Motilal Oswal Financial Services expects better performance in auto, banking, financial services and insurance (BFSI) and metals companies, said Gautam Duggad, Head of Research-Institutional Equities at the firm on Wednesday. According to them, financials could turn out to be the sector of the year 2021.
Speaking in an interview to CNBC-TV18, Duggad said, “If I were to point out three sectors which are driving earnings for FY22 for our Nifty estimate then it is auto, BFSI and metals. I still find a lot of value in private sector banks and financials will turn out to be the sector of the year as far as 2021 is concerned because the numbers have been strong, underlying operating drivers have been strong, management commentary has been upbeat as well as asset quality and restructuring has been far better than what people were fearing in June-July. So there are pockets where you can still find value.”
On the Nifty front, he expects FY21 earnings per share (EPS) to be at Rs 541.
“FY22 looks even stronger. So it’s intriguing that in a pandemic year you are ending the year with 15 percent earnings growth and its lead by virtually every sector, but if to point out then sectors like autos, consumer durables, metals and IT have seen maximum earnings upgrade and also private banks,” he said.
Watch the video for more
(Edited by : Ajay Vaishnav)
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
EVM unlocking controversy in Mumbai North West Lok Sabha seat — What we know so far
Jun 17, 2024 10:25 AM
Odisha's new CM — who is Mohan Charan Majhi and what prompted the BJP to choose him
Jun 13, 2024 2:54 PM