Sundaram MF believes India is on course to start the next leg of growth expansion, sees more earnings upgrades

S Krishna Kumar, CIO - Equity of Sundaram Mutual Fund believes this is the start of the next large economic expansion in the country.

“There is going to be lot more growth surprises going forward,” he said in an interview with CNBC-TV18 adding that further earnings upgrades are likely to be seen FY21 as well as in FY22.

In terms of Nifty EPS, he noted, "before the start of the quarter, the consensus was about Rs 500 for FY21, Rs 650 for FY22 and Rs 800 for FY23. With the upgrades from Q3 earnings, I think this Rs 500 Nifty EPS for FY21 is going to be upgraded by a good measure. So the earnings of Rs 650 for FY22 will see meaningful upgrades and it should be closer to Rs 700.”