Indian equities experienced unprecedented growth post-COVID, fueled by improved fundamentals. However, margin expansion is now limited due to global trade imbalances and subdued demand, with revenue growth tapering to low single digits. While corporate balance sheets are strong, cautious capex and high valuations suggest FY26 profit growth may struggle to meet optimistic expectations, advising a multi-asset investment strategy.
Originally published by The Economic Times https://economictimes.indiatimes.com/markets