look news india
Mumbai: After four years of massive rally, investors in Indian stock markets now see limited upside scope in 2025. In its The Big Review-Rewind 2024 and Outlook 2025 report, HDFC Securities estimates that growth in the Indian market will remain volume-driven in FY2026 and the days of margin expansion are largely over. The estimated rise in Nifty-50 index in the year 2025 is 26482.
Interest rates have started coming down, inflation situation has started softening. But RBI will not be in a hurry to cut interest rates yet. Global economic growth is slowing down. In India too, HDFC Securities’ estimate for economic-GDP growth in FY2025 is lower at 6.4 per cent versus RBI’s estimate of 6.6 per cent, due to weak urban demand and lack of significant growth in private capital investment.
Equity and other asset classes will remain attractive for investment. But the returns will be comparatively less. Along with this, instability may persist in the first two quarters of 2025 and then improvement in corporate performance may be seen from the third quarter. It is estimated that the year 2025 will see growth through industrial, manufacturing, real estate, allied sectors and sectors impacting the rural economy. After witnessing an extraordinary earnings growth of 17 per cent CAGR from FY 2019 to FY 2024, this growth is expected to slow down to 10 per cent over the next two years.
The Nifty 50 index is currently trading at a consensus EPS multiple of 23 for FY2025 and 20.5 for FY2026. Which indicates the possibility of a slight uptrend in the next 12 months. The broking house has highlighted large banks, top tier IT, consumer durables, capital goods, real estate, cement & construction materials and automobile, consumer staples, oil & gas, mid-cap IT, small banks as preferred investment sectors. Has given. And NBFC.