UBS Wealth Management is expecting a double-digit growth in India Inc. earnings for next two years. The growth will come from low base as NSE Nifty 50 earning growth was single digit for financial year 2025, said Hartmut Issel, head, equity and credit APAC and chief investment officer at UBS Wealth Management.
When any markets come out of a low-earning period, multiples will move first followed by earnings upgrades. Multiples in India are not exactly 'very high' especially now the country is in the phase of early recovery of earnings, Issel said.
-
Indian Markets Turning Corner After Two Tough Years, Says Sandeep Tandon -
NDTV Profit Ignite 2026: Experts See Opportunity In Equities, Stay Bullish For Long-Term -
Buy Right, Sit Tight Does Not Work for Individual Stocks, Says Dinshaw Irani -
'Worst Is Behind': Quant MF Sees Market Bottom, Flags 'Extreme Euphoria' In Midcaps -
India's Mutual Fund Industry Could Become A $1 Trillion Opportunity, Say Fund Managers -
'Foreign Investors Are Baraatis': Raamdeo Agrawal's Take On LTCG Tax -
Stay Invested Through Market Cycles: Raamdeo Agrawal at NDTV Profit Ignite -
Ramesh Damani Remains Bullish On India For Next 20-30 Years, Sees Bargains Amid Market Weakness -
CAS Came After A Long Consultation Process: SEBI Chairman Tuhin Kanta Pandey AT NDTV PROFIT IGNITE -
Aim To Cut FPI Onboarding Time From Mth To Five Days: SEBI Chairman Tuhin Kanta Pandey AT NDTV PROFI
"In last ten years, valuations have not been low in India. Markets like US and India have outperformed many markets with good earnings growth which makes sense for higher multiples," he said.
Also Read | Layoffs Are Rising In Tech, But These Skills Are Helping People Unlock Better Pay
Valuations is not expected to come down in a scenario when GDP is growing next year alongside earnings, and falling rates, Issel said.
"We have earnings growth, probably starting from this quarter. My assumption is that we are going back to double digits,"Hartmut Issel, Head of Equity and Credit APAC and Chief Investment Officer at UBS Wealth Management
Hartmut Issel, Head of Equity and Credit APAC and Chief Investment Officer at UBS Wealth Management was speaking to NDTV Profit.
"In next 12 months, US Federal Reserve may reduce rates by 100 basis points or deliver four rate cuts. In India, the Reserve Bank of India may reduce rates for two more two times," he said in an interview to NDTV Profit.
UBS Wealth Management is monitoring GDP of many countries of APAC region. "A softer data may be seen in the second half here and there," he said. The wealth manager has a Neutral view on Asia-ex Japan region. "Under Asia-ex Japan, UBS Wealth Management is expecting to see a little higher growth," he said.
US reaching deals with different partners in recent days before the deadline takes away the uncertainty, which was the biggest stumbling block. UBS Wealth Management is seeing a bit of uplift in APAC region, he said.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.
