Mumbai Oct 17, 2017. According to Share India Securities Ltd, a leading stock broker, Indian Economy is all set to regain its course to grow at 7-8% in Samvat 2074.
“Samvat 2073 has been a great year for Indian markets. Rarely has any single year been so eventful – beginning with demonetization – which forced nation into queues, elections in Uttar Pradesh – which strengthened political capital of Prime Minister NarendraModi, rollout of GST – a landmark tax reform and Nifty in 5 digits – keeping pace with record highs” said Mr Abhinav Gupta, Vice President, Share India Securities Ltd
However, what sets this year apart is rally in wider markets – Nifty Small Cap index rallied ~21.5% higher than returns generated by Nifty Midacap and Nifty 50; continuous domestic flows in face of FII’s selling – YTD average of Equity inflows of INR 225bn, led by channeling of financial savings post demonetization, improvement in macro fundamentals– lower twin deficit of fiscal and trade numbers.
We believe that best is yet to come for Indian markets. India’s economy, will regain its course to grow at 7-8% after faltering slightly over the past 4 quarters. As familiarity of GST kick in, capacity utilization will increase leading to improvement in corporate earnings and higher private capex. Nifty’s earning are likely to grow at CAGR of 18% – 20% over FY17-FY20E period.
On valuation front, Nifty is trading at P/E of 19X, 16X and 14.5X of FY18E, FY19E and FY20E earnings respectively. While in the near term, we expect markets to be range bound driven by global factors, fund flows, IPO market and sentiment; in long term Indian equity market is in midst of structural bull run and portfolio of right stocks will create significant long term wealth.
Share India has carefully chosen a model portfolio for Samvat 2074. This portfolio is well balanced and provides opportunity to earn higher return. The picks are largely from our key investment themes – companies which have completed significant capex and will witness higher utilization levels; increase in financial saving of households, increased government spending on infrastructure development and defence, higher commodity prices and shift in market share to organised companies.We believe Indian Oil Corporation,Larsen & Toubro, Tata Steel, Sundaramfast,Cyient, MOIL, Trident, Granules, Mahaseamles, IGPL, Asian Granito and Pennar Industries will outperform, he added.
About Share India Securities Ltd
Share India Securities Ltd, engaged in the business of equity broking, investing and trading activities for the last 24 years, became 200th SME Company to get listed on BSE SME Platform on 5th October 2017. The Company currently have a network of around 5 sub brokers and 173 Authorised persons registered with it in BSE and 03 sub brokers and 163 Authorized persons in NSE all over India catering to the needs of our clients. The Company currently operates in Uttar Pradesh, New Delhi, Punjab, Haryana, Rajasthan, Andhra Pradesh and Maharashtra. Going forward the Company plans to establish its presence in the western and central region and intend to set up branch offices in major cities. The emphasis is on expanding the scale of their operations as well as growing their network across India.
The company in addition to providing the services as a Depository Participant, Research Analyst, Mutual Fund Advisor/Distributor, has also filed an application with Securities and Exchange Board of India for the registration of Company as a Portfolio Manager.
The Company has received many Awards and Recognitions some of them are, an award for appreciation for our contribution in the 1 crores Demat accounts opened by CDSL. Company has been accredited with certificate for being among the top performing members for the year 2015-16 in equity and equity derivatives segment of the National Stock Exchange of India Limited. Company has been accredited with certificate for being among the top performing members for the year 2015-16 in Currency derivative segment of the National Stock Exchange of India Limited.
For more information, please contact: Mr. Aryan Prem Rana, AARYANA MATASCO