Macquarie has reshuffled its India equity strategy in its latest India Super 6s strategy note, introducing new names across its model portfolios while booking profits in select outperformers and increasing exposure to sectors where it sees stronger earnings visibility.
In the note led by Aditya Suresh, the brokerage replaced Mahindra & Mahindra with TVS Motor in its large-cap "Stars" portfolio. It retained Titan and JSW Steel among its top convictions, while turning incrementally more bullish on Bharti Airtel, citing expectations of improved earnings and the potential for higher tariffs following Jio's eventual listing.
The brokerage also reiterated its positive stance on HDFC Bank, despite the stock underperforming recently. It said the lender's fundamentals remain intact and believes much of the negative sentiment is already reflected in the share price.
Among its Rising Stars, Macquarie added Lenskart and Phoenix Mills, replacing MakeMyTrip and Amber Enterprises. It expects Lenskart to benefit from continued premiumisation in eyewear and international expansion, while Phoenix Mills remains a play on premium retail real estate with embedded rental growth.
The biggest changes came in the brokerage's tactical portfolio, where it introduced Axis Bank, Hyundai Motor India and Dixon Technologies, while removing Shriram Finance, Reliance Industries and Coal India.
Macquarie believes Axis Bank is well positioned to deliver around 24% year-on-year earnings growth in FY27, supported by easing credit costs and improving profitability. It added Hyundai Motor India on expectations that new model launches and capacity expansion will help the company regain market share.
The brokerage also turned positive on Dixon Technologies, citing multiple near-term catalysts. These include the expected rollout of the PLI 2.0 scheme, final approval for the Vivo joint venture, continued smartphone market share gains and the company's planned entry into the auto electronics segment.
Outside the tactical basket, Marico, Torrent Pharmaceuticals and Bharat Electronics remain among Macquarie's preferred ideas over the next three to six months.
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