India’s equity market is entering a phase where stock selection will matter more than broad market exposure, according to Siddhartha Khemka, Head-Retail Research at MOSL, as muted largecap earnings and persistent macroeconomic headwinds continue to cloud the outlook.
While benchmark earnings growth remains under pressure, Khemka highlighted the resilience of mid- and small-cap companies. “We were probably surprised by the earnings surprise in the mid and smallcap. So, if you look at our midcap coverage universe, there were about 17-18% earnings growth compared to our expectation about 14-15%,” he said.
