Goldman Sachs Slashes Indian Stocks To 'Neutral' From 'Overweight' On Slowing Growth

Goldman Sachs Slashes Indian Stocks To 'Neutral' From 'Overweight' On Slowing Growth

Business Today
Business Today
  • New Delhi ,
  • Oct 23, 2024,
  • Updated Oct 23, 2024, 4:58 PM IST

 

Global investment firm Goldman Sachs has revised its stance on Indian equities, downgrading them to 'neutral' from 'overweight' in its Asia/Emerging Markets allocation, citing expectations of a 'time correction' over the next 3-6 months. While Goldman believes that a significant 'price correction' is unlikely due to strong domestic flows, it points out that high valuations and a less favourable backdrop may restrict upside potential. On a sectoral level, Goldman Sachs remains optimistic on automobiles, telecom, and insurance, and has upgraded real estate and internet sectors to 'overweight.' However, it has downgraded cyclicals, including industrials, cement, chemicals, and financials. The brokerage suggests that investors focus on quality and earnings consistency. Tune in to hear Market Expert Mitesh Panchal’s insights on how to approach these shifts in the Indian stock market.

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