Kotak’s Sanjeev Prasad told NDTV Profit that the expectations of Nifty 50’s earnings growth were muted going into Q1 and the results were mostly in-line with estimates. “Most companies reported muted earnings or below estimates in Q1. The biggest beat was from State Bank of India,” noted Prasad.
However, the market expert does not expect any major recovery in the upcoming second quarter (July-September) of FY26. “Don’t expect green shoots of growth going into Q2. The economy is not creating enough good-quality jobs for the manufacturing segment,” he warned.
According to Prasad, job creation for the mass segment is needed to move the economy. He also highlighted that private capex is also not enough for decent earnings recovery yet. “Private investment is not showing signs of growth despite income tax cuts. The optimism is largely confined to the high income households,” he said.
