Arun Nanda : Another Wishful Thinking CEO

Have you not witnessed time and again, the CEO of Parsvnath coming on CNBC and saying that there was no slowdown and there was no cash problem? Did you not see Sanjay Puri, CEO of Unitech say that analysts do not know how to value real estate companies?Since then, all these companies have had their Stock Prices relentlessly banged to almost a 1oth of their 52-week highs. Now, here is another joker in the pack.Arun Nanda, executive director of Mahindra and Mahindra said there is no slowdown in its real estate projects, even though there is slump in demand.
“We are not slowing down on any of our projects. Jaipur is rocking, Chennai is doing well, city-based projects such as Faridabad are also doing well,” he was quoted as saying on the sidelines of the India Economic Summit.Nanda, an executive director of the company, was quoted dishing out more gems: "Fundamentals of real estate have not changed," he said."We have actually got cash in the bank," he said, adding there is a huge demand in 30 to 40 lakh apartments segment. He, however, said the Housing loan segment is facing problems, adding there were no funding issues for its projects and the company’s affordable housing projects are not going to disappear, but he did admit that investors are not coming forward.“Demand has been put on back-burner and intrest rates are hurting people,” Nanda said. He also informed those present that Sebi approval for the initial public offering of Mahindra Holidays and Resorts Ltd.Sure you have heard of the proverbial deer freezing in the headlights. Or is this simple a case of self-denial?