Goldman Sachs upgrades the India market outlook citing domestic resilience, stabilizing INR, and potential foreign inflow reversals. They recommend rotating toward Value, Large-caps, and Banks while cautioning against rural/agricultural exposure due to El Niño risks.
Key Takeaways
- 1.NIFTY is expected to recover to 26,500 by June 2027, implying ~10% upside.
- 2.Anticipated rotation from 'Growth' to 'Value' and from 'Mid-caps' to 'Large-caps'.
- 3.Preference for domestic sectors over exporters given stabilizing INR and policy tailwinds.
Table of Contents
- Improved Macro Outlook Amid Domestic Resilience
- Foreign Inflows Should Gradually Return
- Room To Rebound
- Rotation to 'Value' from 'Growth'
- Size Rotation to Large-caps From Mid-caps
- Banks Likely to Outperform On Supportive Positioning and Policy Tailwinds in 2H
- Power To Outperform Agriculture In A Strong El Niño Event
- Domestics to Outperform Exporters Amid Stabilizing INR
- Tourism To See Recovery From Lows
- Trade Ideas For 2H
Document Preview
Access the Full Report
Get unlimited access to institutional research reports with a 14-day free trial.
Authors
Amorita Goel, CFASunil KoulTimothy Moe, CFA
Securities
RELIANCEHDFCB IBNTPCINDIGO
Themes
El Niño impact on sector dispersionRotation from Growth to Value
Regions
Asia PacificIndia