, it is likely to sustain after another couple of quarters.