Skip to content
Research Capview Fast Lane – February 2024

Fast Lane – February 2024

Written by - Fisdom Research

February 19, 2024 2 minutes

A Closer Look at Valuation Concern

Here’s the rationale behind justifying the current market valuations

Factors driving the market’s premium valuation relative to other nations:

  1. Robust economic growth compared to other countries. India has the highest real GDP growth at 7.6% among emerging markets.
  2. A promising outlook for strong corporate earnings.
  3. Witnessing robust demand across various sectors
  4. The banking sector exhibits improved stability and resilience.
  5. Anticipating positive trends in private capital expenditure cycles
  6. The ruling party’s favourable performance in state elections contributes to market sentiment.
  7. Strengthening market confidence for political stability, anticipating continuity of macro policies in the 2024 general election.

Investor Actionable

Rather than avoiding the markets, concentrate on active participation through intelligent portfolio strategies.

Asset Class Views
EquityNeutral – Bias PositiveBottom-up opportunities still exist. Follow 60:20:20 when it comes to large, mid and smallcap allocation. It’s a buy-on-dip market.
DebtOverweightFollow Barbell Strategy. Overweight on duration play. Reduced fiscal deficit projections, coupled with global bond inclusion and decreased gross borrowing, will likely have a positive impact on the bond market.
GoldNeutral: Bias PositiveSuggested to buy on the dip. Maintain it as a strategic allocation.
Real EstateNegativeOpting for investments through REITs and realty stocks might be the favorable choice.
International EquitiesNeturalMaintain it as a strategic allocation; avoid going overweight.

Don’t Avoid Midcap & Smallcaps

While midcaps and smallcaps may be trading at premium valuations compared to large caps, certain focused sectors and stocks within those sectors are exclusively available in the midcap and smallcap segments.

Oil & Gas
IT Services
Construction Materials
Passenger Airlines
Capital Markets
Building Products

Preferring Domestic Cyclicals

Domestic sectors outpace global counterparts in remarkable growth

Download the full report to get the complete coverage

Download Full Report

Share the article

Get exclusive content and expert advice

Subscribe to fisdom to get regular updates in the finance world delivered to your inbox each month

Other Post

Periodic Report

CAMS Gains on RBI Approval, Neuland Labs Surges on Goldman Sachs Coverage, Sun Pharma Faces FDA Setback and more

Periodic Report

TCS Earnings Release, Phoenix Mills Growth, L&T Divestment, and Dr. Reddy’s New Product Launch

Periodic Report

Interglobe Aviation Hits All-Time High, Ramco Systems Soars, Reliance Infrastructure Dips and more

Periodic Report

Paytm Investor Interest Surge Executive Change; IndusInd Bank Joint Venture; Exid Clean Max Arcadia Stake; Aditya Birla Lifestyle Brands Establishment.

Periodic Report

Infosys Upgraded, Ajmera Realty surges, Gland Pharma slips  FMCG companies tumble, and more

Periodic Report

Tata Motors’ Sales Surge, Sula Vineyards’ Revenue Growth, Bain Capital Exits Axis Bank, NCL Industries Boosts Production

Periodic Report

Exide up 17% on EV deal, FSN rises 6% on growth, Info Edge surges 10% on Q4, Godrej jumps 3% on home sales and more

Periodic Report

Adani Wilmar’s Surge, Wipro’s Leadership Shift, Tata Steel’s Record Milestones,  Titan’s Expansion Highlight Q1 Achievements

The Signal

From Reflection to Action: Building a Winning Portfolio

Periodic Report

IREDA Surges, Indraprastha Medical Corp Spikes, and Realty Firms Gain Amid RBI Policy Hold and more


Hold On.

Periodic Report

HDFC Bank Adjusts Stake in Indraprastha, Bajaj Finance’s AUM Jumps, IndusInd and Bandhan Bank See Strong Financial Growth

Download one of India's best wealth management apps

Join more than one million investors and take control of your wealth

Download app