Nov. 10 at 2:26 AM
🇮🇳 Goldman Sachs upgraded India to Overweight with a Nifty target of 29,000 by 2026, implying a 14% upside.
It expects a growth revival and strong earnings recovery over the next two years.
The brokerage is bullish on financials, consumer goods, durables, defence, TMT (tech, media, telecom) and oil marketing companies.
MSCI India profits are projected to rise from 10% in 2024 to 14% in 2025, supported by stronger nominal growth.
India’s valuation premium to other Asian markets has normalized, making equities more attractive.
A mass consumption recovery is expected, helped by low food inflation, strong farm output, GST cuts, elections, and 8th Pay Commission wage hikes.
Goldman Sachs remains underweight on pharma, infotech, industrials, and chemicals due to a weaker outlook.
Note: Foreign investors have sold
$30 billion worth of equities over the past year, but flows are reversing as earnings improve.
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