Fresh insights from PL Capital signal bright prospects for the Nifty index, potentially hitting 27,958 in a base case scenario over the next year amid nascent recovery trends in Indian bourses.
The comprehensive report details varied trajectories: 30,497 in a 20x forward PE bullish setup, 27,958 baseline, and 26,486 bearish floor.
Expect EPS to grow 3.8%, backed by 16.3% CAGR in earnings through FY26-28. Firm corporate health shines through with 9.9% sales growth, 16.4% EBITDA expansion, and 16.7% PAT increase annually.
‘Policy clarity, trade breakthroughs, and infra push are cementing India’s growth trajectory for the expansion ahead,’ the report asserts.
Extended market consolidation is breaking, ushering optimism. Core structural drivers hold strong against recent earnings tweaks.
Amanish Agarwal, PL Capital’s equity research head, observes, ‘India shifts from cycle-driven recovery to structural powerhouse status.’ Rising capex and efficiency gains herald multi-year equity compounding.
India’s EU trade pact marks a diplomatic milestone, catalyzing the growth engine. Labor-intensive exports in textiles, seafood, leather products, gems, chemicals, and machinery will thrive.
Job-rich areas like marine exports, leather, and jewelry face robust demand uptick. Cap goods firms gear up for infra-defense spending spree.