“Shares will appropriate if gross sales sluggish, no matter revenue development. Debt ranges don’t influence gross sales velocity, which is dependent upon client sentiment. We favor pan-India gamers, as they’re higher insulated if some pockets soften,” he stated.
On company earnings for the second quarter, Chowhan highlighted just a few sectors. Banking carried out nicely, whereas the chemical sector was a shock, with some firms posting sturdy margins and development. Auto outcomes had been consistent with expectations, with no main surprises. “General, earnings surprises got here primarily from chemical compounds and some distinctive firms,” he famous.
Relating to the two-wheeler trade and up to date GST cuts, Chowhan identified that development charges are higher than a 12 months or two in the past. Nonetheless, his portfolio avoids direct auto publicity resulting from valuation issues and Indian firms’ preparedness for the EV transition. “We favor auto ancillaries, which permit us to play the expansion theme safely. Auto numbers are prone to keep optimistic over the following 4 to 5 quarters,” he added.
Buyers and analysts are carefully monitoring actual property, chemical compounds, and auto sectors, balancing development potential in opposition to valuations and market sentiment.
